Company: ALCE
Filing Date: 2025-06-06
Form Type: 10-K
Source: 0001213900-25-052242
Chunk: 24

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-06
Form: 10-K
Item: Item 1
Chunk 24
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 policies that support renewable energy and consider actions that would make the laws and policies less conducive to the development
and operation of renewable energy facilities. Any reductions or modifications to, or the elimination of, governmental incentives or policies
that support renewable energy or the imposition of additional taxes or other assessments on renewable energy, could result in, among other
items, the lack of a satisfactory market for the development and/or financing of new renewable energy projects, our abandoning the development
of renewable energy projects, a loss of our investments in the projects and reduced project returns, any of which could have a material
adverse effect on our business, financial condition, results of operations and prospects.

On August 16, 2022, President
Biden signed into law the Inflation Reduction Act (the “IRA”), which extended the availability of investment tax credits
(“ITCs”) and production tax credits (“PTCs”). On January 20, 2025 President Trump was inaugurated
and his administration could reduce the amount of ITCs or PTCs available to us and/or our tax equity partners. In this event, we could
be required to adjust the terms of future tax equity partnerships, or seek alternative sources of funding for solar energy projects, each
of which could have a material adverse effect on our business, financial condition, results of operations and prospects.

Operation and maintenance
of renewable energy projects involve significant risks that could result in unplanned outages, reduced output, interconnection or termination
issues, or other adverse consequences.

There are risks associated
with the operation of our projects. These risks include:

    ●
    greater or earlier than expected degradation, or in some cases failure, of solar panels, inverters, turbines, gear boxes, blades, and other equipment;

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    ●
    catastrophic events, such as fires, earthquakes, severe weather, tornadoes, ice or hail storms or other meteorological conditions, landslides, and other similar events beyond our control, which could severely damage or destroy a project, reduce its energy output, result in property damage, personal injury, or loss of life, or increase the cost of insurance even if these impacts are suffered by other projects as is often seen following events like high-volume wildfire and hurricane seasons;

    ●
    technical performance below projected levels, including the failure of solar panels, inverters, gear boxes, blades, and other equipment to produce energy as expected, whether due to incorrect measures of performance provided by equipment suppliers, improper operation and maintenance, or