centrotherm has been selected as the provider for the engineering and technology concept for a large-scale polysilicon project in Saudi Arabia by IDEA Polysilicon Company.

The factory will have an annual capacity of 10,000 tonnes and will be situated in the Saudi Arabian city of Yanbu.

Marwan Al Ghurair, CEO of IDEA Polysilicon Company, said, ‘We are delighted to have been able to attract a renowned partner such as centrotherm with such expertise along the solar value chain for our basic engineering and technology concept.’

The company said the Middle Eastern region is an interesting potential growth market for it, as it is focused on internationalisation with 90 per cent of its turnover outside of Germany.

‘There is tremendous potential for solar energy in Saudi Arabia and the other states of the MENA region, which enjoy a lot of sunshine, as solar power is extremely cost effective compared with other energy sources,’ said Robert Hartung, CEO and management board chairman of centrotherm photovoltaics.

Copyright © 2012 NewNet

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A Middle Eastern investment firm will reportedly look to source Chinese fuel cell and water treatment deals over the coming months.

According to a report in the China Daily said Masdar Capital, the investment vehicle owned by Abu Dhabi, is seeking investment opportunities for its $520m Masdar Clean Tech Fund.

Parent firm Masdar has been very active of late in the renewable energy space and earlier this year signed a one-year research agreement with German electronics giant Siemens to accelerate the use of photovoltaic panels in the Middle East, as well as a deal with the Development Bank of Japan to invest in solar and wind projects.

In July 2011, Masdar Capital head of investments Alex O’Cinneide told NewNet that it was now evaluating potential companies to commit capital from its second fund and wanted to give a particular focus to Asia.

Copyright © 2012 NewNet

US utility FirstEnergy will close three coal-fired power plants in West Virginia due to the recently finalised US Environmental Protection Agency Mercury and Air Toxics Standards (MATS).

The facilities have a combined capacity of 660MW and represent around three per cent of the company’s generating portfolio. They will be retired before 1 September this year.

James Haney, president of West Virginia Operations for FirstEnergy, said, ‘The high cost to implement MATS and other environmental rules is the reason these Mon Power plants are being retired.’

Copyright © 2012 NewNet

An investment firm has been launched to source cleantech deals and facilitate access to the Middle Eastern markets.

Adenium Energy Capital, an investment company dedicated to the clean energy markets launched a new vehicle, Adenium Ventures to act as a partner for businesses looking to tap into the potential of the Middle East and North Africa (MENA) region.

Adenium Energy Capital is backed by four major corporations and business development manager Karim Kuzbari told NewNet the profile of these firms can help when getting deals done.

‘When we meet people in Europe and the US they often have previously worked with our investors and shareholders. We mention the names behind us and they are impressed and are comfortable with that.’

The new venture, he said, would sit alongside the firm’s existing project development and acquisition business.

He said the venture-focused arm would source deals from around the world and both invest in them and act as an agency and introducer to Middle East’s fast-growing cleantech sector.

Kuzbari said the firm was already in talks with a smart grid business in Greece and was open to opportunities from around the world. The focus will then be on further commercialising the products and originating new business opportunities.

Adenium Energy’s Chairman, Safwan Kuzbari said, ‘Adenium Ventures represents a natural addition to our existing investment activities, by leveraging on our strong presence in the MENA region, Adenium Ventures will become a key business accelerator for clean tech companies wishing to expand their footprint in one of the fastest energy markets globally.’

Copyright © 2012 NewNet

Utility-scale commercial renewable projects are providing lower internal rates of return (IRR) than smaller developments, according to one European cleantech investor.

SUSI Partners is a Swiss-based investment house focused on renewable energy and energy efficiency projects. Speaking at a NewNet event this week, CEO Tobias Reichmuth said the company is now pouring its efforts into sourcing smaller renewable projects, less than 25MW for wind and 15MW for solar, to generate returns of ten per cent or more.

It currently has €210m invested in wind energy and €80m in solar, and Reichmuth explained that macro factors have driven the decision to go for smaller systems.

Reichmuth said, ‘Somewhere in 2011, large projects began to have lower IRRs than small projects, and this is counterintuitive as you would expect the bigger the project the better you can negotiate the price for the modules or wind turbines, which in fact is true. The problem is on the buying side and after Fukushima there was much more demand for large projects.’

However other investors have disputed this, arguing to NewNet that ten per cent is an easily achievable return for large-scale renewable generation projects and that they seek IRR in the region of 15 to 20 per cent.

The decision of Switzerland and Germany to move away from nuclear power has driven the heightened demand for large-scale renewable generation. This has allowed project developers to increase the price they charge for the acquisition of an asset, Reichmuth claims.

Reichmuth said, ‘The bigger a plant gets the more interesting it is for a utility and these companies want kW hours and don’t want to lose money, but they are not hoping for IRRs of ten per cent – if they get five per cent out of a big wind park it is fantastic. This means if you are a developer with a 100MW wind farm you are not selling to a fund that is looking for a ten per cent IRR, you are selling to a utility.

‘That for us is quite an important thing because we want to keep below the radar, we don’t want to be in competition with a utility because we wouldn’t have the results we want to achieve for our investors, so we focus on assets that are not interesting for a utility.’

The strategy at SUSI is now to look for smaller developments that can be bundled into a portfolio and then sold on to power companies after several years of operation. Through this strategy it still consistently generates IRR of ten per cent or more, it just takes slightly longer to get there, he said.

Copyright © 2012 NewNet

A taskforce comprising of Marine Scotland, The Crown Estate, environmental regulators and renewable energy developers has published a blueprint to streamline the construction of offshore generation systems.

The group recommended several measures to speed up the scoping, planning and consenting of offshore renewable developments.

It suggested creating a national database of survey data, with contributions from the Department of Energy and Climate Change (DECC), The Crown Estate and project managers. The idea for the tool is that it would reduce duplication and minimise the cost and time spent on the planning stage.

The taskforce said that common standards need to be introduced for data collection and assessment to ensure developers can use methodologies consistently.

It said there needs to be multi-lateral consultation with other sea users such as fisheries and commercial ships at the earliest opportunity and before applications are made.

The group also recommended increasing resources in Marine Scotland to provide more environemental specialists for efficient scoping and applications, as well as prioritising early work to identify potential sites for new test facilities.

Alex Salmond, First Minister for Scotland, said, ‘The Scottish government and our agencies are determined to build a strong, sustainable and world-leading offshore renewables industry, bringing jobs and investment to communities around the country. An increasing number of major overseas firms are already joining leading Scottish companies to invest in the development of wind, wave and tidal in Scotland. As we move towards our 2020 target of ensuring renewables contribute at least 100 per cent of Scotland’s own electricity demand, it is important that the scoping, planning, development and deployment of offshore wind, wave and tidal generation is done as effectively and efficiently as possible.’

He added, ‘By ensuring that government, developers and others get things right at the strategic planning and earliest licensing stages we can cut the time and resource spent on inappropriate developments and allow a greater focus on those areas with the best opportunities to harness resources sustainably. In that way, we will reduce our reliance on other forms of fossil fuel-generated power and help tackle damaging climate change.’

Jenny Hogan, director of policy at Scottish Renewables, added, ‘With more than 11GW of offshore wind, wave and tidal energy projects in the pipeline by 2020, a streamlined and efficient process for securing planning consent is crucial to making these plans a reality, and creating a lynchpin for Scotland’s next industrial revolution. This report’s recommendations will build upon the concerted effort made by industry, government and regulators to move these projects closer to deployment, and ultimately deliver clean, safe and electricity from around our shores to homes and businesses across Scotland.’

Copyright © 2012 NewNet

European photovoltaic (PV) manufacturing can survive in the face of competition from Asia because of its higher technical quality, according to the vice president of SolarWorld.

The Germany-headquartered company has led a coalition of companies in the US fighting against alleged Chinese anti-competitive practices. The accusation is currently being examined by the US-based International Trade Commission along with the Department of Commerce.

Vice president Milan Nitzschke spoke to NewNet to explain the issues and strategy going forward.

Nitzschke said, ‘A production base in Europe is superior to one in China in nearly all aspects. For example the technology, highly-qualified employees, elevated environmental and quality standards, as well as lower transport and transaction costs. Our labour costs are less than ten per cent of our production costs. However, Chinese manufacturers are massively subsidised by the government so the solar market is distorted.’

It will be interesting to see what, if any, effect the US case has on the world’s solar market as a whole and in particular the manufacturing of PV panels. Whatever the outcome, it seems unlikely that the price of modules will continue the fast-paced decline experienced in the past year.

Despite the prevalence of PV technology in Europe and to a lesser extent the US, SolarWorld still sees its main opportunity for growth in the more mature markets and has a particular eye on microgeneration and rooftop installations in the short-term.

Nitzschke said, ‘The most developed markets are still Europe and the US. We are also expecting growth in Asian markets and parts of Africa. In populous countries like Germany, solar installations on the roof are the most reasonable renewable installation system because rooftop solar has the advantage of decentralisation.’

Despite the recent revision of the feed-in tariff (FIT) in Germany, SolarWorld still anticipates its home country as being a major centre for business development, expecting the already high penetration of rooftop arrays expected to increase.

Nitzschke said that sentiment in the country towards the technology both from the public and government remains a key driver for the technology.

Nitzschke said, ‘According to German law the FITs must be regulated for prospective solar installations after the record high installation level in 2011. This system makes sense and the solar sector has to adjust to these decisions. In general, the political and public climate for the use of solar energy is positive. For the first time, the FITs for solar energy in Germany will be less than the price households have to pay for their electricity from the power outlet or socket outlet.’

Copyright © 2012 NewNet

A major India-based finance house is reportedly planning to double its investment into renewable energy projects over the next year.

Power Finance Corporation, which is India’s largest state lender to power generators, said it has recognised that investment into coal plants has become riskier and as such plans to move into the renewables space.

According to a report in Bloomberg, loans issued by the group to the wind and solar sector will increase to $305m.

Investments in the solar sector have shot up rapidly across India, spurred on by the country’s National Solar Mission policy.

In an interview with Bloomberg, Chairman Satnam Singh said, ‘Given that fossil fuel costs have gone up, investments in wind and solar are surging. We’re not afraid to go at renewable in a big way where lending happens much faster, within six months.’

Copyright © 2012 NewNet

US power conversion specialist Satcon has formed a partnership with China’s Great Wall Computer Company to supply inverters to the Chinese solar market.

The agreement includes a five-year manufacturing agreement, as well as a sales, marketing and distribution relationship. Under terms of the deal, Great Wall has initially agreed to purchase 60MW of Satcon’s PowerGate Plus solutions, expected to be delivered in April.

Steve Rhoades, CEO of Satcon, said, ‘As the worldwide solar market continues to develop, the focus on both inverter performance and costs have intensified. The Great Wall partnership significantly strengthens our company, accelerates our cost reduction efforts and opens up a sizeable opportunity above and beyond our recent success in the China market.’

Zhou Gengshen, CEO of Great Wall, added, ‘Great Wall is highly committed to the promise of solar photovoltaic as a source of clean renewable energy. Satcon is the world’s leading brand in utility-scale solar technologies and this agreement creates a strong, integrated global alliance that will deliver advanced technologies at a cost that makes solar a viable energy source now and for years to come.’

Copyright © 2012 NewNet

Newly-appointed UK Energy Minister Edward Davey has created a new team within the Department of Energy and Climate Change (DECC) dedicated to energy efficiency.

The 50-strong Energy Efficiency Deployment Office (EEDO) will work to support the implementation of the Green Deal, the roll-out of smart meters and the increased use of renewable heat, as well as identifying opportunities to implement energy efficiency measures throughout the UK.

The department will work with leading industry experts and has launched a call for evidence to help underpin the efficiency strategy.

Davey said, ‘I’m hugely enthusiastic about energy efficiency. It’s the cheapest way of cutting carbon – and cutting bills for consumers. It has to be right at the heart of what we do. EEDO will be a centre of expertise, challenging our work and making energy efficiency real and relevant to people’s everyday lives. Two out of three consumers think their home is wasting energy, but only one in three is going to do anything about it. That has to change. We need to get out there and show people what energy efficiency can really do for them.’

He added, ‘The Green Deal will play a huge part in this work and will also support jobs in the insulation and construction industries – as many as 65,000 right across the country by 2015. It can help us deliver a fairer, greener economy. And help us get young people back into work – or into work for the first time. The UK has some of the most inefficient housing stock in the EU. But getting this right means as a nation we make energy savings over the next decade equivalent to two nuclear power stations while making everyone’s homes warmer and cheaper to run.’

Speaking at a NewNet event yesterday, Energy Minister Greg Barker unveiled a proposed bill that would monetise energy efficiency technology in the same way thefeed-in tariff supports renewable generation.

Copyright © 2012 NewNet

Roger Stroud, executive chairman of Australian biofuel developer Algae.Tec has been appointed as a member of the advisory board for the Fuels and Energy Technology Institute at Curtin University in Perth.

The centre was formally launched last week by Australia’s Minister for Resources and Energy Martin Ferguson.

Ferguson said, ‘Advanced biofuels have a wide range of applications, in everything from aviation and shipping to electricity generation. Australia is well placed to capitalise on the opportunities on offer and facilities like these at Curtin University will help us do that.’

Stroud added, ‘This institute has demonstrated that biofuels have government and private investment support, which is critical for driving research through to commercialisation in this fast growing sector.’

Copyright © 2012 NewNet

Hawaii-based solar company the Hoku Corporation has secured an extension of the maturity date on two loans worth $50m provided by China’s Tianwei New Energy Holdings.

Tianwei had granted two loans to the US company in the first calendar quarter of 2010 through the China Construction Bank, which acted as loan agent. The term of each loan was two years.

With approval from the Chinese State Administration of Foreign Exchange, the maturity date of the loans has been extended by one year to the first calendar quarter of 2013. Tianwei and the China Construction Bank have permission to expand this for another year after 2013.

Scott Paul, CEO of the Hoku Corporation, said, ‘The extension of the loans reaffirms Tianwei’s continuing commitment to Hoku’s long-term success. Although the extension does not provide Hoku with any additional cash, it does allow us to better manage our liquidity, as we would otherwise be obligated to pay $50m to Tianwei this quarter. As we source additional funds, our first priority is to pay our polysilicon plant vendors, and to continue with plant commissioning activities.’

