Table of
Contents


UNITED
STATES


SECURITIES
AND EXCHANGE COMMISSION


Washington,
D.C. 20549





FORM
10-Q




(Mark
One)





x
            QUARTERLY
      REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF
      1934




For the
quarterly period ended September 30, 2008


or




o
            TRANSITION
      REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF
      1934





For
      the transition period from _____ to
_____





Commission
file number:   0-25430





RIDGEWOOD
ELECTRIC POWER TRUST IV


(Exact
Name of Registrant as Specified in Its Charter)





Delaware
            
            22-3324608(State
      of Other Jurisdiction
              of
      Incorporation or Organization)
            
            (I.R.S.
      Employer Identification No.)





1314
      King Street, Wilmington, DE
            
            19801(Address
      of Principal Executive Offices)
            
            (Zip
      Code)





(302)
      888-7444(Issuer’s
      Telephone Number, Including Area Code)




Not
      Applicable(Former
      name, former address and former fiscal year, if changed since last
      report)





Indicate
by check mark whether the registrant: (1) has filed all reports required to be
filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the
preceding 12 months (or for such shorter period that the registrant was required
to file such reports), and (2) has been subject to such filing requirements for
the past 90 days.  Yes x  No o





Indicate
by check mark whether the registrant is a large accelerated filer, an
accelerated filer, a non-accelerated filer, or a smaller reporting company. See
definition of “large accelerated filer”, “accelerated filer” and “smaller
reporting company” in Rule 12b-2 of the Exchange Act. (Check one):





Large
      accelerated filer  o
            Accelerated
      filer  o
            Non-accelerated
      filer  o
            Smaller
      reporting company  x(Do not check if a smaller reporting
company)





Indicate
by check mark whether the registrant is a shell company (as defined in Rule
12b-2 of the Exchange Act).


Yes o    No
x





As of
September 30, 2008, there were 476.8875 Investor Shares
outstanding.







Table of Contents




FORM
10-Q





TABLE
OF CONTENTS





PART I.
                  FINANCIAL INFORMATION
                  PageItem 1.
                  Financial Statements
                  1Item 2.
                  Management’s Discussion and Analysis of Financial Condition and
      Results of Operations
                  8Item 3.
                  Quantitative and Qualitative Disclosures About Market
      Risk
                  10Item 4.
                  Controls and Procedures
                  10PART II.
                  OTHER INFORMATIONItem 1.
                  Legal Proceedings
                  10Item 1A.
                  Risk Factors
                  10Item 2.
                  Unregistered Sales of Equity Securities and Use of
      Proceeds
                  10Item 3.
                  Defaults Upon Senior Securities
                  11Item 4.
                  Submission of Matters to a Vote of Security
      Holders
                  11Item 5.
                  Other Information
                  11Item 6.
                  Exhibits
                  11SIGNATURES
                  
                  12







Table of Contents




PART
I.   FINANCIAL INFORMATION





ITEM
1.   FINANCIAL STATEMENTS





RIDGEWOOD
      ELECTRIC POWER TRUST IVCONDENSED
      CONSOLIDATED BALANCE SHEETS(in
      thousands, except share data)September
      30,
                                          
                                          
                                          December
      31,2008
                                          
                                          
                                          2007(unaudited)ASSETSCurrent
      assets:Cash
      and cash equivalents
                                          
                                          $
                                          219
                                          
                                          
                                          $
                                          781Accounts
      receivable
                                          
                                          
                                          1,395
                                          
                                          
                                          
                                          2,083Due
      from affiliates
                                          
                                          
                                          63
                                          
                                          
                                          
                                          153Deposits
      - current portion
                                          
                                          
                                          1,561
                                          
                                          
                                          
                                          -Prepaid
      expenses and other current assets
                                          
                                          
                                          307
                                          
                                          
                                          
                                          130Total
      current assets
                                          
                                          
                                          3,545
                                          
                                          
                                          
                                          3,147Notes
      receivable, affiliates
                                          
                                          
                                          5,566
                                          
                                          
                                          
                                          5,263Investments
                                          
                                          
                                          7,260
                                          
                                          
                                          
                                          5,293Plant
      and equipment, net
                                          
                                          
                                          7,062
                                          
                                          
                                          
                                          7,656Intangibles,
      net
                                          
                                          
                                          803
                                          
                                          
                                          
                                          1,255Deposits
      - noncurrent portion
                                          
                                          
                                          1,948
                                          
                                          
                                          
                                          450Total
      assets
                                          
                                          $
                                          26,184
                                          
                                          
                                          $
                                          23,064LIABILITIES
      AND SHAREHOLDERS’ EQUITYCurrent
      liabilities:Accounts
      payable
                                          
                                          $
                                          838
                                          
                                          
                                          $
                                          461Accrued
      royalty expense
                                          
                                          
                                          259
                                          
                                          
                                          
                                          466Loan
      payable, affiliates
                                          
                                          
                                          3,000
                                          
                                          
                                          
                                          -Due
      to affiliates
                                          
                                          
                                          483
                                          
                                          
                                          
                                          603Total
      current liabilities
                                          
                                          
                                          4,580
                                          
                                          
                                          
                                          1,530Minority
      interest
                                          
                                          
                                          3,038
                                          
                                          
                                          
                                          3,962Total  liabilities
                                          
                                          
                                          7,618
                                          
                                          
                                          
                                          5,492Commitments
      and contingenciesShareholders’
      equity (deficit):Shareholders’
      equity (476.8875 Investor Shares
                                            issued
      and outstanding)
                                          
                                          
                                          18,649
                                          
                                          
                                          
                                          17,665Managing
      Shareholder’s accumulated deficit
                                            (1
      management share issued and outstanding)
                                          
                                          
                                          (83
                                          )
                                          
                                          
                                          (93
                                          )Total
      shareholders’ equity
                                          
                                          
                                          18,566
                                          
                                          
                                          
                                          17,572Total
      liabilities and shareholders’ equity
                                          
                                          $
                                          26,184
                                          
                                          
                                          $
                                          23,064





The
accompanying notes are an integral part of these condensed consolidated
financial statements.




