Changes to Climate Change Levy
9 July 2015
BLUEFIELD SOLAR INCOME FUND LIMITED
Changes to the Climate Change Levy
Bluefield Solar Income Fund Limited (the "Company") notes yesterday's announcement by the Chancellor of the Exchequer in the Summer Budget 2015 (the "Budget") regarding the removal of the exemption for renewably sourced electricity from the Climate Change Levy from which many renewables projects in the UK benefit by way of the sale of Levy Exemption Certificates (LECs). This will be effective from 1 August 2015. The Budget also proposed future reductions in UK corporation tax.
Bluefield Partners LLP, the Company's Investment Adviser, has reviewed the Company's portfolio and can confirm that LECs make up 3-4% of total revenues in the Company's portfolio. The impact of the loss of LEC revenue will be partially offset by the expected reduction in corporation tax. The majority of the Company's revenues are derived from the regulated revenue from the Renewable Obligation Scheme, which remains unchanged, and by selling the generated electricity under power purchase agreements.
An independent valuation is currently being undertaken for the Company's portfolio for the year ending 30 June, 2015, which is expected to be announced in conjunction with the Company's annual accounts.
Enquiries:
James Armstrong / Mike Rand / Giovanni Terranova
Bluefield Partners LLP - Company Investment Adviser
Tel: +44 (0)20 7078 0020
Tod Davis / David Benda
Numis Securities Limited - Company Broker
Tel: +44 (0)20 7260 1000
Kevin Smith
Heritage International Fund Managers Limited - Company Secretary & Administrator
Tel: +44 (0)1481716000
Tom Karim
CNC
Tel: +44(0)20 3219 8820 / +44(0)7923 293 399
Note to editors
About Bluefield Solar Income Fund Limited (BSIF)
BSIF is a Guernsey-registered investment company focusing on large scale agricultural and commercial and industrial solar energy assets. It had an initial public offering of shares on the main market of the London Stock Exchange in July 2013. It has, currently, over 278 million shares in issue and a market cap in excess of £300 million. In June 2014 it agreed a three-year revolving credit facility with Royal Bank of Scotland, for up to £50 million.
BSIF seeks to provide shareholders with an attractive return, principally in the form of income distributions, by investing in a diversified portfolio of solar energy assets, each located within the UK, with a focus on utility scale assets and portfolios on greenfield, industrial and/or commercial sites. The Company pays quarterly distributions.
About Bluefield Partners LLP (Bluefield)
Bluefield was established in 2009 and is an investment adviser to companies and funds investing in solar energy infrastructure. It has a proven record in the selection, acquisition and supervision of large scale energy and infrastructure assets in the UK and Europe. The team has been involved in over £1.4 billion of solar photovoltaic ("PV") funds and/or transactions in both the UK and Europe since 2008, including over £380m in the UK since December 2011.
Bluefield has led the acquisitions, and currently advises on over 50 UK based solar assets that are agriculturally, commercially or industrially situated. Based in its London office, Bluefield's partners are supported by a dedicated and highly experienced team of investment, legal and portfolio executives.
Bluefield was appointed Investment Adviser to the Company in June 2013.
This information is provided by RNS
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