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Last Update 12 April 2023

Re-powering older units vital for India's wind power growth amid contract challenges

The wind power sector in India is struggling to achieve significant growth through sovereign contracts, which are long-term agreements between the government and energy companies. One of the major obstacles is the aging of existing wind power units. Re-powering these units, which involves upgrading or replacing outdated technology with newer and more efficient equipment, is seen as a crucial step towards boosting the sector's growth. This will not only enhance the output of existing wind farms but also improve their overall efficiency and reliability. By addressing these issues, India can potentially unlock new opportunities for the wind power sector, which will contribute to the country's sustainable energy goals and drive economic growth.

Mr. Ravi Shekhar, Director & Head, of Eninrac Consulting says "Wind power generation has seen a slide both in terms of capacity additions and actual generation in India. While the country remains bullish pertaining to its renewable additions throughout 2030, the wind sector needs dedicated attention going forward. The fact that wind gave an output of only 74.25 MU’s per GW of installed capacity in February 2023 remains concerning for the sector to blossom and garner investors' sentiments on a positive sense. Wind happens to contribute only ~2.50% in monthly generation for the country against an installed base of 42GW. It's time for India to re-look aggressively on two fronts primarily, with the first being the old-wind sites with the purview of re-powering them along with GBI's being rolled-in their favor. Secondly, enabling better terms for PPA’s for older units and arranging the construction of competitive on-shore wind zones in the country with ample tax concessions. This timely action coupled with dedicated transmission infrastructure can see the ground reality for wind sector change in India”

India has a huge target of 140 GW of capacity addition by the end of 2030, in order to complete this GoI announced a target of 8 GW auction per year for wind energy till 2030. Apart from new capacity additions, the repowering of old wind turbines presents a strong business case for wind power development in India. In this milieu, eninrac consulting is coming up with the latest market research publication. To get a copy of our latest publication on "Wind Energy landscape in India and Outlook of 2030" please visit: https://bit.ly/3KnefLy

- Communications Team


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