The 

wind power industry is involved with the design, manufacture, construction, and
maintenance of wind turbines. The modern wind powerindustry began in 1979 with the serial
production of wind turbines by Danish manufacturers. The industry is currently undergoing a
period of rapid globalization and consolidation.

Contents
 [hide]

1 Overview
2 Wind power
companies
3 References
4 External links

[edit]Overview

The wind power industry is the industry involved with the design, manufacture, construction, and
maintenance of wind turbines. Although the wind power industry is small compared to those of
the conventional power generation technologies (hydro, coal, natural gas, and nuclear), it is
growing at a much faster rate (25% per year, from 2002 to 2007).[1]

The modern wind power industry began in 1979 with the serial production of wind turbines by
Danish manufacturers Kuriant, Vestas, Nordtank, and Bonus. Initially, most of these early
turbines were installed in western Denmark. California, USA experienced a wind power boom
from 1982 to 1986 when thousands of Danish and American wind turbines were installed in
massive arrays. India got involved in wind power in the mid-1980s as well, while Germany and
Spain gradually developed domestic wind power industries starting in the early 1990s.

The wind power industry is currently undergoing a period of rapid globalization and
consolidation, with much of the recent wind farm development occurring outside the older
established markets. Several large companies with market capitalizations greater than the entire
wind power industry itself (General Electric, Siemens, BP) are now making large investments in
wind power. To meet a global wind turbine supply shortage, start-up wind turbine manufacturers
are still appearing and ramping up the production of their new wind turbine models as quickly as
possible.

[edit]Wind power companies

See also: Renewable energy industry
Wind turbine manufacturers design, test, manufacture, and assist with the operation and
maintenance of wind turbines. Important choices facing them include turbine design (generator
type, gearbox vs. gear-less, materials) and how much control to maintain over component
supplies (internal vs. external). They must be concerned with maintaining their extensive fleets
of operating turbines while at the same time developing newer and ever-larger models. The
largest wind turbine manufacturers are based in Denmark, Germany, Spain, India, and USA.

Wind farm developers develop and sometimes own and operate wind farms. This involves
purchasing or leasing land, installing meteorological equipment to quantify the wind resource,
and securing transmission, power sales, turbine supply, construction, and financing
agreements. Some small wind farm developers, lacking the "muscle" and financing necessary to
secure major turbine supply contracts, will develop a project in order to "flip" it and sell to larger
developers such as wind power managing owners.

Wind farm construction companies construct and sometimes assist with theoperation and
maintenance of wind farms.

Wind farm finance companies sell loans and other financial products to wind farm developers
and wind turbine manufacturers. Most of these companies are large banks with experience in
providing financing to other large industrial projects.

Wind power consulting companies offer consulting services to the wind power industry,
including wind turbine design and certification, technical Due Diligence (or acting as the
"Owner's Engineer"), wind resource maps, wind resource assessments, wind power forecasting,
and wind turbine power performance testing. Most of these companies maintain financial
independence (no ownership stake) from wind farm projects in order to guarantee unbiased
service to their clients.

Wind power research organizations provide research and development to the wind power
industry. They are usually part of government agencies or universities and conduct research on
aspects of wind power that are currently cost-prohibitive for the private industry to invest in.

Wind power managing owners are responsible for the operation and maintenance and

administration of wind farms which they develop or acquire. All or part of these responsibilities
may be subcontracted to third parties. Wind power managing owners, along with other financing
parties and equity partners, typically sell the electricity generated from wind farms to public
utilities under long-term Power Purchase Agreements (PPAs) where they receive a fixed price
for the electricity.
Global wind energy council

Our Work
GWEC works on both the national and international level to create a better policy environment for wind
power. International discussions over our energy and climate future will dominate the policy and public
landscape for the next two years, at least. On an international level, the most important factor affecting the
development of the wind industry over the next decade will be the outcome of the post-2012 climate
negotiations, currently scheduled to conclude in Copenhagen in December 2009.
The science is clear: According to the IPCC, global emissions have to peak and start to decline before 2020
if we are to avoid the worst consequences of climate change. Wind energy is the only power generation
technology in the position to making a substantial difference in reducing CO2 emissions in this critical
period. Already now, over 120 GW of installed wind power capacity in over 70 countries are saving the
planet a sizeable amount of carbon emissions.  But wind power can do much more. GWEC estimates that
wind energy is on track to creating annual savings of over 1,500 million tons of CO2 by 2020, rising to 3.5
billion tons by 2030. In cumulative terms, this would mean a total of 10 billion tons of CO2 saved by 2020,
and over 30 billion tons by 2030

