MNRE starts process for a National Wind Energy Mission

27th January 2014  To: 27th January 2014

The ministry of new and renewable energy (MNRE) held a national consultation on the concept note for setting up a National Wind Energy Mission.

According to the concept note, the wind mission’s objective is envisaged to be achieved through the development of a coordinated and stable policy environment at both state and central levels so as to incentivize rapid investments in the sector.

The rationale for a national wind mission, according to the concept paper, derives from the need for “a long term stable policy framework which covers all aspects including land allocation, tariff fixation, incentives, manufacturing policy, planning for transmission infrastructure, and managing intermittency (in supply)”.

The envisaged phase-wise capacity addition targets are 20,000 MW of utility-scale on-shore wind power by 2017, and additional 50,000 MW by 2022. The corresponding targets for offshore wind power are 10,000 MW and 11,000 MW respectively.

The country currently has already crossed 20,000 MW of installed wind energy capacity, indicating its potential to go to the next level and become a major source of clean energy.

In addition to bringing the focus on all-round and aggressive wind power deployment in the country, the government will soon create a National Offshore Wind Agency and mandate it to go out to the sea to tap wind power. A cabinet note for setting up the agency will soon be finalized by the MNRE, the minister said at the consultation meeting.

India’s domestic wind manufacturing capacity exceeds 10,000 MW annually, mostly untapped for deployment within the country. Capacity addition in 2012 and 2013 were reduced to less than half that of 2011, by recent uncertainties in policy. The accelerated depreciation (AD) scheme and Generation-Based Incentive (GBI) scheme, which provided subsidies for setting up wind-generated power plants, were withdrawn in 2012. While the industry has been calling for its restoration, however, only the GBI has been restored so far.


Dr. Farooq Abdullah has indicated that in view of his ongoing talks with Finance Minister P. Chidambaram on the matter, he is expecting a return of the AD incentive scheme in the forthcoming union budget.



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