New Delhi, Sept. 15
Essar Wind Power Pvt Ltd, a wholly owned subsidiary of Essar Global signed a licensing agreement with REpower Systems AG of Germany on Friday for the design and manufacture of 1.5 and 2 MW wind turbines in India and marketing in South East Asia.
According to a company spokesman, the two corporations have agreed to set up a joint venture in the near future, which will allow access to 3 and 5 MW turbines as well as other future developments and wider market reach.
Commenting on the occasion, Mr Anshuman Ruia, Director, Essar Power said that the agreement comes at a time when there is a huge demand for power in India.
"It also fits in perfectly with our strategy of diversifying into renewable energy sources," he said.
Essar Wind proposes to set up the manufacturing plant in a port-based location and plans to pump in around Rs 50 crore as initial investments and would be funded through internal resources, a company release said.
The company plans to start commercial production by the middle of next year, the release added.