Re: Carnegie Environmental Results CETO 3

15 September 2011

Renewable Energy Holdings plc

("REH" or the "Company")

Re: Carnegie Environmental Results CETO 3

Renewable Energy Holdings plc (AIM: REH), the AIM quoted investor in, and operator of, European wind power, notes an announcement released on 15 September 2011 by Carnegie Wave Energy Limited, in which REH holds 232,600,000 fully paid ordinary shares, representing 25.8% of the entire issued share capital.

"15th September 2011

Environmental Results CETO 3

·; Completion of environmental monitoring and assessment by RPS Environment and Curtin University

·; No significant environmental issues identified

·; CETO has the potential to create artificial reef habitat that increases biodiversity

·; Positive results to further inform development of CETO and the Perth Wave Energy Project

Wave energy developer Carnegie Wave Energy Limited (ASX: CWE) today released the results from its environmental monitoring and assessment program undertaken as part of the recent deployment of its commercial scale CETO unit (CETO 3) off Garden Island, Western Australia. These results were presented today by Carnegie's Site Development Manager, Tim Sawyer at the Asia Pacific Clean Energy Summit in Honolulu, Hawaii.

Underwater noise monitoring and assessment was carried out by Curtin University's Centre for Marine Science and Technology (CMST), global experts in the analysis of underwater noise and its impacts on sensitive marine fauna. Underwater fauna monitoring was carried out using baited and unbaited video cameras and analysed by environmental specialist RPS Environment, based in Perth, to assess marine fauna present and interactions with the CETO unit.

Both studies identified no significant environmental impacts from the presence and operation of CETO and also offered insight into ways of further reducing or eliminating potential environmental impact. A total of 27 fauna species were recorded across all deployments and included one shark, one ray, 24 teleosts and one crustacean species. RPS concluded that observed fish species were not significantly impacted and that an array of CETO units had the potential to create an artificial reef habitat that could increase the biodiversity of a habitat otherwise poor in marine fauna.

Carnegie's Site Development Manager, Mr Tim Sawyer, said,

"Carnegie has designed the CETO technology, and selected development sites, to minimise potential environmental impacts. Such proactive monitoring and assessment is important to address areas of uncertainty and identify and mitigate potential environmental impacts early to ensure best practice in protecting the marine environment. The potential to boost biodiversity, coupled with the lack of visual impact, is a unique benefit of the CETO wave technology."

Carnegie obtained State approvals to deploy and operate its CETO unit in November 2009 following extensive consultation with key stakeholders and submission of a detailed environmental management plan. In accordance with the approval, Carnegie undertook environmental monitoring during the deployment of the CETO unit and Carnegie further extended the scope to include underwater noise and video monitoring.

Carnegie is now focussed on further development of CETO and on the design and construction of the grid connected Perth Wave Energy Project. Carnegie will continue its environmental monitoring and assessment and consultation program to support its application for environmental approvals for the project.

Mr Tim Sawyer's presentation to the Asia Pacific Clean Energy Summit is available on Carnegie's website www.carnegiewave.com

About CETO

The CETO system distinguishes itself from other wave energy devices by operating out of sight and being anchored to the ocean floor. An array of fully submerged buoys is tethered to seabed pump units. The buoys move in harmony with the motion of the passing waves, driving the pumps which in turn pressurise water that is delivered ashore via a pipeline.

On shore, high-pressure water is used to drive hydroelectric turbines, generating zero-emission electricity. The high-pressure water can also be used to supply a reverse osmosis desalination plant, replacing greenhouse gas emitting electrically driven pumps usually required for such plants.

CETO Technology characteristics include:

·; CETO converts wave energy into zero-emission electricity and desalinated water

·; CETO is environmentally friendly, has no visual impact and attracts marine life

·; CETO is fully submerged in deep water away from breaking waves and beachgoers

About Carnegie

Carnegie Wave Energy Limited is an Australian, ASX-listed (CWE) wave energy technology developer. Carnegie is the 100% owner and developer of the CETO Wave Energy Technology intellectual property."

Ends

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