By Isabella Kaminski

Under the agreement, German manufacturer of solar photovoltaic (PV) modules Centrosolar will supply Taiwan Semiconductor Manufacturing Company (TSMC) with an initial module capacity of 100 MWp per year using solar cells. The cells will be provided by TSMC.

The companies are also discussing the possibility of further collaboration on product development and process engineering.

Ying-Chen Chao, senior director in charge of TSMC's solar PV business, says: “We are delighted to have this opportunity to work with Centrosolar and to offer a true premium module as our first product. This agreement complements our efforts in developing thin-film solar products, as it allows us to address a broader range of market segments and serve our European customers together with another trusted name.”

The first deliveries are due in the third quarter of 2011. Centrosolar will build up the capacity required with a new production building adjacent to its plant in Wismar, Germany. The construction of this production hall and warehouse will give the company space to increase its existing capacity from currently 200 MWp to up to 500 MWp per year in line with demand.

Dr Alexander Kirsch, CEO of Centrosolar, says: “This agreement proves that we are perhaps the most efficient and highest-quality manufacturer of solar modules in Europe. It also demonstrates that it is possible to keep manufacturing premium modules in Germany on a long-term competitive basis.”