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We are confident of a practical and sympathetic view for wind and renewable energy

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Below are the excerpts of our recent interview with MR. DV GIRI,SECRETARY GENERAL,INDIAN WIND TURBINE MANUFACTURERS ASSOCIATION (IWTMA)

Do you think India would be able to reach the target of 60 gigawatts (GW) of wind energy capacity by 2022 especially given the stiff competition the segment faces from Solar energy & withdrawal of certain tax benefits for the wind segment? How IWTMA as an association is helping India to achieve this target?

We have reached 32 GW and 28 GW to go before 2022. Installation of solar energy and competition thereof is not a worry. AD segment accounted only for 600 MW in 16-17 and therefore no impact. The important aspect is for Government to go for large tender of interstate reverse bidding and states to go for intra state bidding or continue with the FIT. Mandating of RPO as per guidelines of MOP by all states will ensure 28 GW.

What are your views on repowering policies? Do you think they could be game changer for the wind segment?

Draft guideline for repowering has been issued . The scope is limited and not a game changer. However, it will help placement of high efficient turbines over small turbines occupying the best area. The challenge is to persuade the present owner to give up his land and grid augmentation by installing larger turbines.

How introduction of Reverse bidding is affecting the performance of wind energy sector?

The first 1 GW bid as thrown up a price discovery of Rs.3.46 per unit as interstate transaction and mostly from Tamil Nadu. Wind is site specific and PLF varies from state to state and within the state, the price discovery mechanism has a transparent transaction will be healthy like water finding its level. Discoms will encourage for higher penetration.

What will be the impact of GST on Wind Energy Sector?

Yes, impact of GST is unknown and can adversely affect if we are placed in a higher bracket. MNRE has recommended to place wind energy under concessional tariff and we as an industry has asked for zero rating as the final product is not excisable and we will be breaking the chain. We are confident of a practical and sympathetic view for wind and renewable energy.

What are the pressing issues wind sector is facing and what government can do in order to overcome them?

The present issue is mandating the RPO by all states, green corridor and evacuation, the grid integration and planning, timely payment to generators with a “MUST RUN” status. We are 75% localized industry and great opportunity in exports if freight logistics is taken care of and creation of credit lines with larger limits will yield 1.5 to 2 GW per annum within the next 24 - 30 months.