The U.S.-based microinverter technology provider, Enphase Energy, Inc. ( ENPH ), has inked a partnership with Saving Energy Ltd. to provide solar power to the residents of the Aging Miners project in the UK. Saving Energy is an Essex, UK-based energy efficiency services firm.
The partnership is backed by a local charity called the Northumberland Aged Mineworkers Homes Association. The project is expected to come online in 2014.
4,000 units of Enphase Energy-made microinverters will be utilized at the Northumberland-based 1-megawatt-peak (MWp) DC facility and will be installed on the rooftops of over 400 of retired miners' homes. Once completed, the project will able to generate around 1,038,800 kilowatt-hour (kWh) of electricity per year.
Enphase Energy stragically partners local players to provide its products and services to residential and small commercial projects in the region. On Jul 23, 2014, Enphase Energy announced that it would install next-generation solar photovoltaic (PV) systems jointly with Energy France Installation to AST Groupe's single-family homes.
The demand for renewable energy is gradually on the rise given the growing awareness of environmental conservation. UK is expected to act as a prominent solar market in the future along with its European peers, including Germany and Italy. As per an NPD Solarbuzz report, the solar PV industry will likely exceed 50 gigawatts (GW) by 2014, backed by strong demand in UK and Japan.
To tap growing opportunities for solar products and services, Enphase Energy is currently expanding its operations in the European market and has been able to reap positive results. In the second quarter of 2014, Enphase Energy's net revenues benefited from higher demand in the UK, the U.S. and Australia. The company had started business in the UK in 2012.
Enphase Energy' peers like Trina Solar Limited ( TSL ) and ReneSola Ltd. ( SOL ) have been simultaneously expanding their operations in the UK. In Aug 2014, Trina Solar acquired a UK-based 49.9-megawatt (MW) utility-scale, ground-mounted power project from Good Energy Group PLC. In another transaction, ReneSola announced that it will provide 22 MW of its high-efficiency polycrystalline Virtus I and Virtus II solar modules for two ground-mounted utility-scale projects in the UK.
In addition to solidifying its operations in the U.S., Enphase Energy's efforts toward the expansion of its operations in the Asia Pacific and European regions will allow it to expand its revenue stream substantially.
Enphase Energy currently holds a Zacks Rank #2 (Buy). Another better-ranked stock in the same sector is Canadian Solar Inc. ( CSIQ ), carrying a Zacks Rank #1 (Strong Buy).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.