For further information please visit www.bpalternativenergy.com

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BP Alternative EnergyWhat’s the Alternative?

This is why BP – through BP Alternative Energy – is investing

in a portfolio of new solutions, technologies and business

models. We already have substantial businesses in solar,

wind and gas-fired power and we are developing our work

on advanced biofuels and in the area of carbon capture and

storage. These draw on our historical and growing base of

research and engineering skill sets, including our expertise in

carbon sequestration and bioscience.

In each case, we’re serving customers in today’s marketplace

at the same time as working on innovations for the future. In

solar power, for example, our task is not only to scale up our

manufacturing capacity and reach more customers today,

but to develop new, more efficient solar cells for tomorrow.

Similarly, in biofuels, we’re blending and distributing today’s

bio-components, such as ethanol and biodiesel, but we’re

also investing in research to explore advanced biofuels that

will provide more environmental benefits and use crops other

than those which are also used for food. In carbon capture

and storage, we’re creating the potential for the generation

of cleaner power from fossil fuels. In doing so we seek to

demonstrate the wider application of a technology that can

be used in many types of industrial plants and which could

enable countries such as the US, China and India to use their

massive supplies of coal in a much more sustainable way.

These are big challenges and we can’t go it alone. These

businesses need specialist technology and new approaches

if they are to grow to scale. So we need to combine our

skills and experience with the talent and capability of many

partners. We also need to engage with governments, as they

hold the policy keys to unlock the potential of secure, low-

carbon energy – for example by setting a price on carbon and

rewarding low-carbon solutions.

Alternative Energy is the catalyst for BP to take a set of new technologies, investigate their possibilities, explore the opportunities for investment, collaboration and development, work with policy-makers to promote and reward low-carbon solutions and ultimately meet the demand for cleaner and secure energy.

Outer

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The world is set to continue to grow – growth that will be

reliant upon the provision of energy from both traditional

sources and increasingly from new, alternative energies and

technologies. These will play an important role in enabling

government and the energy industry to confront a series of

major global challenges.

Climate change is already at the top of the agenda for

world leaders and many countries are acting to reduce their

greenhouse gas emissions. Other emissions from energy

use, such as carbon monoxide and smoke, create health

hazards, particularly in developing countries, and the search

is on for cleaner solutions. At the same time, countries are

concerned about the security of their energy supplies and

are looking for ways to diversify their sources of energy.

According to some projections, demand for electricity could

nearly double by 2030, increasing CO2 emission from power

generation by up to 70%. However, some two-thirds of the

generating plant required to meet world needs in 2030 has

yet to be built – so there is a great opportunity to invest in

secure, sustainable power generation for the future.

And economic growth is projected to increase demand

for transport fuels, particularly in the emerging

economies of Asia.

There is therefore an urgent and growing demand for energy

that enhances security and sustainability – energy that can

be locally sourced, as well as being low in carbon emissions

and other environmental impacts.

The traditional use of hydrocarbons, such as oil, coal and

gas, will continue for decades, but a growing share of the

market will be taken up by these newer options.

There are many possibilities – renewable power –

advanced biofuels for transport – alternative technology

to take the carbon dioxide out of fuels like coal. At a

grassroots level, simple products, such as new types

of cookers, can offer cleaner alternatives for emerging

consumers in developing countries and distributed energy

solutions will play an important part in meeting the energy

and environmental needs of urban areas. Natural gas has a

major continuing role to play as the hydrocarbon with the

least environmental impact.

Alternative Energy: secure, sustainable energy

At BP Alternative Energy we’re investing in new ways of providing energy – from innovative new solar and wind businesses to advanced biofuels and clean energy technologies such as the capture and storage of carbon dioxide from traditional fossil fuels. These will provide customers with clean, secure energy – and they will shape the evolution of the global energy industry in the coming decades.

BP Solar is a leading global business, building on a thirty year

track record, which has more than doubled its manufacturing

capacity since BP Alternative Energy was launched. With

more expansion planned in India, Spain and the US, the

business is on track to grow its annual manufacturing capacity

to over 700MW over the next few years. We’re marketing

solar solutions to consumers and businesses around the

world and investing in a series of research projects to

investigate ways of making more efficient solar cells.

In Wind we are developing a large portfolio of projects,

working with partners to deploy advanced turbine technology.

In the US, we’re building major wind farms and we have the

opportunity to develop almost 100 projects with a potential

total generating capacity of some 15,000MW. We’ve also

built our first project in Asia.

