E.on, Munich Re, Schott Solar stay in Desertec project - report

(SeeNews) – Nov 14, 2012 – German utility E.on (ETR:EOAN), reinsurer Munich Re (ETR:MUV2) as well as photovoltaic (PV) equipment maker Schott Solar are holding on to their engagements in the Desertec renewable energy project, according to different media reports.

News agency Reuters said on Tuesday, citing spokesmen for the companies, that E.on and Munich Re are still convinced in the project's perspectives. News agency DPA, on the other hand, reported today that Schott Solar will also remain engaged in the Desertec project, which currently has more than 50 participants.

However, the project is said to be progressing slower than initially expected. After engineering group Siemens’ (ETR:SIE) withdrew from the initiative last week, industrial group Bosch announced on Tuesday that it will not extend its membership contract and will exit the initiative at the end of 2012, blaming economic hardships for its decision.

The Desertec Industrial Initiative (DII) brings together partners from 15 countries, whose objective is to develop solar power and wind resources in the North Africa and the Middle East (MENA) deserts in order to power a network extending to Europe and the Middle East.

The EUR 400 billion (USD 509.1bn) project aims to supply MENA entirely with renewable energy by 2050, while part of the generated renewable energy will be transported to Europe.

(EUR 1.00 = USD 1.27)

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