Etrion will own the power plants which will have a total capacity of approximately 10MW, and SunPower will design, construct and provide operations and maintenance services for the plants.
The ground-based solar photovoltaic project is expected to produce 17 million kWh of electricity and EUR6m of earnings to Etrion before interest, taxes, depreciation and amortization (EBITDA) per year.
Construction of the solar project is targeted to begin by the end of this month and the first electricity sales from the project under the Italian feed-in-tariff regime are expected during the third quarter of 2011.
The Italian feed-in-tariff guarantees the purchase price for solar electricity by the Italian government for 20 years from the start of operations.