Wind power in India

From Wikipedia, the free encyclopedia

The development of wind power in India began in the 1990s, and has significantly increased in
the last few years. Although a relative newcomer to the wind industry compared
with Denmark or the US, India has the fifth largest installed wind power capacity in the world.[1]

As of 31 October 2009 the installed capacity of wind power in India was 11806.69[2] MW, mainly
spread across Tamil Nadu (4900.765 MW),[3]Maharashtra (1945.25 MW), Gujarat (1580.61
MW), Karnataka (1350.23 MW), Rajasthan (745.5 MW), Madhya Pradesh (212.8 MW), Andhra
Pradesh(132.45 MW), Kerala (46.5 MW), Orissa (2MW),[4][5] West Bengal (1.1 MW) and other
states (3.20 MW) [6] It is estimated that 6,000 MW of additional wind power capacity will be
installed in India by 2012.[7] Wind power accounts for 6% of India's total installed power capacity,
and it generates 1.6% of the country's power.[8] India is preparing wind atlas[9]

Contents
 [hide]

1 Overview
2 State-level wind power
o 2.1 Tamil Nadu
 (4889.765 MW)
o 2.2 Maharashtra
(1942.25 MW)
o 2.3 Gujarat (1782 MW)
o 2.4 Karnataka (1340.23
MW)
o 2.5 Rajasthan (738.5
MW)
o 2.6 Madhya Pradesh
(212.8 MW)
o 2.7 Kerala (26.5 MW)
o 2.8 West Bengal
(1.10MW)
3 Projects in India
4 Barriers
5 Utilization
6 Future
7 See also
8 References
9 External links

[edit]Overview

India is the world's fifth largest wind powerproducer, with an annual power production of 8,896 MW.[10] Shown here is
a wind farm in Kayathar, Tamil Nadu.
The worldwide installed capacity ofwind power reached 157,899 MW by the end of 2009. USA
(35,159 MW), Germany (25,777 MW), Spain (19,149 MW) and China (25,104 MW) are ahead of
India in fifth position.[11] The short gestation periods for installing wind turbines, and the
increasing reliability and performance of wind energy machines has made wind power a favored
choice for capacity addition in India.[12]

Suzlon, as Indian-owned company, emerged on the global scene in the past decade, and by
2006 had captured almost 7.7 percent of market share in global wind turbine sales. Suzlon is
currently the leading manufacturer of wind turbines for the Indian market, holding some 52
percent of market share in India. Suzlon’s success has made India the developing country
leader in advanced wind turbine technology.[13]

[edit]State-level wind power

There is a growing wind energy installations in the number of the states across the India.

[edit]Tamil Nadu (4889.765 MW)

India is keen to decrease its reliance on fossil fuels to meet its energy demand. Shown here is a wind
farm in Muppandal, Tamil Nadu.

Tamil Nadu is the state with the most wind generating capacity: 4889.765 MW at the end of the
March 2010.[3] Not far from Aralvaimozhi, the Muppandal wind farm, the largest in the
subcontinent, is located near the once impoverished village of Muppandal, supplying the
villagers with electricity for work.[14][15] The village had been selected as the showcase for India's
$2 billion clean energy program which provides foreign companies with tax breaks for
establishing fields of wind turbines in the area. In february 2009, Shriram EPC bagged INR 700
million contract for setting up of 60 units of 250 KW (totaling 15 MW) wind turbines in Tirunelveli
district by Cape Energy.[16] Enercon is also playing a major role in development of wind energy
in India. In Tamil Nadu, Coimbatore and Tiruppur Districts having more wind Mills from 2002
onwards,specially, Chittipalayam, Kethanoor, Gudimangalam, Poolavadi,Murungappatti (MGV
Place),Sunkaramudaku,KongalNagaram,Gomangalam, Anthiur are the high wind power
production places in the both districts.

