General Electric Co. (GE) and Epuron, a Singapore based subsidiary of Conergy, are planning to set up a 200 megawatts renewable power project in Asia in the next five years. The project would require an investment of $250 million.
GE Energy Financial Services and Epuron said that the Renewable Energy Trust Asia (RETA) would be the first of its kind focused on emerging Asian economies.
The trust will be aimed at wind, solar, hydroelectric, biogas and biomass projects in India, South Korea and countries in the Association of the South Asian Nations, which includes Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam. This region represents a $7 billion market for the renewable energy projects.
While GE Financial Services will hold 80% stake in the RETA, Epuron will hold the remaining 20% share. Epuron will be the trust's trustee manager, responsible for project development, debt financing, acquisition of hardware, and supervision of construction projects. Post the establishment of these projects, Epuron will manage them too.
The trust will build 200 megawatt portfolio of projects. The first investment is planned to be made within a year. The trust will also consider acquiring and operating renewable energy projects.
while GE is the largest manufacturer of the wind turbine mills in the world, Conergy, Epuron's parent company focuses on developing and installing solar and wind power plants.
GE Financial Services already has $ 4 billion invested in the green technology and plans an additional investment of $ 6 million by 2010.