Mixed Greens: Ceramic revenue hit by subsidy delays

ASX-listed small-scale power generation company Ceramic Fuel Cells has blamed subsidy program delays in Europe for a 37 per cent drop in annual revenue to $A4.3 million, reported this week as part of the company’s preliminary results for the year ended June 2013. The developer of the popular BlueGEN gas-to-electricity generator also narrowed its losses, reporting net after-tax losses of $19.8 million for the year, down 34 per cent on last year’s result.

The company has focused on the German and the UK markets to take advantage of the two countries’ environmental and energy supply policies, which are supported by a range of fiscal incentives. But it says delays in the formal confirmation of incentives announced in March of this year – and particularly in the anticipated North Rhine Westphalia (NRW) capital grant funding program – led to purchasers holding off buying. The number of BlueGEN units sold this year was 147 compared with 169 in FY 2012.

However, Ceramic says the confirmation of EU fiscal incentives and a build-up of sales and marketing resources should lead to a substantive increase in unit sales in the coming financial year, adding that it will be necessary to increase revenue to fund continuing operating costs. The company says it is addressing this issue by reviewing its pricing policy as well as rigorous management of the operating costs and is continuing to develop a number of options to secure additional working capital.

Australia loses renewables attractiveness

Political infighting over climate and carbon policies has sent Australia down two notches on the Ernst & Young Renewable Energy Country Attractiveness Index, from fourth to sixth place, despite a slightly improved overall score. According to the August RECAI Index highlights, Australia now ranks behind Japan (5), UK (4), Germany(3), China (2) and the US (1) after its higher electricity consumption score was offset by political infighting over its decarbonisation agenda.

Lend Lease among chosen ones, as US Army awards 22 solar contracts

Australian company Lend Lease is among 22 firms chosen to help the US army meet the solar component of its Congressionally mandated goal of 25 per cent renewables production and consumption by 2025. Solar is the second of four technologies being awarded under the $7 billion Renewable and Alternative Energy Power Production for Department of Defense Installations scheme. ASX-listed Lend Lease was chosen over nearly 100 other unsuccessful bidders, joining the ranks of some of the biggest names in solar, including Acciona, Enel Green Power, Gehrlicher Solar America Corporation and Siemens Government Technologies. Under the terms of the “multiple-vendor, indefinite-delivery/indefinite-quantity, firm-fixed-price, non-option, non-multi-year” contracts, the companies must bid against each other to win individual “task orders” issued by the Army, according to the Department of Defence. The contracts provide for the purchase of energy from “renewables and alternative energy production facilities”, designed and operated on land controlled by the DoD.