Copyright © 2012 NewNet

A new fund launched in the UK aims to offer both investment and access to the industry for cleantech innovators.

The Energy Innovation Centre has established a £29.2m link to electrical distribution companies in order to advance now services and technologies are transported, monitored and stored.

The funding available originates from Ofgem’s Innovation Funding Incentive Scheme and the £500m Low Carbon Networks Fund.

Denise Massey, director at the Energy Innovation Centre, said it will commit capital to a technology innovator that has a product developed from a prototype stage to one that is on the brink of commercialisation.

She said, ‘We shy away from the blue-skies thinking end but can take something right from concept to a product about to hit the market. We offer a single point of access to the industry and are open to SMEs, university spin-outs or established businesses that are undertaking knowledge-transfer in this space.’

She added, ‘We look at the technology and see where it might fit. We then take it to the industry, gauge their level of industry and get a trial out there. The £29.2m is industry money.’

Investments will be selected by five of the UK’s major electricity distribution companies including Electricity North West, Northern Power Grid, ScottishPower Energy Networks, Scottish and Southern Energy and UK Power Networks. But Massey said the centre was not closed off to opportunities.

‘The industry has input right from the beginning. We are happy to take on as many industry partners as possible and the more we have, the better it is for the innovators as it opens more doors for them.’

The UK power industries operate power networks that have a replacement value of £150bn and invest £1.5bn each year on maintaining their cable network.

Mark Mathieson, managing director of networks at Scottish and Southern Energy, said, ‘The low carbon agenda will change the way we buy and procure energy from the model we’re used to. Not a lot has changed since the 1930s but we as we move towards the likes of wind generation, electric cars, photovoltaic systems we’re looking at a more intermittent and complex mix of energy generation and use.

‘The flows of energy will be completely different to what we’re used to and we need to manage the new constraints. Fault detection and resolution will also become increasingly complex.’

Copyright © 2012 NewNet

US car rental giant Hertz has unveiled a programme called Living Journey designed to make the company more sustainable and reduce its environmental impact.

The initiative includes a commitment to offering customers rental options that are fuel efficient and utilise low-emission technology such as electric vehicles (EV) and hybrids.

It will look to make efficiency improvements, manage resources better and develop renewable energy facilities. Hertz also plans to make an impact on the communities it serves through philanthropic and volunteer efforts.

The company said that through existing efforts it has recycled more than 50,000 computer units since 2005, 680,000 gallons of used oil last year and has reduced paper use by 2.8 million pounds since 2006.

Mark Frissora, chairman and CEO of Hertz, said, ‘Sustainability has always been part of the culture at Hertz. In 2011, we made tremendous progress on Hertz’s industry-leading solar generation and [EV] initiatives in addition to ongoing efforts to operate in an environmentally responsible manner at our corporate offices and rental facilities. As a continuation of our success, we are excited to introduce Living Journey which encompasses all of our efforts as an organisation through partnerships, employee education and investments to reduce our impact on the environment, provide customer value, and manage our business sustainably.’

Last August, Hertz announced it would make an EV offering to customers in China.

Copyright © 2012 NewNet

US solar company Bella Energy has completed installation of a 1.65MW photovoltaic (PV) array on the roof of the Salt Palace Convention Center in Salt Lake City, Utah.

The system is one of the largest of its kind in the US and the biggest rooftop PV facility in the state of Utah.

Peter Corroon, Mayor of Salt Lake County, said, ‘Salt Lake County is committed to reducing its energy usage through conservation and the use of renewable technology at its facilities. This spring we look forward to producing a significant portion of the Palace Convention Center’s electrical power with this solar array. We are proud to offer our future convention guests clean power from the largest solar rooftop installation in Utah and one of the largest in the country. This project was made possible by an unprecedented private-public partnership and serves as an example of the significant and untapped solar potential in the state of Utah.’

Andrew McKenna, vice president of Bella Energy, added, ‘This project took a lot of hard work, but our team assembled a package backed by the highest efficiency and most reliable inverters by Solectria Renewables. Bella Energy prides itself on providing the highest quality solar equipment and solutions that power some of the large arrays across the US.’

Copyright © 2012 NewNet

Danish wind energy company Vestas recorded revenue of €5.8bn in 2011, significantly below the original forecast of €7bn and less than preliminary figures released in January, causing CFO and deputy CEO Henrik Nørremark to resign.

The company’s EBIT margin also fell short of predictions at just 0.7 per cent, compared to the expected seven per cent. Vestas attributed this to costs being higher than originally anticipated.

Firm and unconditional orders for turbines in the year reached 7,397MW with a value of €7.3bn, which was in line with company expectations. Net working capital amounted to a negative value of €71m, an improvement of €743m.

For 2012, Vestas expects to achieve an EBIT margin of between zero and four per cent, with revenue in the range of €6.5bn to €8bn.

In addition, at a Vestas board meeting discussing the annual report for 2011 the chairmans Bent Erik Carlsen and Torsten Erik Rasmussen, said they will not stand for re-election.

Copyright © 2012 NewNet

A corporate investment group has launched a new, mid-market private equity fund with $500m of committed capital, which will include energy services within its focus.

Bregal Investments has launched the fund Bregal Partners, with the fund’s investment efforts led by Robert Bergmann and Scott Perekslis, who will serve as managing partners.

Based in New York, it will focus on control-oriented investments in North America in energy services alongside the consumer, food and beverage, healthcare sectors.

Bergmann and Perekslis previously worked together at Centre Partners Management for more than 20 years, most recently serving as senior partners.

Louis Brenninkmeijer, co-chairman of Bregal Investments, said, ‘We are delighted to be able to announce today the next step in the evolution of our global private equity investment platform.

‘We are very pleased to be partnering with [Bergmann and Perekslis], who we have known and worked with for more than eight years, and we look forward to their assistance in building another important leg to our business. Our relationship with Centre will continue, and we remain committed to their future success.’

‘The opportunity to create a new fund within a strong global platform in conjunction with a supportive capital partner and a longtime friend and colleague is both compelling and energizing,’ said Perekslis.

Founded in 2002 with offices in New York and London, Bregal is the corporate investment arm of Cofra Holding, a sixth-generation family holding company based in Switzerland. Cofra Holding’s other businesses include C&A, a clothing retail organization, and Redevco, a large real estate enterprise.

Bregal invests directly in equity capital in public and private situations and in private equity funds. Bregal has invested over $5bn since its inception.

Copyright © 2012 NewNet

A US start-up has told NewNet that it will look to secure strategic investment from either the cleantech private equity sector or a corporate partner.

Cyclone Power Technologies, which is in the process of prototyping an ‘external combustion’ transport engine that can run on any bio or traditional fuel type, said it will look to secure a capital injection before undertaking an initial public offering.

Chris Nelson, president of Cyclone Power Technologies, said, ‘We are looking at getting strategic investment this year. We are looking not only to clean energy funds that understand the development cycles and what it takes to bring a new technology to market but also at corporate strategic partners – big household names that can come in, invest money and also integrate our technology into our current product streams.’

He added, ‘We are looking at that and we are potentially looking at a traditional IPO towards the end of the year.’

The company’s principle technology is based on a Rankine Cycle heat regenerative combustion engine.

Copyright © 2012 NewNet

German company SolarWorld has now purchased 95 per cent of shares in Solarparc and will look to integrate the company into the SolarWorld group.

The management board at SolarWorld will propose the acquisition of remaining share capital at the next annual general meeting.

It intends to delist Solarparc and convert it to a limited company as a 100 per cent owned subsidiary of SolarWorld.

Frank Asbeck, CEO of SolarWorld, said, ‘Our objective is to build more turnkey solar parks outside of Germany in lucrative markets such as India and South Africa.’

Copyright © 2012 NewNet

UK cleantech company Eco Environments has partnered with Hugh Baird College in Liverpool to open a renewable energy training facility.

The new centre will be utilised by the college to help train students for the City & Guilds 2399 Solar PV course.

It has been built on top of existing electrician training bays at a height of ten feet, designed to provide students with a realistic taste of the work of solar installers.

In addition, Eco Environment will take on two apprentices from the college and plans to create new jobs in the coming months.

Building the training facility forms part of its Energy4Education initiative, a project that has seen the company work with schools, academies, colleges and universities, to improve understanding of renewable technologies.

Mark Buchanan, commercial director of Eco Environments, said, ‘We have recently moved into a 9,000 square foot head office in Liverpool and the partnership we have forged with Hugh Baird is a further demonstration of our commitment to creating jobs and supporting training in Merseyside.’

Copyright © 2012 NewNet

A UK energy bill to be introduced later this year will monetise energy efficiency in the same way the feed-in tariff (FIT) supports renewable generation, it was revealed by Minister for Energy and Climate Change Greg Barker at a NewNet event.

Barker used a speech to outline how the Department of Energy and Climate Change (DECC) will go beyond the Green Deal to push the energy efficiency agenda through incentive mechanisms, in the same way wind and solar generation have been supported by the FIT.

In addition, the new bill will outline proposed FIT rates for renewable technologies over a number of years, bringing much-coveted certainty to the market, especially the embattled solar sector.

Barker acknowledged the difficulty in putting a financial value on efficiency measures, but argued that if done correctly the UK could lead the world in this blossoming industry.

Barker said, ‘If we the government can get this right, the monetising of energy efficiency, we can create an industry to lead the world.

‘Energy efficiency is the energy agenda for the age of austerity, but it is also the agenda for growth.’

Barker also alluded to the much-anticipated Green Investment Bank, which he said will be enshrined in law by upcoming legislation.

The new bank will target four main areas for investment; the Green Deal, waste-to-energy, industrial energy efficiency and offshore wind.

However Baker was also keen to stress that the government-backed lender will also be used to support the growth and commercialisation of innovative start-up companies in the cleantech space.

Copyright © 2012 NewNet

Chinese wind energy company Ming Yang has won an engineering, procurement and construction (EPC) contract with W. Power and A1 Development to build a 125MW wind farm in Bulgaria.

It is currently working on a 4.5MW pilot project in Somovit, which is set to commence commercial operation in the second half of the year.

Ming Yang is hoping to generate new business in Europe through its relationship with international project developer W. Power.

Chuanwei Zhang, chairman and CEO of Ming Yang, said, ‘This represents a significant milestone of Ming Yang’s overseas market development, marking an important step in extending our footprint in mainstream European markets. Our strategic partnership with W. Power is a strong endorsement of our capabilities and innovative business models for overseas markets, which are designed to provide total EPC solutions by combining equipment, technology, capital and financing support.’

He added, ‘With our robust advantages in cost, technology and total EPC solution capabilities, we believe that we are well-positioned to gain further traction in overseas markets, continue to build and strengthen our presence in other prospective overseas markets including East Europe, South Asia, South Africa and South America.’

Copyright © 2012 NewNet

US residential photovoltaic (PV) specialist Vivint Solar has partnered with Clean Power Finance to offer new financing options for PV customers and to expand into more markets throughout the US.

The partnership will allow Vivint to enlarge its existing financing and maintenance options for homeowners, which include free installation and locking in electricity rates for 25 years.

Tanguy Serra, president of Vivint, said, ‘This partnership supports Vivint’s commitment to provide customers with world-class service. Clean Power Finance’s track record in consumer solar financing is unprecedented and it was important to us that their transparent, non-exclusive model supported our brand and business. Collaborations like this will help fuel Vivint’s continued success in the growing residential solar market.’

Nat Kreamer, CEO of Clean Power Finance, added, ‘Clean Power Finance is committed to expanding the residential solar market by making competitive, white label finance products available to top sales and service providers like Vivint Solar. This partnership will help many more homeowners across the US realise the economic benefits of clean, renewable solar energy.’

Copyright © 2012 NewNet

Assessment of environmental, social and governance (ESG) issues are increasingly becoming an integral part of due diligence, as investors look to mitigate risk across a range of areas.

Jacques Garaïalde, partner at global buy-out firm KKR said, ‘We try to better understand what the environmental footprint of a product is that the company delivers, and what the internal processes are to deliver these products and services. First we check that the companies, factories etc do comply with local legislation, and we take specialised consultation for these themes.

‘We have an internal team able to assess beyond the business processes – what are the potential savings in terms of waste management, waste cost reductions, carbon dioxide emissions?’

The growing profile of ESG themes reflects both a greater engagement with the impact of investment and business, as well as an acknowledgement of a changing marketplace.

Garaïalde said, ‘We take CSR more seriously now than five years ago. The environment has changed, and there are many more risks than there were five years ago.’

On the social side, due diligence could be used to assess whether a company respects local legislation in the various countries in which it operates. Similarly, governance issues could encompass the structure of the company’s board, its approach to risk management and comparisons to best practices.

He said, ‘We identify the potential for improvements, and once we have invested we implement what has been recommended.

’Private companies, for example, very often do not have any risk management…external auditors come in to identify the risks and where we are in terms of risk management.

‘Beyond implementation we have action plans key metrics to measure month after month, year after year, the progress of the company that we have identified.’

Garaïalde added, ‘Our 100-day plans are a list of actions we believe a company should undertake to improve performance – performance being growth, cost management, cash management. Lately we have identified the issues of ESG, as part of this 100-day plan.’

Copyright © 2012 NewNet

New statistics have revealed that UK greenhouse gas emissions covered by the Kyoto protocol were estimated to be 590.4 million tonnes of carbon dioxide (CO2) equivalent in 2010, 3.1 per cent higher than 2009 when the figure was 572.5 million tonnes.

The largest increase came from the residential sector, which was up 15.1 per cent compared to 2009 levels, according to the Department of Energy and Climate Change (DECC).

Emissions from all other sectors were relatively stable.

CO2 accounted for 84 per cent of all UK greenhouse gas emissions in 2010, with net emissions estimated to be 495.8 million tonnes, 3.8 per cent higher than in 2009.

Again the residential sector led the increase, with emissions from households up 15.8 per cent. The energy supply sector also saw a 3.1 per cent increase of CO2 emissions in 2010.

Edward Davey, Climate Change Secretary, said, ‘Emissions were up in 2010 because of the exceptionally cold weather and greater use of fossil fuels. One year won’t knock the UK off meeting its long term emission reduction targets, but it serves to underline the importance of the coalition’s policies for insulating homes to cut bills and emissions and moving to greener alternative forms of energy.’