In Gas-fired power we have stakes in some 12,000MW

of generation capacity in Europe, USA and Asia. Natural

gas produces electricity with half the carbon footprint of

conventional coal fired plants.

In Hydrogen we are working with partners to develop

hydrogen-fuelled power projects that use fossil fuels such as

coal or gas, but capture and store the carbon dioxide (CO2),

thus offering vast potential to generate clean power. For

example, our project in Abu Dhabi plans to produce both clean

electricity and provide a means of enhancing the recovery of

oil by injecting the captured CO2 back into a an oil field, where

it will sweep out additional oil and be ultimately stored.

In Biofuels our business in conventional products such

as bio-ethanol is already substantial, accounting for about

10% of the world market. However, as well as providing

today’s biofuels, we’re also developing tomorrow’s. In the

UK, for example, we plan to invest around $400 million with

partners in two plants – one being a world-scale bioethanol

plant and the other a research and demonstration plant for

biobutanol – a new type of biofuel. We are investing $500

million over 10 years in the Energy Biosciences Institute to

explore options for advanced biofuels and other applications

of biotechnology to energy. And we’re also investing in new

types of feedstock.

Our Distributed Energy business has already made

headway in providing energy consumers in the developing

world with viable and sustainable energy solutions. In India

we have created a sustainable business model serving

thousands of households with our biomass stove and

pelletised fuel cooking solution and in South Africa we have

commercially tested a solution to help emerging consumers

move to a more progressive use of paraffin.

Alternative Energy: a portfolio of businesses and technologies

In 2005 we said our aim was to spend $8 billion on clean, secure alternative energy solutions over a ten year period. We’re ahead of plan to meet that commitment – in fact the growth of good business opportunities means that we’re now planning to invest at nearly twice that rate – and we’ve since developed each of our businesses in new ways.

Inner

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BP Around the world

BP has worldwide assets of more than $200 billion. �

Serving millions of retail customers a day across six �continents, BP is a leader in the development of cleaner-burning fuels.

BP has a 14 year track record of replenishing its oil and gas �reserves by more than its annual production.

BP launched its Alternative Energy business in 2005. Today, �Alternative Energy brings together BP’s interests in low-carbon energy including solar, wind, biofuels and gas-fired power generation.

For more info about BP worldwide, please visit: www.bp.com

BP in the US

BP is the leading producer of oil and natural gas in the United �States, and the largest investor in US energy development.

Since 2001, BP has invested $30 billion in the United States, �including major investments to increase existing energy sources, extend energy supplies and develop new low-carbon technologies.

BP employs more than 33,000 people in the US and has $40 �billion in fixed assets.

Every year, we market more than 15 billion gallons of �gasoline through BP, ARCO and Amoco-branded retail outlets.

BP is one of the largest blenders and marketers of biofuels �in the US. In 2007, BP blended 763 US million gallons of ethanol and about 1 million US gallons of biodiesel. Today, BP biofuels are available in more than 20 states.

BP operates the nation’s largest, fully integrated solar �manufacturing plant in Frederick, Maryland, where it manufactures solar panels from start to finish.

For more info about BP in the US, please visit www.bp.com/us

BP is one of the world’s largest energy companies, providing its customers with fuel for transportation and energy for heat and light.BP employs approximately 97,600 people worldwide and more than 33,000 in the United States. BP’s family of brands includes Amoco, Aral, ARCO, BP and Castrol.

BP is also among the world’s most progressive large enterprises. We not only have great positions in many of the major hydrocarbon basins of the world and great market positions in the key economies, we were also the first major energy company to acknowledge the need for precautionary action to reduce greenhouse gas emissions. With a robust strategy in place, we are already preparing for the future by building a new low-carbon energy business – BP Alternative Energy.

Today BP continues to lead the effort to meet the world’s growing demand for sustainable, environmentally responsible energy.

about BP

Wind power

BP’s US wind portfolio includes the opportunity to develop almost 100 projects with a potential total generating capacity of some 15,000 MW :

We have already built the 300MW �Cedar Creek wind farm in Colorado with our partners Babcock & Brown. This 274-wind turbine facility is one of the largest single wind-farms in the country.

Other major projects underway include �two wind farms in Texas – the 60MW Silver Star I and the 150MW Sherbino I, being built in partnership with Clipper Windpower and NRG Energy respectively.

Together with our partner Dominion, �we are also constructing the 750MW Fowler Ridge wind farm in Indiana, which will be built in phases – the first producing 400MW of energy and additional phases generating a further 350MW.

