First Solar wins PG&E supply contract

First Solar Inc. said Tuesday it signed a deal to supply Pacific Gas & Electric Co. with power from a solar facility that will be built in Southern California.

First Solar plans to build the plant in eastern Riverside County near Desert Center. Construction is expected to begin by the end of this year and expected to be complete as early as 2013.

The power plant will use thin-film photovoltaic solar modules. It will have a total capacity of 550 megawatts, which is enough to power about 160,000 homes.

A portion of the power from the plant is already under contract with Southern California Edison. Both deals still need to be approved by the California Public Utilities Commission.

First Solar is based in Tempe, Ariz.

Its shares fell $2.72 to $105.92 in afternoon trading.