Copyright © 2012 NewNet

A US-based solar installer has received government funding and is actively seeking building owners interested in installing photovoltaic energy systems.

Bright Power was one of a number of solar installers awarded access to a $30m fund provided by the New York State Energy Research and Development Authority and the state Public Service Commission to fund large-scale solar projects in New York City and the lower Hudson Valley.

It said it is now looking for building owners interested in installing the systems and said each will earn a robust return on investment.

Bright Power was selected to access the funds in January 2012 by a competitive application process. These are part of the RPS Customer-Sited Tier Regional Program, which will offer $150m over the course of five years to encourage large businesses to access incentives for renewable energy.

Copyright © 2012 NewNet

While private equity reporting on environment, social and governance (ESG) issues within investment portfolios is improving, reporting on this area still has some way to go before it can truly be said to influence investment decisions.

According to Maaike van der Schoot, corporate social responsibility officer at fund of funds AlpInvest Partners, responsible investment criteria are increasingly becoming part of due diligence.

‘We understand that the industry is maybe a few years away and it is still a little early to expect extremely high standards. We want to have a sense where GPs stand and we also want to have a good sense if it is a terrible performer [in CSR].’

With some 100 GPs surveyed, the firm is building out its understanding as to the varying approaches of its fund managers, although, van der Schoot said, operational scrutiny is already an active part of the private equity investment process.

‘Private equity in itself is relatively good at assessing risks at the start before they go to due diligence and are very thorough and where issues occur in their portfolios they handle them quite well.’

She pointed to KKR as an example of a firm that has stepped up both its approach and the method in which it reports on these factors. It is here where improvement is most needed, with a pressing need ‘tell the story’. This is not always the case, she said, and this could potentially hinder developments in this area.

‘They don’t report what they are doing, and by recording what you are doing and establishing these processes you can have better bigger benefits from ESG, because you see more and there is a more structured approach.

‘That is hopefully where the industry is going to enhance [its processes], through some sort of reporting framework whereby the industry can show what it is doing and how it is doing it,’ van der Schoot added.

AlpInvest is actively investing in the environmental space and is a backer of renewables investor Climate Change Capital.

Copyright © 2012 NewNet

US photovoltaic (PV) panel manufacturer MiaSole has appointed Richard Hossfeld as vice president of global business development and sales.

Hossfeld has extensive experience working in the solar sector, having served as vice president of business development at both First Solar and Fluidic Energy.

During his time at First Solar, the company entered the market in North America, compiled a 2.2GW pipeline of contracted projects and launched operations in Asia.

John Carrington, CEO of MiaSole, said, ‘MiaSole’s proprietary CIGS technology produces the highest efficiency thin film solar panels in the world at low cost, and we will continue to push the boundaries of what is possible. [Hossfeld’s] experience will be invaluable in driving further growth of our company, as well as enhancing the value proposition we offer our customers. I look forward to working with [Hossfeld] again to open new markets and drive our sales execution.’

Copyright © 2012 NewNet

A US-based solar investor has revealed that it is looking for long-term contract bids for solar renewable energy certificates.

According to a request for proposals logged with the US Department of Energy, Innovative Solar Systems is seeking long-term contract bids for 1,100MWh blocks of North Carolina Solar Renewable Energy Certificates.

The company offers a suite of solar solutions from initial feasibility studies to turnkey installations, and also provides financing for new solar system as well as showing clients how maximum tax credits and incentives can be garnered.

The state’s renewable energy activities have spanned the varying technologies in recent months with a number of utilities issuing request for proposals for solar energy credits.

Among those that have said they are looking for credits is Duke Energy and Progress Energy Carolinas.

Copyright © 2012 NewNet

The US government has issued a request for proposals (RFP) as it seeks to improve its military’s energy management capabilities.

The Department of Defense (DoD) is seeking proposals for demonstrations of energy technologies, including on-site distributed generation.

Through the Environmental Security Technology Certification Program the DoD has launched a formal RFP with funding to be awarded in fiscal year 2013.

Federal organisations, universities and private companies can apply for funding with pre-proposals due in 29 March.

It said it is looking to deploy cost-effective on-site distributed generation and needs integrated energy management technologies. In addition, it is looking for advanced building energy management and control solutions.

The US military is both a major energy consumer and early adopter of green technologies. A recent study found that at four California US Military bases alone more than 7GW of solar power could be deployed.

Copyright © 2012 NewNet

The government of Quebec in Canada is set to give a C$27m ($27m) boost to the province’s first waste-to-energy facility being developed by a joint venture between Enerkem and GreenField Ethanol.

The plant will be located near Montreal in Varennes and will utilise Enerkem technology to convert non-recyclable municipal solid waste into biofuels.

Annual production capacity at the facility will be around 38 million litres.

Vincent Chornet, president and CEO of Enerkem, said, ‘By producing liquid transportation fuel from non-recyclable waste, this facility opens the door to the emergence of a new energy sector and will allow for local sustainable management of our waste materials. Located on the site of Ethanol GreenField’s current plant, this project will represent one of the first integrations between an existing, first generation ethanol plant and a new cellulosic ethanol plant.’

Jean Roberge, general manager of GreenField Ethanol Québec, added, ‘The construction of this innovative plant on our current site marks the beginning of our transition to an integrated biorefinery in Varennes. We are pleased to partner with Enerkem and integrate their technology to build Quebec’s first full-scale commercial cellulosic ethanol plant. The use of waste materials, that is made possible with Enerkem’s technology, complements GreenField Ethanol [research and development] efforts with other types of biomass.’

Copyright © 2012 NewNet

Operation at the Bison 1B site marks the end of the first of three phases in the development, which will eventually have a capacity of 292MW. Bison 1A was completed one year ago.

The 15 turbines utilised on this stage were supplied by German electronics giant Siemens.

Work on Bison 2 and 3 has already started and is set to be completed by the end of this year.

Copyright © 2012 NewNet

Global cleantech developer Intelligent Energy has formed a joint venture with Japanese car giant Suzuki to develop and produce air-cooled fuel cell systems for a range of industrial sectors.

Through this agreement, Suzuki will have a non-exclusive license agreement allowing it utilise Intelligent’s fuel cell technology in its vehicles.

The new venture will be called the Smile FC System Corporation, each company will hold a 50 per cent stake.

It will be led by Osamu Honda, executive vice president and representative director for Suzuki, who will assume the role of president of Smile.

It will be initially headquartered just south of Tokyo in Yokohama.

Honda said, ‘Suzuki Motor Corporation has been developing fuel cell vehicles with Intelligent Energy since 2006, and this successful relationship has led to the formation of Smile FC System Corporation. I believe that we can accelerate the commercialisation of fuel cell vehicles through this joint venture with Intelligent Energy.’

Henri Winand, chief executive of Intelligent Energy, added, ‘Combining Intelligent Energy’s market-leading fuel cell system technology with Suzuki’s mass production capabilities and supply chain excellence will accelerate the deployment, long term scalability and applicability of fuel cells for the next generation of eco cars, and other market segments. This non-exclusive agreement with the Suzuki Motor Corporation also provides further validation of our ‘design once, deploy many times’ proprietary technology and mutually beneficial partnering business model.’

Copyright © 2012 NewNet

The majority of assets owned by bankrupt US energy storage developer Beacon Power have been acquired by private equity firm Rockland Capital, for a combination of cash and a promissory note totalling $30.5m.

In addition, Rockland will provide further guarantees and funding obligations to the US Department of Energy (a substantial backer of Beacon) worth $6.6m. Rockland will obtain the company’s 20MW flywheel energy storage plant in Stephentown, New York, as well as other assets including intellectually property of the bankrupt organisation.

Rockland has indicated that it intends to provide the necessary equity capital to develop a second 20MW flywheel regulation plant in Pennsylvania.

Scott Harlan, managing partner for Rockland Capital, said, ‘We were attracted to Beacon Power because of its effective fast-response, grid-connected energy storage technology and its successful experience applying this technology as a frequency regulation resource in Stephentown. With the implementation later this year of FERC-mandated pay-for-performance compensation for balancing services provided to the grid, both the Stephentown plant and the one we plan to build in Pennsylvania will realise much improved revenue. We’re pleased to make it possible for this company and its talented team to continue to innovate and grow, and to provide a runway to facilitate a path to commercial success.’

Bill Capp, president and CEO of Beacon, added, ‘Rockland Capital is a well-capitalised company that has an excellent track record of successfully identifying undervalued electric power generating assets and applying its knowledge of the business and the capital necessary to develop the full potential of those assets. They recognised early on that Beacon was one such opportunity and our relationship has been positive and productive throughout their evaluation process. We’re grateful for their commitment to support Beacon and we look forward to working together and achieving our commercial objectives.’

Copyright © 2012 NewNet

European photovoltaic (PV) manufacturers must specialise their offerings if they are to withstand competition from Asia, according to an expert at one German solar producer.

Makers of PV panels in Europe and the US are finding themselves squeezed out of the market by cheaper modules from Asia, combined with falling demand in some of the traditionally biggest solar markets such as Germany and Spain.

One company that has had problems is Germany’s Solon, which was forced into a financial restructuring last year following insolvency issues. It has decided to focus efforts on a more specialised offer and, earlier this year, partnered with roof-manufacturer Bauder to produce an integrated PV roofing solution.

Michael Wittner, director of the newly-formed industrial and rooftop segment at Solon, spoke to NewNet to explain the company strategy for developing the rooftop market.

Wittner said, ‘We have tried in the past to offer our modules for the rooftop sector and found that they are too expensive, so we developed an integrated system together with Bauder for the flat-roof market. The roofing material manufacturers are really interested in systems that don’t hurt their material, if you put an aluminium sub-structure on a tile roof, you will cut the roof in five or six years; you will destroy it.

‘Bauder was the perfect partner for us because they have a really big sales power in Germany, a market share of round 50 per cent and a big sales team.’

Solon felt that only by offering a customised solution that addresses a particular need could they survive as a manufacturer of PV. The idea behind the Bauder deal is not that it will undercut competitors, but that it will produce a high-quality product for the industrial rooftop market that will last.

For Europe’s surviving PV producers, finding a specific need could help them survive in the increasingly competitive and crowded solar marketplace.

Wittner said, ‘We can survive in some niche markets. Solon is concentrating on markets such as solutions for industrial rooftops. It will be really, really difficult to stay in competition with standard production models. A market where the customer wants high-quality and is able to pay a high-price will be ok. But in the standard market if they want to buy a cheap module with a 25-year guarantee they can buy an Asian module. It will be very hard for the next year for companies if they only focus on standard modules.’

To target the rooftop market, Solon has subsidiaries and personnel all over the world. But interestingly the company feels the European market is big enough to provide early growth for the Wittner’s new business unit. The partnership with Bauder maybe the catalyst it needs to save at least some PV manufacturing in Europe.

Copyright © 2012 NewNet

The consumer revolution that has driven demand for locally-grown foods could pave the way for alternative transportation fuels if the right technology was in place, according to one expert.

US start-up Cyclone Power Technologies is in the process of prototyping an ‘external combustion’ transport engine that can run on any bio or traditional fuel type. The idea is this solution will usher in the mass deployment of alternative fuels, without the need for huge infrastructure changes.

President of the company Chris Nelson spoke to NewNet to explain the companty strategy to take on the automotive world.

Nelson said, ‘There is a huge movement in the US right now going towards organic, local-grown foods, you even have Wallmart buying foods from local farms, it has become a big thing. Could you imagine if locally-grown biofuels became as big of a sensation?

‘If you can process a biofuel locally, use it locally and not have to ship to a central refinery you would not have the cost of refinement or the cost of transportation there and back. Then biofuels could become very competitive, more so than traditional fossil fuels.’

Even if the desire was there this would not be possible without overcoming significant infrastructural hurdles, the main one being the vehicles themselves and how they run.

Nelson said, ‘Right now it seems impossible because of the logistics of biofuel to make it compatible with current engines, but our slogan or logo is ‘one planet, one engine’. Having the ability to consume any locally-grown fuel is a great boost not only for our engine but for external combustion technology generally.’

Cyclone Power is still perfecting the technology and is on the look-out for strategic investment from a larger partner in the automotive world, with a view to integrating the engine into an existing product lines.

The shake up in the global car world caused by the recession, combined with the desire from consumers for a cleaner solution, are making this an ideal time for innovators to break some of the dominance the big car-makers hold on the automotive sector.

Nelson said, ‘There will always be hurdles of getting a new technology into the product stream of these large manufacturers and some times the decision of what technology to pursue are less based upon scientific data, and more on politics and money. But there is a huge push towards newer ideas to create efficiencies for the automotive engine and to do so very cleanly.

‘There are more smaller concept cars companies popping up than ever before. The environment is open right now, there is large amounts of capital going to automotive to come up with the next new idea and there are smaller companies that are taking advantage of that and coming up with some really interesting designs.’

Copyright © 2012 NewNet

More than 100 Conservative MPs in the UK have written to the Prime Minister demanding a cut to the level of subsidy the country’s onshore wind industry receives.

In a letter seen by The Sunday Telegraph 101 politicians called for an end to the £400m a year support the sector received.

The move comes just days after UK Energy Secretary Chris Huhne stepped down amid claims that he had perverted the course of justice. Ed Davey, formerly Business Minister, has taken over the roll.

The UK government has ambitious green aims with onshore wind playing a major part.

According to The Telegraph, more than 4,500 new installations are due to be put in place over the coming years.

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Spain’s future renewable energy installations may be decided via an auction process going forward after the government recently decided to put a temporary halt to feed-in tariff support.

According to a report in Bloomberg, would-be developers may have to bid for the right to carry out the project and in turn, receive any financial support that goes in hand with that.

At the beginning of this month, the Spanish government decided to put a stop to the subsidies that the green power sector currently receives. It was initially reported that a halt to the FIT was temporary but the recent report in Bloomberg suggests otherwise.

Spain was one of the early adopters of the FIT model, which resulted in one of the most active renewable energy markets anywhere in the world over recent years.

The move towards a bidding system would shake-up the country’s cleantech efforts and may result in increased local competition.

Copyright © 2012 NewNet

An international research and development organisation has begun its fourth funding cycle and will look to give cash injections to renewable energy or energy efficiency project that are promoting US-Israeli co-operation.

