Abbreviated Company Accounts - GLEBE FARM SPV LIMITED

1Accounting Policies

Basis of measurement and preparation of accounts
The financial statements have been prepared on a going concern basis, under the historical cost convention, and in accordance with the Companies Act 2006 and applicable accounting standards in the United Kingdom. The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the Company's financial statements.

Turnover policy
Turnover represents monies from the generation of energy from operational solar parks during the period. Any uninvoiced revenue is accrued in the period in which it has been generated.

Revenue is stated net of value added tax and is generated entirely within the United Kingdom.

Turnover relating to the accrued income for ROCS and LECS
The number of Renewable Obligation Certificates (“ROCS”) and Levy Exempt Certificates (“LECS”) are calculated each month based on the net number of mega-watts of power exported. The ROC price is fixed for each Compliance Period (“CP”) which runs from 1 April to 31 March and is published in advance by Ofgem. The LEC is an exemption to the Climate Change Levy (“CCL”) which is published in advance of the tax year by HMRC. Management has adopted the policy of recognising ROC revenue on a monthly basis based on the price for the relevant compliance period.

Tangible assets depreciation policy
Tangible fixed assets are stated at cost less accumulated depreciation. The charge to depreciation is calculated to write off the original cost or valuation of tangible fixed assets, less their estimated residual value, over their expected useful lives as follows:

Tangible fixed assets - 4% Straight line

The carrying values of tangible assets are reviewed annually for impairment in periods if events or changes in circumstances indicate the carrying value may not be recoverable.

Other accounting policies
Accrued income
Accrued income is based upon invoices raised subsequent to the end of the period.

Provisions for liabilities and charges
Liabilities for decommissioning costs are recognised when the Company has an obligation to dismantle and remove the Solar PV equipment and to restore the land on which it is located. Liabilities may arise upon construction of such facilities, upon acquisition or through a subsequent change in legislation or regulations. The amount recognised is the estimated present value of expenditure determined in accordance with local conditions and requirements. A corresponding tangible item of property, plant and equipment equivalent to the provision is also created.

Any changes in the present value of the estimated expenditure is added to or deducted from the cost of the assets to which it relates. The adjusted depreciable amount of the asset is then depreciated prospectively over its remaining useful life, and is included within depreciation charges as shown on the Profit and loss account. The unwinding of the discount on the decommissioning provision is included as a finance cost. The estimated future costs of decommissioning are reviewed annually and adjusted for as appropriate. The initial discount rate applied in determining the decommissioning provision was 3%.

Taxation
Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the year and is calculated using the tax rates and laws that have been enacted or substantially enacted at the balance sheet date.

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events have occurred at that date that will result in an obligation to pay more tax in the future, or a right to pay less tax in the future. Timing differences are temporary differences between the Company's taxable profits and its results as stated in the financial statements.

Deferred tax is measured on an undiscounted basis at the tax rates that are anticipated to apply in the periods in which the timing differences are expected to reverse based on tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Taxation £555,789
Amounts due from group undertakings £100