Editor's Message - September 2009

Some cleantech companies are clearly continuing to suffer from the credit crunch, which has squeezed renewable energy project funding worldwide. Solar wafer and module manufacturers are still complaining about oversupply in their markets, while large-scale wind farm projects are being kept on hold as developers struggle to raise the funds required. However, there is hope on the horizon thanks, in part, to government economic stimulus programmes that include a cleantech component. Carbon emission targets connected to climate change initiatives will, of course, continue to provide incentives.

And it will be interesting to see how investment in cleantech is affected after December’s UN climate change conference in Copenhagen. The Copenhagen conference has been described as “the most important international gathering since the end of the Second World War” by Professor Nicholas Stern, author of the Stern Review Report on the Economics of Climate Change.

Of course, it is not just among the top levels of government that the need for clean technologies in the form of alternative energy or energy efficiency technologies are considered important. Industry is being prompted into action not just by legislation, but also by the need to save on energy costs.

Meanwhile, the consumer is becoming increasingly environmentally aware. A recent report from the Energy Saving Trust found that 35% of Britons would be willing to pay more for a home where some of their energy supply came from renewable sources, while 49% said they would like to know if their home is suitable for renewable energy.

These forces – government, industry and consumer – will drive the cleantech industry over the medium to long term. In the short term, cleantech stocks appear to be making gains as investors recognise the sector’s potential.

From October we will be increasing our own output and expanding this newsletter to eight pages. In addition to more news and company profiles, we will be featuring columns from Nigel Hawkins and Andrew Hore.

Nigel Hawkins is an experienced analyst and commentator on the utility sector. Andrew Hore is a highly-respected small company journalist who has covered London’s Alternative Investment Market for more than a decade.

Going forward, Quoted Cleantech will be published regularly at the beginning of each month. Starting from this issue, the share prices we quote are from the close at the end of the previous month.

Jon Mainwaring
 

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AIM Comment

AIM - a tough market for cleantech compnies - by Andrew Hore

Although a few new entrants have joined AIM this year, cleantech companies are still leaving the junior market. Stock markets around the world are becoming tougher places to raise money again, but the problems with the latest company to shun its AIM quotation date back to its flotation and lack of financial progress since, rather than current market conditions.

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Editor´s Message

by Anne McIvor

The Solyndra collapse in the US has damaged investor sentiment throughout the solar industry. In an unrelated move, the UK Government has backtracked on its policy to provide feed-in-tariffs (FiTs) for the solar sector. The UK Government’s argument is that the prices of solar modules have fallen substantially since the policy was first put in place, and that the FiT subsidy now permits solar installers to make an unjustifiable return on their investments.

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Cleantech Utility Comment

UK Energy Policy – Prescribed by Germany and France? - by Nigel Hawkins

The last few weeks have been busy times in the EU and UK energy sectors – and the next few months are unlikely to be any different. 

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