Qcells Finalizes Energy Department Loan Guarantee
Qcells has successfully closed on a $1.45 billion loan guarantee from the U.S. Department of Energy (DOE) to support the development of its solar panel manufacturing facility in Cartersville, Georgia. The loan, which was announced on December 19, will play a key role in the facility’s production capabilities. Expected to create 1,650 full-time jobs, the plant will be capable of manufacturing 3.3 gigawatts (GW) of solar panels annually. This output will be enough to power approximately 500,000 homes and cut over five million tons of carbon dioxide emissions each year. While some production has already begun at the Cartersville site, full-scale operations are set to start in 2025.
The Facility’s Scope and Economic Impact
The Cartersville manufacturing plant will focus on producing essential solar components such as ingots, wafers, cells, and finished solar panels. According to the DOE, it will be the largest ingot and wafer plant ever constructed in the United States. The project is projected to generate over $2 billion in sales. Additionally, Qcells stands to benefit from incentives provided under the Inflation Reduction Act, including the Section 45X Advanced Manufacturing Production Tax Credit, which encourages sustainable production of clean energy technologies.
The solar panels produced at the facility will be used for both distributed and utility-scale projects. A notable agreement in January 2024 saw Qcells sign an eight-year, 12 GW solar and engineering contract with Microsoft, which will be fulfilled by panels manufactured at the Cartersville plant.
Expansion of Solar Manufacturing in Georgia
This new facility in Cartersville adds to Qcells’ expanding footprint in Georgia, where its parent company, Hanwha Qcells, has made significant investments. In 2019, Hanwha Qcells USA opened a solar factory in Dalton, Georgia. Since then, the company has increased the facility’s capacity, reaching an annual production of 5.1 GW of solar panels by October 2023. The company’s broader commitment to U.S. solar manufacturing includes nearly $2.8 billion in planned investments, which were initially announced in January 2023. With over 2 GW of projects already completed and more than 10 GW in the development pipeline, Qcells is playing a crucial role in strengthening the domestic clean energy supply chain.
The DOE’s support of Qcells’ Cartersville plant is part of a broader effort by the Biden-Harris administration to accelerate clean energy manufacturing in the U.S. The Department of Energy has attracted over 210 applications for domestic clean energy projects, with more than $324 billion in requested loans and guarantees as of November 2024. Recent DOE projects include a $9.63 billion loan to BlueOval SK for expanding electric vehicle battery manufacturing and a $1.25 billion loan to EVgo for expanding public fast-charging infrastructure.
