Bhoruka in tie-up for carbon credit

Bhoruka Power Corporation Limited, part of the Bangalore-based Bhoruka Group and hydro-electricity producer, today announced its foray into the clean development mechanism market by entering into an emission reduction purchase agreement with Mitsubishi Corporation, Japan for the sale of carbon credits.

The company has recei-ved approval for selling United Nations Framework Convention on Climate Change ) certified emission reductions or carbon credits from four of the hydro power projects in Karnataka. Approximately, every 1,100 kwh of renewable energy represents one CER.

Mitsubishi Corporation has agreed to buy close to 100,000 CERs per annum up to 2012.

Presently, CERs are priced between Euro 14 per CER to Euro 17 per CER on non-firm basis.

Commenting on the development, S Chandrashekhar, managing director, Bhoruka Power said, “Bhoruka Power is also on the verge of obtaining approval from UNFCCC for some more hydro and wind projects enabling the sale of additional 100,000 CERs per annum.”