NextEnergy Solar Share Price (NESF)

Thanks for your take on this Timbob, cheers for your view, guess the market not overconcerned either based on nesf price action today, albeit gov bonds taking small hit

Personally dont think Andy B as a PM will be much differant than Keir TBH. Labour's biggest stumbling block has been the wider party/MPs who seem to have differant goals/objectives then the Leader; Andy doesnt seem to be much differant, having jumpped between differant Labour philosophy's depending on who was leading the party at the time... only plus side, is he seems a more likable and relateable person, so might be able to pusuade more of the MPs to back him...

As for impact on NESF, regardless of it being Conservative, Reform, Labour, Greens or coalition, i dont think the next Govt. or PM to that, will impact NESF greatly. 50% of rev. is already driven by open market revenues and as more schemes come of the old grants, much more revenue will be from the market. As for ripping up the old grants, i think this is mostly posturing by Reform and now Cons.; the recent changes in the indexation was only "legal" as the framework was in place... ripping up agreements halfway through their lifespan would be highy controversial, most likely illegal and would most likely be challenged in the high courts. It would also undermine the governments ability to back "ANYTHING" and shock the market too much...

Think the reality is less or stop of on subsidies for new projects and more support for the historic carbon based system (which whilst more volitile) is still typically cheaper for end useres...

Question relating mainly to legacy generators such as nesf!

How do folk rate the risks of Andy being PM on the renewable sector and current subsidy schemes and associated taxes?

The only good thing about Andy as PM is less chance of a reform PMat next GE, who would likely make things much worse for the sector.

Of course don't really wish discuss politics here, I'll try avoid that but interested in risk perception going forward.

Lower overall in the long term but perhaps higher short to medium term?

There is only a cash option for the pref holders if nesf offers it to them after 2030, or the company gets bought out.

As NAV with prefs at fair is likely higher than NAV with prefs at par, best financial outcome for USS maybe to buy out company at or near NAV. But pension funds don't always go for the best financial income, given the accounting rules they have to live under.