BIRD Energy, which is a joint Israel-US Binational Industrial Research and Development group, said it is now seeking project proposals that have a focus on green energy.

A statement released by BIRD said that to be considered, a project proposal must include research and development cooperation between a company and a university or research institution, which one entity based in the US and another in Israel.

It said the proposal should have significant commercial potential and the outcome should lead to commercialisation.

Included within it focus areas are solar power, alternative fuels, smart grid, wind energy and advanced vehicle technologies.

The funding is for a maximum of $1m per project, with the conditional grant to cover half of all research and development costs.

Eitan Yudilevich, executive director at the BIRD Foundation, previously told NewNet that its funding schemes aim to reduce project risk.

‘The BIRD Foundation focuses on companies as opposed to academic institutional partnerships and tends to focus on later-stage companies, but also invests in many young companies.

‘We provide funding for up to 50 per cent of the total project cost, limited to $1m, and often act as a catalyst for partnerships between clean technology companies in the US and Israel. BIRD Foundation’s portfolio companies typically involve a partnership between a younger Israeli company with a more mature US company that has a footing in the market.’

Copyright © 2012 NewNet

US biofuel and biomass producer Enviva has been contracted by E.ON to supply 240,000 tonnes of wood pellet per year as part of a multi-year contract.

The length of the deal is unspecified and delivery of the pellets will commence at the start of next year. Enviva will supply the biomass from its facilities in the south-east of the US.

John Keppler, chairman and CEO of Enviva, said, ‘Demand for clean, renewable resources like our sustainably produced wood pellets continues to grow as energy generators invest in alternatives to traditional fossil fuels. Our partnership with E.ON reinforces the economic and environmental benefits achievable from renewable biomass resources in energy production.’

Jan Groeneveld, manager of biomass sourcing at E.ON, added, ‘Strong agreements with companies like Enviva that are focused on growing biomass supply and share our views on the importance of promoting sustainability are essential for us to invest in biomass generation. Biomass is one of the lowest-cost renewable solutions available and is a key part of helping us ensure that the lights stay on at a price that is affordable while helping to protect the climate.’

Copyright © 2012 NewNet

The US Department of Agriculture (DOA) has awarded $50m to two programmes designed to encourage the use of biomass and the production of biofuel.

The Repowering Assistance initiative will provide around $25m for refineries that were in operation on or before 18 June 2008. a financial incentive will try to encourage these facilities to use biomass instead of fossil fuels.

A further $25m will be available to make payment to biofuel producers who expect to manufacture eligible advanced biofuels at any time during fiscal 2012.

Tom Vilsack, Agriculture Secretary, said, ‘President Obama has laid out a new era for American energy – an economy fuelled by home-grown and alternative energy sources that will be designed and produced by American workers. These programmes support that vision by helping refineries use renewable biomass as a replacement fuel source for fossil fuels and supporting advanced biofuel producers as they expand production.’

Copyright © 2012 NewNet

A US-based equity mutual fund has been launched to invest in disruptive technologies and has identified cleantech as a key focus area.

Investment management and advisory firm Forward Management has launched the Forward Endurance Fund to invest in both long and short companies in the technology and energy efficiency sectors.

A statement by California-based Forward Management said the strategy of the new fund will be similar to that used in its Forward Endurance limited partnership launched in March 2011.

It said the fund will focus on transformative, global growth opportunities, in what it believes to be ‘winners’ and ‘losers’ across a variety of industry sectors. Currently, these sectors include: technologies across mobile, internet and cloud computing; energy and related areas such as cleantech and energy efficiency; and international emerging markets.

The fund will invest in publicly traded equities around the world, including initial public offerings.

Portfolio manager for the fund is David Readerman who said, ‘Globalisation has dramatically compressed the time period between introduction and mass adoption of new technologies. Moreover, this process of technology adoption appears to be occurring independent of macroeconomic events.’

He added, ‘What’s often overlooked is that this process not only creates enterprise value, but also destroys it, so change is expressed in both long and short investment opportunities.

During the dot-com run-up between 1998 and 2000, most investors missed the opportunity in business models that were superseded by others and simply went away.’

Readerman joined Forward after a seven-year tenure at Marsico Capital Management, where he was a senior investment analyst.

Copyright © 2012 NewNet

A community-cooperative in Yorkshire, North East England, has awarded a JN Bentley a £450,000 contract to build a hydroelectric system on the River Esk.

Local organisation Esk Energy worked with the Co-operative Enterprise Hub to launch a community share issue last year to pay for the new system.

Construction is expected to commence in April, with operation scheduled for the middle of this year. The single-turbine solution is expected to produce around 200,000kWh annually.

Michael Fairclough, Co-operative’s head of community and cooperative investment, said, ‘The co-operative business model gives people a say in how services are delivered and it is a model that is being increasingly adopted. As more and more people rediscover the benefits of self-help and mutual ownership, the co-operative alternative will, without doubt, play an increasing part in fostering future enterprise – contributing to the rebuilding of a more balanced and sustainable UK economy.’

Colin Mather, chair of the Esk Valley Community Energy Group, added, ‘After four years of planning, obtaining permissions and fundraising, the final design stage has now commenced and we’d like to thank all those who have helped us to put the pieces of the jigsaw together and reach this remarkable milestone – our shareholders, The Co-operative Enterprise Hub, North York Moors National Park Authority, North Yorkshire County Council, CO2Sense, Key Fund and, Naturesave are amongst those who have helped to bring this project to life.’

Copyright © 2012 NewNet

A Canadian waste-to-energy specialist has filed a preliminary prospectus to undertake an initial public offering and raise $125m in common stock.

Enerkem, which is based in Montreal, has filed an F-1 document with the US Securities and Exchange Commission in the second alternative fuels company that has revealed its intention to list this year.

Enerkem’s technology uses municipal solid waste, which it expects to receive payment to take, to produce cellulosic ethanol, a second generation biofuel.

It is still in its development phase and as such has not yet generated any revenue from the sale of its products but it did recently secure an $80m loan guarantee from the US Department of Agriculture.

Within its prospectus document, it cites the Renewable Fuel Standards Program – which mandates that 16 billion gallons per year of cellulosic biofuels will be blended into the national transportation fuel supply by 2022 – as a major driver of its business model.

On 19 January, the largest producer of biodiesel in the US, Renewable Energy Group, took to the public markets but only raised $72m, about two thirds of its target.

Copyright © 2012 NewNet

Austrian organisation the Green Building Group has acquired a majority stake in Slovenian prefabricated house manufacturer Lumar.

Under terms of the deal, Lumar’s founding owners will take a stake in the Green Building Group and Lumar will continue to maintain its brand and production facility.

The Green Building Group was established in 2011 with the purchase of the Hanlo Group and HAG, the company aims to consolidate European manufacturers of energy efficient prefabricated houses through acquisitions.

Milan Lukic, co-founder of Lumar, said, ‘The integration of Lumar into Green Building Group is an exciting opportunity to broaden the company’s geographic reach and accelerate its growth with a strong partner.’

Thomas Scriven, member of the Green Building Group’s board of directors, added, ‘The acquisition of Lumar is an important step in our buy-and-build strategy to consolidate environmentally friendly prefabricated housing companies under the umbrella of the Green Building Group. Lumar has an excellent reputation and expands the Green Building Group’s product portfolio.’

Copyright © 2012 NewNet

An investment firm focused on Australia has been launched by a London-based specialist that focuses on the alternative energy and utility sectors.

Ecofin Australia has been inaugurated as a specialist fund manager by parent firm Ecofin and will seek to capitalise on global investment opportunities brought about by the long term mega-trends of energy security, climate change, population growth, urbanisation and water scarcity.

The launch of Ecofin Australia comes after Ecofin completed the purchase of a 51 per cent stake in Change Investment Management, a Sydney-based climate change and environmental sector investment specialist founded by Wade and Ashton in 2009.

A spokesperson told NewNet that the new fund will leverage on this established thematic model and is seeking investment from local institutional investors.

‘The fund has been managed since 2009 but it has now been recalibrated and renamed. It is not starting from scratch – there is money in the bank – but it is seeking investment from institutional investors.’

He said Ecofin would particularly target Australia-based institutions but is also open to investment from Oceania and the Asia Pacific region, as it also has a Hong Kong office.

Ecofin Australia will be managed by directors Lisa Wade and Nicki Ashton.

Bernard Lambilliotte, chief investment officer of Ecofin, said, ‘We are delighted to have completed this strategic equity investment and launched Ecofin Australia. By combining Ecofin’s investment expertise and experience investing in the global utilities, infrastructure, energy and alternative energy sectors with [Wade] and [Ashton’s] specialist thematic approach, we believe we have created a particularly compelling proposition for new and existing investors.

‘This acquisition will further enhance our skill set in exploiting the global opportunities brought about by the long term mega-trends of energy security, climate change, population growth, urbanisation and food and water scarcity.’

In September 2011, AIM-listed Ecofin partnered with private equity investor Origo Partners to launch a $200m investment firm to target China’s cleantech sector.

Copyright © 2012 NewNet

The BC Bioenergy Network, a provincially-funded organisation supporting bioenergy development in British Columbia, Canada, has awarded C$1.5m ($1.5m) to Fraser Richmond Soil and Fibre to establish a waste-to-energy demonstration system.

The project will see the establishment of an ‘energy garden’, harvesting 27,000 tonnes of food and garden organic waste and converting it to renewable energy.

The funding will be split into two parts; C$1m ($1m) will be used towards the commercial demonstration of a high solids anaerobic digestion (HSAD) plant and $500,000 ($501,000) towards acquiring a pilot-scale, mobile HSAD testing unit.

The Canadian government has also invested C$4m ($4m) into this project through its clean energy fund.

Michael Weedon, executive director of the BC Bioenergy Network, said, ‘This first demonstration in British Columbia of the innovative HSAD technology is an all around winner: it solves a waste disposal problem, generates value added clean renewable energy in support of the province’s renewable energy goals, and creates green sector jobs right here in the Lower Mainland. We are very pleased to partner with a committed renewable energy leader like Fraser Richmond Soil and Fibre and Harvest Power, and work with them to demonstrate innovative technologies that hold great promise for application across British Columbia and North America.’

Greg Moore, board chair of the Metro Vancouver, added, ‘About 40 per cent of all the solid waste currently disposed of, from homes and businesses in this region, is made up of organic materials such as food scraps, yard trimmings and soiled paper. That’s a resource that should be recycled as a soil amendment or used to generate energy. If we bury organic materials in landfills, they generate methane, a powerful greenhouse gas.’

Copyright © 2012 NewNet

US alternative fuel company Joule has appointed Anatoly Chubais to its board of directors.

Chubais is currently chairman and CEO of Rusnano, a $10bn Russian-owned fund created to drive commercialisation in the areas of nanotech, biotech and renewable energy.

Prior to this, Chubais has held numerous influential positions in business and government, including Minister of Finance, First Deputy Prime Minister and Presidential Chief-of-Staff under Boris Yeltsin.

William Sims, president and CEO of Joule, said, ‘Renewable energy and job creation are critical goals to many regions outside of the US, and Joule is accordingly planning for global deployment to bring much-needed localisation to fuel and chemical production. [Chubais] joins the board at an ideal time as we advance towards our first phase of commercial production and international expansion in 2012. We look forward to his insight, contributions and assistance in locating Joule facilities in Russia.’

Chubais added, ‘It is an honour to join the board of a company like Joule, whose technology has far-reaching potential to make cost-efficient renewable fuel and chemical production a worldwide reality in the near term. Having closely studied its solar-driven process and system, I am confident that Joule is uniquely positioned to achieve the scale and costs that can finally alleviate global dependence on fossil fuels.’

Copyright © 2012 NewNet

Fred Hochberg, chairman and president of the US Export-Import Bank (Ex-Im) is set to meet with government ministers in Vietnam to discuss $1.5bn of infrastructure projects that include thermal power and renewable energy developments.

This financing would fulfil two memorandum of understandings, signed in 2010 and 2011, between the Ex-Im Bank and local bodies the Vietnam Development Bank and Vietnam’s Ministry of Industry and Trade.

The agreements call for the facilitation of US exports to Vietnam in key sectors such as air transportation, power generation and transmission. There is an additional $500m available for these projects that the Ex-Im Bank hopes to close on in the near future.

Hochberg said, ‘We are here to roll up our sleeves and get these transactions done. Vietnam’s infrastructure continues to develop at a rapid rate, and I want to make certain that high-quality American goods and services are available for these projects.

‘Vietnam is a country of enormous potential, and it is vital that we work together and invest in projects that benefit both of our economies. Significant infrastructure developments are planned throughout Vietnam over the next several years, and I’m here to ensure that American companies invest in those projects, and that we maintain a dynamic and comprehensive partnership.’

Copyright © 2012 NewNet

The US division of E.ON Climate & Renewables (EC&R) has secured $122.2m institutional equity financing from JP Morgan and Wells Fargo in exchange for a partial interest in the recently completed Settlers Trail wind farm.

The 150MW facility is located in Illinois and consists of 94 General Electric turbines.

Verena Volpert, senior vice president of finance for E.ON, said, ‘EC&R constantly looks to determine the most beneficial economic structures best suited for its projects. For this project, teaming with JP Morgan and Wells Fargo made the most sense.’

Steve Trenholm, CEO of EC&R North America, added, ‘Wind farms generate clean, affordable, homegrown electricity, creating jobs, providing an economic shot in the arm to farmers, ranchers, and rural communities across America. JP Morgan and Wells Fargo were natural partners due to their leadership and experience in the tax equity market.’

Copyright © 2012 NewNet

The Chinese government has ordered airlines based in the country not to comply with the European Union’s (EU) charge on carbon emissions.

These airlines had previously said they would not pay the US carbon tax and this has now been made mandatory by the State Council, it was reported n the Financial Times.

The announcement comes one week before Chinese and European leaders are due to meet at a summit and days after Wen Jiabao, China’s Premier, said Beijing would look to provide more financial support to help Europe out of its debt crisis.

The initial impact on Chinese airplanes entering EU countries is unclear.

Copyright © 2012 NewNet

Over the course of 2011, 71 per cent of all new power generating capacity brought online in the European Union came from renewable sources.

According to a report in the Financial Times, figures due to be released by the European Wind Energy Association show that last year a record amount of green power capacity was fitted in the bloc.

