Company: ALCE
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001213900-25-105077
Chunk: 212

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 8
Chunk 212
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 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;

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●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 six months ended June 30,
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.

Foreign Exchange

The Company’s operating results are reported
in United States (USD) Dollars. The Company’s current project revenue and expenses are generated in other currencies, including
the Euro (EUR), the Romanian Lei (RON), and the Polish Zloty (PLN). This mix may continue to change in the future if the Company elects
to alter the mix of its portfolio within its existing markets or elect to expand into new markets. In addition, the Company