Centre sets the ball rolling for offshore wind projects
Notable because
As per the Central Electricity Authority, the wind energy sector could account for 140 GW of capacity by 2030. In an effort to realise the potential of onshore wind projects, the government released the draft wind repowering policy in 2022. With the government’s announcement to conduct bidding of offshore wind energy projects and provide viability gap funding (VGF) for the same, the offshore wind sector can also contribute to achieving the 140 GW.
What to look out for in the months ahead
To lower the cost of offshore wind projects and boost their adoption, the government waived off the Inter-State Transmission System (ISTS) charges for such projects in May 2023. With the announcement of VGF for offshore wind projects, the costs can come further down. Will these incentives be enough to attract developers to bid for these projects?