MEMC Electronic Materials (NYSE:WFR) said Friday that its wholly-owned solar energy provider has entered into an agreement with a provincial government in southeastern Korea to set up 400 megawatts of solar power plants in the province.
The Memorandum of Understanding, reached between SunEdison and the provincial government Gyeongsangnam-do [GSND], requires the renewable energy maker to utilize public land and building rooftops to build the solar plants by the end of 2013.
GSND would in turn support the company in securing the proper land or building areas and would assist in completing the authorization and permission processes.
The government and the province governor Doo Kwan Kim have implemented strategies in the area to foster the growth of renewable energies and attract foreign investment, with an overall goal to stimulate the local economy by creating more than 1,500 jobs.
Under the deal, which is subject to negotiation and completion of definitive agreements, SunEdison is expected to make efforts to re-invest certain profits received from these projects for the development of the local economy, as well as encourage other companies located in the province to participate in the construction of photovoltaic power plants.
The GSND is looking to reach a renewable energy diffusion target of 15% by 2030.