Efforts by Australia’s Renewable Energy Corporation to secure a strategic alliance partner in Europe has made “significant progress” the company said today. The most significant new alliances in the coming year would be in Europe and Asia, with further strengthening in the US and Australia.

The European Union has mandated targets and introduced financial incentives for renewable energy projects, with investment required to achieve the targets amounting to about $A265 bn ($140.05bn) over the next ten years. “Significant progress has been made by the company towards securing a strategic alliance partner for Europe,” the company said.

Renewable Energy today reported a narrowing of net losses to $A3.04m ($1.61m), from a net loss of $A32.24m ($17.04m) last year, which included a $A31.3m ($16.54m) abnormal loss. The result for the year to June 30, 2001, was achieved on a jump in revenues from $A2.11m ($1.12m last year to $A9.51m ($5.03m), with $A7.76m ($4.1m) in revenues generated from interest income and sale of residual mineral assets.

“The result belies the growing order book and reflects the lag between identification of sale and booking of revenue, due to time required for contract negotiation and project construction,” the company said.

At the end of the year the company had cash reserves of $A33.4m ($17.65m) and remains debt free. “This year has been a period for laying the foundations to support the anticipated significant future growth in renewable energy and waste to energy opportunities for the company’s Reduced Emissions Gasifier,” the company said.