Wind Power in India- An Ongoing Success Story

WIND POWER DEVELOPMENT IN INDIA- AN ONGOING SUCCESS STORY

Varsha Joshi, Joint Secretary MNRE, GOI

THE INDIAN POWER SECTOR

¨  TOTAL INSTALLED CAPACITY- 254,120 MW

Thermal 1,53,511

Hydro 40,798

Renewable 32,424

Gas 22,607

Nuclear 4780

THE RENEWABLE SECTOR

¨  TOTAL INSTALLED CAPACITY- 32,424 MW

Wind Power, 21,923, 67%

Small Hydro (Up to 25 MW) 3,826 12%

Biomass / Cogeneration 4,120 13%

Solar Power, 2753, 8%

GROWTH IN WIND POWER

¨  INDIA PRESENTLY HAS THE FIFTH LARGEST WIND POWER INSTALLED CAPACITY IN THE WORLD

1666

1908

2523

3635

5351

7093

8756

10241

11806

14155

17352

19052

21132

21923

0

5000

10000

15000

20000

25000

upto 2

002

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

2008-09

2009-10

2010-11

2011-12

2012-13

2013-14

2014-15

Cumulative Capacity (MW)

ONSHORE WIND POTENTIAL IN INDA

¨  ESTABLISHED POTENTIAL @80 M: 102, 788 MW

STATEWISE POTENTIAL & INSTALLED CAPACITY 6

S.No. State Potential in MW @ 80 m

Installed Capacity (MW ) Aug 2014

1. Andhra Pradesh 14497 878

2. Gujarat 35071 3520

3. Karnataka 13593 2532

4. Kerala 837 35

5. Madhya Pradesh 2931 494

6. Maharashtra 5961 4141

7. Rajasthan 5050 2845

8. Tamil Nadu 14152 7372

9. Others 10696 4

Total 102,788 21,821

 Estimation based on meso scale modeling (Indian Wind Atlas). Assessment on 2 % / 0.5% land availability

WHAT WENT RIGHT

¨  MARKET ORIENTED APPROACH FROM THE START

¨  EXTENSIVE WIND RESOURCE ASSESSMENT DATA

¨  TECHNOLOGY DEVELOPMENT AND A STRONG

DOMESTIC MANUFACTURING BASE

¨  QUALITY ASSURANCE

¨  CONDUCIVE POLICY FRAMEWORK FOR PRIVATE

INVESTMENT

THE BEGINNINGS OF WIND POWER

¨  The Electricity Act 2003 mandated states to promote generation from renewables- measures for connectivity, sale, % consumption

¨  Demonstration projects with public funding established viability

¨  Showcase of JV such as MP Wind Farms so that private sector could replicate the concept, making large projects through small investors

¨  States introduced wheeling, banking & sale policies

WIND RESOURCE ASSESSMENT & DATA AVAILABILITY

" 800 monitoring stations, 155 in Operation

" 75 stations at 100 m height in 7 high-wind states

" 8 handbooks on Wind Energy Resource Data

" Indian Wind Atlas launched

" 100 m WRA in 24 States (500 stations) Ø  Project cost : Rs. 171.22 Crore

Ø  40% i.e. Rs. 68.48 Crore recommended by IMG under NCEF

Ø  Scheme operated through private operators (30% by private operator, 40% from NCEF, 30% by State Govt.) in consultation with SNAs

" Heights > 100 m to be taken up soon

STATE-OF-THE-ART TECH & MANUFACTURING

u Cost of Indian wind turbines lowest in the world

u Capacity: 250 – 2500 kW; Gear & Gearless

u Hub heights: 41– 110 m;

u Rotor Diameter: 28 – 120 m

u 19 manufacturers with 52 models

u Export to USA, Europe, South America, Asia

u Indigenization about 70% u Rotor blades, gear boxes, yaw components, nacelle

cover, raw material for blades being manufactured

QUALITY ASSURANCE-NIWE &RRLM

¨  NATIONAL INSTITUTE OF WIND ENERGY, CHENNAI

¤ Wind Resource Assessment ¤ International Level Testing Facilities ¤ Standardization & Certification ¤ Type Approval of Turbines ¤ R&D ¤ Information, Training, Commercial Services

¨  RRLM COMMITTEE- Revised List of Manufacturers & Models Committee; approves models for wind projects

POLICY INCENTIVES-I

¨  Income Tax Holiday U/S 80 1A for 10 years

¨  Full Excise Duty exemption

¨ Concessional Customs Import Duty on specified

parts and components

¨  Exemption on Special Additional Duty (SAD) on

parts & components of wind turbines

POLICY INCENTIVES-II

¨  IREDA loan for commercial wind power projects

¨  Feed-In-Tariff by State Regulators

¨  Generation Based Incentive @ Rs. 0.50/unit, •  over and above the FIT;

•  ceiling Rs. 10 million/ MW,

•  >4 years & <10 years;

•  allowed to captive producers but not to merchant power

OR

¨  Accelerated Depreciation (80%) in first year

OFFSHORE WIND- THE NEXT FRONTIER

¨  ENTIRE EEZ AVAILABLE FOR OFFSHORE WIND

PARAMETERS FOR CONSIDERATION

q Within 20 km from sea coast/port q Average water depth < 25 m

q Average wind speed > 6.5 m/sec at 50 m height q Outside oil and gas activity zone, marine protected areas, submarine power and communication channels, air traffic, free from security considerations, cyclone zone and in low risk earthquake zone.

q Within 20 km from onshore substation

MOU FOR JV- PILOT OFF GUJARAT COAST

¨  MNRE, NTPC, PGCL, PFC, PTC, GPCL, NIWE, IREDA ¨  SIGNED ON 01.10.2014

RE-INVEST 2015- YOU’RE INVITED!

www.mnre.gov.in [email protected]

[email protected]

THANK YOU