Building integrated photovoltaic glass” is a bit of a mouthful, but this environmentally friendly glass has been the making of Romag, the AIM-listed glass manufacturer. Renamed the more user-friendly “PowerGlaz” the glass harnesses energy from daylight to convert into electricity, reducing power costs and CO2 emissions.
Durham-based Romag has built up its reputation by being one of the first glass manufacturers to pioneer energy-producing glass. PowerGlaz now accounts for two thirds of photovoltaic (PV) sales in the UK.
Last month, Romag won a £10 million contract with Community Energy Solutions (CES), a not-for-profit distributor, to provide solar photovoltaic modules, beating 12 other bidders in a Europe-wide tender.
David Banks, finance director, said: “We have been experiencing a higher level of inquiries for this kind of micro-generation system since the implementation of the UK feed-in tariff (FIT) in April and it is extremely pleasing to see that interest materialise into a major agreement like this.
“As a company we have always tried to respond to market needs and demands and the new PV solar kits that we have developed for CES are a prime example.”
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The equipment will be used in 2,000 PV systems in homes and commercial properties around the North East, Yorkshire and Humberside.
The contract is small compared with some of the projects the company has worked on, which include some of the most recognisable buildings in the UK. Some of the group’s biggest projects include King’s Cross St Pancras, Heathrow Terminal 5, the Eden Project and City Hall.
The glazing works through individual modules connected together to form an array. The array produces energy, which is then fed into the building’s power supply using “inverters”, which convert the current from direct current (DC) to alternating (AC). Any excess power produced is fed back into the national grid.
Since its listing on AIM in 2003, the company has won a number of awards and contracts. It increased production capacity in 2007 with the help of a £7 million share-placing and in 2008, was awarded “Best Alternative Energy Investment of the Year”. That year, it also signed an agreement with Middle East based GITG to sell PowerGlaz there. Romag opened the first Solar PV training centre in 2008 and in 2009, announced a five-year exclusive agreement to supply bespoke PowerGlaz to Kingspan, the environmental building products supplier.
In the six months to the end of March, the group’s last reporting period, strong demand for photovoltaics helped protect the company from a dip in sales in other parts of the business. Group sales in the six-month period fell by 11 per cent compared with the same period a year earlier, but pre-tax profits were up after cost-cutting, from a loss of £1.6 million to a £100,000 gain.
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It expects demand for PV glasss to increase more rapidly since the introduction of feed-in tariffs, from April 1 this year. This makes investment in renewable energy products attractive and according to Romag, has proved a significant boost to the solar markets in other European countries.
John Kennair, chairman, forecast in the company’s half-year results, published last month, that: “the FIT will have only a small impact on trading in the current financial year. However, the directors believe that the quality and diversity of opportunities that the FIT is generating will produce a substantial increase in sales and profitability in 2011 and beyond.”