[edit]Maharashtra (1942.25 MW)

Maharashtra is second only to Tamil Nadu in terms of generating capacity.Suzlon has been
heavily involved.[12] Suzlon operates what was once Asia's largest wind farm, the Vankusawade
Wind Park (201 MW), near the Koynareservoir in Satara district of Maharashtra.[17]

[edit]Gujarat (1782 MW)

Samana &sadodar in jamanagar district is set to host energy companies likeChina Light Power
(CLP) and Tata Power have pledged to invest up to  8.15 billion ($189.5 million) in different
projects in the area. CLP, through its India subsidiary CLP India, is investing close to  5 billion
for installing 126 wind turbines in Samana that will generate 100.8 MW power. Tata Power has
installed wind turbines in the same area for generating 50 MW power at a cost of  3.15 billion.
Both projects are expected to become operational by early next year, according to government
sources. The Gujarat government, which is banking heavily on wind power, has identified
Samana as an ideal location for installation of 450 turbines that can generate a total of 360 MW.
To encourage investment in wind energy development in the state, the government has
introduced a raft of incentives including a higher wind energy tariff. Samana has a high tension
transmission grid and electricity generated by wind turbines can be fed into it. For this purpose,
a substation at Sadodar has been installed. Both projects are being executed by Enercon Ltd, a
joint venture between Enercon of Germany and Mumbai-based Mehra group.[18]

ONGC Ltd has commissioned its first wind power project. The 51 MW project is located at
Motisindholi in Kutch district of Gujarat. ONGC had placed the EPC order on Suzlon Energy in
January 2008, for setting up the wind farm comprising 34 turbines of 1.5 MW each. Work on the
project had begun in February 2008, and it is learnt that the first three turbines had begun
production within 43 days of starting construction work. Power from this  308 crore captive wind
farm will be wheeled to the Gujarat state grid for onward use by ONGC at
its Ankleshwar, Ahmedabad, Mehsana and Vadodaracentres. ONGC has targeted to develop a
captive wind power capacity of around 200 MW in the next two years.[19]

[edit]Karnataka (1340.23 MW)

There are many small wind farms in Karnataka, making it one of the states in India which has a
high number of wind mill farms. Chitradurga, Gadag are some of the districts where there are a
large number of Windmills. Chitradurgaalone has over 20000 wind turbines.[citation needed]
The 13.2 MW Arasinagundi (ARA) and 16.5 MW Anaburu (ANA) wind farms are ACCIONA’S
first in India. Located in the Davangere district (KarnatakaState), they have a total installed
capacity of 29.7 MW and comprise a total 18 Vestas 1.65MW wind turbines supplied by Vestas
Wind Technology India Pvt. Ltd.[citation needed]

The ARA wind farm was commissioned in June 2008 and the ANA wind farm, in September
2008. Each facility has signed a 20-year Power Purchase Agreement (PPA) with Bangalore
Electricity Supply Company (BESCOM) for off-take of 100% of the output. ARA and ANA are
Acciona’s first wind farms eligible for CER credits under the Clean Development Mechanism
(CDM).[citation needed]

ACCIONA is in talks with the World Bank for The Spanish Carbon Fund which is assessing
participation in the project as buyer for CERs likely to arise between 2010 and 2012. An
environmental and social assessment has been conducted as part of the procedure and related
documents have been provided. These are included below, consistent with the requirement of
the World Bank's disclosure policy.[citation needed]

[edit]Rajasthan (738.5 MW)

