Foresight Solar Fund says annual solar generation will be below views

Foresight Solar Fund Ltd said Friday that energy generation for 2017 will be below expectations due to engineering works at sites throughout the year and low levels of irradiation, currently showing an irradiation shortfall of 3% for the year to date.

The lower levels of production for 2017 have been significantly outweighed by financial compensation received through liquidated damages and the asset manager is confident that future production will be robust, the solar investment fund added.

Solar irradiance is the power per unit area received from the Sun in the form of electromagnetic radiation.

The company also has increased the proportion of fixed price arrangements to 31% from 7% of the electricity sales of the UK portfolio due to attractive electricity prices. The fixed price arrangement is for the period until March 31, 2019, at a weighted-average price of GBP43.26 per megawatt hour.

The increased fixed price arrangements provide greater visibility over future cash flows and limits potential price volatility, the company said.