Spent some time working on a solution to my issue and thought it may be of interest. I ran into a problem trying to automate code generation using PowerShell 3.0 on Windows 8. The target IDE was the Keil compiler using MDK-ARM Essential Toolchain 5.24.1. A bit different from OP, as I am using PowerShell natively during the pre-build step. When I tried to #include the generated file, I received the error
fatal error: UTF-16 (LE) byte order mark detected '..\GITVersion.h' but encoding is not supported
I solved the problem by changing the line that generated the output file from:
out-file -FilePath GITVersion.h -InputObject $result
to:
out-file -FilePath GITVersion.h -Encoding ascii -InputObject $result