(Yicai) March 19 -- Aiko Solar Energy, one of China’s main suppliers of photovoltaic cells, said it will spend CNY10 billion (USD1.39 billion) building a plant to make high-efficiency solar cells and gradually replace its outdated facilities.

The new plant will have an annual output capacity of 25 gigawatts of N-type tunnel oxide passivated contact solar cells, the Shanghai-based firm announced late yesterday. The factory will be built in Chuzhou, Anhui province.

N-type TOPCon cells are more efficient at converting sunlight into useable energy than conventional solar cells and even passivated emitter and rear contact cells.

The Chuzhou plant will go up in two phases. The first phase, costing CNY6 billion (USD833.5 million), will likely become operational at the end of this year and have a production capacity of 15 GW a year.

N-type cells are rapidly replacing P-type cells, Aiko Solar pointed out, adding that many clients have expressed an urgent need for TOPCon solar cells.

The emergence of high-efficiency N-type cells is forcing suppliers with relatively high production capacity for P-type cells, such as Aiko Solar, to actively push capacity transformation. Last week, it unveiled plans to invest CNY2.7 billion revamping its old 25 GW P-type solar cell factory at its Yiwu base into a TOPCon cell maker. 

Shares of Aiko Solar [SHA: 600732] ended 1.5 percent down at CNY14.95 (USD2.08) apiece today. The Shanghai Composite Index fell 0.7 percent.

Editor: Martin Kadiev