India’s wind energy developers are having a tough time with the central government removing their favorite accelerated depreciation and GBI incentives. The largest wind energy state TN is also creating new problems in the form of late payments and inadequate transmission capacity. There is also a new CERC order which lays stringent reporting requirements for electricity forecasts. However, there is now some good news for the embattled wind energy developers.

Read on GWI List of Wind Energy Companies in India.

Gujarat raises Wind Tariffs to Rs 4.15

Gujarat which has almost 15% of the country wind energy capacity has raised the tariff for wind energy by almost 20% to Rs 4.15. They have also removed the requirement to pay a duty on the electricity generated by the wind developers. Gujarat is trying to encourage the growth of RE in the state, which already hosts 50% of the country’s solar energy capacity. Note Gujarat has large desolate windy areas near the coastal regions such as Kutch. The state wants to increase the generation of RE from those regions to supply its power hungry cities. Note Gujarat is one of the major industrial states which has a power surplus and this has made it attractive to a number of industries. The new wind energy policy is a good move in my view and wind tariffs need to be revised everywhere. With inflation running at almost 10% per year, the 20% revision does not look too oversized in my view.

Also read on GWI Wind Power in India – What you Wanted to Know about Wind Turbines, Indian Wind Companies, Subsidies, Capacity, Offshore Wind and Wind Farms.