The purchase of two run-of-river hydro power businesses are in negotiation at present – the 24.5MW AMR and 24.5MW Rithwik plants. Both plants are expected to be commissioned in June 2008.

Both hydro plants are being built in South Canara, Karnataka in India, and will have Kaplan units installed. Each plant is expected to generate more than 66,000 Carbon Emission Reduction (CER) credits.

Greenko intends to use the equity injection to help fund its first growth phase towards a portfolio of 400MW by 2010-11 through acquisition and investment in renewables projects currently in construction or to be built.

The company’s existing portfolio is based on biomass plants of single digit megawatt capacities, half the purchases having been made in the last few months. Together with the 49MW of hydro power capacity, Greenko intends to have just over 90MW in its portfolio in the near future. Next year the firm could start construction of a further two biomass schemes.

Described as a cash generative clean energy producer that sells electricity and CERs, in the year to 31 March Greenko received approximately Euro2M (US$2.9M) in CER revenues at about Euro12 per unit.