Company: ALCE
Filing Date: 2025-06-06
Form Type: 10-K
Source: 0001213900-25-052242
Chunk: 2198

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-06
Form: 10-K
Item: Item 7
Chunk 2198
---
 Company capitalizes its equipment costs, development
costs, engineering costs, and construction related costs that are deemed recoverable. The Company’s cost of revenues with regard
to its solar parks is primarily a result of the asset management, operations, and maintenance, as well as tax, insurance, and lease expenses.
Certain economic incentive programs, such as FiT regimes, generally include mechanisms that ratchet down incentives over time. As a result,
the Company seeks to connect its solar parks to the local power grids and commence operations in a timely manner to benefit from more
favorable existing incentives. Therefore, the Company generally seeks to make capital investments during times when incentives are most
favorable.

Cost of revenues for the year ended December 31,
2024 and 2023 were as follows:

    Year Ended December 31, 
  
    Cost of Revenues by Country 
    2024  
    2023  
    Change 
($)  
    Change 
(%) 

    (in thousands) 
  
    Italy 
    $-  
    $1,204  
    $(1,204) 
     (100)%
  
    United States 
     364  
     97  
     267  
     275%
  
    Total for continuing operations 
    $364  
    $1,301  
    $(937) 
     (72)%

    Discontinued Operations: 

    Netherlands 
    $115  
    $450  
    $(335) 
     (74)%
  
    Poland 
     101  
     3,768  
     (3,667) 
     (97)%
  
    Romania 
     3,936  
     3,167  
     769  
     24%
  
    Total for discontinued operations 
    $4,152  
    $7,385  
    $(3,233) 
     (44)%
  
    Total for the period 
    $4,516  
    $8,686  
    $(4,170) 
     (48)%

Cost of revenues for continuing operations decreased
by $0.9 million for the year ended December 31, 2024 compared to the same period in 2023 as there was only one country with operating
parks in 2024 (Lightwave parks) compared to the additional 11 Italian parks in 202