25/05/07 – IPRA ACQUIRES REMAINING 50% OF ITS AUSTRALIAN RETAIL PARTNERSHIP

International Power plc today announces that it has exercised its option to acquire the remaining 50% of the EnergyAustralia and International Power (Australia) Retail Energy Partnership. International Power will pay A$142 million (£59.2 million) for the remaining 50% share of the partnership.

The business sells electricity and gas to retail customers in Victoria and South Australia. Since the retail partnership was formed in July 2005, the number of power and gas accounts has increased from 175,000 to more than 400,000.

Tony Concannon, Executive Director Australia said “Performance of the retail business has met our original objectives, and we are pleased to increase our investment in this important route to market for our generation portfolio in Australia.”

The acquisition will be funded from existing International Power liquid resources, and completion is expected in August 2007.