1
 Table of Contents





RIDGEWOOD
      ELECTRIC POWER TRUST IVCONDENSED
      CONSOLIDATED STATEMENTS OF OPERATIONS(unaudited,
      in thousands, except per share data)Nine
      Months Ended September 30,
                                                                                    
                                                                                    
                                                                                    Three
      Months Ended September 30,2008
                                                                                    
                                                                                    
                                                                                    2007
                                                                                    
                                                                                    
                                                                                    2008
                                                                                    
                                                                                    
                                                                                    2007Power
      generation revenue
                                                                                    
                                                                                    $
                                                                                    5,888
                                                                                    
                                                                                    
                                                                                    $
                                                                                    5,730
                                                                                    
                                                                                    
                                                                                    $
                                                                                    1,923
                                                                                    
                                                                                    
                                                                                    $
                                                                                    1,927Renewable
      attribute revenue
                                                                                    
                                                                                    
                                                                                    1,363
                                                                                    
                                                                                    
                                                                                    
                                                                                    3,880
                                                                                    
                                                                                    
                                                                                    
                                                                                    95
                                                                                    
                                                                                    
                                                                                    
                                                                                    1,308Sublease
      revenue
                                                                                    
                                                                                    
                                                                                    -
                                                                                    
                                                                                    
                                                                                    
                                                                                    436
                                                                                    
                                                                                    
                                                                                    
                                                                                    -
                                                                                    
                                                                                    
                                                                                    
                                                                                    144Total
      revenues
                                                                                    
                                                                                    
                                                                                    7,251
                                                                                    
                                                                                    
                                                                                    
                                                                                    10,046
                                                                                    
                                                                                    
                                                                                    
                                                                                    2,018
                                                                                    
                                                                                    
                                                                                    
                                                                                    3,379Cost
      of revenues
                                                                                    
                                                                                    
                                                                                    6,407
                                                                                    
                                                                                    
                                                                                    
                                                                                    7,384
                                                                                    
                                                                                    
                                                                                    
                                                                                    1,880
                                                                                    
                                                                                    
                                                                                    
                                                                                    2,388Gross
      profit
                                                                                    
                                                                                    
                                                                                    844
                                                                                    
                                                                                    
                                                                                    
                                                                                    2,662
                                                                                    
                                                                                    
                                                                                    
                                                                                    138
                                                                                    
                                                                                    
                                                                                    
                                                                                    991Operating
      expenses:General
      and administrative expenses
                                                                                    
                                                                                    
                                                                                    3,043
                                                                                    
                                                                                    
                                                                                    
                                                                                    636
                                                                                    
                                                                                    
                                                                                    
                                                                                    1,423
                                                                                    
                                                                                    
                                                                                    
                                                                                    267Management
      fee to Managing Shareholder
                                                                                    
                                                                                    
                                                                                    395
                                                                                    
                                                                                    
                                                                                    
                                                                                    404
                                                                                    
                                                                                    
                                                                                    
                                                                                    132
                                                                                    
                                                                                    
                                                                                    
                                                                                    135Total
      operating expenses
                                                                                    
                                                                                    
                                                                                    3,438
                                                                                    
                                                                                    
                                                                                    
                                                                                    1,040
                                                                                    
                                                                                    
                                                                                    
                                                                                    1,555
                                                                                    
                                                                                    
                                                                                    
                                                                                    402(Loss)
      income from operations
                                                                                    
                                                                                    
                                                                                    (2,594
                                                                                    )
                                                                                    
                                                                                    
                                                                                    1,622
                                                                                    
                                                                                    
                                                                                    
                                                                                    (1,417
                                                                                    )
                                                                                    
                                                                                    
                                                                                    589Other
      income (expense):Equity
      in income (loss) of Maine Hydro
                                                                                    
                                                                                    
                                                                                    828
                                                                                    
                                                                                    
                                                                                    
                                                                                    197
                                                                                    
                                                                                    
                                                                                    
                                                                                    (22
                                                                                    )
                                                                                    
                                                                                    
                                                                                    (351
                                                                                    )Equity
      in income of Indeck Maine
                                                                                    
                                                                                    
                                                                                    1,560
                                                                                    
                                                                                    
                                                                                    
                                                                                    708
                                                                                    
                                                                                    
                                                                                    
                                                                                    1,036
                                                                                    
                                                                                    
                                                                                    
                                                                                    260Interest
      income, affiliates
                                                                                    
                                                                                    
                                                                                    324
                                                                                    
                                                                                    
                                                                                    
                                                                                    323
                                                                                    
                                                                                    
                                                                                    
                                                                                    115
                                                                                    
                                                                                    
                                                                                    
                                                                                    110Other
      (expense) income, net
                                                                                    
                                                                                    
                                                                                    (15
                                                                                    )
                                                                                    
                                                                                    
                                                                                    11
                                                                                    
                                                                                    
                                                                                    
                                                                                    (15
                                                                                    )
                                                                                    
                                                                                    
                                                                                    -Total
      other income, net
                                                                                    
                                                                                    
                                                                                    2,697
                                                                                    
                                                                                    
                                                                                    
                                                                                    1,239
                                                                                    
                                                                                    
                                                                                    
                                                                                    1,114
                                                                                    
                                                                                    
                                                                                    
                                                                                    19Income
      (loss) before minority interest
                                                                                    
                                                                                    
                                                                                    103
                                                                                    
                                                                                    
                                                                                    
                                                                                    2,861
                                                                                    
                                                                                    
                                                                                    
                                                                                    (303
                                                                                    )
                                                                                    
                                                                                    
                                                                                    608Minority
      interest in the loss (earnings) of subsidiary
                                                                                    
                                                                                    
                                                                                    424
                                                                                    
                                                                                    
                                                                                    
