The project came to surface immediately after the announcement by Taiwan Semiconductor Manufacturing Co. (TSMC) on June 21 to build a solar-cell plant using CIGS (copper indium gallium selenide) technology at Central Taiwan Science Park. A number of other domestic firms have also decided to establish solar-cell plants at the park, including NexPower Technology Corp., an affiliate of United Microelectronics Corp., and Sunner Solar.

The park administration noted that the park will become a major solar-cell production base, boasting a complete supply chain, as at least 20 solar-cell and related plants will be set up in the park in the next five years, involving over NT$150 billion of investment.

The AUO solar-cell plant is scheduled to break ground by the end of next year and is part of the company's 20-year plan of investment in the park, which calls for capital outlay of NT$400 billion, mainly for next-generation FPD and solar cell.

Presently, the company already has a small-scale solar-cell plant at the Erlin base, with a capacity reaching 50 MW, which will be expanded to 100 MW by the end of the year. The company has targeted to have green products, including solar cell and LED (light emitting diode) products, account for 10% of its revenue, which tops NT$400-500 billion now, in three years. The figure compares with the NT$15 billion revenue of Motech Industries, Taiwan's leading solar-cell maker, at present.