In California, we are re-powering the �existing Edom Hills wind energy facility, in the San Gorgonio Pass, which will see 139 small ‘Windmatic’ turbines replaced with eight Clipper Windpower Liberty 2.5MW turbines, increasing the overall power capacity to 20MW.

To further accelerate the growth of �BP’s US wind business, we have signed turbine agreements with Vestas Wind Systems of Denmark, Nordex of Germany and General Electric headquartered in New York. The combined orders for some 750MW will be delivered over the next two years.

Solar power

Our US Solar business is increasing its profile through a number of initiatives:

We are investing $97 million to expand �the nation’s largest fully-integrated solar manufacturing facility in Frederick, Maryland, which will nearly double its casting and sizing capacity. These processes are used to manufacture silicon wafers, the essential components of solar panels.

To reach customers, BP Solar Home �Solutions® systems are available through The Home Depot stores in California; New Jersey; Arizona; Long Island, New York; Denver and Boulder, Colorado; and Austin, Texas.

In California, we work with OCR Solar �and Roofing, Northern California’s largest roofing company, to offer homebuilders solar energy solutions for new homes including our EnergyTile product, a roof-tile that blends seamlessly into the design of the roof. In addition, we are working with Wal-Mart to install solar energy systems for seven Wal-Mart Stores in California.

In terms of research, BP and the �California Institute of Technology have teamed up in a multi-million dollar research programme focusing on radical new ways of producing solar cells to make the cost of solar electricity more competitive and to increase current efficiency levels. We are participating in a $40 million research and development programme sponsored by the US Department of Energy, with $20million provided by BP Solar, aimed at decreasing the cost of solar cells and increasing their efficiency.

Biofuels

In Biofuels, our business in the US is already substantial, accounting for about 10% of the global biofuels market:

In 2007, we blended 763 million US �gallons of ethanol and about 1 million US gallons of biodiesel.

We are also supporting work to �investigate options for more advanced biofuels by investing $500 million over 10 years (2006-2016) in the Energy Biosciences Institute (EBI), hosted by the University of California Berkeley and its partners the University of Illinois, Urbana-Champaign and the Lawrence Berkeley National Laboratory. Researchers at the EBI will perform ground-breaking research into production of cleaner energy using biotechnology, initially focusing on renewable biofuels.

Gas-fired power

In gas-fired power, we are building �a 250MW steam turbine power-generating plant in addition to our existing gas turbines at BP’s Texas City refinery. This will reduce emissions and improve both energy and operational efficiency. It will also help to boost the region’s electricity supply, as power not required for refining operations will be sold into the local markets.

BP Alternative Energy in the USIn the US, BP Alternative Energy invests in a diverse range of low-carbon energy sources – including solar, wind, biofuels and gas-fired power generation. This commitment is not only helping to meet America’s energy needs today, but is also ensuring a more secure and sustainable energy future.

solar power

Why solar power?

Solar power harnesses the sun’s energy to make clean electricity. Its value to the consumer depends on factors such as geography and local policies, including the terms for selling surplus power to the public grid. Many consumers, however, are realizing that it presents them with an economical and intelligent way to cut energy costs, reduce exposure to rising utility prices and help safeguard the environment.

BP Solar

Our solar business is growing fast. We have doubled our manufacturing capacity by expanding our plants in the USA, India and Spain. With further expansion underway, BP Solar is on track to expand its manufacturing capacity to over 700MW in the next few years.

An area 200 miles square covered with solar panels could provide all the electricity the world needs.

Above: Solar cell production line. Frederick, Maryland, USA.

Projects

BP Solar markets solar systems around the world, focusing on markets where solar energy is growing fast and being encouraged by policy-makers.

In the US, BP Solar Home Solutions® systems are available through The Home Depot stores in California; New Jersey; Arizona; Long Island, New York; Denver and Boulder, Colorado; and Austin, Texas. In California, we work with OCR Solar and Roofing, Northern California’s largest roofing company, to offer production homebuilders solar energy solutions for new homes including our EnergyTile product, a roof-tile that blends seamlessly into the design of the roof. We are working with Wal-Mart to install solar energy systems for seven Wal-Mart Stores in California.

