Administrators have been called in at a renewable energy producer and are now seeking new investment or a buyer for the South East business.
Crouchland Biogas is based in Dunsfold, Surrey, and has been producing energy since January 2010 from an anaerobic digestion plant at Crouchland Farm in Billingshurst, West Sussex. Since inception, the plant has produced approximately 106 Giga Watt hours of electricity, the equivalent power to heat more than 100,000 British homes.
Jason Baker and Alastair Massey, partners at FRP Advisory, were appointed as joint administrators on 7 August 2017 and all 11 staff have been retained while new investment for the business is sought.
Crouchland Biogas had more recently faced changes in the funding system for renewable energy, coupled with pricing declines in the wholesale electricity market. Pressure on the company’s cashflow became “unsustainable” under its current financial structure.
Prior to entering administration the business had lodged an appeal against an enforcement notice from Chichester District Council and against West Sussex County Council’s refusal to grant retrospective planning permission for certain aspects of the plant at Crouchland Farm. A decision on those appeals is awaited.
The joint administrators will continue to trade the business and evaluate the company’s financial position “in the interest of creditors”.