East Europe Investments

Eastern Europe Energy Investments

Investment Portfolio

E n e r g y M a n a g e m e n t & C o n s u l t i n g

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In recent years, our society has been develo-ping the technological know-how within thecontext of a booming energy sector, achievingthe goal of developing projects with higher eco-nomic returns than conventional investments.

From this catalog we intend to offer specific so-lutions for the exploitation of its energy portfo-lio in Eastern Europe.

Table of Contents:

1.Current Situation……....................................................3

2.Project Development………….…………..………..…….4

3.Poland……………………................................................5

4.Czech Republic………………..…………………………..6

5.Romania………………………………………………..…..7

6.Bulgaria……………………………….…………………….8

7.Servia………………..……………..………………………..9

8.Hungary………………..……………..………………..….10

9.Our History…………………………………………………11

10.Our Sevices………………………………………………12.

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1.Current Situation.

Eastern Europe is becoming a new frontier in renewableenergy development, trying to match countries like Spain,Germany and Denmark.

However, although such markets appear very atractive atfirst sight, we must consider the complex regulatory and fi-nancial environments that have often been paralyzed Wes-tern investments. Since our company, we want to offer solu-tions to help you achieve a profitable, fast and secure invest-ment.

Our company firmly believes in the successful developmentof these markets.

Our goal is to develop your portfolio by selecting the bestsuited products to each country.

Particularly our shortlist of products is based on the follo-wing technologies:

Photovoltaics.

Wind Power.

Hydraulic Power.

Biomass.

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Profitable, Fast and SecureInvestments.

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2.Project Development.

The Development Process of anyProject is composed of three distinct Phases:

1. Predevelopment: this Phase begins when a Pro-ject is first conceptualized and ends when theConstruction Phase begins.

2. Development/Construction: this Phase beginswhen actual physical construction activity is occu-rring on site and ends when the Project’s ContractDocuments [plans and specifications] have beenfully executed and all conditions of the job havebeen met.

3. Operations or Sale: begins when the Develop-ment/Construction Phase has been completed andends when the Project is sold or otherwise dispo-sed of.

3.Poland.

Poland has very favorable technical and economical factors forrenewable energy. Poland has begun to experience a shift and politicaland public support away from traditional fossil fuels and toward thedevelopment of renewable energy resources. Poland has established atarget of 7.5 percent of energy production from renewable sources by

2010, and 14% by 2020.

In the Republic of Poland, energy from renewable sources ispromoted mainly through a quota system. Electricity suppliers areobliged to acquire a certain number of so-called "certificates oforigin", which are issued to the producers of electricity fromrenewable sources. Furthermore, electricity from renewablesources is supported through loans and tax relief.

Although Poland has leapt to renewables must still overcome thedependence on coal (93% of electricity) and other highly polutingsectors.

In Poland it has no choice but to bet on these energy sourcesbecause oil and gas imported from Russia limit their economicIndependence

Currently, regulations and geographical features make us focusour investment portfolios into wind power and biomass, seekingto produce returns above 23%.

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4.Czech Republic.

Fot the Czech Republic, energy generated from renewablesources is promoted through price regulation. System operatorsmay choose between a guaranteed feed-in tariff and a greenbonus, which is paid on top of the market price. Furthermore,renewable energy is promoted through several subsidies and an

exemption from the tax on income gained from the sale ofelectricity from renewable source.

The rules of this country are the most comprehensive in the area,considering many renewable sources.Although our team ofexperts believe that the Photovoltaics and wind are the bestinvestment returns over 22%.

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5.Romania.

Althought this countryhas seen a largedecrease in energyconsumption since 1990mainly due to theshutting down of largeinefficient industrialbusinesses, Romania wasamong the first EUcandidate countries thatincorporated into itslegislation the provisionsof Directive 2001/77/EC(byGD 958/2005) andindicative target set 2012of 33%, which representsthe percentage ofdomestic consumption E-RES Gross electricity.Later, in GD. 1069/2007on the approvalRomania's energystrategy for 2007-2020,is 35% targets set for2015, ie 38% inRES-E in2020 that represents theshare of grossconsumption power.