In Australia, a BP Solar-led consortium was chosen to create one of five Australian ‘Solar Cities’ in Blacktown, western Sydney. Solar power will be installed on hundreds of Blacktown homes and businesses. The ‘Solar Cities’ initiative is designed to bring sustainable energy technology and measures to cities where demand for energy is rising due to factors such as growing populations and increasing use of air conditioning. BP Solar is also supplying solar in the Adelaide and Alice Springs ‘Solar Cities’.

Developing new technologies

Combining over 30 years of experience with ideas from new partners, we have launched several projects to develop new

types of solar cells and to make the silicon that is used to produce them, go further:

We have teamed up with the California �Institute of Technology on a research programme to investigate making a new generation of powerful cells, using silicon ‘nanorods’ that can be 100 times thinner than a human hair and are packed tightly in an array – like bristles in a brush.

We have developed a new process �for growing silicon – called Mono2TM – which enables polysilicon solar cells to produce 5-8% more power than usual.

We are participating in a $40 million �research and development programme (of which $20 million is provided by BP Solar) aimed at decreasing the cost of solar cells and increasing their efficiency. The programme is sponsored by the US Department of Energy.

Above: BP Solar commercial installation.

wind power

Why wind power?

The advantages of wind farms are clear – they can provide safe, clean and affordable power. What’s more, in areas with good wind conditions, on shore wind power can cost less than conventional power generation. To make the most of wind power however, businesses and governments need to work together to build wind farms in areas where the wind blows strongly, such as the Great Plains in the US. These projects, in turn, need to be connected by power lines to transport the electricity to population centres.

Wind power in the US is growing fast, as it is in Asia. In North America, wind capacity is expected to grow from 16GW at the end of 2007 to 57.5GW by the end of 2015. In Asia, governments are seeking to diversify their energy supplies and to set targets to increase renewable energy. Wind power capacity is expected to grow 30% a year in China and 20% in India over the next few years.

If wind provided around a tenth of the world’s power, it would eliminate the production of around one billion tonnes of carbon dioxide a year.

Above: BP’s first wind power development in Asia, the 40MW Dhule wind project in India.

BP and Wind

BP aims to grow its wind business rapidly to become one of the world’s leading wind project developers by 2015. Already, we have commissioned new projects in the US and India, adding to our existing operations in The Netherlands. Our target is to have commissioned 1,000MW by the end of 2008.

To meet our growth agenda, investment and partnerships are key. Our alliance with Clipper Windpower allows us to buy up to 2,250MW of their advanced Liberty turbines for use in wind farms around the world. We believe these turbines represent a break-through in reducing the total cost of renewable energy.

In addition we have signed turbine agreements with Vestas Wind Systems of Denmark, Nordex of Germany and General Electric headquartered in New York, US. The combined orders for some 750MW will be delivered over the next two years.

We are also working to identify additional wind development opportunities in Europe and Asia.

Projects

In the US, our wind portfolio includes the opportunity to develop almost 100 projects with a potential total generating capacity of some 15,000MW. We have already built the 300MW Cedar Creek wind farm in Colorado with our partners Babcock & Brown. This 274-wind turbine facility is one of the largest single wind

farms in the country. Other major projects underway include two wind farms in Texas – the 60MW Silver Star I and the 150MW Sherbino I, being built in partnership with Clipper Windpower and NRG Energy respectively. Together with our partner Dominion, we are also constructing the 750MW Fowler Ridge wind farm in Indiana, which will be built in phases – the first producing 400MW of energy and additional phases generating a further 350MW. In California we are repowering the existing 11MW Edom Hills wind energy facility in the San Gorgonio Pass, which will see 139 windmatics replaced with 8 Clipper Windpower Liberty 2.5MW turbines, increasing the overall power capacity to 20MW.

In Asia, we have launched our first wind farm in India, at Dhule, in Northern Maharashtra. Constructed by Suzlon, it comprises 32 turbines generating 40MW and is expected to eliminate the production of up to 70,000 tonnes of carbon dioxide annually. We are currently exploring further growth opportunities in India and China.

In Europe, BP has two well-established wind power sites in The Netherlands and is looking at further opportunities.

Above: The Cedar Creek wind farm, Colorado, USA.

hydrogen power

Why hydrogen power?

Hydrogen power is a new and exciting concept in energy – one that could revolutionise the world of low-carbon electricity generation. This new generation of power stations will use a fossil fuel feedstock such as coal, petroleum coke or natural gas, taking out some 90% of the carbon in the fuel, storing it deep underground as carbon dioxide (CO2) and using the hydrogen to generate low-carbon power for the grid.

