Under the agreement, ZenithSolar will provide the technology for the installation of two 10MW cogeneration plants based on ZenithSolar’s Z20 CHP system.

The agreement is focused on two planned facilities which are to be located in the cities of Jiayuguan and Jinchang and to commence their installation during 2011.

Of the two, one facility will be used to provide electricity and process heat for an industrial plant and the other for a large neighborhood.

Under the terms of the MOU, the Energy Bureau of Gansu will recommend the use of ZenithSolar’s CHP system for other locations in the Gansu Province after the successful operation of the two pilot plants.

The Energy Bureau also announced that in concert with the introduction of the CHP technology, a scientific research center will be established to provide training for government institutions, enterprises and individuals to focus on the development of new solar energy technology.

The Gansu project represents the first large-scale solar collaboration between China and the Israeli company ZenithSolar in the field of CHP solar energy.