Novera Energy Ltd
24 May 2007
24 May 2007
Novera Energy Limited ('Novera' or 'the Company')
Positive outcome from Energy White Paper Announcement
Novera Energy welcomes the increased support that a number of its key projects
will receive as a result of changes to the Renewables Obligation announced in
the Energy White Paper yesterday.
David Fitzsimmons, Novera CEO, said: 'Continuing and increasing support by the
UK Government for the renewable generation industry is extremely welcome and
will over the years enhance the value of our business. Particularly welcome are
the decisions to maintain the level of financial support for onshore wind with a
big push to improve planning decision times, in addition to a near doubling in
financial support for emerging technologies like advanced conversion projects'.
The Government yesterday announced further information with respect to changes
in the Renewables Obligation, which will come into effect on 1st April 2009
subject to legislation being passed. Specifically, for the first time renewable
technologies will be banded according to the maturity of the technology.
Novera's current portfolio of Landfill sites will be unaffected by changes
announced and will retain all rights to Renewable Obligation Certificates (ROCs)
under a guaranteed grandfathering scheme.
Novera currently has a landfill gas portfolio of 46 sites with a capacity of
Onshore Wind and Hydro
The government has announced that onshore wind and hydro will continue to
receive the same level of Renewable Obligation Certificates as previously. In
addition, the Government has reiterated support for improvements in the planning
environment, by the introduction of an independent planning commission which is
targeted at significantly reducing the decision times required for projects
greater than 50MW.
Novera ended 2006 with an inventory of sites with a total potential of 613MW.
In addition, at the start of 2007, the company initiated a further site search
campaign, with a target of a further 300MW. From this portfolio of over 900MW,
the company plans to deliver at least 250MW into operation by the end of 2011.
Novera currently has one operating wind site (15MW) and 10 hydro sites (16MW).
Emerging Technologies - Advanced Conversion
The Government announced that advanced conversion technologies would be eligible
for 2 ROCs as opposed to 1 ROC previously. Novera's 10MW East London Sustainable
Energy Facility ('ELSEF') is expected to be in this category and (subject to
eligibility conditions with respect to the biomass proportion of the fuel used)
this increase should significantly improve the economics of the project and help
ensure Novera's long-term plans to develop sustainable facilities are delivered.
ELSEF is intended to produce renewable energy from the conversion of waste
derived from biomass fuel left after recycling and composting of household
waste. The UK market is expected to provide the industry with considerable
opportunity to generate renewable energy using this waste biomass fuel.
Novera Energy Limited 020 7845 9720
David Fitzsimmons, Chief Executive Officer
Rory Quinlan, Chief Financial Officer
Gavin Anderson 020 7554 1400
Ken Cronin / Kate Hill
This information is provided by RNS
The company news service from the London Stock Exchange