Gurgaon-headquartered Gujarat Fluorochemicals Ltd is in an advanced stage of commissioning
a large wind farm in Jodhpur district of Rajasthan. A senior official[who?] told Projectmonitor that
out of the total 31.5 mw capacity, 12 mw had been completed so far. The remaining capacity
would come on line shortly, he added. For the INOX Group company, this would be the largest
wind farm. In 2006-07, GFL commissioned a 23.1-mw wind power project at Gudhe village near
Panchgani in Satara district of Maharashtra. Both the wind farms will be grid-connected and will
earn carbon credits for the company, the official noted.[citation needed] In an independent
development, cement major ACC Ltd has proposed to set up a new wind power project in
Rajasthan with a capacity of around 11 mw. Expected to cost around  60 crore, the wind farm
will meet the power requirements of the company's Lakheri cement unit where capacity was
raised from 0.9 million tpa to 1.5 million tpa through a modernisation plan. For ACC, this would
be the second wind power project after the 9-mw farm at Udayathoor in Tirunelvelli district of
Tamil Nadu.[citation needed] Rajasthan is emerging as an important destination for new wind farms,
although it is currently not amongst the top five states in terms of installed capacity. As of 2007
end, this northern state had a total of 496 mw, accounting for a 6.3 per cent share in India's total
capacity.[citation needed]
[edit]Madhya Pradesh (212.8 MW)
In consideration of unique concept, Govt. of Madhya Pradesh has sanctioned another 15 MW
project to MPWL at Nagda Hills near Dewas. All the 25 WEGs have been commissioned on
31.03.2008 and under successful operation.[20]

[edit]Kerala (26.5 MW)

The first wind farm of the state was set up at Kanjikode in Palakkad district. It has a generating
capacity of 23.00 MW. A new wind farm project was launched with private participation
at Ramakkalmedu in Idukki district. The project, which was inaugurated by chief minister V. S.
Achuthanandan in April 2008, aims at generating 10.5 MW of electricity.[citation needed]

The Agency for Non-Conventional Energy and Rural Technology (ANERT), an autonomous
body under the Department of Power, Government of Kerala, is setting up wind farms on private
land in various parts of the state to generate a total of 600 mw of power. The agency has
identified 16 sites for setting up wind farms through private developers. To start with, ANERT
will establish a demonstration project to generate 2 mw of power at Ramakkalmedu in Idukki
district in association with the Kerala State Electricity Board. The project is slated to cost  21
crore. Other wind farm sites include Palakkad and Thiruvananthapuram districts. The
contribution of non-conventional energy in the total 6,095 mw power potential is just 5.5 per
cent, a share the Kerala government wants to increase by 30 per cent. ANERT is engaged in
the field of development and promotion of renewable sources of energy in Kerala. It is also the
nodal agency for implementing renewable energy programmes of the Union ministry of non-
conventional energy sources.[citation needed]

[edit]West Bengal (1.10MW)

The total installation in West Bengal is just 1.10 MW as there was only 0.5 MW addition in 2006-
2007 and none between 2007–2008 and 2008–2009

Bengal - Mega 50 MW wind energy project soon for country[citation needed]

Suzlon Energy Ltd plans to set up a large wind-power project in West Bengal Suzlon Energy Ltd
is planning to set up a large wind-power project in West Bengal, for which it is looking at coastal
Midnapore and South 24-Parganas districts. According to SP Gon Chaudhuri, chairman of the
West Bengal Renewable Energy Development Agency, the 50 MW project would supply grid-
quality power. Gon Chaudhuri, who is also the principal secretary in the power department, said
the project would be the biggest in West Bengal using wind energy. At present, Suzlon experts
are looking for the best site. Suzlon aims to generate the power solely for commercial purpose
and sell it to local power distribution outfits like the West Bengal State Electricity Board
(WBSEB).[citation needed]

Suzlon will invest around  250 crore initially, without taking recourse to the funding available
from the Indian Renewable Energy Development Agency (Ireda), said Gon Chaudhuri. He said
there are five wind-power units in West Bengal, at Frazerganj, generating a total of around 1
MW. At Sagar Island, there is a composite wind-diesel plant generating 1 MW. In West Bengal,
power companies are being encouraged to buy power generated by units based on renewable
energy. The generating units are being offered special rates. S Banerjee, private secretary to
the power minister, said this had encouraged the private sector companies to invest in this field.
[citation needed]

[edit]Projects in India
India's Largest Wind power production facilities (10MW and greater)[21]

Total Capacity
Power Plant Producer Location State
(MWe)

