Hong Kong’s CLP invests in China wind projects

CLP will invest US$13.07 million in a joint venture to acquire two wind projects in Fuxin City, China.

Under the deal, CLP will acquire 50 percent equity interest in a wholly-owned subsidiary of China Wind Power Group Limited to form the CLP-CWP Wind Power Investment Limited. The new joint venture will own 49 percent of two wind projects in Fuxin City of Liaoning Province in China. The wind farm facilities are expected to have a combined installed capacity of 99MW (49.5MW each) and to be completed this year.

This transaction effectively increases CLP's renewable energy portfolio by 24.3MW to about 1,090 equity MW, representing around 8.6 percent of its total generation capacity. Currently, CLP's renewable projects span Australia, Mainland China, India, Laos with a diversity of renewable fuels, including wind, hydro, biomass, solar, and geothermal sources.

"The joint venture with CWP will strengthen our capacity in wind power generation in the northeastern region of Mainland China," said Dr. Ko Yu Ming, Managing Director - China of CLP. "It also reinforces our ongoing commitment to developing renewable energy to meet the interim target of increasing our non-carbon emitting generating capacity to 20 percent by 2020 as set out in our Climate Vision 2050," he added.

"This transaction would provide an opportunity for CWP and CLP to develop jointly certain wind power projects in the Mainland. The expertise and experience of CLP in the electricity industry would further strengthen and broaden CWP's business development in the wind power industry," said Mr. Liu Shunxing, Chief Executive of CWP.

The new joint venture also has rights to participate in all existing and future wind farm projects located in Liaoning and Heilongjiang Provinces where CWP or its affiliates have development rights.