                                                                                    (799
                                                                                    )
                                                                                    
                                                                                    
                                                                                    265
                                                                                    
                                                                                    
                                                                                    
                                                                                    (284
                                                                                    )Net
      income (loss)
                                                                                    
                                                                                    $
                                                                                    527
                                                                                    
                                                                                    
                                                                                    $
                                                                                    2,062
                                                                                    
                                                                                    
                                                                                    $
                                                                                    (38
                                                                                    )
                                                                                    
                                                                                    $
                                                                                    324Managing
      Shareholder – Net income (loss)
                                                                                    
                                                                                    $
                                                                                    5
                                                                                    
                                                                                    
                                                                                    $
                                                                                    21
                                                                                    
                                                                                    
                                                                                    $
                                                                                    (1
                                                                                    )
                                                                                    
                                                                                    $
                                                                                    4Shareholders
      – Net income (loss)
                                                                                    
                                                                                    
                                                                                    522
                                                                                    
                                                                                    
                                                                                    
                                                                                    2,041
                                                                                    
                                                                                    
                                                                                    
                                                                                    (37
                                                                                    )
                                                                                    
                                                                                    
                                                                                    320Net
      income (loss) per Investor Share
                                                                                    
                                                                                    
                                                                                    1,096
                                                                                    
                                                                                    
                                                                                    
                                                                                    4,280
                                                                                    
                                                                                    
                                                                                    
                                                                                    (77
                                                                                    )
                                                                                    
                                                                                    
                                                                                    672Distributions
      per Investor Share
                                                                                    
                                                                                    
                                                                                    -
                                                                                    
                                                                                    
                                                                                    
                                                                                    4,000
                                                                                    
                                                                                    
                                                                                    
                                                                                    -
                                                                                    
                                                                                    
                                                                                    
                                                                                    1,000








The
accompanying notes are an integral part of these condensed consolidated
financial statements.




2
 Table of Contents




RIDGEWOOD
      ELECTRIC POWER TRUST IVCONDENSED
      CONSOLIDATED STATEMENTS OF CASH FLOWS(unaudited,
      in thousands)Nine
      Months Ended September 30,2008
                                              
                                              
                                              2007Cash
      flows from operating activities:Net
      cash (used in) provided by operating activities
                                              
                                              $
                                              (3,062
                                              )
                                              
                                              $
                                              3,083Cash
      flows from investing activities:Proceeds
      from sale of equipment
                                              
                                              
                                              
                                              
                                              
                                              
                                              11Capital
      expenditures
                                              
                                              
                                              -
                                              
                                              
                                              
                                              (29
                                              )Net
      cash used in investing activities
                                              
                                              
                                              -
                                              
                                              
                                              
                                              (18
                                              )Cash
      flows from financing activities:Proceeds
      from loan payable to affiliate
                                              
                                              
                                              3,000
                                              
                                              
                                              
                                              -Cash
      distribution to minority interest
                                              
                                              
                                              (500
                                              )
                                              
                                              
                                              (1,142
                                              )Cash
      distribution to shareholders
                                              
                                              
                                              -
                                              
                                              
                                              
                                              (1,926
                                              )Net
      cash provided by (used in) financing activities
                                              
                                              
                                              2,500
                                              
                                              
                                              
                                              (3,068
                                              )Net
      decrease in cash and cash equivalents
                                              
                                              
                                              (562
                                              )
                                              
                                              
                                              (3
                                              )Cash
      and cash equivalents, beginning of period
                                              
                                              
                                              781
                                              
                                              
                                              
                                              819Cash
      and cash equivalents, end of period
                                              
                                              $
                                              219
                                              
                                              
                                              $
                                              816














The
accompanying notes are an integral part of these condensed consolidated
financial statements.




3
 Table of Contents


RIDGEWOOD
ELECTRIC POWER TRUST IV
 NOTES
TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 (unaudited,
dollar amounts in thousands)




1.           BASIS
OF PRESENTATION





The
accompanying unaudited condensed consolidated financial statements have been
prepared pursuant to the rules of the United States Securities and Exchange
Commission (the “SEC”). Certain information and footnote disclosures normally
included in consolidated financial statements prepared in accordance with
accounting principles generally accepted in the United States of
America (“GAAP”) have been condensed or omitted pursuant to SEC rules.
These condensed consolidated financial statements should be read in conjunction
with the Ridgewood Electric Power Trust IV (the “Trust”) Annual Report on Form
10-K for the year ended December 31, 2007 filed with the SEC on March 21,
2008 (the “2007 Form 10-K”). No significant changes have been made to the
Trust’s accounting policies and estimates disclosed in its 2007 Form
10-K.





In the
opinion of management, the condensed consolidated financial statements as of
September 30, 2008, and for the nine and three months ended September 30,
2008 and 2007, include all adjustments (consisting of normal recurring accruals)
necessary for a fair presentation of the consolidated financial position,
results of operations and cash flows for the periods presented. The results of
operations for the nine and three months ended September 30, 2008 and 2007, are
not necessarily indicative of the results to be expected for the full year or
any other period.





2.           DESCRIPTION
OF BUSINESS





The Trust
is a Delaware trust formed in September 1994. The Trust began offering shares in
February 1995 and concluded its offering in September 1996. The objective of the
Trust is to provide benefits to its shareholders through a combination of
distributions of operating cash flow and capital appreciation. The Managing
Shareholder of the Trust is Ridgewood Renewable Power LLC (“RRP” or the
“Managing Shareholder”). The Trust has been organized to invest primarily in
independent power generation facilities located in the US. The projects owned by
the Trust have characteristics that qualify the projects for government
incentives.





The
Trust’s accompanying condensed consolidated financial statements include the
accounts of the Trust and its majority-owned subsidiary, Ridgewood Providence
Power Partners, L.P. (“Ridgewood Providence”). The Trust’s condensed
consolidated financial statements also include the Trust’s 50% interest in
Ridgewood Maine Hydro Partners, L.P. (“Maine Hydro”) and its 25% interest in
Ridgewood Indeck Maine Energy, LLC (“Indeck Maine”), which are accounted for
under the equity method of accounting, as the Trust has the ability to exercise
significant influence but does not control the operating and financial policies
of these entities.





