Microgeneration bolsters "one-stop shop" service with building firm buyout

Small-scale renewable energy specialist Microgeneration Limited yesterday announced it has acquired building engineering firm HW Smith & Son in a deal designed to create a "one-stop shop" for installing renewable energy systems.

The 60-strong company said the introduction of the feed-in tariff incentive scheme in April had resulted in a threefold increase in enquiries from customers interested in installing renewable energy systems such as solar panels and wind turbines and as a result it is looking to scale up to respond to the growing demand.

"This acquisition means we have become the largest and most highly qualified renewable energy business in the South West, and has also strengthened our position among the UK's leaders," said Andrew Honey, founder of Microgeneration. "The market conditions were absolutely right. There could not have been a better time for us to join forces in this way."

The company added that it expects demand for other renewable energy systems, such as ground source heat pumps and biomass technologies, to also increase following the planned introduction next year of the Renewable Heat Incentive. It said it is also anticipating increased interest from the business sector as legislation such as the Carbon Reduction Commitment cranks up pressure on firms to improve their environmental credentials.

The acquisition of HW Smith & Son for an undisclosed sum will see Microgeneration, which was founded in 2005, take over a company that was first established in the 1930s.

Honey hailed the deal as a "significant milestone" in the company’s development, predicting that it would strengthen its presence in the fast-expanding microgeneration market.

"The ability to provide our customers with a one-stop shop has always been an essential part of our vision," he said. "We are confident that we are accredited in all the renewable energy solutions for each type of building, whether it be a new-build school, an apartment, a health centre or even eighteenth-century buildings in the National Trust... to find such a strong electrical and mechanical delivery capability now gives us the complementary skills and confidence to deliver even more complex solutions."