The amount of clean power in 2011 rose to 32GW, a jump from 23GW in 2010. This is compared to 3.5GW total renewable energy capacity in 2000.

There is, however, growing opposition to onshore wind farms and moves are underway in the UK to make the application process for these harder to get passed.

Copyright © 2012 NewNet

The decision at the start of the week by the Spanish government to put a temporary freeze on feed-in tariff (FIT) support for renewable energy facilities is an obvious concern for any company developing cleantech systems in the country.

Prompted by the country’s well-documented financial situation, every technology from wind to waste-to-energy will no longer qualify for FIT support, whatever scale it is built on.

Spain was one of the early players in the FIT market and as a result has one of the highest proportions of renewable capacity in the world.

In addition to this, it has developed world-leading cleantech companies that are now engaged in projects all over the world. This international aspect to their business is likely to shield many of them from this latest shock within the Spanish market.

For the stock round-up this week, NewNet examines the effect, if any, that the news has had on Spain’s cleantech players.

Acciona is a Spanish energy company that has been increasingly focusing its attention on the renewable deployment, in particular wind.

It is engaged in building facilities all over the world and last September became the largest wind energy asset owner in Mexico. A month later it commissioned its third wind farm in India and at the end of the year completed its first facility in Poland.

It is currently listed at €63.34, a €3 climb from the start of the week when the FIT freeze was announced. It does not seem to be affected by the government announcement and its current valuation is at the higher end of the scale for the year so far.

Meanwhile, Abengoa has a particular focus on solar energy and recently completed the first stage of a 100MW solar thermal project in central Spain.

Like Acciona, a lot of its business interest is outside Spain. At the end of last year it won a contract to build a solar facility in South Africa and in September 2011 completed India’s first solar thermal plant.

It is listed in Madrid and is currently valued at €16.75, a climb from the start of the week when it was trading at 16.45 a share. Its valuation does not seem to be affected by the news.

Iberdrola is another Spanish energy company that has developed a global renewable presence and has a particular focus on wind. Earlier this year it brought a 102MW wind farm online in Mexico and, at the end of December, moved a regulatory step closer to building a 200MW wind farm in the US.

The company also seems impervious to the news and is currently trading at its highest value of the week.

Copyright © 2012 NewNet

Japanese technology company Sumco has exited the solar market by dissolving two subsidiaries engaged in photovoltaic (PV) manufacturing.

The board of directors decided to close the Sumco Solar Corporation and Minamata Denshi, both of which produce wafers for the PV industry.

It said the decision was reached following a rapid deterioration of the business environment due to excessive supply, which resulted in a significant decline in prices around the start of the second quarter 2012.

The company said it would be difficult to improve the profitability of these businesses due to excesses in the global supply chain.

Copyright © 2012 NewNet

A US city is seeking proposals from qualified investors to install and operate community-owned photovoltaic (PV) solar arrays.

The city of Tacoma in Washington said it is looking for proposals from qualified individuals and organisations to administer potential projects to install a number of PV installations.

The facilities it is looking to deploy renewable energy projects at the Tacoma Solid Waste Landfill, Police Fleet Management Center, the Kandle Park Police Substation and the Norpoint Police station.

Tacoma is a mid-scale port city located on the US positioned on the Puget Sound. In mid-2011, local utility Puget Sound Energy began the construction of the mammoth 343MW Lower Snake River Wind project in south-east Washington’s Garfield County, which is due to be complete in the coming months.

Copyright © 2012 NewNet

This week has been notably active in the cleantech private equity and venture capital space, with a number of start-ups receiving welcome cash injections.

The deals announced over the past few days bucked a trend identified by Ernst & Young this week, which revealed US venture capital investment to be down across 2011 by 4.5 per cent.

Kicking off deals was the Series D financing closed by LED manufacturer Relume Technologies with investment led by Beringea.

The company, which also has smart grid control systems for outdoor lighting applications, also received investment from California-based Western Technology Investment, and other unnamed parties.

Making Relume increasingly attractive is the growth it has witnessed over the past year, which has seen it up sales and launch new products.

Crawford Lipsey, CEO for Relume, said, ‘These funds will allow us to build up our sales and manufacturing infrastructure and further expand our team.’

While energy efficiency proves a private equity favourite in the US on both sides of the Atlantic renewable energy generation-focused businesses and projects are still invoking investor confidence.

Cambridge, UK-based solar and semiconductor technology specialist TeraView has secured $5.5m of financing from a consortium led by New Hill Management and Full Circle Investments, which are both based in the US.

Turquoise International invested on behalf of the UK Low Carbon Innovation Fund (LCIF), based at the University of East Anglia.

Back in the US private equity firm Capital Dynamics invested 5.7MW this week in a 5.7MW project.

The facility is expected to become one of the largest solar energy plants in the New England states and will sell power to three investment-grade rated municipal entities.

Karl Olsoni, managing director in the firm’s clean energy and infrastructure team, said, ‘We are pleased with this latest investment in our clean infrastructure programme. The solar energy project has strong community support and will make a valuable contribution to the production of local energy in Massachusetts.’

In the corporate venture space, BASF Venture Capital has participated in a $27m financing round for green materials company Solidia Technologies.

The firm contributed $5m and the financing round also included US venture firm Kleiner Perkins Caufield and Byers, corporate venture capital firm BP Ventures and Bright Capital, the venture arm of RU-COM Corporation.

Solidia Technologies focuses on sustainable production of a new generation of building and construction materials.

Copyright © 2012 NewNet

There are still significant market opportunities for European solar companies, but looking for the highest feed-in tariff (FIT) should not be a prerequisite to their success, according to one expert.

Incentives for solar energy in Europe have been dropping in recent months with uncertainty in both Germany and Spain, which historically have been two of the region’s largest markets. To survive, solar developers are looking for prospects outside of these increasingly crowded regions.

One such company is Germany’s Gehrlicher Solar, which recently entered the market in Turkey through a joint venture with a local business. Director of project business Dirk Lamottke and manager for Turkey Semru Mustafa spoke to NewNet to explain the strategy.

Mustafa said, ‘What is happening with PV incentive policies in countries like France, Italy and Slovakia is forcing companies in the PV industry to find new markets. We have learnt from the past that we have to look for sustainable markets, so countries that we consider sustainable according to our beliefs.’

Lamottke added, ‘Sustainable markets are not those with a high [FIT] because it is always the same story; the country or region introduces a high [FIT] and all the international investors go there, in the end the [FIT] is shortened and the market dies very early. We see a [FIT] in Turkey that some consider too low, but we think it is really what we need; an acceptable tariff, not one as high as possible.’

The way the Turkish FIT tariff is administered was also a driving decision behind Gehrlicher’s decision to create a presence in the country.

Mustafa said, ‘What is so interesting about the Turkish [FIT] law is that if you include a certain percentage of local content you get a higher rate, that’s what I see also in other emerging markets. There are so many countries in the world where they have sufficient expertise in the steel industry and they could locally produce mounting racks, for example.’

This strategy will obviously be beneficial for the Turkish economy, but Gehrlicher feel policies like these will also help reduce PV costs by creating efficient and localised supply chains.

Aside from the Turkish venture, Gehrlicher already has a global presence and is always on the look-out for other interesting opportunities.

With its high sunshine levels and encouraging government signals South Africa is exciting many in the industry. India, where Gehrlicher already has a subsidiary, is also potentially huge.

But attracting capital to develop projects in emerging markets can be problematic given the current international financial climate.

Mustafa said, ‘A lot of people are talking about Romania where they have a green carbon credit regime, it can become a future market in Europe provided project finance can be obtained. Financing is the bottleneck for Romania at the moment as for other emerging markets.’

Copyright © 2012 NewNet

UK land manager The Crown Estate has appointed Mark Gough as head of sustainability and Claudine Blamey as sustainability manager for its £5bn urban portfolio.

Gough is currently global environment manager at publishers Reed Elsevier and sits on a number of national and international sustainability groups, including the steering committee of the United Nations Water Mandate.

Blamey joins The Crown Estate from her current position as head of sustainability at property company Segro. From 2002 to 2008 she was corporate sustainability director at British Land and prior to this was environment manager at Honda UK.

Gough said, ‘To work for The Crown Estate is an exciting opportunity for me – it is an organisation which has put sustainability at the top of its agenda, setting new standards in a relatively short space of time. I look forward to further cementing this track record.’

Blamey added, ‘I’m delighted to be joining The Crown Estate’s urban team. The diversity of its portfolio, from modern business parks to listed buildings in St James’s, provides a significant sustainability challenge – but one that I’m relishing taking on.’

Copyright © 2012 NewNet

Copyright © Liberal Democrats

Business Minister Ed Davey has been appointed as UK Energy and Climate Change Secretary replacing Chris Huhne who stepped down this morning as it was announced he would face criminal charges.

Liberal Democrat Davey will now oversee DECC and the appointment has been welcomed by Deputy Prime Minister Nick Clegg who said he had shown a ‘lifelong commitment to the environment’.

Earlier today, the Crown Prosecution Service said it would pursue a charge of perverting the course of justice against Huhne for allegedly allowing his former wife to carry speeding points on his behalf.

From 1989 to 1993, Davey worked in the Commons as an economics researcher for the Liberal Democrats, becoming the party’s senior economics adviser.

In 1993 he left Parliament to work for Omega Partners, specialising in consultancy in the postal services sector.

He then became Liberal Democrat MP for Kingston and Surbiton in 1997 and was appointed the party’s economics affairs spokesman in 1997.

He later rose to appointed Shadow Secretary of State for Foreign and Commonwealth Affairs after Nick Clegg was elected party leader in 2007.

Copyright © 2012 NewNet

A US utility that provides power to a southwestern state has launched a request for proposal (RFP) to buy renewable energy certificates equivalent to 150,000MWh.

According to a statement filed with the US Department of Energy, the Public Service Company of New Mexico has issued the RFP for facilities that have been or will be operation between now and 31 December 2013.

The RFP states that the utility will look to buy the credits from one or more operators but the facilities must be located within New Mexico.

Public Service Company of New Mexico is a subsidiary of Albuquerque-based PNM Resources, which has operating revenues of about $970m.

A number of solar and wind installations have now been connected to the state’s grid.

Global renewable energy developer Element Power recently connected a 50MW wind farm to the grid in New Mexico and U NextEra Energy Resources has completed installation of a 5MW concentrated photovoltaic  facility in the state.

Copyright © 2012 NewNet

US photovoltaic company Ascent Solar Technologies has appointed Victor Lee as president and CEO.

Lee is executive director of TFG Radiant, the largest shareholder in Ascent owning a 20 per cent stake. Lee will take on the new role without compensation, focusing on ramping up production, establishing new partnerships and developing sales opportunities, primarily in Asia.

Lee has more than 17 years experience in corporate banking, real estate finance, investment management and corporate advisory services at leading financial institutions.

Lee said, ‘I am excited to take on this new role. When we made our initial investment in Ascent, we were very excited about the revolutionary technology. We continue to see tremendous market opportunities for Ascent’s products and I look forward to personally helping develop those markets and close valuable sales opportunities. TFG Radiant and I are dedicated to the success of Ascent and we are making commitments of time, capital and relationships to hasten that success.’

Amit Kumar, chairman of Ascent, added, ‘We are pleased to see TFG Radiant make a greater commitment to Ascent. [Lee], representing our largest shareholder, has tremendous relationships in Asia that will be valuable to Ascent. As we evaluate the changing dynamics of the solar industry, we have been aware for some time that the greatest market opportunities are in Asia, and this change in leadership enables us to take advantage of these changing market dynamics.’

Copyright © 2012 NewNet

Spanish cleantech company Abengoa has completed installation of a 50MW solar thermal plant in Cordoba, southern Spain.

It developed the Solacor 1 facility in partnership with the JGC Corporation, with commercial operation officially starting on 1 February. The second stage of the project Solarcor 2, which also has a 50MW capacity, is expected to come online shortly.

The systems consist of more than 60,500 mirrors concentrating the suns rays onto two towers that contain 50MW turbines. Abengoa will operate both facilities and will retain a 74 per cent stake in them.

At the end of last year, Abengoa was awarded two contracts to build solar thermal facilities in South Africa with a combined capacity of 150MW.

Copyright © 2012 NewNet

Polish Enterprise Fund VI (PEF VI), a private equity fund managed by Central and Eastern Europe-focused private equity firm Enterprise Investors (EI), has launched an investment vehicle that will handle the construction of wind farms in Poland.

PEF VI is set to invest around €40m of equity in the Polish wind energy industry within the next few years. The vehicle, known as Wento, will work with developers of wind farms to prepare projects for implementation, and then arrange for the farms’ financing and construction.

Wento has recruited a group of experienced managers from the wind energy industry. Their task is to select projects, coordinate due diligence, purchase shares in these projects, arrange bank financing and supervise construction of the wind farms.

The farms will subsequently be sold to strategic or financial investors looking for stable, long-term profits. Wento is currently examining more than a dozen wind farm projects. On three of these, which have a total output of 200MW, it is already in advanced negotiations and is performing due diligence, the firm said.

Michał Rusiecki, a managing partner at Enterprise Investors, said, “We have been analysing the wind energy market in some depth for almost a year. As a result, we strongly believe that Wento has excellent prospects for robust development. In addition to its activities in Poland, Wento may consider entering other CEE markets in the future, especially the Romanian wind energy market, which also appears to be very attractive for investors.”

Wind energy is a young but rapidly growing industry in Poland that will enable renewable energy to increase as a proportion of total energy production, in line with EU regulations.

In October last year PEF VI also injected a further €10m of capital into Romanian supermarket chain Profi Rom Food. The fund bought the chain the previous year for €66m.

Eastern Europe’s wind potential has recently become an investor favourite. Earlier this week, GDF Suez revealed it planned to build facilities in Poland and Romania with a combined capacity of 100MW.

In addition, a €70m wind tender that was originally cancelled due to technical details is due to reopen in Eastern Europe.

Copyright © 2012 NewNet

US

The systems have a combined capacity of 2.1MW and are expected to save the VTA $2.7m over the next 20 years. Other participants in the project were Wells Fargo and Joint Venture Silicon Valley.

Ken Yeager, Santa Clara County Supervisor and VTA Chair, said, ‘VTA will be saving taxpayer money on energy costs while investing in a future that will benefit us all. VTA is already combating global warming through the promotion of mass transit and congestion management. Now, we are reducing greenhouse gases through our operations, too.’