The Trust
owns 64.3% interest in Ridgewood Providence and the remaining 35.7% minority
interest is owned by Ridgewood Electric Power Trust III (“Trust III”). The
interest of Trust III is presented as minority interest in the condensed
consolidated financial statements.





The
Managing Shareholder announced that it intends to market Maine Hydro and Indeck
Maine for sale. On August 22, 2008, Ridgewood Maine L.L.C. (co-owned by the
Trust and Ridgewood Electric Power Trust V (“Trust V”)) and Indeck Energy
Services, Inc. (“IES”) entered into a purchase and sale agreement to sell 100%
of the membership interests of Indeck Maine to Covanta Energy Corporation for
cash, subject to various closing conditions, including approval of shareholders
of the Trust and Trust V. A summary of the terms and conditions of the sale was
provided in a Current Report on Form 8-K filed with the SEC on August 25, 2008.
As the sale of Indeck Maine did not occur by October 31, 2008, parties to the
sale may now terminate the purchase and sale agreement without cause or penalty.
As of the date of this filing, no such termination has occurred. There can be no
assurance that any such sales will occur. These assets did not meet the
qualifications to be classified as “held for sale” at September 30,
2008.





3.           RECENT
ACCOUNTING PRONOUNCEMENTS





SFAS
157





In
September 2006, the Financial Accounting Standards Board (“FASB”) issued
Statement of Financial Accounting Standard (“SFAS”) No. 157, Fair Value Measurements
(“SFAS 157”), to define fair value, establish a framework for measuring fair
value in accordance with GAAP and expand disclosures about fair value
measurements. SFAS 157 requires quantitative disclosures using a tabular format
in all periods (interim and annual) and qualitative disclosures about the
valuation techniques used to measure fair value in all annual periods. In
February 2008, FASB issued Staff Position 157-2, Effective Date of FASB Statement
No. 157, which delays the effective date of SFAS 157 for
non-financial assets and non-financial liabilities for the Trust until January
1, 2009, except for items that are recognized or disclosed at fair value in the
financial statements on a recurring basis.  In October 2008, the FASB
issued Staff Position 157-3, Determining the Fair Value of a
Financial Asset When the Market for That Asset Is Not Active,which clarifies the
application of SFAS 157 in a market that is not active and to determine the fair
value of a financial asset when the market for that financial asset is not
active. The Trust adopted SFAS 157 for financial assets and financial
liabilities effective January 1, 2008, with no material impact on its condensed
consolidated financial statements.  Staff Position 157-3 does not have
a material impact on its condensed consolidated financial statements. The Trust
is currently evaluating the impact of adopting SFAS 157 for non-financial
assets and non-financial liabilities on its condensed consolidated
financial statements.





4
 Table of Contents


RIDGEWOOD
ELECTRIC POWER TRUST IV
 NOTES
TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 (unaudited,
dollar amounts in thousands)
  SFAS
159





In
February 2007, the FASB issued SFAS No. 159, The Fair Value Option for Financial
Assets and Financial Liabilities (“SFAS 159”), which expands
opportunities to use fair value measurements in financial reporting and permits
entities to choose to measure many financial instruments and certain other items
at fair value. The Trust adopted SFAS 159 effective January 1, 2008, with no
material impact on its condensed consolidated financial statements.





SFAS
160





In
December 2007, the FASB issued SFAS No. 160, Noncontrolling Interests in
Consolidated Financial Statements — an amendment of ARB No. 51
(“SFAS 160”). SFAS 160 requires that ownership interests in subsidiaries
held by parties other than the parent, and the amount of consolidated net
income, be clearly identified, labeled, and presented in the consolidated
financial statements within equity, but separate from the parent’s equity.
It also requires once a subsidiary is deconsolidated, any retained


noncontrolling
equity investment in the former subsidiary be initially measured at fair value.
Sufficient disclosures are required to clearly identify and distinguish between
the interests of the parent and the interests of the noncontrolling owners. SFAS
160 will become effective for the Trust beginning January 1, 2009. The
Trust is currently evaluating the impact of adopting SFAS 160 on
its condensed consolidated financial statements.





SFAS
162





In May
2008, the FASB issued SFAS No. 162, The Hierarchy of Generally Accepted
Accounting Principles (“SFAS 162”).  SFAS 162 identifies the sources
of accounting principles and the framework for selecting principles to be used
in the preparation of financial statements of nongovernmental entities that are
presented in conformity with GAAP. This statement shall be effective 60
days following the SEC’s approval of the Public Company Accounting Oversight
Board’s amendments to AU section 411, The Meaning of Present Fairly in
Conformity with Generally Accepted Accounting Principles. The Trust is
currently evaluating the impact of adopting SFAS 162 on its condensed
consolidated financial statements.





4.           INVESTMENTS





Maine
Hydro





Summarized
statements of operations data for Maine Hydro for the nine and three months
ended September 30, 2008 and 2007 were as follows:




Nine
      Months Ended
                              
                              
                              Three
      Months EndedSeptember
      30,
                              
                              
                              September
      30,2008
                              
                              
                              2007
                              
                              
                              2008
                              
                              
                              2007Revenues
                              
                              $
                              4,081
                              
                              
                              $
                              2,875
                              
                              
                              $
                              907
                              
                              
                              $
                              111Gross
      profit (loss)
                              
                              
                              2,055
                              
                              
                              
                              728
                              
                              
                              
                              193
                              
                              
                              
                              (616
                              )Income
      (loss) from operations
                              
                              
                              1,656
                              
                              
                              
                              394
                              
                              
                              
                              (44
                              )
                              
                              
                              (702
                              )Net
      income (loss)
                              
                              
                              1,656
                              
                              
                              
                              394
                              
                              
                              
