LG to invest W527 bil. in solar power business
LG Electronics’ energy business center head Lee Sang-bong, center, poses with regional government representatives after signing a memorandum of understanding to invest 527.2 billion won in expanding its solar power module factory in Gumi at the North Gyeongsang Province Office in Daegu, Wednesday. From left are North Gyeongsang Province Governor Kim Kwan-yong, Lee and Gumi Mayor Nam Yoo-chin. / Courtesy of LG Electronics
By Yoon Sung-won
LG Electronics said it will invest 527.2 billion won in expanding its solar power module factory in Gumi, North Gyeongsang Province.
The company said it signed to an agreement with Gumi City and North Gyeongsang Province for the investment, Wednesday. It plans to add six manufacturing facilities to the existing eight by 2018.
“The investment will bolster the company’s presence in the solar power business, which is a new growth engine,” Lee Sang-bong, LG Electronics’ head of business-to-business and energy business centers said. “We pledge to lead the global solar power market by providing super high-efficiency premium products and differentiated value.”
As of now, LG Electronics produces solar power equipment that can generate a total of 1-gigawatts (GW) a year. The company said it plans to increase the annual manufacturing capacity to panels that can produce 1.8GW by 2018.
Since starting research on solar power technology in 1995, LG Electronics produced its first solar power module in 2018, and is currently providing its products to overseas markets in Japan, Europe, Australia and the United States. A solar power module is a small device used to transform solar energy into electricity.
The company has pushed for energy business as one of its next-generation growth engines for the future. The move came as the nation’s solar power industry, which had slowed due to shrinking demand, has recovered recently.
It opened the energy business center dedicated for the new sector in November 2014 and has accelerated the business by combining the solar power, energy storage, lighting and energy management systems sectors.
In line with this drive, LG Electronics has founded solar power module production plants in the city by pouring in about 220 billion won between 2008 and 2010.
The investment is also expected to revitalize local economy in the industrial city. LG Electronics said it expects the investment will create 870 new job opportunities in research and development, sales and manufacturing.