Kerry wind farm investors first to avail of tax relief

The first major tax-based investment in a wind energy project has been completed, according to PricewaterhouseCoopers (PwC). The project at Tursillagh, Abbeydorney, Co Kerry is a joint venture between PowerGen Renewables, a subsidiary of PowerGen, and Saorgus, a Tralee-based company involved in plans to build a wind farm on the Kish bank off the Dublin coast. PwC in conjunction with CFI Ltd advised the parties on the deal.

The two companies availed of Section 62 of the Finance Act, which allows investors to obtain tax deductions if they subscribe for shares in a qualifying wind energy project. The project at Tursillagh involves a total cost of £13 million (€16.5 million), of which 50 per cent is funded by Section 62 equity.