Such power stations have massive potential worldwide as they mean countries can go on using fossil fuels while reducing the environmental impact of today’s plants. This is particularly significant for big coal users such as the US, China and India.

Hydrogen Energy is one of the few companies leading the way with this technology.

If applied to just 5 percent of the new electricity-generating capacity that the world is projected to require by 2050, hydrogen power projects would have the potential to reduce global CO2 emissions by around one billion tonnes a year.

Above: Artist's representation of the planned 420MW natural-gas based hydrogen power plant in Abu Dhabi.

Hydrogen Energy

To take full advantage of the opportunities offered by hydrogen power, BP has formed a joint venture with Rio Tinto to create a jointly-owned company – Hydrogen Energy. BP is a world leader in low-carbon energy and Rio Tinto is a major coal producer. Together we have a wide array of capabilities and know-how, particularly across the coal value chain.

Carbon capture and storage (CCS) technology can be applied to any fossil fuel, not only in power stations but in other industrial plants. CCS will enable coal to continue as a viable option for power generation because it is abundant, relatively inexpensive and easy to transport. Identified global coal reserves can meet present levels of demand for approximately 150 years and are abundant in some of the world’s largest and fastest growing economies. The challenge is how to produce and use coal with a lower-carbon footprint.

Projects

Hydrogen Energy will use the combined skills of its parent companies to accelerate the deployment of hydrogen fuelled power plants with carbon capture and storage. We have aspirations to invest in hydrogen fuelled power projects across the world.

The most recent project to be proposed is in Abu Dhabi, where early stage engineering design work is underway. Here, a 420MW natural-gas based hydrogen power plant could produce low-carbon electricity and capture up to 1.7 million tonnes of CO2 each year, injecting it into a producing oil field to maintain pressure and enabling the natural gas currently used for that purpose to be produced and sold. The CO2 could also potentially enable previously unrecoverable oil to be produced.

Above: Options available for geological storage of CO2 (Source: CO2 Capture Project).

gas-fired power

Why gas-fired power?

We believe that power stations fired by natural gas will be a major part of the future’s lower-carbon economy because natural gas is the cleanest fossil fuel available. When used in power generation, gas-fired power typically produces 50 percent less carbon dioxide than conventional coal-fired plants. With plentiful supplies of gas available, a natural gas power plant also takes only half as long to build as a coal-fired power station.

A gas-fired power station using Combined-Cycle Gas Turbine technology typically emits 50 percent less carbon dioxide than a conventional coal-fired station.

Above: The LNG tanks and power station at Bilbao LNG terminal, Spain.

BP and gas-fired power

BP has stakes in some 12,000MW of natural gas-fired power capacity around the world, including the US, Vietnam, Spain, South Korea and UK.

Our power stations use a combination of technologies to meet energy efficiency requirements. These include combined cycle gas turbine (CCGT) technology, which feeds low-carbon power into the national electrical grid, and co-generation, where any heat left over from making electricity is recaptured and used in industrial processes, like oil refining or manufacturing.

Projects

In Asia, we are joint owners of the K-Power gas-fired power station at Kwangyang in South Korea. The 1,000MW combined-cycle power plant is the most efficient gas-fired power station in the country. We also operate the Phu My 3 CCGT plant in Vietnam using gas supplied from our offshore operated fields.

In the US, we are building a 250MW steam turbine power-generating plant on the back of our existing gas turbines at BP’s Texas City refinery. This will reduce emissions and improve both energy and operational efficiency. It will also help to boost the region’s electricity supply, as power not required for refining operations will be sold into the local markets.

In Europe, we own a combined heat and power plant at Hythe in Southern England and are joint owners of a 800MW CCGT plant at Bilbao, in northern Spain.

Above: Installation of the steam turbine rotor at BP’s Texas City refinery.

biofuels

Why biofuels?

As governments strive to limit greenhouse gas emissions and reduce dependence on oil imports, and as consumers become more aware of their ‘carbon footprints’, demand is rising for secure and sustainable forms of transport fuel. On the one hand, we need to provide the mobility that underpins economic growth and social interaction, but on the other, it is imperative to limit the environmental impact of transport. There are many possible options, but we believe that biofuels represent the best short to medium term alternative.

What’s more, today’s biofuels are just a start. Most current biofuels deliver a reduction in greenhouse gas emissions compared to conventional fuels such as gasoline and diesel on a total well-to-wheel basis. However, not all biofuels are equal and some are better than others.

Biofuels have the potential to reduce overall greenhouse gas emissions compared to conventional fuels.

