Hanwha Solutions, which is fostering the solar power business as a major food for the future, will actively pursue work to transform the energy business structure in the future. In addition to the existing solar cell and module manufacturing-oriented businesses, it is planning to develop a distributed power solution business and a green energy solution business.
On the 18th, Hanwha Solutions announced its mid- to long-term solar power business goals by holding a conference call along with the 4Q 2020 earnings announcement. Above all, Hanwha Q CELLS CEO Kim Hee-cheol came out and actively communicated, including explaining the plan and meaning of the project.
Hanwha Solutions IR data.
CEO Kim, Hee-cheol Kim, is promoting optimization and development of virtual energy power plant (VPP) software to expand product portfolio to smart module and energy storage (ESS) business, and to build DES business. We will be reborn as a total energy solution company through preemptive and active investment in the face of the great turning point.”
Hanwha Solutions has a plan to foster the solar power business by dividing it into three major categories in the mid to long term. Along with the existing photovoltaic module business, it plans to develop a distributed power generation business (DES) and a green energy solution business (GES).
In the question-and-answer after the performance announcement, Hanwha Solutions said, “The share of power generation business (GES) and distributed power generation business (DES) in Q-Cell division is 40% and 20%, respectively, and the remaining module business is estimated at 40%.” Said. The newly fostered business accounts for 60% of total sales in the future.
Hanwha Solutions IR data.
Among these, the distributed power generation project is expected to proceed smoothly. In one year from the start of the business, it has secured 100,000 households in Germany. It aims to grow into a market leader by 2025.
Hanwha Solutions said, “It is a business that supplies power through ESS by installing facilities on the rooftop, and because the cost of transmission and distribution is reduced, customers can receive power at a 70-80% lower price.” He said, “The facility construction is done through partners that have already been established, and we have a network of 1000 installers in Germany alone.”
In particular, Hanwha Solutions aims to advance its business through a virtual power plant (VPP). A virtual power plant is a virtual power plant that has no substance, but acts as a power plant, and is a system that manages and operates small-scale energy generation and fuel cells in an integrated manner using cloud computing technology. It is evaluated as a very important technology to compensate for the disadvantages of new and renewable energy, where the amount of power generation is not constant.
Green energy solution business refers to eco-friendly energy business such as wind power generation. Currently, it is focusing on securing business base in major regions, and plans to increase self-development and purchase in the future. An official at Hanwha Solutions said, “It is just beginning.”
Last year, Hanwha Solutions recorded 3,702,3 trillion won in sales and 1904 billion won in operating profit in the Q-cell division. Sales increased 4.1% year-on-year and operating profit increased 5.2%.