Bluefield Solar NAV falls amid declining power prices
Solar system. Author: Mike Weber. License: Creative Commons, Attribution 2.0 Generic
Bluefield Solar Income Fund Ltd (LON:BSIF) today said its net asset value (NAV) per share at the end of March was GBP 1.0013 (USD 1.462/EUR 1.266), a decline from GBP 1.0179 at end-December.
The NAV erosion is due to falling power prices, while operating performance in the quarter has been above budget, according to the announcement.
The Guernsey-registered investor in UK solar assets said the lower NAV reflected the adoption of the most recent power curve from its independent power forecaster. Power price forecasts have been reduced by a year-on-year average of 31.8% since April 2014, it noted.
"The Board is pleased that sound acquisitions and effective operations of our plants have enabled us to sustain the Company's dividend targets in the face of some market headwinds due to declining power prices," said chairman John Rennocks.
During the quarter the fund acquired nine plants in six deals, bringing the capacity of its portfolio to 397 MWp. Since the end of the quarter it has added another 4.12-MWp plant, with its total installed capacity now being slightly more than 401 MWp.