                              (43
                              )
                              
                              
                              (702
                              )Trust
      share of income (loss) in Maine Hydro
                              
                              
                              828
                              
                              
                              
                              197
                              
                              
                              
                              (22
                              )
                              
                              
                              (351
                              )




5
 Table of Contents


RIDGEWOOD
ELECTRIC POWER TRUST IV
 NOTES
TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 (unaudited,
dollar amounts in thousands)




Indeck
Maine





Summarized
statements of operations data for Indeck Maine for the nine and three months
ended September 30, 2008 and 2007 were as follows:




Nine
      Months Ended
                                
                                
                                Three
      Months EndedSeptember
      30,
                                
                                
                                September
      30,2008
                                
                                
                                2007
                                
                                
                                2008
                                
                                
                                2007Revenues
                                
                                $
                                32,094
                                
                                
                                $
                                26,573
                                
                                
                                $
                                10,929
                                
                                
                                $
                                8,244Gross
      profit
                                
                                
                                5,295
                                
                                
                                
                                3,228
                                
                                
                                
                                2,635
                                
                                
                                
                                1,056Income
      from operations
                                
                                
                                4,683
                                
                                
                                
                                2,922
                                
                                
                                
                                2,608
                                
                                
                                
                                1,013Net
      income
                                
                                
                                3,554
                                
                                
                                
                                1,838
                                
                                
                                
                                2,222
                                
                                
                                
                                653Trust
      share of income in Indeck Maine
                                
                                
                                1,560
                                
                                
                                
                                708
                                
                                
                                
                                1,036
                                
                                
                                
                                260


During
the second quarter of 2008, management fees due to Indeck’s board members
totaling $933 was forgiven by the members. Indeck Maine has recorded this
forgiveness as a capital contribution. The Trust and Trust V have each recorded
this forgiveness as a capital contribution of $467.





In
accordance with the Indeck Maine operating agreement, losses and depreciation
have been allocated to IES to the extent of its adjusted capital account
balance.  Prior year losses and depreciation, in excess of the amount
allocated to IES, have been allocated equally between the Trust and Trust V. In
addition, profits are allocated equally between the Trust and Trust V until the
priority return from operations is received. As of September 30, 2008, the
cumulative priority return was approximately $29,000.





The Trust
assigned the excess purchase price over the net assets acquired to fixed assets.
The Trust depreciates the fixed assets over their remaining useful lives using
the unit of production method.  Depreciation expense of $217 and $211
for the nine months ended September 30, 2008 and 2007, respectively, and
depreciation expense of $75 and $66 for the three months ended September 30,
2008 and 2007, respectively, was included in the equity income from Indeck Maine
in the condensed consolidated statements of operations.




5.           COMMITMENTS
AND CONTINGENCIES





Ridgewood
Providence, Indeck Maine and Ridgewood Rhode Island Generation, LLC, an
affiliate of Ridgewood Providence and Indeck Maine (collectively, the
“Companies”), have an agreement with a power marketer for which they are
committed to sell a portion of their Renewable Portfolio Standards Attributes
(“RPS Attributes”) derived from their electric generation. The agreement
provides such power marketer with six separate annual options to purchase such
RPS Attributes from 2004 through 2009 at fixed prices. If the Companies fail to
supply the required number of RPS Attributes, liquidated damages may be
assessed. In accordance with the terms of the agreement, if the power marketer
elects to exercise an annual option and the Companies produce no renewable
attributes for such option year, the Companies face maximum liquidated damages,
which are adjusted annually for the change in the consumer price index, among
other things, of up to approximately $3,800, measured using factors in effect at
December 31, 2007, for that option year and any other year in which an option
has been exercised and insufficient renewable attributes have been produced.
Ridgewood Providence and Indeck Maine are liable for 8% and 70% of the total
liquidated damages, respectively, but may each be liable up to 100% in the event
of default by any of the Companies. In addition, the Trust (together with
several other Funds managed by the Managing Shareholder) is a guarantor of the
Companies’ obligations under the agreement and as such, could be liable for a
maximum percentage of the Companies’ liabilities under the agreement. In the
fourth quarter of 2007, the power marketer notified the Companies that it has
elected to purchase the output for 2008 as specified in the agreement. As of
September 30, 2008 and 2007, the Companies have satisfied and delivered RPS
Attributes as prescribed in the agreements and therefore no liquidated damages
were incurred. In August 2008, the agreement with the power marketer was amended
and the security deposit with the power marketer was increased by $6,121 ($3,000
of which was provided by the Trust) in exchange for the release of, among other
things, certain underlying assets that have been sold, or are being marketed for
sale, as collateral for the obligations of the Companies under the agreement.
The agreement, as amended, also limits the dividends and distributions and the
incurrence of debt by Ridgewood Providence. The amendment also defers the timing
on the payment for the RPS Attributes and eliminates the limits on the liability
of the Trusts under the guarantees. In connection with this deposit, the
Managing Shareholder loaned $3,000 to the Trust at the Managing Shareholder’s
cost of borrowing. It is expected that the loan will be repaid as the deposit is
released by the power marketer, or if Indeck Maine is sold, from the Trust’s
share of the net proceeds from the sale. Ridgewood Providence’s and the Trust’s
portion of the deposits total $3,405 at September 30, 2008. Indeck Maine’s
portion of the deposit total $2,175 at September 30, 2008. To the Trust’s
knowledge, the power marketer does not have the deposits segregated. In
September 2008, the power marketer announced it was being acquired. Indeck Maine
and the Trust do not believe any impairment in the recorded value of the deposit
has occurred.


