The Bombay high court has dismissed Essar Group's plea, allowing REpower Systems AG to collaborate with new associates for wind turbines technology.

Last year Essar Group gone to court against REpower Systems, when the latter had ended a pact signed in 2006 between the two for designing and developing wind turbines to be sold in India and South East Asia. The reason given by Repower for ending the contract was Essar's unsuccessful attempt at building the manufacturing unit.

At the time, Essar had said it would invest 50 crore to establish the manufacturing capacity in India.

The verdict was welcomed by Suzlon Energy, whereas Essar group has decided to appeal against the courts order, according to the company statement.

REpower's chief executive officer Andreas Nauen said that they were delighted with the court's judgment in favor of Repower, adding, that on the other hand they were aware that this judgment was a small step forward in process initiation.

Mr Nauren added that procedure to start a turbines manufacturing facility in Asia for supply to Australia, New Zealand and the US are being considered by the company.

"We will be looking for possible synergies with our major shareholder," Mr Nauen said.

"Please note that no domination accord between the two companies exist so far. REpower is division of the Suzlon Group, but acts as a different legal entity. Thus, there is no point in sharing technology though we do work together in the fields of sales or basic research," he added.