ROME: Switzerland-based solar power producer Etrion Corp (STO:ETX) expects higher cash distributions from its solar parks in Italy following the end of the so-called Robin Hood tax in the country.
The company said that the removal of the tax was expected to boost cash distributions from its 60-MW Italian portfolio by almost USD 1 million (EUR 878,000) annually, offsetting the recent cut in Italy’s feed-in tariffs.
The Italian Constitutional Court eliminated the tax as unconstitutional in a ruling last week, with effect from February. Etrion said the change would reduce the income tax rate for most energy companies in Italy to 27.5% from 34%.
The tax was first imposed on large energy companies in 2008. It was expanded in 2011 to include renewable energy firms.
Etrion has 130 MW of installed solar capacity in Italy and Chile. It also has 34 MW under construction in Japan and is developing greenfield projects in Japan and Chile.
