ARENA backs new Sunman Solar factory in Hunter Valley, NSW

The Australian Renewable Energy Agency (ARENA) has announced up to $151 million in conditional funding to support a new large-scale solar module manufacturing facility in the Hunter Valley, New South Wales. The project will be delivered under the Australian Government’s $1 billion Solar Sunshot Program, created to accelerate domestic solar manufacturing and strengthen Australia’s clean energy supply chains.

For us, this is especially exciting news because Sunman is one of our main solar brands. Seeing Sunman’s technology backed at this scale in Australia directly reinforces the systems we already design and supply for our customers.

A new home for Sunman solar manufacturing

The funding will support the Hunter Valley Solar Foundry, an initiative of the Sunman Group, founded by solar pioneer and UNSW alumnus Dr Zhengrong Shi. The facility is planned to deliver around 500 MW per year of solar module manufacturing capacity for both Australian and international markets.

Crucially for our portfolio, the plant will manufacture Sunman’s proprietary eArc modules, ultra-lightweight solar panels that replace traditional glass with durable polymer composites. Compared with conventional modules, eArc panels are up to 70% lighter, easier to transport and faster to install, while still delivering high performance.

• Conventional glass-based modules - The Hunter Valley Solar Foundry is also expected to produce conventional glass-based solar modules for a range of applications.

• Solar innovation hub - The facility will host a solar innovation hub to help commercialise new technologies and accelerate product development.

• Manufacturing foundry model - It will operate as a solar manufacturing foundry, offering production capacity to other manufacturers and strengthening Australia’s overall solar supply chain.

Why this matters to us - and to you

Because Sunman eArc is already a core part of our product range, this announcement brings some clear benefits for our customers.

• Stronger local supply chain: With large-scale Sunman manufacturing based in the Hunter Valley, future eArc supply for Australian projects should become more resilient and less exposed to overseas disruptions.

• Confidence in long-term support: ARENA’s backing under the Solar Sunshot Program is a strong signal that eArc and Sunman’s broader technology platform are here for the long term.

• Pathway to more innovation: The planned innovation hub and foundry model mean new eArc-based products and formats can move from concept to commercial reality more quickly, something we will watch closely as we continue to design systems for a wide range of roofs and applications.

For us, it is also a validation of the direction we have taken, choosing to work with lightweight, high-performance technologies like Sunman eArc that open up solar for structures where traditional glass modules are too heavy or difficult to install.

Jobs, skills and community impact

The Hunter Valley facility is expected to create around 200 construction jobs and approximately 100 ongoing roles once operational. To build long-term capability, the project will partner with an accredited training provider to deliver an advanced manufacturing training program for local workers.

• First Nations recruitment: The project includes a First Nations recruitment strategy to support inclusive workforce participation.

• Scholarships: A scholarship program will support students in renewable-energy related fields.

These measures aim to make sure the benefits of Solar Sunshot flow through to regional communities as well as the broader clean energy industry.

About the Solar Sunshot Program

ARENA is delivering the $1 billion Solar Sunshot Program to help build an advanced solar PV manufacturing sector in Australia. Announced by the Australian Government in March 2024, the program targets innovation and scale across solar modules, key components and deployment systems.

Round 1A

$500 million for solar PV manufacturing innovation focused on modules, inputs and deployment systems, closed.

Round 1B

$50 million for feasibility and engineering studies in solar PV manufacturing, open.

Round 2

$150 million for manufacturing inputs to solar modules and deployment innovation, open.

Source / further reading

This article is based on the Australian Renewable Energy Agency (ARENA) media release “A big boost for domestic solar manufacturing” published on 2 December 2025.