Despite all this, the law 220/2008 is trying to establish a clearerframework for renewable energy. Our advice is to invest inphotovoltaic plants as expected Profitability will be around 19%.

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6.Bulgaria.

Bulgaria, which hasmaintained a goodpolicy onrenewable energy,has suffered aslowdown duringthe 2009-2010period, having toimplement amoratorium on newprojects forRenewable Energy.Although it isexpected that from2011 to restructurethe bonus policywith notable targetsuntil 2020.

That's why werecommend not tolose sight of thismarket as very highexpected returnswhen therestructuring isapproved.Particularly largedeployment isexpected in the

photovoltaic sector as the country average irradiation amounts to1550 hr.

.

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7.Servia.

Serbia, after several delays in the past, has finally introduced abonus system in tariff scheme through a regulation of thepromotion of energy generation from renewable sources. Anexample of this is the feed-in tariff per kilowatt-hour of electricityfrom renewable energy is solar power plants that receive 23 c € /kWh, and wind power 9.5 c € / kWh.

With this attitude, the Serbian government has shown interest insupporting the renewable energy sector, whose growth forecastspoint to 7.4% (735 million kWh) by 2012.

Local authorities have issued a decree urging EPSElektroprivreda Srbije (EPS) to pay higher fees to suppliers ofelectricity from gas, biomass, geothermal, cogeneration plants.The biggest increase will benefit the solar energy, which willreceive 23 euro cents per kWh.

Spain has great experiencein the field of renewables,primarily wind and solarsectors. This, coupled withFEV funds, could be agreat support to promotethe internationalization ofengineering, consulting,technology and know-howSpanish in Serbia.

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8.Hungary.

In Hungary, renewable-energy-sourced electricity is mainlypromoted through a price regulation in terms of a feed-in tariff.

The Act on Electric Energy (Act No. LXXXVI of 2007) givespriority in grid connection and usage to electricity generated fromrenewable energy. Furthermore, it establishes certain restrictionson electricity imports to the benefit of renewable energy. Gridoperators shall bear the costs of connection of systems thatgenerate electricity from renewable energy and of the expansionof the grid carried out for their benefit.

In Hungary the most of the WPPs are on the western part in Győr-Moson-Sopron country, close to the Austrianborder. On the other hand some studiesconfirmed that also other parts of the countryare good locations for wind energy.

According to our sources from authorities thepermitting procedure is quiet long, usually ittakes 2-3 years to have all the permissions. Thegovernment has recently published a new

renewable energy order From August 2009MEH (Hungarian Energy Office) ascertainedadditional 410 MW capacity for WPPs whichwill be shared by projects through tenderingprocedure in 2009-2010.

.At the moment 180 MW capacity WPPs arein operation, and with this additional 410 MWthe country will reach it’s current safety limit.Hungary would need an energy reservoir to balance thedifferences, but it has not been built up because of greenactivists. In long term scenario the Energy Ministry plans to install920 MW until 2020 to reach EU obligations.

9.Our History.

Our experience in this investment sector (with more than five

years) has increased significantly, and could be summarized in

the following points:

Over 200 ME Managed.

Over 120 MW Promoted.

Over 200 GWh Generated.

Over 120.000 Tons of C02 Avoided.

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10.Our Services.

Our professionals will be available to help in managing yourinvestments.Particularly our most requested services are:

Feasibility studies.

Engineering project development

Quality audits.

Legislative Management

Purchase / Sale of facilities

If you need our services or wish to browse our extensive jobhistory, do not hesitate to contact our team of professionals whowill respond quickly and diligently.

C./Velázquez 53 2ª Izquierda

28001.Madird

Spain.

E n e r g y I n v e s t m e n t s

mail: [email protected]