Drafts of the first tender and other contractual documents for leasing of sea bed blocks for carrying out study/survey and subsequent development of offshore wind energy projects in line with Model 3 of the Strategy Paper on Offshore Wind, were released by the Ministry of New and Renewable Energy (MNRE) recently.
The selection of developers will be through an international competitive bidding process. The bidders will be free to avail fiscal incentives like Accelerated Depreciation, Concessional Customs and Excise Duties, Tax Holidays etc. as may be available for onshore wind projects in India. Also, 100% Foreign Direct Investment (FDI) are allowed for renewable energy sector in India under the automatic route, and no prior government approval is required for the same.
It was on October 6, 2015, that the government notified the ‘National Offshore Wind Energy Policy’ for the development of offshore wind power in the country. The policy provides for offshore wind power development up to a seaward distance of 200 nautical miles from the baseline, i.e., up to the country's Exclusive Economic Zone (EEZ). Ministry of New & Renewable Energy (MNRE) is the Nodal Ministry, and the National Institute of Wind Energy (NIWE) is the Nodal Agency for the development of Offshore Wind Energy in India.
Preliminary studies carried out by NIWE across the coastline of India indicate good potential both off the Southern tip of the country and the West coast for offshore wind farm development in India with a cumulative capacity of 70 GW based on the meso-scale data available in the public domain. In September 2018, ‘Guidelines for Offshore Wind Power Assessment Studies and Surveys were made available by NIWE.
In July 2022, MNRE released a ‘Strategy paper for establishment of offshore wind energy’ in India. The strategy paper elaborates on multiple offshore wind project development models and provided a long-term offshore wind power project auction trajectory under various proposed development models. Through this RfS round, it is proposed to lease out sea bed areas for 4 GW equivalent offshore wind project capacity during FY2022-23.
https://mnre.gov.in/img/documents/uploads/file_f-1668437603973.pdf
CSE Report on Offshore Wind: With its coastline extending over 7,500 km, India is well suited for the development of offshore wind energy. It also holds promise as an alternative source of energy for a country like India due to the lack of usable land and rising difficulty in acquiring land for harnessing energy. This technical report explores how India can best exploit its offshore wind energy potential.
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