GE makes $600m push into solar energy

General Electric Co kicked off a big push in solar power, unveiling plans to build a new factory that it says will be the largest in the United States and a large round of orders for solar products.

The largest US conglomerate, also a major producer of wind and gas-powered electric turbines, said it would invest some USD 600 million in the push, including the 400-megawatt factory that will employ 400 people in a yet-to-be-chosen location.

GE has focused its solar efforts on thin-film technology, which the company sees as more versatile than traditional silicon-based solar panels.

It said it bought the remaining stake in PrimeStar Solar, a maker of thin-film solar panels in which GE first took a majority stake in in 2008.

The move makes the Fairfield, Connecticut-based company a more formidable competitor to First Solar Inc, the world's biggest stand-alone photovoltaic solar company.

GE Chief Executive Jeff Immelt has said the company views solar as an opportunity similar to wind, a business GE entered about a decade ago and has grown into a multibillion-dollar revenue stream.

Global demand for photovoltaics, which convert sunlight into electricity, is likely to increase by 75 gigawatts over the next five years, GE said in a statement.

GE said the plant will produce enough panels to power 80,000 homes annually.

"Our plan to open a US solar manufacturing facility further demonstrates our confidence in this technology and is just the first phase in a global, multi-gigawatt roadmap," said Victor Abate, vice president of GE's renewable energy business.

GE also announced more than 100 megawatts of new commercial agreements for solar thin-film products.

GE shares were up 2 cents at USD 20.58 in premarket trading on Thursday.