Solar technology manufacturer SunEdison has secured a contract from the National Energy Commission in Chile to supply 570GW hours of clean energy annually.
In order to develop 350MW of utility scale solar photovoltaic power plants throughout the country, the company will invest more than $700m.
SunEdison plans to add the facilities to the call right list of TerraForm Power, which is a global owner and operator of renewable energy power facilities.
Local energy commercialisation firms will buy the generated solar energy from the 350MW utility scale projects under 15-year power purchase agreements.
The solar power firm had secured the provision of 190GW annually during the daytime block, which starts in 2016. It has secured further provision of 380GWh per year during the daytime block, which will enter service in 2017.
SunEdison Europe, Middle East, Africa and Latin America president Jose Perez said: "Without incentives or subsidies of any kind, solar energy is 10%-25% more affordable than imported fossil fuels in Chile.
"This bid represents a portfolio of strategic projects for SunEdison that will help diversify the energy mix of the Chilean grid and will help resolve the country’s energy supply deficit using clean, sustainable renewable energy at competitive electricity prices."
TerraForm Power president and chief executive officer Carlos Domenech said: "As we acquire these power plants over the next several years, we will be adding to our substantial base of facilities with high-quality, long-term power purchase agreements that are not affected by fossil fuel price changes.
"Contracts like these demonstrate the cost advantage that solar and wind generation has established over conventional generation in many markets."