Innergex Closes Over-Allotment Option For an Additional $10.5 Million of
Convertible Debentures

LONGUEUIL, QC, March 16 /CNW Telbec/ - Innergex Renewable Energy Inc. (TSX: INE) ("Innergex" or the "Corporation") is pleased to announce that it has closed the over-allotment option previously granted to a syndicate of underwriters to purchase an additional $10.5 million principal amount of 5.75% extendible convertible unsecured subordinated debentures (the "Debentures"). Granted to the syndicate of underwriters in connection with Innergex's offering of $70 million principal amount of Debentures completed on March 8, 2010, the over-allotment option brings the aggregate gross proceeds of the offering to $80.5 million. The syndicate of underwriters, co-led by BMO Capital Markets and TD Securities Inc., includes CIBC World Markets Inc., RBC Dominion Securities Inc., Scotia Capital Inc., Desjardins Securities Inc. and Laurentian Bank Securities Inc.

As expressed by Michel Letellier, President and Chief Executive Officer of Innergex: "The closing of the over-allotment option sends us a strong message of confidence and is no doubt a sign that this type of product is well-received by the financial markets. In light of the upcoming combination of Innergex with Innergex Power Income Fund, this is certainly very positive for us, as this additional offering will provide more financial flexibility for Innergex to pursue its growth."

The Debentures and the common shares of the Corporation issuable upon conversion, redemption or maturity of the Debentures have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or sold within the United States or to, for the account or benefit of U.S. persons except, and in compliance with applicable U.S. state securities laws, in certain transactions exempt from the registration requirements of the U.S. Securities Act.

Innergex to combine with Innergex Power Income Fund

As announced on February 1, 2010, Innergex is expected to combine with Innergex Power Income Fund (the "Fund"). The resulting pure play entity will be one of the largest independent renewable power producers in Canada, with a portfolio of projects which consists of: (i) interests in 17 operating facilities with an aggregate net installed capacity of 326 MW; (ii) interests in four projects under development with power purchase agreements with an expected aggregate net installed capacity of 128 MW; and (iii) prospective projects of more than 1,600 MW. Special meetings for both the Fund and Innergex will be held on March 24, 2010, at which the securityholders will be asked to vote in favour of the proposed combination. Provided that the Fund unitholders and Innergex shareholders approve the proposed combination and that other customary conditions are met, the proposed combination is expected to become effective on March 29, 2010.

About Innergex

Innergex Renewable Energy Inc. is a leading developer, owner and operator of run-of-river hydroelectric facilities and wind energy projects in North America. Innergex's management team has been involved in the renewable power industry since 1990. Innergex owns a portfolio of projects which consists of: i) interests in five operating facilities with an aggregate net installed capacity of 116 MW (gross 198 MW); ii) interests and four projects under development with an aggregate net installed capacity of 128 MW (gross 320 MW); and iii) prospective projects of more than 1,600 MW (gross expected capacity of more than 1,800 MW). Innergex also owns 16.1% of the Fund and acts as its manager under long-term management agreements.

About the Fund

Innergex Power Income Fund is an open-ended income trust that indirectly owns interests in 10 hydroelectric power generating facilities and two wind farms. The Fund's net installed capacity is 210 MW (gross 340 MW). Approximately 27% of total annual production comes from wind energy. The Fund's units are traded on the Toronto Stock Exchange under the symbol IEF.UN. The hydroelectric facilities and wind farms are managed by Innergex, under long-term agreements with the Fund.

Forward-looking statements

Investors should note that some statements in this press release are forward-looking and may not give full weight to all potential risks and uncertainties. Forward-looking statements are, by their nature, subject to risks and uncertainties, and actual results, actions or events could materially differ from those set forth in the forward-looking statements. All forward-looking statements are only valid at the date they were made. The Corporation does not undertake to update forward-looking statements except in accordance with applicable laws.

SOURCE Innergex Renewable Energy Inc.

For further information: For further information: Ms. Edith Ducharme, LL.L., Director - Financial Communications and Investor Relations, Innergex Renewable Energy Inc., (450) 928-2550, ext. 222, educharme@innergex.com; Mr. Jean Trudel, MBA, Vice President - Finance and Investor Relations, Innergex Renewable Energy Inc., (450) 928-2550, ext. 252, jtrudel@innergex.com; www.innergex.com

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Innergex Renewable Energy Inc.

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