With an investment of 435 million dollar (USD), LG Electronics has taken a really big initiative to expand and strengthen its solar energy solution business.
When the demand of alternative energy is increasing worldwide, LG’s decision of investing heavily to its solar energy solution business is really commendable.
Among all other alternative energy sources, Solar energy comes in the top and worldwide it has a great prospect also.
So in this situation, the decision of LG carries a great value.
The day before yesterday, on January 13th 2016, LG Electronics has made this official announcement in Seoul. They have mainly stated that, this multi million dollar investment is specifically for expanding the capacity of their Solar cell production/ manufacturing facilities in South Korea.
USD 435 million means, 527.2 billion South Korean Won (KRW), not a small amount of money that LG is going to invest on this business. From the volume of investment you can guess the scenario.
LG has it’s solar cell manufacturing facilities in Gumi, South Korea, which they are planning to expand though this huge investment. LG is mainly planning to triple the output from those manufacturing facilities of Gumi. To make this entire initiative successful, LG and the city of Gumi both have entered into a MOU (Memorandum of understanding).
Currently there are eight production lines but with this investment another six production line will be included. And with this addition they are also planning to increase the output from 1GW to 1.8GW within 2018 and capacity will reach to 3GW within 2020.
3GW output means, through this, estimated one million households electrical demand can be fulfilled, what LG has clearly mentioned in their official press release.
So, now it’s 2016 and within next 5 years LG has planned to tipple their Solar Energy output capacity. Which will be highly beneficial for all.
With this massive investment, LG’s hold over the market for providing Solar Energy Solution will increase a lot.
LG’s President and Head of Energy Business Center and B2B office, Mr. Lee Sang-bong said that,
As a result of this investment, LG’s solar power business will be in a much stronger position to be a dynamic engine for growth moving forward.
It’s true that with this investment and initiative, LG’s solar power solution business will achieve a great position.
Mr. Lee Sang-bong also added that,
LG has been actively involved in the solar energy business for two decades and we believe that main stream consumers are more than ready to give solar more serious consideration.
When a company is in a business for two decades then obviously when they have taken this kind of decision of massive investment, it signifies how much they have closely studied the market and the consumers demand globally.
In the year of 1995, LG had stepped into solar business for the first time. After 19 years of evolution in this business, on November 2014 they had set up Energy Business Center. This Energy Business Center was mainly established to look after three of LG’s businesses including Solar, ESS (Energy Storage System) and Lightning.
So in this business LG has come a long way and with their rich experience and depth, in August 2015 LG has introduced the most advanced solar solution till now, which is NeON 2 with path breaking Cello technology.
So you can imagine, how much LG has planned before investing this huge sum in their manufacturing business.
Source & Image Courtesy: LG Newsroom