Company: ALCE
Filing Date: 2025-06-30
Form Type: 10-Q
Source: 0001213900-25-059349
Chunk: 178

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-30
Form: 10-Q
Item: Part I, Item 8
Chunk 178
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 has been one
of the fastest growing sources of electricity generation globally over the past decade. The Company expects the renewable energy generation
segment to continue to offer growth opportunities driven by:

●The
continued reduction in the cost of solar and other renewable energy technologies, which the Company believes will lead to grid parity
in an increasing number of markets;

●Distribution
charges and the effects of an aging transmission infrastructure, which enable renewable energy generation sources located at a customer’s
site, or distributed generation, to be more competitive with, or cheaper than, grid-supplied electricity;

●The
replacement of aging and conventional power generation facilities in the face of increasing industry challenges, such as regulatory barriers,
increasing costs of and difficulties in obtaining and maintaining applicable permits, and the decommissioning of certain types of conventional
power generation facilities, such as coal and nuclear facilities;

●The
ability to couple renewable energy generation with other forms of power generation and/or storage, creating a hybrid energy solution
capable of providing energy on a 24/7 basis while reducing the average cost of electricity obtained through the system;

●The
desire of energy consumers to lock in long-term pricing for a reliable energy source;

●Renewable
energy generation’s ability to utilize freely available sources of fuel, thus avoiding the risks of price volatility and market
disruptions associated with many conventional fuel sources;

●Environmental
concerns over conventional power generation; and

●Government
policies that encourage the development of renewable power, such as country, state or provincial renewable portfolio standard programs,
which motivate utilities to procure electricity from renewable resources.

Access to Capital Markets

The Company’s ability to acquire additional
clean power generation assets and manage its other commitments will likely be dependent on its ability to raise or borrow additional funds
and access debt and equity capital markets, including the equity capital markets, the corporate debt markets, and the project finance
market for project-level debt. The Company accessed the capital markets several times in 2024 and during the three months ended March
31, 2025, in connection with long-term project debt, and corporate loans and equity. Limitations on the Company’s ability to access
the corporate and project finance debt and equity capital markets in the future on terms that are accretive to its existing cash flows
would be expected to negatively affect its results of operations, business, and future growth.

37

Foreign Exchange

The Company’s operating results are reported
in United States (USD) Dollars. The Company’s current project