IDB announces development program for silicon chips for solar applications, several solar companies to come to Taiwan

November 10, 2006

The Industrial Development Bureau (IDB) has announced a development program to develop Taiwan's solar photovoltaic industry.

The IDB said that two major solar silicon producers, REC and Tokuyama, will come to Taiwan for an investment that could be worth up to NTD 10 billion.

The program, entitled the "Solar Photovoltaic Materials Industry Promotion Plan", will assist Taiwan companies in learning about key materials needed to produce solar energy. The plan aims to achieve an output for solar photovoltaic (PV) industry materials of NTD 22 billion, and a self sufficiency rate of 50%.

Currently there is a supply shortage of solar PV silicon materials. The IDB said that with the rapid growth of the solar PV industry, demand for upsteam silicon materials for solar cells would also grow quickly. Thus, developing the materials industry is a key element to the growth of the domestic solar PV industry, said the IDB.

The plan is slated to take effect next year with an initial investment of NTD 5 million. The plan includes a complete blueprint for developing solar PV materials, which is geared towards raising the self-sufficiency rate for domestic materials industry.

Under the plan, the IDB will serve as facilitator to bring foreign investment in Taiwan, and help to achieve self-sufficiency in solar PV by importing materials such as silicon for solar use, liquid silver and aluminum, low-iron glass, and module packaging materials.

The IDB is also developing solar PV materials through an additional 'guidance program' geared toward product development. Several upcoming projects involve Formosa Plastics, which plans to invest between NTD 50 and 60 million to develop a module packaging materials for solar PV starting next year, and Gigastorage, which will develop a conducting glue for thin solar cell batteries.

The IDB said that many Taiwan companies have expressed an interest in working with REC and Tokuyama.

According to sources, REC plans to phase out the downstream end of its supply chain and focus on upstream silicon chip materials, which has prompted the company's interest in working with Taiwan companies.

(Economic Daily News)

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