Tom Werner, CEO of SunPower, added, ‘California’s public sector is expected to save $2.5bn from solar investments under the state’s California Solar Initiative programme. SunPower has delivered reliable, high efficiency solar power systems to public agencies across California, and we applaud the VTA’s significant commitment to solar here in the Silicon Valley, which will serve the community by minimising operational costs and helping to achieve environmental goals.’

French energy giant Total recently acquired a controlling stake in SunPower.

Copyright © 2012 NewNet

A fund that will invest in mature technologies across the renewable energy spectrum is now seeking qualified investors as it targets a massive $1bn final close.

The Real Assets Energy Fund has opened its third investment vehicle, according to a statement released by financial advisory firm Vireo Energy, based in the US state of California.

A statement said the fund has been designed to fill a gap in the market for long term investors by committing capital to operating power plants. The focus will be on strategic markets on technologies that are backed by long-term government commitments or power purchase agreements with investment grade utilities.

Luca Concone, general partner, said, ‘Pension funds, insurance companies, large family offices and all other institutional investors have had enough of the volatility of the market and want a fund that delivers high dividends in a very stable manner.

‘Keeping the value of the fund stable while paying out healthy dividends we represent an alternative to treasury bonds or real estate investment. Furthermore we are an ethical, green, environmentally friendly fund because the only assets we buy are renewable energy power plants, reducing harmful emissions around the globe.’

The fund has established a presence in the US and Europe, and plans to close fundraising before the end of 2012. Its initial two funds are managed by the same team and are running 43 renewable energy power plants, having already invested more than $200m.

Copyright © 2012 NewNet

US technology company Honeywell has partnered with energy supplier Hawaiian Electric to investigate how demand response technology can aid the integration of renewable energy onto the electricity grid.

Through a two-year pilot project, the utility will work with commercial and industrial customers to temporarily reduce their electricity requirement. It will conduct a test with fast demand response technology, giving Hawaiian Electric and its customers the ability to reduce demand within ten minutes of a notification of a pending imbalance.

Companies will receive an incentive to participate and when fast response events occur they will receive an additional per kilowatt-hour credit.

Scott Seu, vice president for energy resources Hawaiian Electric, said, ‘Increasing renewable energy requires new and more advanced methods of managing reliability, especially given the variable nature of wind and solar. Our demand response strategy engages our customers in the total solution. This project will lay the groundwork for new programmes to advance a clean energy future for Hawaii.’

Paul Orzeske, president of Honeywell Building Solutions, added, ‘Generating ‘negawatts’ — or reducing demand — is the cheapest and greenest way to meet electricity needs. This project will validate that demand response can deliver negawatts in an accelerated timeframe. Utilities across the globe have ambitious renewable energy goals, and Hawaiian Electric’s groundbreaking work will provide a template for solving the challenge of intermittency.’

Copyright © 2012 NewNet

UK Energy and Climate Change Secretary Chris Huhne has resigned after being charged with perverting the course of justice over allegedly persuading his former wife to take driving points for speeding.

A spokesperson for DECC confirmed to NewNet that Huhne had publicly resigned this morning through a broadcast statement.

A statement by the Crown Prosecution Service (CPS) said, ‘A criminal complaint was made to Essex Police in May 2011, alleging that Ms Pryce had accepted responsibility for a speeding offence committed by Mr Huhne in 2003. That complaint was investigated by Essex Police and a file was passed to the CPS in late July 2011. The CPS advised that further investigations should be made, including obtaining certain material from a national newspaper.’

It added, ‘Those further investigations were made and, in October 2011, an order was made for the newspaper to produce material to the police. The newspaper appealed that order, as it was entitled to do, but subsequently consented to producing the material in question just before the appeal was due to be heard, on 20 January this year.

‘All the available evidence, including the new material, has now been carefully considered by the CPS and we have concluded that there is sufficient evidence to bring criminal charges against Mr Huhne and Ms Pryce for perverting the course of justice.’

The statement also said that Huhne and Pryce now stand charged with criminal offences and have a right to a fair trial.

A statement from executive director of Greenpeace John Sauven said, ‘Chris Huhne will be a tough act to follow, his achievements in getting the Green Bank and stricter legally binding carbon targets are a physical legacy of what he was able to accomplish. He has been a vocal advocate for the green agenda in a government whose green credentials are looking more than a little tarnished.

Huhne became Energy Secretary in 2010 after the General Election to become one of the highest-ranking Liberal Democrats in the Coalition government.

Under his leadership, DECC has made a number of far-reaching achievements in the renewable energy space but the recent solar feed-in tariff (FIT) fiasco has tarnished its standing in the sector.

Second in command Energy Minister Greg Barker has become increasingly prominent in the FIT debates and in the government’s efforts to attract private sector financing to low carbon technologies.

Copyright © 2012 NewNet

Germany-headquartered electronics giant Siemens has been contracted to build a photovoltaic (PV) array at the US Army’s White Sands missile range, as part of a $16.8m energy savings performance contract (ESPC).

The capacity of the system has not yet been revealed, but the Army said it expects the panels to help the facility produce 10.2 per cent of its power from renewable sources by the end of 2012. It will qualify for a federal cash grants in excess of $4.8m, as well as providing the army with 10,000 solar renewable energy credits a year.

The project supports President Barack Obama’s directive for federal agencies to make $2bn worth of energy efficiency upgrades over the next two years utilising ESPCs.

Judy Marks, president and CEO of Siemens Government Technologies, said, ‘This project implements a solar photovoltaic array system that will partially offset White Sands Missile Range’s energy requirements, improve facilities and operations, demonstrate Army engineering and technology capabilities and align with the army’s energy security and NetZero objectives.’

The US Military has been a keen supporter of renewable technologies in recent times. At the end of last year the US Navy made a record biofuel order for from Dynamic Fuels.

Copyright © 2012 NewNet

UK utility Thames Water has completed construction of three photovoltaic (PV) arrays with a combined capacity of 3.7MW at facilities it owns in the south of England.

The project was financed and implemented by the Amsterdam-based Europe Solar Utility (ESU) and Ennoviga Solar. Installing the systems was engineering, procurement and construction contractor B&W Energy.

As work at the sites began before the mid-2011 change in the feed-in tariff the arrays will qualify for the old subsidy of 30.7 pence per kWh. It is set to save the company around £100,000 a year from its electricity bill.

John Gilbert, head of carbon and energy management for Thames Water, said, ‘We snuck in under the wire on this one, keeping alive our goal to become Britain’s biggest on-site producer and industrial user of solar power, and further hedging ourselves from future upward fluctuations in the mainstream, non-renewable energy markets.This means we will spend a little bit less of our customers’ money on energy each year.’

Patrick Charignon, CEO of ESU, added, ‘ESU provided the finance and the project management expertise to progress this project against very tight deadlines and a changing regulatory environment. It is to the credit of all involved that the project has been a success and Thames Water can now benefit from the clean, renewable power it produces. Longer term the UK government’s proposed cuts to the feed-in-tariff have put the future of projects of this scale in doubt. However, utilities may still gain the benefits of solar PV through installations built around long-term power purchase agreements of the type used in this project.’

Copyright © 2012 NewNet

US biotech company OriginOil has signed a strategic agreement with Aquaviridis to implement an algae production roll-out at a facility in Mexicali, north-west Mexico, owned by Aquaviridis.

OriginOil will introduce its technology at the site and use its expertise to help develop growth and harvesting solutions. The Mexicali plant will also serve as a test bed for OriginOil innovations and could serve as a model for the creation of other facilities in the North American Free Trade Agreement region.

Thomas Byrne, president of Aquaviridis, said, ‘After evaluating OriginOil’s portfolio, our technical team felt that OriginOil had some novel, scalable, and potentially game-changing technologies for algae harvesting and growth enhancement. We are excited about the opportunity to work closely with them as a partner during our research and planning stage. Having the right partners and technologies is critical, as our expectation is to have this facility in revenue this year.’

Ken Reynolds, vice president of marketing for OriginOil, added, ‘The Mexicali Valley is a great place to develop an algae industry, given its climate and access to industry research and resources throughout North America. With the US as a neighbouring market for high value exports, Mexico is in an excellent position to take the lead in areas such as research and production of algae for nutritional products, animal feed, and oil for biofuels, which would create long-term regional economic growth and job production.’

Last month, OriginOil partnered with the US Department of Energy’s Idaho National Laboratory to develop a system for the conversion of algae into crude oil.

Copyright © 2012 NewNet

A sustainable fund in South Africa has reportedly attracted investment from major international development banks.

Private equity firm Lereko Investments has raised capital from a number of institutions including the state-owned South African Public Investment Corporation (PIC), German finance institution DEG and the Dutch Development Bank.

Lereko and PIC were not able to confirm the rumours to NewNet but a report in worldstagegroup.com said the Lereko Metier Sustainable Capital Fund will target investments in renewable energy, energy efficiency and the water and waste sectors throughout South and Southern Africa.

It aims to achieve commercial returns through investment in low-carbon technologies and cites the lack of development so far in the renewable energy sector as a critical factor behind it being able to give a value add to its investments.

Lereko Investments was established in late-2004 by three individuals who have all previously held senior office in the public service.

Its investments focus on sectors that are key anchors of the South African economy, and the fund’s activities are likely to work alongside the large-scale renewable energy tenders the government is currently issuing to give a kick-start to the country’s green power activities.

A statement on Lereko’s website said it has previously worked to establish strong relationships with development financing institutions, and it tends to make investments of between ZAR50m ($6.55m) and ZAR500m ($65m).

Copyright © 2012 NewNet

Water companies are starting to wake up to the potential of using smart technology as part of the upgrade process for an ageing infrastructure.

Sensus is a smart technology company looking to help water-based utilities understand the value of these solutions. General manager Jamie Longman told NewNet to explain that it wants to apply the advances being made in the energy sector to water.

Longman said, ‘Part of our proposition is to apply that sort of strategy into the water network and help assist utilities to address their major points of pain around operational efficiency; rising energy costs and leakages within the networks. Communication is at the heart of being able to do that.’

These companies use large amounts of electricity pumping water around the network and leakages add significantly to this already high cost base.

But the conservative water industry is only starting to understand the potential benefits of introducing new technology. A tight regulatory environment also increases caution in the sector, but Longman is starting to see new attitudes emerging in this traditional environment.

Longman said, ‘From a utilities perspective there is a real noticeable change in the mindset of how these companies have been run. Smart meters have been around a very long time and it’s really how they are looking to acquire this within the context of their business. The investment levels are going to improve, but there is still a lot of work to be done in terms of the business case around that and that is really what is going to enable the adoption of smart water networks and products like ours.’

As in the energy sector, finance is crucial and part of Sensus’ work is trying to explain the business case for more intelligent distribution and monitoring technologies. Ultimately it is modern equipment solutions that will be used to tackle old problems.

Longman said, ‘We are working with [water companies] to do technology trials and monetise the investment in technology with communication benefits and how that enables a very powerful data driven model for their business going forward. Issues such as leakage really underpin the case for smart water, the need for accuracy near real-time data and once you start to embrace that you can start to look at pressure management and leakage detection and minimise waste, reduce the pumping costs the production costs associated with those types of expenditures.’

Copyright © 2012 NewNet

California-based solar thermal developer BrightSource Energy has revealed that it has been chosen by Sasol, together with its partner Alstom, to conduct a comprehensive front-end engineering and design (FEED) study for the South Africa market.

The feed study is a critical step in the design and deployment of a solar thermal power plant in the country.

Sasol will then use this information to determine how best to deploy BrightSource’s technology.

Sasol looks forward to the completion of the FEED study by one of the world’s leading concentrated solar power technology providers. South Africa is blessed with an abundance of a natural energy source in the form of sunlight.

‘This CSP project has the potential of significantly expanding Sasol’s new energy portfolio and will in turn contribute to the country’s transition to a low carbon economy,’ said Henri Loubser, managing director of Sasol New Energy.

South Africa’s total energy supplies are projected to more than double over the next 20 years to more than 85GW, including the planned development of 18GW of new renewable energy, according to the integrated resource plan recently adopted by the government.

Copyright © 2012 NewNet

The UK’s micro combined heat and power (CHP) sector is likely to benefit from new, raised tariffs to be unveiled in the coming days by the government.

Speaking at a Westminster Hall debate yesterday, Minister for Energy and Climate Change Greg Barker said that he has seen a lack of progress to date and would be setting a tariff imminently.

He said, ‘I have been frustrated by the lack of progress and the missed deadlines for the introduction of a wide, scalable, consumer-friendly roll-out.’

He added, ‘We are consulting on tariff levels and I will be publishing our proposed levels very shortly – within a matter of days. I will be introducing a new tariff proposal for CHP. Unlike almost all the other technologies, I will be looking to raise the tariff in those proposals.’

A statement released by the government today said that another scheme – aimed at providing financing for low income householders to insulate homes or upgrade heating systems – was also seeing a lack of appetite.

Barker said the government was committed to providing a feed-in tariff for CHP and would reveal details in February.

He added, ‘I can understand the reactions of the industry to investing in innovation, research and development to bring micro-CHP boilers to market, not just as an interesting gadget or as an alternative method of delivery, but as an attractive, price-competitive alternative to taking electricity from the grid or installing a conventional boiler.’

Copyright © 2012 NewNet

Private equity firm Capital Dynamics has invested in a 5.7MW solar energy project in the US.

The project, located in Massachusetts, is expected to be one of the largest solar energy projects in the New England states. It will utilize over 20,000 solar modules from a leading global manufacturer when construction is completed early this summer.

The project will sell power to three investment-grade rated municipal entities under 20-year net metering credit agreements (NMCA). NMCAs provide regular and reliable streams of income, as well as capital protection features, to investors in clean infrastructure projects.

Karl Olsoni, managing director in the firm’s clean energy and infrastructure (CEI) team, said,’“We are pleased with this latest investment in our clean infrastructure program. The solar energy project has strong community support and will make a valuable contribution to the production of local energy in Massachusetts.’

Thomas Kubr, Capital Dynamics’ CEO, added, ‘The investment in this US solar energy project is another stride forward in the successful expansion of our direct infrastructure investment platform and a testament to the CEI team’s expertise in clean energy investing. A project of this size illustrates the rising demand for clean energy and the consequential need for investor capital in clean infrastructure. We are delighted to help meet that need.’

