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Title: Uncertainty over policy, poor supply slow down wind power industry
Source:The Financial Express
Date:3 December 2012

Despite the demand for harnessing non-conventional energy resources, the wind power industry appears to be slowing down. In the absence of a uniform tariff regime, uncertain regulatory and policy incentives, inadequate grid connectivity and delays in acquiring land are some of the reasons for under-utilization of the country's wind power manufacturing potential. It has been forecast that India's wind power market will see the current annual addition of around 3000 MW go down to 1900 MW by 2020. Though India has an annual manufacturing capacity of over 9.5 GW of wind turbines, the country has been seeing only about 3 GW in annual installations under the 12th Plan target, said the third edition of “India Wind Energy Outlook 2012”, brought out jointly by Global Wind Energy Council, World Institute of Sustainable Energy and Indian Wind Turbine Manufacturing Association, at Wind Power India 2012, held in Chennai. While the broader global slowdown has reduced expectations from the wind sector for fiscal year 2012-13, the reduction in the accelerated depreciation benefit from 80% to 35% in the first year of wind turbine operations has the industry struggling to cope with the changed scenario. The government has been offering three key incentives, namely accelerated depreciation, generation-based incentive since 2009, and renewable energy certificates mechanism since 2010.




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