Vankusawade Wind
Suzlon Energy Ltd. Satara Dist. Maharashtra 259
Park

Cape Comorin Aban Loyd Chiles Offshore Ltd. Kanyakumari Tamil Nadu 33

Kayathar Subhash Subhash Ltd. Kayathar Tamil Nadu 30

Ramakkalmedu Subhash Ltd. Ramakkalmedu Kerala 25

Muppandal Wind Muppandal Wind Farm Muppandal Tamil Nadu 513

Gudimangalam Gudimangalam Wind Farm Gudimangalam Tamil Nadu 21

Andhra
Puthlur RCI Wescare (India) Ltd. Puthlur 20
Pradesh
Lamda Danida Danida India Ltd. Lamda Gujarat 15

Mohan Breweries & Distilleries

Chennai Mohan Chennai Tamil Nadu 15
Ltd.

Madhya
Jamgudrani MP MP Windfarms Ltd. Dewas 14
Pradesh

Chitradurga
Jogmatti BSES BSES Ltd. Karnataka 14
Dist

Perungudi Newam Newam Power Company Ltd. Perungudi Tamil Nadu 12

Kethanur Wind Farm Kethanur Wind Farm Kethanur Tamil Nadu 11

Andhra Pradesh State Road Andhra

Hyderabad APSRTC Hyderabad 10
Transport Corp. Pradesh

Muppandal Madras Madras Cements Ltd. Muppandal Tamil Nadu 10

Poolavadi Chettinad Chettinad Cement Corp. Ltd. Poolavadi Tamil Nadu 10

[edit]Barriers

Initial cost for wind turbines is greater than that of conventional fossil fuel generators per MW
installed. Noise is produced by the rotor blades. This is not normally an issue in the locations
chosen for most wind farms and research by Salford University[22] shows that noise complaints
for wind farms in the UK are almost non-existent.

[edit]Utilization

Despite the high installed capacity, the actual utilization of wind power in India is low because
policy incentives are geared towards installation rather than operation of the plants. This is why
only 1.6% of actual power production in India comes from wind although the installed capacity is
6%. The government is considering the addition of incentives for ongoing operation of installed
wind power plants.[8]

[edit]Future

The Ministry of New and Renewable Energy (MNRE) has fixed a target of 10,500 MW between
2007–12, but an additional generation capacity of only about 6,000 MW might be available for
commercial use by 2012.[7]

Energy policy of India

In recent years, India’s energy consumption has been increasing at one of the fastest rates in
the world due to population growth and economic development. During the 5-year period ended
March 31, 2007, the CAGR of consumption of petroleum products was approximately 3.6%,
compared to a CAGR for GDP of 7.6% for the same period. Despite the overall increase in
energy demand, per capita energy consumption in India is still very low compared to other
developing countries.

Today, India has one of the highest potentials for the effective use ofrenewable energy. India is
the world’s fifth largest producer of wind power after Denmark, Germany,Spain, and the USA.
There is a significant potential in India for generation of power from renewable energy sources-,
small hydro, biomass, and solar energy. The country has an estimated SHP (small-hydro
power) potential of about 15000 MW.[3]

The energy policy of India is characterized by tradeoffs between four major drivers:

 Rapidly growing economy, with a need for dependable and reliable supply
of electricity, gas, and petroleum products;
 Increasing household incomes, with a need for affordable and adequate supply of
electricity, and clean cooking fuels;
 Limited domestic reserves of fossil fuels, and the need to import a vast fraction of the
gas, crude oil, and petroleum product requirements, and recently the need to import coal as
well; and
 Indoor, urban and regional environmental impacts, necessitating the need for the
adoption of cleaner fuels and cleaner technologies.

These trade-offs are often difficult to achieve. For example, the supply of adequate, yet
affordable electricity generated and used cleanly is a continuing challenge because expansion
of supply, and adoption of cleaner technologies, especially renewable energy, often means that
this electricity is too expensive for many Indians, particularly in rural areas.

In recent years, these challenges have led to a major set of continuing reforms and
restructuring.

