Canadian Solar Inc.
) has delivered its CS6P-P solar modules to Engineering,
Procurement and Construction ("EPC") contractor Gehrlicher Merk
Solar A.S. for the photovoltaic project in a solar park at Izmir
This solar power plant when operational, will have a total
capacity of 540 Kilowatt ("kW"), comprising 450 kW on-grid and 90
kW off-grid. This solar plant project is the first photovoltaic
project at an airport in the region and also the nation's largest
solar power plant.
Gehrlicher Merk Solar A.S. is a joint venture between German
photovoltaic company, Gehrlicher Solar AG and Turkish Akfel
Group. Based in Istanbul, this company serves photovoltaic
markets in Turkey and its neighboring countries.
CS6P-P is a high-performance module, featuring positive power
tolerance, higher energy yield, a robust frame, anti-reflective
with self-cleaning surface, and outstanding performance at low
irradiance. The module carries a 10-year product warranty on
materials and workmanship, and a 25-year linear power output
warranty, among other things.
This is the second project that Canadian Solar and Gehrlicher
Merk Solar are working jointly. Last September, Canadian Solar
provided solar modules to Gehrlicher Merk Solar Enerji A.S. for
Turkey's first and largest governmental solar photovoltaic
project. This project has a total capacity of 96 kW and is
supported directly by the Turkish Prime Minister's office.
We consider Turkey as one of the important future emerging
markets for solar energy, as the country's insolation rates and
temperature conditions are favorable. Moreover, government's
judgment toward greater emphasis on fostering renewable
resources, particularly solar, along with diversifying energy
portfolio will simplify the licensing process for power plant
As a result, the Turkish government has recently implemented a
new legislation called YEK with no licensing requirements. It is
the maiden project under this newly incorporated regulation.
CANADIAN SOLAR (CSIQ): Free Stock Analysis
SUNPOWER CORP-A (SPWR): Free Stock Analysis
To read this article on Zacks.com click here.
Future prospects for Canadian Solar look favorable based on a
broadly diversified customer base and improving operating
efficiencies through its well-integrated manufacturing
However, we are skeptical about moderate module demand in Europe,
higher degree of competition in the energy market with other
variables of alternate energy and industry-wide over-supply of
modules that has lead to a sharp fall in the average selling
Canadian Solar Inc. currently has short-term Zacks #3 Rank (Hold
rating). Over the longer run, we maintain our Neutral
recommendation on the company.
Ontario, Canada-based Canadian Solar Inc. provides a
geographically diversified customer-base stretched across its key
territories in Germany, Spain and the U.S., as well as emerging
market opportunities in France, the Czech Republic, Italy, South
Korea, Canada, Japan and China. With a market capitalization of
$116.10 million, the company has 9,087 full time employees. One
of the peers of the company is