6
 Table of Contents
 RIDGEWOOD
ELECTRIC POWER TRUST IV
 NOTES
TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 (unaudited,
dollar amounts in thousands)


On August
16, 2006, the Trust and several affiliated entities, including the Managing
Shareholder, filed lawsuits against the former independent registered public
accounting firm for the Trust and several affiliated entities, Perelson Weiner,
LLP (“Perelson Weiner”), in New Jersey Superior Court.  The suits alleged
professional malpractice and breach of contract in connection with audit and
accounting services performed for the Trust and other plaintiffs by Perelson
Weiner. On October 20, 2006, Perelson Weiner filed a counterclaim against the
Trust and other plaintiffs alleging breach of contract due to unpaid invoices
with a combined total of approximately $1,200. Discovery is ongoing and no trial
date has been set. The costs and expenses of the litigation are being paid for
by the Managing Shareholder and affiliated management companies and not the
underlying investment funds, including the Trust.





The Trust
is subject to legal proceedings involving ordinary and routine claims related to
its business. The ultimate legal and financial liability with respect to
such matters cannot be estimated with certainty and requires the use of
estimates in recording liabilities for potential litigation settlements.
Estimates for losses from litigation are disclosed if considered reasonably
possible and accrued if considered probable after consultation with outside
counsel. If estimates of potential losses increase or the related facts and
circumstances change in the future, the Trust may be required to record
additional litigation expense. While it is not possible to predict the
outcome of the litigation discussed above with certainty and some lawsuits,
claims or proceedings may be disposed of unfavorably to the Trust, based on its
evaluation of matters which are pending or asserted, the Trust’s management
believes the disposition of such matters will not have a material adverse effect
on the Trust’s business or its financial statements.




7
 Table of Contents




ITEM
2.   MANAGEMENT’S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS




The
purpose of this discussion and analysis of the operating results and financial
condition as of September 30, 2008 is intended to help readers analyze the
accompanying condensed consolidated financial statements, notes and other
supplemental information contained in this document.  Results of
operations for the nine and three months ended September 30, 2008 are not
necessarily indicative of results to be attained for any other period. This
discussion and analysis should be read in conjunction with the accompanying
condensed consolidated financial statements, notes and other supplemental
information included elsewhere in this report and
Item 7.  “Management’s Discussion and Analysis of Financial
Condition and Results of Operations” of the Trust’s 2007 Form 10-K.





Forward-Looking
Statements




Certain
statements discussed in this item and elsewhere in this Quarterly Report on Form
10-Q constitute forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. These forward-looking statements
generally relate to the Trust’s plans, objectives and expectations for future
events and include statements about the Trust’s expectations, beliefs, plans,
objectives, intentions, assumptions and other statements that are not historical
facts. These statements are based upon management’s opinions and estimates
as of the date they are made. Although management believes that the expectations
reflected in these forward-looking statements are reasonable, such
forward-looking statements are subject to known and unknown risks and
uncertainties that may be beyond the Trust’s control, which could cause actual
results, performance and achievements to differ materially from the results,
performance and achievements projected, expected, expressed or implied by the
forward-looking statements. Examples of events that could cause actual results
to differ materially from historical results or those anticipated include the
sale of Trust’s assets, the outcome of the litigation described in Part
I, Item 1, Note 5. “Commitments and Contingencies” of this report, changes
in political and economic conditions, federal or state regulatory structures,
government mandates, the ability of customers to pay for energy received,
supplies and prices of fuels, operational status of generating plants,
mechanical breakdowns, volatility in the price for electric energy, natural gas
or renewable energy. Additional information concerning the factors that could
cause actual results to differ materially from those in the forward-looking
statements is contained in Item 1A. “Risk Factors” and Item 7.
“Management’s Discussion and Analysis of Financial Condition and Results of
Operations” of the Trust’s 2007 Form 10-K. The Trust undertakes no obligation to
publicly revise any forward-looking statements or cautionary factors, except as
required by law.





Critical
Accounting Policies and Estimates





The
following discussion and analysis of the Trust’s financial condition and
operating results is based on its condensed consolidated financial
statements.  The preparation of this Quarterly Report on Form 10-Q
requires the Trust to make estimates and assumptions that affect the reported
amount of assets and liabilities, disclosure of contingent assets and
liabilities at the date of the Trust’s condensed consolidated financial
statements, and the reported amount of revenue and expenses during the reporting
period. Actual results may differ from those estimates and
assumptions.  No material changes have been made to the Trust’s
critical accounting policies and estimates disclosed in its 2007 Form
10-K.




Results
of Operations and Changes in Financial Condition




Nine
months ended September 30, 2008 compared to the nine months ended September 30,
2007





The Trust
recorded revenues of $7.3 million for the nine months ended September 30, 2008
compared to $10 million for the same period in 2007, a decrease of approximately
$2.7 million, or 27.8%.  This decrease was primarily due to a decrease
in renewable attribute revenue of $2.5 million, or 64.9%, resulting from
produced, but unsold, renewable energy credits due to low market demand in the
2008 period. In addition, a decrease in sublease revenue of $0.4 million in the
2008 period was due to termination of the sublease agreement with Central
Gas Limited Partnership effective December 31, 2007.





Cost of
revenues decreased $1 million, or 13.2%, from $7.4 million for the nine months
ended September 30, 2007 to $6.4 million for the same period in 2008. This was
primarily attributable to a decrease in royalty expenses resulting from lower
renewable attribute revenues and a decrease in fuel expenses for the nine months
ended September 30, 2008.





Gross
profit decreased approximately $1.9 million, or 68.3%, from gross profit of $2.7
million for the nine months ended September 30, 2007 to $0.8 million for the
same period in 2008 primarily due to decreased renewable attribute
sales.




8
 Table of Contents




General
and administrative expenses increased $2.4 million from $0.6 million for the
nine months ended September 30, 2007 to $3 million for the same period in 2008.
This increase was primarily attributable to higher professional
fees.





For the
nine months ended September 30, 2008, the Trust recorded equity income of $0.8
million from its investment in Maine Hydro compared to $0.2 million for the same
period in 2007. The increase in equity income of $0.6 million was primarily the
result of increased revenues from higher production in the 2008
period.





