Suzlon Energy is tapping the wind energy market in Bulgaria through a 50:50 JV with Volkswind Bulgaria GmbH. The company has already tested the market, which is considered to be attractive among Eastern Europe markets because of the appealing tariff structures announced for wind energy. It offers competitive feed-in tariffs of approximately 0.096 EUR for the first 2,250 hours/year and 0.088 EUR KW/h for the following hours – guaranteed for 15 years. The European division of Suzlon Energy entered into the JV with Volkswind Bulgaria.

The company has not disclosed the investments in the JV. The JV will help Suzlon grow into the Bulgarian wind energy market by combining with Volkswind’s local knowledge and development experience. The tie-up will also be exclusively using Suzlon wind turbines. Bulgaria is a new market for Suzlon, which had on its own bagged its first orders in this market and is currently is delivering six 2.1 MW wind turbines to Technomash Bulgarian Industrial Group. The company is in final stages of making these deliveries. But now all future business will be done through the new JV.

Bulgaria is also expected to achieve 500 mw of wind energy capacity by the end of 2010, with a target of more than 3,000 mw by 2020. Volkswind Bulgaria is a subsidiary of Germany’s Volkswind GmbH, one of the leading independent power producers in Europe, and with 40 wind farms. It is also one of the largest operators of wind farms in Germany. Erik Winther Pedersen, CEO — Suzlon Wind Energy A/S said, this partnership with Volkswind Bulgaria is an important step in Suzlon’s strategy to expand its project development activities into new regions.

Malte Huchzermeier, director — Volkswind Bulgaria said, “Suzlon’s existing infrastructure and experience from already erected turbines in Bulgaria will be beneficial for the development process”.