IPO for Huaneng's wind power unit 'worth $1b'

China Huaneng Group Corp, the country's largest power producer, plans to take its wind power unit public in a Hong Kong share sale this year worth at least $1 billion, said four people familiar with the plan.

The Beijing-based company hired China International Capital Corp, Goldman Sachs Group Inc, Macquarie Group Ltd and Morgan Stanley to arrange the initial public offering, said three of the people, who declined to be identified because the information hasn't been officially announced.

China is encouraging cleaner energy to combat climate change and meet demand for power in an economy that expanded 10.7 percent in the fourth quarter. The government may lift its 2020 target for wind power capacity by 50 percent to 150 gW, representing a 20 percent annual growth rate from 2009, Goldman Sachs said in a research note dated Feb 3.