Canadian Solar Inc. (Canadian Solar) has entered an agreement with the Suzhou new district, Suzhou municipal government for the funding local solar projects. Under the agreement, Suzhou new district government will provide RMB7.5 million in matching funds in combination with the subsidies provided by ministry of finance and ministry of constructions, China for photovoltaic installations. Funds will be allocated to support solar projects undertaken by Canadian Solar in Suzhou new district.

Other sources of solar project debt or equity will be arranged by Canadian Solar or by the project owners.

Qu, chairman and chief executive officer said: Canadian Solar is proud to announce, in cooperation with the Suzhou New District, that we are the first to jointly develop a municipal PV program using the renewable energy stimulus funds in China. These funds will be used to capitalize commercial rooftop and BIPV projects in the region of the municipality. While this first step is a modest one, it is important for local market development. This will give the City and the Company a chance to raise awareness of the potential of solar power and to set up a model mechanism that may be duplicated elsewhere, or repeated in the future. We would like to thank the City for considering us as their partner in this venture and we look forward to its success.