MSPL unit largest wind proj registered with UN

India, October 26, 2006: MSPL Limited's renewable energy facility in Karnataka today emerged as the world's largest wind energy project registered with United Nations Framework Convention on Climate Change (UNFCCC).

UNFCCC is an international treaty working towards global warming reduction. Most countries are members of the treaty.

Speaking on the occasion, Mr Narendrakumar Baldota, Chairman, Baldota Group, said, "There is an increasing focus on renewable energy across the world. India too represents a lucrative market for clean energy and this project will provide us with the first mover advantage. MSPL's success would encourage other players to venture in to this sector. We will be adding 50 MW of wind farm every year and reach 300 MW wind power by 2008."

MSPL is part of Baldota Group - the leading Corporate Business House in India engaged in Iron Ore Mining, Wind Power and Industrial Gases production.

MSPL Limited diversified into generating wind power in 2001. "We firmly believe that effective and efficient generation of green power coupled with responsible environmental care considerations as a corporate is vital for maintaining a competitive edge. Hence, we took the initiative in conceptualization and installation of this 125 MW wind power project in Karnataka with an investment of Rs. 675 crores," added Mr Baldota.

The project activity would contribute to "Sustainable Development of India" in the following ways:

1 Utilising the wind energy potential in the state of Karnataka for generation of 125 MW gross power

2 Conservation of non renewable natural resources like coal, gas, oil

3 Making coal available for other important applications

4 Reducing GHG Emissions to the atmosphere (CO2)

5 Contributing to a small increase in the local employment in the area of skilled jobs for operation and maintenance of wind electric generators and its accessories.

The green power generated from the eco friendly project will be transmitted to State Grid, viz. KPTCL Grid. The project activity is located in the districts of Chitradurga, Davanegere and Bellary in the state of Karnataka, India. Ernst and Young, the leading advisory and professional services firm has been advising the Baldota Group on this project.

The Kyoto-Protocol under United Nations Framework Convention on Climate Change (UNFCCC), which came into force with effect from February 16, 2005 requires 38 industrialised countries to reduce their 2008 / 2012 carbon emission to specified percentages of their 1990 emissions. The protocol allows industrialised countries to meet their commitments through domestic actions, trading among themselves and buying certified emissions reductions (CERs) from the developing countries under the Clean Development Mechanism (CDM).

This green project activity would replace conventional energy equivalent to 356.83 Million Units and thereby reduce emission of Green House Gases (GHG) to the tune of 25,32,400 ton CO2 over a 10-year project crediting period. In the absence of the project activity, the above energy would have been sourced from combustion of fossil fuels like coal, gas or oil resulting in equivalent GHG emissions.

As the project activity has been undertaken in the barren land it does not require displacement of any local population. Thus, the project will not cause any adverse social impacts on local population. Rather, it will help in ameliorating their quality of life. MSPL has already got the unique distinction of being the single largest entity in the state as well as in the country in the field of wind energy and has already bagged the prestigious award from Government of Karnataka and The Karnataka Renewable Energy Development Limited (KREDL) on Rajiv Gandhi Urja Diwas for the highest investment and production during the year 2005

For more information please visit www.mspllimited.com