Energy conservation
Energy conservation has emerged as a major policy objective, and the Energy Conservation Act
2001, was passed by the Indian Parliament in September 2001, 35.5% of the population still live
without access to electricity. This Act requires large energy consumers to adhere to energy
consumption norms; new buildings to follow the Energy Conservation Building Code; and
appliances to meet energy performance standards and to display energy consumption labels.
The Act also created the Bureau of Energy Efficiency to implement the provisions of the Act.

[edit]Rural electrification

1. he key development objectives of the power sector is supply of electricity to all areas
including rural areas as mandated in section 6 of the Electricity Act. Both the central
government and state governments would jointly endeavour to achieve this objective at
the earliest. Consumers, particularly those who are ready to pay a tariff which reflects
efficient costs have the right to get uninterrupted twenty four hours supply of quality
power. About 56% of rural households have not yet been electrified even though many
of these households are willing to pay for electricity. Determined efforts should be made
to ensure that the task of rural electrification for securing electricity access to all
households and also ensuring that electricity reaches poor and marginal sections of the
society at reasonable rates is completed within the next five years.India is using
Renewable Sources of Energy like Hydel Energy, Wind Energy, and Solar Energy to
electrify villages.
2. Reliable rural electrification system will aim at creating the following:
1. Rural Electrification Distribution Backbone (REDB) with at least one 33/11 kv (or
66/11 kv) substation in every Block and more if required as per load, networked
and connected appropriately to the state transmission system
2. Emanating from REDB would be supply feeders and one distribution transformer
at least in every village settlement.
3. Household Electrification from distribution transformer to connect every
household on demand.
 4. Wherever above is not feasible (it is neither cost effective nor the optimal solution
to provide grid connectivity) decentralizeddistributed generation facilities
together with local distribution network would be provided so that every
household gets access to electricity. This would be done either through
conventional or non-conventional methods of electricity generation whichever is
more suitable and economical. Non-conventional sources of energy could be
utilized even where grid connectivity exists provided it is found to be cost
effective.
5. Development of infrastructure would also cater for requirement of agriculture &
other economic activities including irrigation pump sets, small and medium
industries, khadi and village industries, cold chain and social services like health
and education.
3. Particular attention would be given in household electrification to dalit bastis, tribal areas
and other weaker sections.
4. Rural Electrification Corporation of India, a Government of India enterprise will be the
nodal agency at Central Government level to implement the programme for achieving
the goal set by National Common Minimum Programme of giving access to electricity to
all the households in next five years. Its role is being suitably enlarged to ensure timely
implementation of rural electrification projects.
5. Targeted expansion in access to electricity for rural households in the desired timeframe
can be achieved if the distribution licensees recover at least the cost of electricity and
related O&M expenses from consumers, except for lifeline support to households below
the poverty line who would need to be adequately subsidized. Subsidies should be
properly targeted at the intended beneficiaries in the most efficient manner. Government
recognizes the need for providing necessary capital subsidy and soft long-term debt
finances for investment in rural electrification as this would reduce the cost of supply in
rural areas. Adequate funds would need to be made available for the same through the
Plan process. Also commensurate organizational support would need to be created for
timely implementation. The Central Government would assist the State Governments in
achieving this.
6. Necessary institutional framework would need to be put in place not only to ensure
creation of rural electrification infrastructure but also to operate and maintain supply
system for securing reliable power supply to consumers. Responsibility of operation &
maintenance and cost recovery could be discharged by utilities through appropriate
arrangements with Panchayats, local authorities, NGOs and other franchisees etc.
 7. The gigantic task of rural electrification requires appropriate cooperation among various
agencies of the State Governments, Central Government and participation of the
community. Education and awareness programmes would be essential for creating
demand for electricity and for achieving the objective of effective community
participation.
[edit]Electricity industry
The electricity industry has been restructured by the Electricity Act 2003, which unbundles
the vertically integrated electricity supply utilities in each state of India into a transmission utility,
and a number of generating and distribution utilities. Electricity Regulatory Commissions in each
state set tariffs for electricity sales. The Act also enables open access on the transmission
system, allowing any consumer (with a load of greater than 1 MW) to buy electricity from any
generator. Significantly, it also requires each Regulatory Commission to specify the minimum
percentage of electricity that each distribution utility must source from renewable
energy sources.

