Etrion and SunPower will partner to build two solar power plants totalling 10MW in Puglia, Italy.
Etrion take ownership of the power plants, while SunPower will design, construct and provide operations and maintenance services for the plants.
The two 5MW sites in Brindisi and Mesagne in Puglia will use SunPower Tracker technology and deliver up to 25% more energy than fixed-tilt systems.
Work on the project, being built to produce 17 million kWh of electricity, will begin by the end this month.
The initial electricity sales from the project under the Italian feed-in-tariff regime are expected during the third quarter of 2011.