Earlier this year, Capital Dynamics acquired a 64MW portfolio of UK landfill gas assets across England, Scotland and Wales.

Copyright © 2012 NewNet

UK waste-to-energy specialist Bio Group has formed an agreement with Skinner’s Pet Food that will see half a tonne of food waste each week converted into biomethane.

The gas produced will then be pumped straight into the National Grid network and distributed to consumers in Suffolk, South East England.

Robert Marshall, quality assurance and health and safety manager at Skinner’s, said, ‘Although we are always trying to reduce the amount of waste, at the start of a production run a small amount of extruded product is too wet and would not meet our high standards. That’s where Bio Group comes in, following our agreement with [Bensusan] and his team, we see it being used for anaerobic digestion. This not only reduces our costs by around 20 per cent which helps us in continuing to sell a good value, high quality product. It also reduces our carbon footprint, which is a great deal all round.’

Adam Bensusan, commercial manager for the Bio Group, added, ‘We are delighted to be working with such a respected and successful business as Skinner’s to remove their food waste. This is enabling them to meet their environmental responsibilities and reduce their costs.’

Copyright © 2012 NewNet

The International Energy Agency (IEA) has recommended that public-private partnerships (PPP) are the best way to overcome key barriers to the implementation of energy efficiency programmes.

It identified a lack of access to finance as the key challenge and suggested energy users are generally unwilling to invest their own funds into efficiency projects, as other investments are considered higher priority.

Through a study the IEA found that financial institutions are generally reluctant to provide loans for energy efficiency activities due to a lack of knowledge and a perception that they are high-risk.

Thomas Dreessen, vice-chair of the Efficiency Valuation Organization, said, ‘One of the most significant barriers to the global implementation of … proven [energy efficiency] technologies is the lack of commercially-viable financing. The problem is not a lack of funds, but a lack of access to available funds at local financial institutions, caused by ‘disconnect’ between current lending practices and needs of energy efficiency projects.’

Small- to medium-sized enterprises (SMEs) tend to be affected more by this disconnect than larger industrial firms with strong balance sheets. Therefore, the IEA recommends mechanisms that can scale-up lending to SMEs on national and international levels.

However, the IEA found even larger companies are often reluctant to take on additional debt for energy efficiency drives, because of the potential effect on their borrowing capacity for other types of investment.

The IEA identifies three PPP mechanisms that can be used to catalyse private investment in energy efficiency; dedicated credit lines, risk-sharing facilities and energy-saving performance contracts (ESPCs).

Dedicated credit lines can be provided by governments or public partners that incentivise energy efficiency financing through lending at low-interest rates. This allows financial institutions to lend at a higher rate that is still below market norms therefore encouraging energy users to take-up of this type of loan.

This can be combined with technical assistance to increase the capacity for banks to identify investment opportunities and project risks. Examples of the successful implementation of this type of system are the China Energy Efficiency Financing programme and the Thailand Energy Efficiency Evolving Fund.

Risk-sharing facilities can be used to address the perception that energy efficiency initiatives are inherently more risky then other types of investment. The government agency provides a guarantee to the participating financial institution to cover a portion of potential losses.

An example of this type arrangement is the Commercialising Energy Efficiency Finance programme covering six countries in Central and Eastern Europe.

ESPCs have proven to be effective instruments for overcoming financial barriers to energy efficiency in countries with very mature markets such as the US and Europe. Under this model, a commercial service provider designs an energy efficiency improvement project, with its remuneration connected to performance of measures implemented.

Generally the service provider will also organise finance for the project, both taking away risk for the customer and incentivising the service provider to realise significant energy efficiency potential.

The role of the public partner in an ESPC is to create an enabling environment through legislative and regulatory changes and to act as a client for ESPC services.

Copyright © 2012 NewNet

The bright lights of Hollywood and the aging incandescent bulbs that illuminate the UK’s aging commercial building stock may on first glance not have much in common but a fund manager told NewNet that a number of similarities are making its new energy efficiency fund a hot investment.

Ingenious Media, established in 1998 to cash in on the film and entertainment industries, diversified into the renewable energy sector in 2011 and James Axtell, investor director, said there a surprising number of synergies between the two very separate industries.

‘The approach in 1998 was to add value through the investment process to the media industry. Then at the beginning of 2011, we developed a three year strategic plan and identified leisure and clean energy as two new investment areas.

‘We see many similarities between clean energy today and where the media industry was ten years ago. The economic situation was similar and the way the government is pushing forward green investment mirrors the support the media business was receiving ten years ago.’

As its entrance into the green market, Ingenious launched two Enterprise Investment Schemes (EIS) aimed at providing exposure to the country’s sustainable development projects.

For the first it is targeting the UK’s solar market with the second vehicle dedicated to energy efficiency.

Axtell said Ingenious sees a wealth of opportunity in the energy efficiency sector, and has targeted £10m for the Ingenious Energy Efficiency EIS Fund that it will look to close in March.

‘As a springboard to launching into clean energy the experience within the Ingenious team is a very strong platform. We will also use the ingenious balance sheet to source the right assets before the fund’s close,’ he said.

In the solar space, the firm is working with what it describes as ‘one of the biggest’ residential portfolio holders and will invest in operational, grid connected projects. The energy efficiency sector, meanwhile, took a little longer to assess.

‘We spent a long time working out the best way of how to approach this. But, I think we have hit it just right – the government has woken up to its potential but there are very few ways for investors to gain exposure to it. It is an untapped market and an area of investment that isn’t correlated with the public markets.’

The fund will establish five or six EIS companies that will finance the costs of energy efficiency retrofits on commercial buildings. The firm will not take technology risk but will return revenue to investors based on the capital saved by the energy savings.

‘We are bringing third party finance and the expertise of getting deals done,’ Axtell said.

Sustainable Development Capital has been selected as a partner for the fund, which is said to have a ‘pipeline of suitable opportunities’.

Copyright © 2012 NewNet

A number of renewable energy assets in the Philippines are likely to be sold off as part of a privatisation programme being undertaken by the government.

According to a report in local news service bworldonline.com, the Power Sector Assets and Liabilities Management (PSALM) Corp has identified the 140MSW Casecan hydroelectric plant and the sale of part of the Unified Leyte geothermal project as key priorities of its privatisation work.

A statement on PSALM’s website said it is also opening bidding for power installations in Iloilo City and Davao City, each with a capacity in the 32MW range.

In the 1990s, the Philippines suffered from a crippling power crisis that prompted the government to carry out a privatisation and restructuring programme to ensure it had an adequate supply of electricity and enough to power its developing economy.

The country benefits from strong geothermal resources and at the end of 2011 the government indicated that it would look to attract renewable energy project developers to install facilities in off-grid locations.

Copyright © 2012 NewNet

German solar company Conergy has completed three rooftop photovoltaic (PV) installations in France with a combined capacity of 6.1MW.

The systems were implemented with local project partner Soligest and consist of more than 80,000 thin-film modules on 67,000 square metres of roof space.

The largest was a 2.7MW array on the top of a logistics centre in the south-east of the country. There was also a 2.3MW installation in Vaucluse and a 1.1MW project in Maine-et-Loire.

Soligest conducted the building work and will also operate the systems.

Xavier Ansaldi, head of Conergy France, said, ‘This project has been a great success for Conergy France. It is our biggest project so far this year, and once again our expertise and many years of international experience in major free-field projects and rooftop installations has stood us in good stead.’

Arnaud Maillard, sales manager at Soligest, added, ‘We are delighted with the way everything went so smoothly with our partnership with Conergy, especially when you consider the size and complexity of the project. With the benefit of this experience we know that we now have a very strong team for carrying out future rooftop installation projects, both large and small. We can certainly envisage working with Conergy again.’

Copyright © 2012 NewNet

A US solar rooftop developer may be looking to brave the public markets and is reportedly in preparation for a 2012 initial public offering.

SolarCity, whose chairman is PayPal and Tesla founder Elon Musk, is looking to carry out a listing with a valuation that may reach $1.5bn, according to a report in Bloomberg.

The company is based in California and lost a loan guarantee after the Solyndra bankruptcy at the back of 2011.

If SolarCity does reach the $1.5bn mark, Musk’s 25 per cent stake would net him $375m, on top of the 26 per cent holding he has in electric vehicle maker Tesla which Bloomberg said is worth in excess of $650m.

The company is active in a number of states across the US and caters for both residential and commercial properties.

The public markets have been all but closed to the sector as a number of high-profile bankruptcies have shaken investor confidence.

But the first cleantech-related listing has already been filed with the Renewable Energy Group looking to be one of the biggest bioenergy offerings to date and the report indicates a similar filing may take place by SolarCity in a matter of months.

Copyright © 2012 NewNet

A UK investment manager has completed fundraising for an industrial-focused fund, and told NewNet that many of its portfolio companies may have an exposure to the renewables sector.

Clyde Blowers Capital has completed fundraising for its Clyde Blowers Capital Fund III vehicle, with a final closing on £420m, exceeding its initial target size of £350m.

The fundraising process has helped to broaden the core investor group across a wide range of institutional investors, the firm said, including university endowments, pension funds and funds of funds.

It has also diversified the geographical spread of investors, with 62 per cent being funded out of the US and 38 per cent from Europe.

A spokesperson at the firm told NewNet, ‘Renewable energy is not a specific focus of the fund. However, it was set up to invest in industrial businesses and some of these will have an exposure to the renewables sector.’

The firm’s most recent investment was November 2011’s €100m deal for Finnish wind turbine and industrial gear manufacturer Moventas.

The spokesperson said other end-user sectors of the industrial companies it will invest in are likely to include other areas of the power business, water and waste management.

‘We are always looking for opportunities. The fund will be deployed over the next five to six years and we are patiently looking for the right investments.’

Clyde Blowers Capital is an independent industrial investor based in East Kilbride, Glasgow. It has led investments since the early 1990’s into Western headquartered industrial businesses.

Jim McColl, CEO and chairman of Clyde Blowers Capital, said, ‘This is a significant event in the evolution of Clyde Blowers Capital which allows us to continue to focus on investing in European and US based assets that provide mission critical technologies and equipment, have strong aftermarket opportunities and can be developed on a global basis to serve their key end user markets, both emerging and established.

‘Investment funds can take up to three years to reach target size. Our Fund III has done this in only nine months.’

He added, ‘Past private equity models had high reliance on financial engineering, but outside investors are now looking for added value from an operational team. The skill and knowledge we have appeals to these other investors. We have massive operational experience across the engineering sector of the power industry including nuclear, oil and gas and metals and minerals. We understand the economic agenda and how the competition operates.’

Copyright © 2012 NewNet

German solar company Solon has formed a sales cooperation agreement with European roof system manufacturer Paul Bauder.

The arrangement will see the companies offer a photovoltaic (PV) solution for flat roofs sealed with bitumen or plastic. For each development, Solon will oversee planning and design as well as supplying inverters and cables for the installation.

Solon said it plans to form similar agreements with other market players throughout 2012.

Stefan Säuberlich, CEO of Solon, said, ‘About 90 per cent of all industrial flat roofs in Germany are sealed with bitumen or plastic membranes. The Solon SOLfixx was specifically developed for those kinds of roofs. Thanks to our cooperation with the industry leader Bauder, we can tap into an enormous market.’

Solon will hope the agreement boosts sales after several subsidiaries filed for insolvency last year.

Copyright © 2012 NewNet

Finnish bioenergy company UPM is set to construct a €150m biorefinery that utilises wood-derived tall oil in Lappeenranta, south-east Finland.

The plant will be capable of annually producing 100,000 tonnes of biodiesel for the transport sector. The company said this fuel type can reduce emissions in transport by up to 80 per cent when compared to traditional fossil-based alternatives.

Construction at the new facility is will commence later this year with commercial operational expected by 2014.

Jussi Pesonen, president and CEO of UPM, said, ‘The biofuels business has excellent growth potential. The quality of our end product and its environmental characteristics has gained significant interest among a wide range of customers, and the investment is profitable. Lappeenranta is the first step on UPM’s way in becoming a significant producer of advanced second generation biofuels. This is also a focal part in the realisation of our Biofore strategy.’

Copyright © 2012 NewNet

French energy company GDF Suez has announced plans to build two wind farms in Eastern Europe with a combined capacity of 100MW.

The company is set to develop a 48MW project in Romania and a 51MW facility in Poland. The installations will help the company achieve its target of a 50 per cent increase in its installed renewable capacity by 2015 from 2009 levels.

Gérard Mestrallet, chairman and CEO of GDF Suez, said, ‘The development of the group’s wind projects in Romania and Poland demonstrates our desire to improve the diversification of the GDF Suez energy mix and to continue its expansion in promising markets through the best use of the group’s expertise and technical synergies.’

In October last year, GDF contracted German company REpower to supply 23 turbines for two projects in the Burgundy region of France.

Copyright © 2012 NewNet

UK venture capital firm Scottish Equity Partners (SEP) has appointed Tony Robinson to work on its newly created Energy and Environmental Technologies Fund (EET).

Robinson joins SEP from Aberdeen-based energy technology business Gas 2, where he served as finance director. He has also worked with KPMG, as well as a number of SEP-backed companies including oilfield specialist MTEM, which sold for $275m in 2007.

EEF is a £95m secondary fund that has acquired a portfolio of energy investments from Scottish and Southern Energy (SSE). The fund was raised from four institutional investors, led by Lexington Partners. It operates as a partnership between SEP, SSE and the investing financial institutions.

Calum Paterson, managing partner at SEP, said, ‘We are delighted that Tony Robison has joined us. We obviously know him through his involvement in some of our former investments. He brings strong financial and operational skills and significant commercial experience. I am sure he will be an excellent addition to our team and add value to the companies in our portfolio.’

Copyright © 2012 NewNet

US business Joseph Company International is set to launch the world’s first self-chilling beverage can that utilises carbon dioxide (CO2) from the atmosphere.

The company’s West Coast Chill energy drink will have an activation button that it claims can lower the drink’s temperature by 30 degrees in minutes.

The process involves activated carbon from a vegetable source in combination with gas taken from the atmosphere. It does not require energy and eliminates the need for refrigeration.

Mitchell Joseph, CEO of Joseph Company International, said, ‘The Chill Can will revolutionise the beverage industry and the way the consumer perceives a cold drink.’