The introduction of Availability based tariff has brought about stability to a great extent in the
Indian transmission grids.

[edit]Bio-Fuels

The former President of India, Dr. Abdul Kalam, is one of the strong advocaters

of Jatropha cultivation for production of bio-diesel.[4] In his recent speech, the Former President
said that out of the 6,00,000 km² of waste land that is available in India over 3,00,000 km² is
suitable for Jatropha cultivation. Once this plant is grown, it has a useful lifespan of several
decades. During its life Jatropha requires very little water when compared to other cash crops. A
plan for supplying incentives to encourage the use of Jatropha has been implemented.
See also: Jatropha incentives in India

[edit]Wind power showcase

The once-impoverished village of Muppandal benefited from the building of the nearby
Muppandal wind farm, a renewable energy source, which supplies the villagers with electricity
for work.[5][6] The village had been selected as the showcase for India's $2 billion clean energy
program which provides foreign companies with tax breaks for establishing fields of wind
turbines in the area. Now huge power-producing windmills tower over the palm trees. The
village has attracted wind energy producing companies creating thousands of new jobs,
dramatically raising the incomes of villagers.[7] The suitability of Muppandal as a site for wind
farms stems from its geographical location as it has access to the seasonal monsoon winds.[5]

[edit]Oil

The state-owned Oil and Natural Gas Corporation (ONGC) acquired shares in oil fields in
countries like Sudan, Syria, Iran, and Nigeria – investments that have led to diplomatic tensions
with the United States.[8] Because of political instability in the Middle East and increasing
domestic demand for energy, India is keen on decreasing its dependency on OPEC to meet its
oil demand, and increasing its energy security. Several Indian oil companies, primarily lead
byONGC and Reliance Industries, have started a massive hunt for oil in several regions in India
including Rajasthan, Krishna-Godavari and north-eastern Himalayas. The proposed Iran-
Pakistan-India pipeline is a part of India's plan to meet its increasing energy demand.

[edit]Nuclear power
Further information: Nuclear power in India

India boasts a quickly advancing and active nuclear power program. It is expected to have 20
GW of nuclear capacity by 2020, though they currently stand as the 9th in the world in terms of
nuclear capacity.

An achilles heel of the Indian nuclear power program, however, is the fact that they are not
signatories of the Nuclear Non-Proliferation Treaty. This has many times in their history
prevented them from obtaining nuclear technology vital to expanding their use of nuclear
industry. Another consequence of this is that much of their program has been domestically
developed, much like their nuclear weapons program. United States-India Peaceful Atomic
Energy Cooperation Act seems to be a way to get access to advanced nuclear technologies for
India.
Further information: India's three stage nuclear power programme

India has been using imported enriched uranium and are under International Atomic Energy
Agency (IAEA) safeguards, but it has developed various aspects of the nuclear fuel cycle to
support its reactors. Development of select technologies has been strongly affected by limited
imports. Use of heavy water reactors has been particularly attractive for the nation because it
allows Uranium to be burnt with little to no enrichment capabilities. India has also done a great
amount of work in the development of a Thorium centered fuel cycle. While Uranium deposits in
the nation are extremely limited, there are much greater reserves of Thorium and it could
provide hundreds of times the energy with the same mass of fuel. The fact that Thorium can
theoretically be utilized in heavy water reactors has tied the development of the two. A prototype
reactor that would burn Uranium-Plutonium fuel while irradiating a Thorium blanket is under
construction at the Madras/Kalpakkam Atomic Power Station.

Uranium used for the weapons program has been separate from the power program, using
Uranium from scant indigenous reserves.

[edit]Solar Energy
India's theoretical solar potential is about 5000 T kWh per year (i.e. ~ 600 TW), far more than its
current total consumption.[9][10] Currently solar power is prohibitive due to high initial costs of
deployment. However India's long-term solar potential could be unparalleled in the world
because it has the ideal combination of both high solar insolation and a big potential consumer
basedensity.[11][12] With a major section of its citizens still surviving off-grid, India's grid system is
considerably under-developed. Availability of cheap solar can bring electricity to people, and
bypass the need of installation of expensive grid lines. Also a major factor influencing a
regions energy intensity is the cost of energy consumed for temperature control. Since cooling
load requirements are roughly in phase with the sun's intensity, cooling from intense solar
radiation could make perfect energy-economic sense in the subcontinent, whenever the
required technology becomes competitively cheaper.

