India's Ministry of New and Renewable Energy has released a draft national offshore wind energy policy for 2013.
The draft policy was written with input from a steering committee on offshore wind energy. According to the draft, onshore wind energy has reached a stage of deployment that makes it competitive with traditional fossil fuel power generation.
This level of cost competitiveness is thanks to supportive public
policy that has, so far, not been extended to include offshore wind
energy, according to the draft.
About 5 GW of offshore wind generation capacity is installed
worldwide, with an equal amount in development or under construction.
Top countries in the offshore wind market include the U.K., Belgium, The
Netherlands, Norway, Finland, Denmark, Sweden and Germany. The E.U. set
a goal of 40 GW in offshore wind capacity by 2020 and 150 GW by 2030.
In India, the top areas in offshore wind potential are the coastlines
of Karnataka, Kerala and Goa. Wind resource data gathered from the
coastlines of Rameshwaram and Kanyakumari in Tamil Nadu and Gujarat also
show a potential of about 1 GW.
Obstacles to offshore wind deployment include resource
identification, power grid interconnection and operation, and the
development of adequate transmission infrastructure, according to the
draft.
The role of the Ministry of New and Renewable Energy in the
deployment of offshore wind will include monitoring offshore wind
development in the country, coordination with other ministries and
departments, issuing guidelines and directives for development of
offshore wind energy, overseeing the working of National Offshore Wind
Energy Authority and extending necessary support and promoting
indigenous research for technology development.
The National Offshore Wind Energy Authority will conduct resource
assessment and surveys and enter into contract with project developers
for development of offshore wind energy projects in territorial waters
within 12 nautical miles of the shoreline.
Preliminary resource assessments, environmental impact statements and
oceanography surveys will be conducted through specialist agencies for
demarcation of offshore wind energy blocks. Private firms with
experience in surveys will also be allowed to collect data without any
charges for their work, according to the draft.
The draft National Offshore Wind Energy Policy provides for certain
fiscal incentives such as tax holiday for first ten years of offshore
wind power generation, concession in customs duty and exemption in
excise duty for procurement of technology and equipment. Services such
as resource assessment, environmental impact statement and oceanographic
study by third party and use of survey vessels and installation vessels
may also be eligible for exemption from service tax.
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