Copyright © 2012 NewNet

US energy company Atlantic Power has purchased a 51 per cent stake in the 298.45MW Canadian Hills wind farm for around $23m.

The company invested the late-stage development capital into Canadian Hills Wind, owner of the project that is being developed by Apex.

Total project costs are expected to run to $460m and, subject to due diligence, approval from the Atlantic board and other conditions, the company will have the right to acquire the full project equity expected to be worth around $170m.

Construction on the site is set to begin in April with commercial operation forecast for November.

A long-term power purchase agreement is in place for 250.45MW of electricity with an unnamed utility and negotiations are in place for the remaining 48MW.

Copyright © 2012 NewNet

German photovoltaic (PV) component manufacturer Q Cells has agreed in principal to a deal with major bondholders that will restructure its three convertible bonds in a move to stave off bankruptcy.

The company said the agreement includes a €20m cash payment to holders of its convertible bond, due to mature this year. In addition, two bonds due in 2014 and 2015 will be restructured through a debt-to-equity swap, it was reported in Reuters.

Q Cells said the deal will require approval from bondholders, shareholders and relevant authorities and expects the restructuring to take place in the second half of this year.

Copyright © 2012 NewNet

Oil-rich economies are increasingly look to implement clean technologies in order to save dwindling petroleum resources for when demand peaks and prices spike, a fund manager told NewNet.

Daniel Colbert, lead fund partner at Wermuth Asset Management, said nations reaching peak oil levels are quickly recognising the importance of developing and deploying green energy technologies.

Wermuth Asset Management recently launched a fund in conjunction with the Republic of Tatarstan, which committed €100m to the vehicle, in order to move the region away from its oil and gas past towards a low carbon economy.

‘I also have past experience working in the Middle East and in both regions it is about them recognising that they can extract maximum value out of their remaining resources if they elongate the time period over which those resources can be used.

‘Oil prices are only going to go up over time, so if you lengthen the time you can sell your oil, you are going to make more money. By introducing renewable energy, it is possible to do this.’

Colbert told NewNet that it was targeting three specific institutional investor groups to reach its €200m, including traditional limited partners, multinational corporates and development banks.

He said the fact that the region has such as oil-rich legacy adds to the fund’s attraction as it has suffered from environmental issues in the past and now recognises that it can not live off its traditional industries much longer.

‘It is one of the oldest oil regions in Russia and some of the fields are now three-quarters depleted. Tatarstan is looking to get in front of the curve by reinventing its economy and additionally a lot of environmental issues have occurred because of its exploration past. We saw the perfect storm of opportunity.’

He said that while renewable energy will be play a strong role in where the fund allocates, Wermuth is also keen to invest in energy efficiency technologies and further down the value chain in green materials and chemicals.

And, while the focus is on making this fund a success for the coming years, it is a structure Colbert would not be averse to replicating going forward.

‘It is one of my greatest hopes. We are hoping Tatarstan will become a centre of cleantech entrepreneurialism in Russia. I think there is every reason a different region could also be a centre.’

Copyright © 2012 NewNet

The US Securities and Exchange Commission (SEC) has temporarily suspended trading of US clentech company Onyx due to uncertainties around the accuracy and adequacy of publically distributed information.

The order came into effect prior to the market opening on 27 January and is set to last until 9 February.

Today, Onyx made the following statement on the matter, ‘At this time, the company has no knowledge as to any specific grievance of the SEC, nor has it received any subsequent communication from the SEC. The company has engaged Whitley LLP Attorneys at Law as counsel in this matter in order to obtain further information regarding the reasons behind the suspension order.

‘Once the company receives additional information pertaining to the suspension it will be made available on the company’s website. Once the company has obtained the reasons for the SEC’s suspension order, the company may decide to appeal the order so that trading may resume in the company’s securities.’

Copyright © 2012 NewNet

A diversified Norwegian conglomerate is looking to sell its chemicals division, which also operates a major bioenergy facility.

Orkla has hired investment bank UBS to prepare its subsidiary Borregaard to be sold off this year.

The company was unable to confirm these rumours when NewNet went to press but Bloomberg reported that the parent company was either looking to close an outright sale or float the division on the public markets.

Even with the Borregaard division, the company has far reaching business interests that span bioenergy, chemicals and pharmaceuticals.

A statement on the company’s website said it has developed a unique concept for the use of non-GMO wood from sustainable regional forestry as a raw material for a wide range of advanced products. The company can also supply ethanol in bulk from its ice-free port in ships, or by rail and road.

Copyright © 2012 NewNet

US science and engineering company DuPont has formed a strategic agreement with Chinese photovoltaic (PV) manufacturer Suntech to work on increasing the supply of PV materials and technologies to the global solar market.

The partnership will focus on technology advancements, supply chain optimisation and cost reduction, DuPont Tedlar polyvinal fluoride film supply, as well as potential co-marketing strategies. The goal is to both increase the take-up of solar power and the reduction of its cost.

Eric Luo, senior vice president of global supply chain at Suntech, said, ‘We’re partnering with leading [PV] component suppliers around the world as we continue to make solar affordable for everyone, everywhere. With innovative companies like DuPont, the US is a major contributor to the global [PV] supply chain and a net exporter of solar products to China and global markets. Creating higher efficiency solar cells and further extending the long life of solar modules is critical to achieving affordable solar power, and we’ve worked closely and very successfully with DuPont in this regard. We’re taking our collaboration to the next level with this agreement.’

David Miller, president of DuPont Electronics & Technologies, added, ‘DuPont and Suntech have the highest standards for product quality, and sustainability is an important value for each of us. With these shared values, we look forward to bringing our offerings to more consumers as the global industry continues to grow. Global partnerships, such as our work with Suntech, have been central to the solar industry’s growth. Our work together in Masdar is a prime example of the benefits of our collaboration, and of solar energy.’

Copyright © 2012 NewNet

European wind energy company Nordex has been contracted to supply twelve turbines with a combined capacity of 30MW by Spanish power company Eolia Renovables.

The deal includes both delivery and installation of the units for the Barbers project in Tarragona province, north-east Spain. Eolia has already commenced ground work at the location, with Nordex set to implement the first turbine in April and operation planned for the middle of 2012.

Infrastructure specialist the Elecnor Group co-invested in this project with Eolia.

Last month, Nordex sold three wind farms in France with a combined capacity of 35MW to BNP Paribas Clean Energy Partners.

Copyright © 2012 NewNet

German company Gehrlicher Solar has formed a joint venture with Turkish business Merk Solar Enerji to serve photovoltaic (PV) markets in Turkey and neighbouring countries.

The companies will have an equal share in the newly-created venture Gehrlicher Merk Solar Enerji, which will be headquartered in Istanbul.

The new business will be involved in project development, engineering, financing and operation of plants, as well as providing engineering, procurement and construction (EPC) services. There are also plans to establish local partnerships with system integrators in the Mediterranean, south eastern and eastern regions of Turkey.

Murad Baltaci, CEO of Merk Solar parent company the Akfel Group, said, ‘In this joint venture, we will combine Gehrlicher Solar’s 17 years of experience in the planning and construction of solar power plants with Merk Solar’s deep market knowledge and powerful local network. Our goal is to establish a strong presence in Turkey and its neighbouring countries. As an EPC company, we are planning to capture a good share out of the 600MW that are expected to be completed by 2015 in Turkey. Furthermore, we will directly start developing our own projects.’

Klaus Gehrlicher, CEO of Gehrlicher Solar, added, ‘Due to its fast growth and increasing energy demand, Turkey is a highly attractive market for solar power. The Turkish government acted thoughtful and forward-looking when creating a feed-in tariff which allows interesting investments in renewable energies, but which is at the same time very close to the general electricity tariff. These are ideal preconditions for a reasonable and sustainable market growth. We are happy to partner with Merk Solar and look forward to carrying out many successful projects together.’

Copyright © 2012 NewNet

The search is on to find developers of large-scale solar plants in Australia. The government of the Australian Capital Territory (ACT), located within New South Wales, said it is now inviting proposals to be submitted and stressed the emphasis will be on keeping costs low.

The ACT Labor government’s Minister for Environment and Sustainable Development Simon Corbell said the aim is to make Canberra Australia’s solar capital.

‘Companies will be able to submit proposals to establish solar facilities to support the development of up to 40MW of large-scale solar generation capacity,’ Corbell said.

The request for proposal has been facilitated by the Electricity Feed-in Act 2011 – which was enacted at the end of last year – which allows for 40MW of generating capacity to be established in the first auction.

Corbell said, ‘This process will make sure Canberrans get the best value investment in renewable technology, but also see more than one large scale facility being established.’

The government said in a statement that it will shortlist proposals based on those with the best capacity and track record to deliver the projects, before inviting pricing offers.

ACT is the first jurisdiction in Australia to offer a feed-in tariff (FIT) to large scale green power projects.

‘Having a FIT on the table for industry is essential to give the industry investment certainty, that will in turn see Canberra’s plan to become Australia’s solar capital a reality,’ Corbell said.

‘Having large scale solar in the ACT will assist in reducing carbon emissions beyond the national targets and take advantage of the large reductions in the cost of solar energy that has recently occurred in Australia.’

The large scale FIT in ACT was first revealed in December 2011 and at the time Corbell said he hoped the move would encourage more companies to consider the region as a base for their renewable power installations.

Copyright © 2012 NewNet

US venture capital (VC) firms invested $4.9bn into cleantech companies in 2011, a decline of 4.5 per cent compared to the 2010 when the figure was just over $5bn.

This came from a total of 297 financing rounds, slightly down on the 300 made in 2010, according to an Ernst & Young analysis based on Dow Jones VentureSource data.

As well as overall numbers being down, it appeared investors were more cautious in the deals they made as 69 per cent of VC capital went to companies in the revenue-generating stage, compared to 50 per cent in 2010.

California continued to lead cleantech investment with businesses in the state raising $2.8bn, although this was down significantly on the $3.2bn raised in 2010. In the last quarter of 2011, California accounted for 67 per cent of all VC cleantech investments, generating $629.5m through 26 deals.

Throughout the US, investment was highest in companies focused on energy and electricity generation, with $1.5bn raised through a total of 71 rounds, a five per cent decrease compared to 2010. In the last quarter of 2011 financing for solar dominated VC deals by accounting for $284.5m worth of finance, 91 per cent of the generation total for the quarter of $312.9m.

Industry products and services closed the second largest amount of cleantech funding with $1bn of deals completed in the year, down 34 per cent from 2010. In the last quarter, the transportation sector led investment by raising $203.2m out of a total of $256.2m, a 36 per cent increased compared to the last quarter of 2010.

The energy storage segment fared better than most with a huge surge in investment. The number of deals in the year was up 47 per cent and the amount of capital raised increased an enormous 253 per cent to $932.6m when compared with 2010.

Investment in energy efficiency companies fell by 29 per cent to $646.9m, although the sector led in terms of the number of rounds with 78 completed in the year.

There were five initial public offerings (IPO) in the year, up from three in 2010. Biofuel companies led with Solazyme, Gevo and KiOR all launching IPOs in the year. A total of $688.3m was raised through all cleantech IPOs in 2011.

Jay Spencer, Americas cleantech director for Ernst & Young, said, ‘Cleantech is still in the early stages of a long-term journey. We’ve reached a point where new products and services are ready to be launched, and as these products come to market, we’re seeing renewed interest, innovation and opportunity in cleantech. There’s a strong appetite among cleantech companies to go public and we see tremendous opportunity as this industry continues to mature. The growing IPO pipeline shows viable, long-term potential.’

Copyright © 2012 NewNet

A €70m wind tender that was originally cancelled due to technical details is due to reopen in Eastern Europe.

According to a report in Bloomberg, Romanian state-owned utility Electrica will open the bidding process as it looks to secure equipment for two projects.

Before the original tender was cancelled, Sinovel and Vestas both reportedly submitted bids.

A 45MW plant is scheduled to be operational in June but it is unclear where the second installation will be cited.

In a recent report carried out by US universities Yale and Columbia, Romania was identified among a handful of countries as a region that has notably improved how it handles its environment.

The country’s renewable energy potential has also been targeted by Czech utility CEZ alongside Poland.

Copyright © 2012 NewNet

A renewable energy fund that has been influential in getting projects off the ground across the US state of Alaska may be extended under new legislation.

The Alaska Renewable Energy Fund was first launched in 2009 and was due to expire in 2013. But now, according to a report in local news service juneauempire.com, a house bill aims to extend the funding pool out to 2023, at $50m annually.

The House Bill 250 is reportedly sponsored by local Republicans and would allow the Alaska Energy Authority to continue managing the fund.

Alaska’s hostile terrain and rural communities make providing power to the population a constant challenge, with the roll-out of renewable energies requiring a diverse range of technologies.

Among those active in the state are European wind turbine manufacturer Repower, which recently won its first order, and Alaska Airlines, which is working towards running part of its fleet on biofuels.

In October, NewNet reported that local energy company Chugach Electric Association was in search of financing for an 11-turbine installation on Alaska’s Fire Island, to be completed before the end of the year.

Copyright © 2012 NewNet

UK plastic recycling specialist WRAP has provided a £1.15m loan to ECO Plastics for the expansion of a facility in Lincolnshire, North East England.

The funding will allow ECO Plastics to sort and process an additional 15,000 tonnes of rigid plastic packaging, bringing the annual processing capacity of its Hemsell plant’s to 150,000 tonnes.

This investment completes a joint venture formed with Coca-Cola Enterprises last year.

Lord Taylor, Environment Minister, said, ‘I’m delighted to see this investment in ECO Plastics. It will increase the amount of plastic that gets recycled by 15,000 tonnes, helping to protect the environment and save businesses money by cutting back on their use of raw materials. The recycling industry is growing and we’re working to help companies gain a foothold in this exciting new marketplace which will help us become a zero-waste economy.’

Jonathan Short, managing director of ECO Plastics, added, ‘The processing of non-bottle rigid plastics packaging is the next logical step in UK plastics recycling infrastructure. But it is vitally important that we don’t run before we can walk – the processing infrastructure must be in place before we encourage further non-bottle rigid plastics collection across the UK. Even after this investment, current collections far outweigh the available processing capacity, posing serious risk to the whole industry.’

Copyright © 2012 NewNet