Above: Rapeseed, a feedstock used in biodiesel production.

The emission reduction benefits associated with the production and use of biofuels depends on the feedstock and conversion process. BP’s main areas of focus are the development of biofuels with enhanced fuel properties and biofuels produced from alternative feedstocks. We believe that technology has a major role to play in producing advanced biofuels for the future and BP aspires to become market leader in developing biofuel solutions.

BP Biofuels

BP is already a leading player in the global biofuels market. In the US, BP blended about 763 million US gallons of ethanol and about 1 million US gallons of biodiesel in 2007, accounting for about 10% of the global biofuels market. In Europe, the expected demand for 2008 is about 1 million tonnes of biodiesel and close to 1 million tonnes of ethanol. BP is participating in the current biofuels market and building platforms for the future deployment of advanced technologies. In the UK, we have partnered with ABF (British Sugar) and DuPont and are progressing a project to construct a $400 million world-scale biofuels plant in Hull. We are currently focusing on alternative feedstocks for biofuels. In a $9.4 million India project, we are examining the possibilities of using jatropha, an inedible oil bearing crop. We have also entered into a JV with D1BP Fuel Crops Limited to develop the planting of jatropha as a sustainable biodiesel feedstock. Jatropha is not used in food and can be grown in a way that does not compete with food crops.

Biofuels for tomorrow

While we believe biofuels can help address the dual challenges of energy security and climate change, we also recognise that continuous improvement should be supported so that tomorrow’s biofuels are even better. Although, the technology is 5-10 years away, BP is actively developing technology for advanced biofuels and other bioenergy applications.

To achieve this aim, we are involved in a number of research and development projects:

BP and DuPont have created a �partnership to develop and market advanced biofuels, the first of which is biobutanol. BP and DuPont are also progressing a project to build a new technology research and demonstration facility on an existing BP site in Hull.

We are investing $500 million over �10 years (2006-2016) in the Energy Biosciences Institute (EBI) to explore and develop the application of biosciences to energy-related problems.

BP and Mendel Biotechnology, Inc. �(“Mendel”) will collaborate to develop bio-feedstocks for the production of cellulosic biofuels.

BP has agreed a long term research �and development deal with Synthetic Genomics Inc, to develop biological conversion processes for subsurface hydrocarbons that could lead to cleaner energy production.

BP has entered a significant research �partnership with Arizona State University and Science Foundation Arizona (SFAz) to develop a renewable source of biofuel.

distributed energy

Why distributed energy?

With billions of people worldwide lacking access to clean, safe and affordable energy – the time is long overdue for practical and sustainable solutions to be found. To address this need, BP is working to develop a variety of possible low-carbon distributed energy solutions that can provide power, heating or cooling at or near the point of use.

Worldwide, over 3.6 billion people lack access to clean, safe and affordable energy. Developing solutions to reach such consumers has the potential not only to transform lives, but also to create new businesses that are sustainable and scalable.

Above: Distributed Energy’s first consumer in India.

BP’s approach

BP is exploring opportunities within both emerging and developed countries to create businesses that are both sustainable and profitable.

These solutions, moreover, can often help emerging consumers move away from fuels which have a negative impact on health, are unsafe or damage the environment, and towards progressive energy solutions that are affordable and sustainable.

At present, our efforts are directed towards three main areas:

Emerging Consumers: in both urban and rural households, primarily in Asia and Africa.

Emerging Communities: which are either ‘off-grid’ or underserved by traditional energy provision.

Distributed Energy Networks: larger community or city-based developments to deliver decentralised energy systems and services.

We have made particular progress in reaching out to emerging consumers in India, and are now working to extend our activities in other countries.

Activities

In India, we have reached over 100,000 households in over 2000 villages with our biomass stove and pelletised fuel cooking solution. The ‘Orja’ stove was developed through close collaboration with the Indian Institute of Science. Our business has been developed by working in partnership

– and is based on the empowerment of local entrepreneurs and community based organizations to manufacture, distribute and sell the products.

In South Africa, we have been commercially testing a solution to help emerging consumers move to progressive usage of paraffin. Our offer which combines low-sulphur paraffin packaged in a child-safe container will be completed by the introduction of an efficient, safe stove due to be ready in 2008.

In Asia, our project teams on the ground are working to reduce energy poverty through progressive solutions and the development of a sustainable and profitable business model. We aim to trial and test energy solutions in 2008.

Above: Distributed Energy consumer in India