Increase in investment

Scottish & Southern Energy PLC 05 May 2006 SSE INVESTS IN MICRO GENERATION Scottish and Southern Energy plc (SSE) has invested £3.125m to increase its stakes in Renewable Devices Swift Turbines Ltd and Solar Century Holdings Ltd. It has invested £1.125m to increase its stake in Edinburgh-based Swift Turbines to 10% of the share capital, with options over a further 20%, and £2.0m to increase its stake in London-based solarcentury to 13.3% of the share capital. Swift Turbines has developed what is believed to be the world's first feasible rooftop-mountable wind energy system and London-based solarcentury is the largest independent solar photovoltaics company in the UK. In addition to its investments, SSE is working with both companies to market the provision and installation of the technologies to an increasing number of customers in the UK. Budget 2006 stated that micro generation technologies 'have the potential to contribute towards both improved energy security and lower carbon emissions' and contained measures to stimulate demand for them. In its submission to the government's review of energy policy, SSE stated that 'a key way of reducing the demand for energy from the national electricity and gas grids is to ensure that buildings connected to them contain the means to produce at least some of the energy that their occupants need'. Ian Marchant, Chief Executive of SSE, said: 'The way we produce energy is going to change. Developments in technology have made it possible for even individual households and small businesses to generate their own electricity and heat by the use of micro generation technologies. We anticipated this change with our earlier investments in micro generation. Working with Swift Turbines and solarcentury over the past 18 months has underlined our belief that these technologies will play a growing part in meeting energy needs in the future and prompted this additional investment.' Enquiries to: Scottish and Southern Energy Alan Young, Director of Corporate Communications 0870 900 0410 Denis Kerby, Corporate Communications 0870 900 0410 This information is provided by RNS The company news service from the London Stock Exchange

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