For the
nine months ended September 30 2008, the Trust recorded equity income of $1.6
million from its investment in Indeck Maine compared to $0.7 million for the
same period in 2007. The increase in equity income of $0.9 million was
primarily attributable to an increase in power generation revenue resulting
from higher production rates in the 2008 period.





The Trust
recorded a minority interest in the loss of subsidiary of $0.4 million for the
nine months ended September 30, 2008 compared to earnings of $0.8 million for
the same period in 2007. This decrease of $1.2 million was due to a
decrease in the net earnings of Ridgewood Providence in the 2008 period compared
to 2007, as a result of lower renewable attribute sales.





Total
assets at September 30, 2008 were $26.2 million compared to $23.1million at
December 31, 2007. The increase of $3.1 million in total assets was attributable
to increases of $3 million in deposits to the power marketer, $2 million in
investments, $0.3 million in notes receivable, affiliates and $0.2 million in
prepaid expenses and other current assets. These increases were partially offset
by decreases of $0.7 million in accounts receivable, $0.6 million in cash and
cash equivalents, $0.6 million in plant and equipment and $0.5 million in
intangibles. Total liabilities increased by $2.1 million from $5.5 million at
December 31, 2007 to $7.6 million at September 30, 2008. This increase was
primarily due to increases of $3 million in loans payable to the Managing
Shareholder in connection with the deposits and $0.4 million in accounts
payable, partially offset by decreases of $0.9 million in minority interest and
$0.2 million in accrued royalty expense.





Three
months ended September 30, 2008 compared to the three months ended September 30,
2007





The Trust
recorded revenues of $2 million for the three months ended September 30, 2008
compared to $3.4 million for the same period in 2007, a decrease of $1.4
million, or 40.3%. This decrease was primarily due to a decrease of $1.2
million, or 92.7%, in renewable attribute revenue resulting from produced, but
unsold, renewable energy credits due to low market demand in the 2008 period. In
addition, a decrease in sublease revenue of approximately $0.2 million in the
2008 period was due to the termination of the sublease agreement with
Central Gas Limited Partnership effective December 31, 2007.





Cost of
revenues decreased $0.5 million, or 21.3%, from $2.4 million for the three
months ended September 30, 2007 to $1.9 million for the same period in 2008.
This was primarily attributable a decrease in royalty expenses resulting from
lower renewable attribute revenues in the 2008 period.





Gross
profit decreased $0.9 million, or 86.1%, from gross profit of $0.1 million for
the three months ended September 30, 2008 compared to $1 million for the same
period in 2007. This was primarily due to decreased renewable attribute
sales.





General
and administrative expenses increased approximately $1.1 million from $0.3
million for the three months ended September 30, 2007 to $1.4 million for the
same period in 2008. This increase was primarily attributable to higher
professional fees.





For the
three months ended September 30, 2008, the Trust recorded equity loss of $22,000
from its investment in Maine Hydro compared to $0.4 million for the same period
in 2007. This decrease in equity loss was primarily the result of increased
revenues from higher production in the 2008 period.





For the
three months ended September 30 2008, the Trust recorded equity income of $1
million from its investment in Indeck Maine compared to $0.3 million for the
same period in 2007. The increase in equity income of approximately $0.7
million was primarily attributable to an increase in power generation
revenue resulting from higher production rates in the 2008 period.





The Trust
recorded a minority interest in the loss of subsidiary of $0.3 million for the
three months ended September 30, 2008 compared to earnings of $0.3 million for
the same period in 2007. This decrease of approximately $0.6 million was
due to a decrease in the net earnings of Ridgewood Providence in the 2008 period
compared to 2007, as a result of lower renewable attribute
sales.





Liquidity
and Capital Resources





Nine
months ended September 30, 2008 compared to the nine months ended September 30,
2007





At
September 30, 2008, the Trust had cash and cash equivalents of $0.2
million, a decrease of $0.6 million from $0.8 million at December 31, 2007.
The cash flows for the nine months ended September 30, 2008 represents $3.1
million used in operating activities and $2.5 million provided by financing
activities.




9
 Table of Contents




For
the nine months ended September 30, 2008, the Trust’s operating activities
used cash of $3.1 million, as compared to cash provided of $3.1 million for the
same period in 2007.  The increase in cash used by operating
activities of approximately $6.2 million in the 2008 period was primarily due to
a decrease in income from operations and an increase in deposits to the power
marketer.





For
the nine months ended September 30, 2008, the Trust provided cash of $2.5
million in financing activities, as a result of proceeds of $3 million from
loans payable to the Managing Shareholder in connection with the deposits,
partially offset by $0.5 million used for cash distributions to minority
interest.  For the same period in 2007, the Trust used cash of
$3.1 million in financing activities, as a result of $1.9 million and
approximately $1.2 million used for cash distributions to shareholders and
minority interest, respectively.





Future
Liquidity and Capital Resource Requirements





Under an
agreement with a power marketer, Ridgewood Providence is not permitted to make
dividends or distributions to its owners nor is it able to incur new
indebtedness. Notwithstanding these restrictions, the Trust expects cash flows
from operating activities, along with existing cash, cash equivalents and
borrowing capabilities will be sufficient to provide working capital and fund
capital expenditures for the next 12 months.





Off-Balance
Sheet Arrangements and Contractual Obligations and Commitments





The
Trust, along with other Trusts managed by the Managing Shareholder, are jointly
and severally liable for liquidated damages if Ridgewood Providence and
affiliates fail to produce RPS Attributes under an agreement with a power
marketer, as more fully described in Note 5 to the Trust’s condensed
consolidated financial statements included in Part I. Item 1. “Financial
Statements” of this Form 10-Q.





ITEM
3.   QUANTITATIVE AND QUALITATIVE DISCLOSURES
ABOUT MARKET RISK




Not
required.




