SEG Solar, a US-based solar module manufacturer, and PT Kawasan Industri Terpadu Batang (KITB), an Indonesian state-owned company that operates as an industrial area supervisor, have announced a binding agreement for the lease of approximately 41 hectares of land in the Batang Regency, Central Java, Indonesia, for an 80-year term. Through PT SEG ATW Solar Manufaktur Indonesia, a joint-venture project business, SEG will invest a total of USD 500 million in developing the land for the building of a 5GW solar cell production plant and a 3GW solar module manufacturing facility.
The solar cell production line will vertically supply SEG’s module facility in Houston, Texas, USA, ensuring complete traceability of components along the module supply chain. SEG intends to work with other PV component suppliers to create production facilities in Indonesia, including wafers, ingots, junction boxes, frames, and EVA films, clearing the path for comprehensive business development across the whole PV value chain.
According to the Indonesian Minister of Investment, SEG Solar’s investment would create over 2,000 employment opportunities for Indonesians and significantly contribute to Batang region’s economic growth. The Indonesian government is dedicated to giving tax breaks to encourage mutually beneficial results.The facilities are expected to be finished in the second quarter of 2024.
(Source: Solar Quarter)
