The agreement involves Vega 1 joining ENER-G's Cogen Partners network which delivers small-scale 4kW to 10MW combined heat and power (CHP) solutions to customers around the world. It extends the operation of ENER-G’s Eastern European businesses based in Hungary, Poland, Romania and Lithuania.

The deal gives Vega 1 access to the full range of ENER-G's UK designed and manufactured CHP systems and next generation Micro CHP systems. This is the broadest product range on the market, incorporating more than 1,400 installed cogeneration systems across the globe – powered by natural gas, biogas, diesel, biogas, propane or biodiesel.

Combined heat and power – the simultaneous generation of electricity and useful heat - is almost twice as efficient as conventional power generation, where the heat is not recovered and is lost into the atmosphere. In addition, much energy is also lost along the many miles of electrical distribution cables needed to bring the power to site.

Cogeneration technology is not yet widely known in Latvia so the partnership deal with Vega 1 represents a powerful growth opportunity in a fresh geographic market. Typical pay back of cogeneration system varies between two to four years, therefore providing significant cost savings compared with conventional heating.

Vega 1’s engineers are responsible for local sales, installation, operation, service and maintenance, but they benefit from full technical support from ENER-G’s expert engineering team. In addition CHP units are linked via the Gkontrol remote monitoring system, providing 24/7 online support to partners.

Founded in 1999, Vega 1 is one of the leading Latvian mechanical and electrical installation companies whose operations include design, installation, service and maintenance of refrigeration, ventilation and air conditioning systems, as well as internal and external water, sewage and heating equipment, high, medium and low voltage electrical networks and gas connections. The company has also been involved in several biogas electricity plant projects. Vega 1 and its sister companies’ turnover exceeds 10 million euros and the business employs more than 80 staff.

“Our agreement with Vega 1 underlines our commitment to expand our offerings throughout the world,” said Alan Barlow, managing director of ENER-G Combined Power Ltd. “By working with Vega 1, which has a proven track record of professionalism and technical expertise, we are ensuring that our commitment to high levels of quality and customer care are upheld.”

“ENER-G has more than 25 years experience of delivering whole life-cycle cogeneration projects, including innovative capital-free finance options. Our combination of in-house technology, expertise and services, means we are a single port of call for any business seeking proven cogeneration performance.”

Uldis Hmielevskis, Head of VEGA 1 Energy Department, added: “We believe our partnership agreement with ENER-G will allow both companies to benefit from the enormous market potential for cogeneration technology in Latvia. We relish the prospect of working alongside ENER-G to develop productive relationships with customers and technical innovations.”

Cogen Partners are independent companies that work with ENER-G to provide customers with quality cogeneration solutions, backed up by ENER-G Combined Power’s long experience in the industry.

“Like all our Cogen Partners, Vega 1 has been carefully chosen. We were extremely impressed by the technical skills and customer-focused approach of its people,” added Alan Barlow. “The business has demonstrated its ability to successfully deliver cogeneration solutions as well as broad experience of offering other energy-efficient technologies.”