[edit]Policy framework
In general, India's strategy is the encouragement of the development ofrenewable sources of
energy by the use of incentives by the federal and state governments. Other examples of
encouragement by incentive include the use of nuclear energy (India Nuclear Cooperation
Promotion Act), promotingwindfarms such as Muppandal, and solar energy (Ralegaon Siddhi).

A long-term energy policy perspective is provided by the Integrated Energy Policy Report

2006 which provides policy guidance on energy-sector growth.

Wind power industry upbeat on generation incentive

Energy drive

Incentive was  announced by Ministry for Renewable Energy.

The amount  is over and above what State utilities pay as tariff.

It is  for those who solely sell to the State utility.

Our Bureau

Chennai, July 7 A 50-paise-a-unit generation incentive announced recently by

the Ministry for New and Renewable Energy, over and above what State utilities
pay as tariff, has got the wind power industry upbeat.

This is a welcome start, though a lot more needs to be done to attract large
investments, say industry representatives.

The Ministry’s generation-based incentive will make it more attractive for

foreign investors in the wind power sector, especially those that adopt an
independent power producer model, according to the representatives.

The incentive will increase the internal rate of return (IRR) of the projects by
1.5-2 percentage points, according to Mr Ramesh Kymal, Managing Director,
Vestas India, a leading wind turbine manufacturer.

The IRR has taken a hit of late due to the higher cost of installing a wind turbine
because of rising raw material prices and the higher interest rates. Investors,
say industry representatives, will be happy with a post-tax IRR of 14 per cent.

However, according to Mr U.B. Reddy, General Manager (Business Development

and Operations), Enercon India, another leading wind turbine manufacturer, this
return was not possible as the cost has gone up to Rs 5-5.75 crore for 1 MW
from Rs 4.25 crore, while interest rates have increased to 12.5-13 per cent from
7.5-8 per cent.

The industry is seeking clarifications on the incentive and the large investments
will come in only after these are sorted out, says Mr Mahesh Makhija, country
head of Roaring 40s, a global power company investing in wind power. “It is a
good start. We are looking at larger projects and need more clarity to push
forward,” he says.

Who is eligible?

The Ministry’s generation-based incentive of 50 paise a unit is available to

independent power producers of wind energy, that is to those who sell to the
State utility and do not consume it themselves or sell to a third party. The
Ministry will pay the incentive for 10 years and those with an installed capacity
of more than 5 MW will get the incentive.

Till now, those putting up wind turbines were eligible for an accelerated
depreciation. Most of the investment so far has been for power-intensive
industries that set up wind turbines for captive consumption and also for the tax
breaks they got.

However, foreign players did not have a balance sheet in India and hence could
not derive benefits from the accelerated depreciation scheme, because of which
the industry had been asking for incentives that encouraged performance rather
than mere installation of turbines.

New markets

According to Mr Kymal, the incentive will open up a huge, new market. A

number of foreign players it the wind energy sector are waiting to invest in the
country. “All the leading foreign players have only placed dipstick orders. The
moment they see the sector giving good returns, they will come up with huge
orders,” he says.

Foreign players such as Roaring 40s, an equal joint venture between CLP of
Hong Kong and Hydro Tasmania of Australia, and BP Energy, have invested in
wind farms in the country. Roaring 40s, which has set up a 50-MW farm in
Maharashtra, will increase its capacity to 230 MW, with 100 MW in Gujarat and
80 in Karnataka. GEI of Spain has signed up for projects totalling 220 MW, in
Karnataka and Maharashtra.

Industry representatives said it was not clear if leading domestic power utilities
such as Tata Power and Reliance Energy, which were investing in wind power,
would get this incentive. These companies had to source a percentage of the
electricity they distributed from renewable energy sources. This meant that
their investment in wind energy was to meet their own requirement. And, the
incentive is not available for those who put up wind turbines for their own use.