Solar

German Firm Stakes Renewable Interest in Italy

As part of its plans to raise the share of sales from international business to 50% by the year 2010, Phoenix SonnenStrom AG has acquired a 49% participation in Renewable Energies Development 2002 S.r.l. (RED 2002), an Italian system integrator headquartered in Rome. The agreement includes the option of increasing the participation to 75%.

As part of its plans to raise the share of sales from international business to 50% by the year 2010, Phoenix SonnenStrom AG has acquired a 49% participation in Renewable Energies Development 2002 S.r.l. (RED 2002), an Italian system integrator headquartered in Rome. The agreement includes the option of increasing the participation to 75%. In August 2005 the Italian government passed the long-awaited decree establishing a photovoltaic (PV) tariff as part of Italy’s new renewable energies law. Following the large number of applications received in 2005, the terms of the decree were improved at the end of January 2006, significantly increasing the initial cap of 100 MW PV power installed, according to the release. In addition, thin film modules are now fully eligible for support. From 2006 onward the government intends to approve new PV plants up to a total peak power of 85 MW each year, more than 20 times the market volume in Italy in 2005. “As an established company, RED 2002 is the ideal partner for our entry into the Italian market, which we consider to have great growth potential. Italy is now where Germany was a few years ago, and today Germany is the world’s largest photovoltaic market,” said Andreas Hanel, Phoenix SonnenStrom AG, Chief Executive Officer. This acquisition bolsters Phoenix SonnenStrom AG’s drive to internationalize its business. Further acquisitions and the founding of subsidiary companies abroad are planned, in particular in southern Europe.