Introduction of Industrial Plan 2009-2011
- Progressive consolidation of TerniEnergia as a leader in the production of large photovoltaic plants.
- Installation of plants having total capacity of approx. 22 MW (+100% with respect to 2008) is expected for 2009.
- Estimates of 54,4% average annual revenue growth and expecting to reach revenues of 125.2 million euro and EBITDA of 11.8 million euro at the end of the plan period in 2011.
- Intermonte and Unipol Merchant Banca per le Imprese were nominated Joint Global Coordinators for increase of capital in progress.
- Thermodynamic: solar: expected by EnVent approx. 400 GW installed by 2050 in the Mediterranean area.
Milano, 20 November 2008 – TerniEnergia, an Expandi quoted company on the Italian Stock Exchange, introduced its 2009-2011 industrial plan today in the scope of the “Il fotovoltaico: una nuova industria in Italia” (Photovoltaic power: a new industry in Italy”) conference organized by the company itself.
The industrial plan outlines a progressive and constant growth trend regarding production as well as revenue and profitability. In particular, TerniEnergia shall progressively expand the plants produced in order to become a general contractor for the production of large photovoltaic power stations (for third parties and proprietory clients).
The plan guidelines are briefly as follows:
- completion of partnership agreements with primary industrial groups following the approach that led to SolarEnergy and EnergiaAlternativa joint ventures;
- consolidation of existing industrial relations i.e with Foresight mutual fund;
- development of new industrial relations with industrial as well as financial partners.
In order to finance development of the company, the TerniEnergia Assembly recently decided to issue 2.400,000 new shares in the scope of private placings in favour of Italian and foreign institutional investors and industrial investors by 31 March 2009.
Intermonte and Unipol Merchant Banca per le Imprese were nominated Joint Global Coordinators for placing of shares through increase of capital.
Concerning year end closure 2008, TerniEnergia foresees a consolidated turnover of approx. 34 million euro, an increase exceeding 250% with respect to 9.6 million euro in 2007. By the end of the year, the company is expected to produce a total of 41 photovoltaic plants having an installed capacity of 11 MW, of which 3.994 kW generated by five large plants produced for Solar Energy. This result represents an increase of approx. 300% with respect to 3,5 MW installed in 2007.
In 2009, TerniEnergia is expected to install plants having total capacity of approx. 22 MW (+100% with respect to 2008) of which 10 MW represented by installations produced for the two existing joint ventures and 12 MW represented by installations produced for third parties.
Moreover, management foresees for 2010 and 2011 an annual average production growth of approx. 30%, in line with the expected growth of the market. Concerning revenues, 54,4% average annual growth is foreseen with expectations of reaching approx. 63 million euro by the end of 2009, about 90 million euro in the subsequent year and finally 125.2 million euro at the end of the plan period.
The “Il fotovoltaico: una nuova industria in Italia” (Photovoltaic power: a new industry in Italy”) conference – Focusing on thermodynamic solar
The conference including the TerniEnergia industrial plan particularly highlighted interesting prospects deriving from CSP energy, duly reported by the consultancy firm EnVent. This technology enables the concentration of solar heat thus generating steam transferred to an electricity-generating turbine. CSP has characteristics that make it convenient for medium-large plants (power between 5 MW – 250 MW) which thus require very large areas usually distant from final users.
CSP is witnessing a stage of intense growth and the installed power could reach 3,000 MW in 2010 (CAGR 2005 – 2010 exceeding 50%) and possibly reaching – according to Mckinsey – approx. 17,000 MW in 2015 and 46,000 MW in 2020 in the world.
Spain was one of the first countries to have approved incentive-producing rates. Rate procedures resembling the Spanish model are setting in rapidly and Italy, France, Greece, Israel, Portugal, Algeria, Egypt and other countries have adopted incentive-bearing plans thus giving further drive to the sector.
The south-west states of the U.S.A. and the Mediterranean basin are very potential areas for the development of thermodynamic solar plants. Estimates reported by EnVent concerning the potential of the Mediterranean area pinpointed the possibility of reaching approx. 400 GW of installed power by 2050, a capacity which is very close to the installed power provided by fossil fuels excluding coal.
In Italy, the energy expenditure procedure for thermodynamic solar power is similar to the one approved for photovoltaic power except that the rates are lower. The decree set duration of the incentive to 25 years, imposing thermal storage and outlined restrictions for areas occupied by the plants that, in terms of installed power, amounts to 250 MW. In this sector, Italy can create and develop entire industrial facilities that, thanks to research carried out by ENEA in past years and the immediate involvement of the industrial sector, could play a primary role in the world CSP panorama.
Research carried out by DLR (German Aerospace Centre) estimated that in Italy it is economically convenient to generate approx. 5 TWh per year using CSP technology, amounting to approx. 1,250 MW.
