Ofgem finally paid us the money we have earned from the Feed in Tariff Payment due to us but we still had one more hurdle to overcome before making our interest payments. As you may know from previous communications, start-up costs for the Braydon Manor project were higher than planned and we have been discussing with our project lenders how to best deal with the extra costs whilst protecting member returns as much as possible.
We are pleased to report that Triodos has this week agreed to extend a further loan at a favourable rate. This decision needs to be confirmed by a final bank committee and then we will be able we can send out the interest due to you. We are targeting making payments by the end of April. Interest received will be taxed in the period that the payment is received by the investor. So as the payment will received after 5th April 2017, it will fall into tax year 2017-18.
We are very sorry for the delays and can only reassure you that once this is sorted future payments will be more regular and not delayed. All the equipment is in place and the power generated is pretty much matching the anticipated outputs. At the same time we are working on improving biodiversity at the sites and we are on the lookout for new projects and new ways to work with our members to conserve and generate clean energy.
We will not be issuing new shares until we have a new project and, as you know, members need board permission to sell back their shares – we hope you will hold them for the full term or until we offer to buy them back. But there is a limited opportunity to buy new shares as two members have asked if they can transfer their holdings to other people. Our returns are unlikely to be 7% again in the near future but they are certainly better than the rates offered in the Spring Budget for NS&I investments – if you are interested in acquiring more shares please let us know.