Yingli Green Energy Holding Company Limited announced that it plans to leave behind its solar footprint in Brazil by becoming the carbon neutral sponsor for the ongoing FIFA 2014 World Cup. Yingli Green will supply 400 to 600 kilowatt (KW) of solar power to a project that is slated to be among the largest solar energy installation system in Brazil.
The company is teaming up with FIFA to develop the project which is a part of the official Corporate Social Responsibility project of the 2014 World Cup. The company has been playing its role of offering economically sustainable solar energy solutions to developing countries.
Yingli Green is taking a step forward with the practice and intends to offset all carbon emissions produced from its onsite sponsorship activations in Brazil during the event. The company also obtained carbon emissions reductions certificates for its two biomass-fueled factories in Caatinga region of Alagoas in Brazil in an effort to preserve the country’s rich biodiversity.
Few days back, FIFA divulged its plans to partner with BP Plc’s (BP - Free Report) eco-friendly division, BP Target Neutral, for a portfolio low-carbon projects to be developed in Brazil. The projects encompass different sectors of the country and Yingli Green was chosen to be a part of the program.
Yingli Green has been collaborating with the international sports body to secure solar legacies in the host countries of the FIFA World Cup since 2010. Yingli Green took the mantle of being the first Chinese renewable sponsor in the last World Cup held in South Africa. The company delivered customized solar solutions to 20 “Football for Hope" centers across Africa via the "Football for Hope, Energy for Hope" program.
We believe the extended alliance with FIFA could unlock new doors to other potential solar markets in the future for Yingli Green. However, we expect the U.S. solar producers to march into the field very soon. The country is aggressively expanding its solar capabilities and might prove to a tough rival bidder for sponsorship in future World Cup tournaments.
Meanwhile, with growth opportunities gradually narrowing in the U.S. owing to harsh tariff restrictions and in Europe due to renewable policy uncertainties, Yingli Green has been scoring operations in other emerging Africa, Latin America and Southeast Asia markets. In the first quarter, almost 35% of the company solar photovoltaic shipments were made to countries other than China, America and Europe, up 19% sequentially.
The optimism reflected in these developing markets along with China’s effort to promote its indigenous solar industry are expected to support Yingli Green’s transition to a pure renewable energy solution provider. The Chinese government announced that it will double solar capacity expansion target to 70 gigawatts by 2017 from 2013 levels.
Currently, Yingli Green carries a Zacks Rank #3 (Hold). Other better-ranked solar players include Zacks Ranked #1 (Strong Buy) JA Solar Holding Company Ltd. and Zacks Ranked #2 (Buy) First Solar Inc. (FSLR - Free Report) .