Renew Services Ltd was established in 2007 with the aim that its projects would lead to carbon reduction, generating and securing community controlled renewable energy supply and addressing fuel poverty.

Both of the company's members of staff were made redundant in the move.

Renew Services was a non-profit company set up by Ore Valley Housing Association and Fife Council, with support from Social Investment Scotland, Communities Scotland, Co-operative Development Scotland and The Co-operative Group.

The company worked on a number of projects, these involved looking at combined heat and power, community owned wind, solar energy and passive homes. Given the technical and funding complexity of these projects, Renew Services was set up to provide client side project management services.

A spokesman for Renew Services said: "It is very disappointing to see all of the hard work put in over the past couple of years not resulting in success for the company."

He said there were a range of reasons behind the difficulties including:

• The complexity of some projects with associated long lead in times


• Insufficient resources targeted on delivery of project


• Inadequate charging structure for projects at feasibility stage which subsequently abort


• Difficulties in the house building sector


• The general economic downturn

The spokesman added that since the company was established, a large range of prospects were identified, however, the majority of these have not progressed, which led to Renew incurring costs but not generating sufficient income.

The company met with creditors last Wednesday.

Renew Services was managing the Cardenden Heat and Power (CHaP) project on behalf of the local authority and Ore Valley.

CHaP is a renewable energy project which aims to deliver affordable heating and hot water to the tenants and residents of Cardenden.

It intends to be rolled out in stages across the town and will use biomass fuel from recycled waste wood and sustainably grown crops.

Both organisations hope their social housing tenants will benefit from this scheme.

And despite Renew Services going into voluntary liquidation, Fife Council has stressed its continued commitment to the project.

Ian Dawson, investment co-ordinator, said: "Fife Council and Ore Valley Housing Association remain committed to the Cardenden Heat and Power scheme and will continue to develop it."