ITEM
4.   CONTROLS AND PROCEDURES




In
accordance with Rule 13a-15(b) of the Securities Exchange Act of 1934, as
amended (the “Exchange Act”), the Trust’s Chief Executive Officer and Chief
Financial Officer evaluate the effectiveness of the Trust’s disclosure controls
and procedures, as defined in Exchange Act Rule 13a-15(e). Based on this
evaluation, the Trust’s Chief Executive Officer and Chief Financial Officer
concluded that the Trust’s disclosure controls and procedures were effective as
of the end of the period covered by this report to ensure that information
required to be disclosed by a registrant in reports filed pursuant to Exchange
Act are recorded, processed, summarized and reported within the time periods
specified in the SEC rules and forms and that information required to be
disclosed by a registrant is accumulated and communicated to senior management
so as to allow timely decisions regarding required disclosure.




Changes
in Internal Control over Financial Reporting




The
Trust’s Chief Executive Officer and Chief Financial Officer have concluded that
there was no change in the Trust's internal control over financial reporting (as
such term is defined in Rule 13a-15(f) under the Exchange Act) that occurred
during the quarter ended September 30, 2008 that has materially affected, or is
reasonably likely to materially affect, the Trust’s internal control over
financial reporting.





PART
II.   OTHER INFORMATION





ITEM
1.   LEGAL PROCEEDINGS





There
have been no material changes to the legal proceedings disclosed in the Trust’s
2007 Form 10-K.





ITEM
1A.   RISK FACTORS





There
have been no material changes to the risk factors disclosed in the Trust’s 2007
Form 10-K.





ITEM
2.   UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF
PROCEEDS





None.




10
 Table of Contents




ITEM
3.   DEFAULTS UPON SENIOR SECURITIES





None.





ITEM
4.   SUBMISSION OF MATTERS TO A VOTE OF SECURITY
HOLDERS





None.





ITEM
5.   OTHER INFORMATION





None.





ITEM
6.   EXHIBITS





Exhibit No.
                
                Description2.1
                
                Purchase
      and Sale Agreement, dated August 19, 2008, by and among Ridgewood
      Maine, L.L.C.,  and Indeck Energy Services, Inc., Covanta Energy
      Corporation, and for certain limited purposes, Indeck Maine Energy, LLC
      (incorporated by reference to Exhibit 2.1 to the Current Report on Form
      8-K filed by the Registrant with the SEC on August 25,
    2008).10.1
                
                Backup
      Certificate Agreement, dated August 19, 2008, by and among Indeck
      Maine Energy, LLC, Ridgewood Providence Power Partners, L.P., Ridgewood
      Rhode Island Generation, LLC, Linwood 0708 LLC, Rhode Island LFG Genco,
      LLC, and for certain limited purposes, Ridgewood Power Management LLC, and
      Covanta Energy Corporation (incorporated by reference to Exhibit 10.1 to
      the Current Report on Form 8-K filed by the Registrant with the SEC on
      August 25, 2008).10.2
                
                Guaranty
      of Covanta Energy Corporation dated August 19, 2008 (incorporated by
      reference to Exhibit 10.2 to the Current Report on Form 8-K filed by the
      Registrant with the SEC on August 25, 2008).10.3
                
                Sellers
      Omnibus Agreement, dated August 19, 2008, by and among Ridgewood
      Maine, L.L.C., Indeck Energy Services, Inc., and, for certain limited
      purposes, Ridgewood Renewable Power LLC (incorporated by reference to
      Exhibit 10.3 to the Current Report on Form 8-K filed by the Registrant
      with the SEC on August 25, 2008).10.4
                
                Certificate
      Sale Support Agreement, dated July 31, 2008, by and among Linwood
      0708 LLC, Ridgewood Rhode Island Generation, LLC, Ridgewood
      Providence Power Partners, L.P., Rhode Island LFG Genco, LLC, Indeck
      Energy Services, Inc., Ridgewood Electric Power Trust I, Ridgewood
      Electric Power Trust III, Ridgewood Electric Power Trust IV,
      Ridgewood Electric Power Trust V, Ridgewood Power B Fund/Providence
      Expansion, and Ridgewood Renewable Power, LLC (incorporated by
      reference to Exhibit 10.4 to the Current Report on Form 8-K filed by the
      Registrant with the SEC on August 25, 2008).10.5
                
                Agency
      Agreement, dated August 19, 2008, among Ridgewood Providence Power
      Partners, L.P., Ridgewood Rhode Island Generation, LLC, Linwood 0708 LLC,
      Ridgewood Power Management, LLC and Indeck Maine Energy, LLC. This Agency
      Agreement is also acknowledged by Ridgewood Electric Power Trust III,
      Ridgewood Electric Power Trust IV, Ridgewood Electric Power
      Trust V and Ridgewood Power B Fund/Providence Expansion (incorporated
      by reference to Exhibit 10.5 to the Current Report on Form 8-K filed by
      the Registrant with the SEC on August 25, 2008).10.6
                *
                Senior
      Executive Bonus Plan.31.1
                *
                Certification
      of Randall D. Holmes, Chief Executive Officer of the Registrant, pursuant
      to Securities Exchange Act Rule 13a-14(a).31.2
                *
                Certification
      of Jeffrey H. Strasberg, Chief Financial Officer of the Registrant,
      pursuant to Securities Exchange Act Rule 13a-14(a).32
                *
                Certifications
      pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of
      The Sarbanes-Oxley Act of 2002, signed by Randall D. Holmes, Chief
      Executive Officer of the Registrant, and Jeffrey H. Strasberg, Chief
      Financial Officer of the
Registrant.





*           Filed
herewith.





11
 Table of Contents




SIGNATURES





Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.






RIDGEWOOD ELECTRIC
      POWER TRUST IVDate:
      November 7, 2008
            By:
            /s/ 
      Randall D. HolmesRandall
      D. HolmesPresident
      and  Chief Executive Officer(Principal
      Executive Officer)






Date:
      November 7, 2008
            By:
            /s/ 
      Jeffrey H. StrasbergJeffrey
      H. StrasbergExecutive
      Vice President and Chief Financial Officer(Principal
      Financial and Accounting Officer)













12