Energetica India Magazine nº88 March-April 2020

WIND POWER 55 energetica INDIA- March-April_2020 for the sector is the future of approximately 15GW of domestic manufacturing capacity available in the country among local wind turbine manufacturers. In essence, the competitive bid - ding regime has created unmitigated financial losses and a lack of orders for these companies as the capacity addition has plummeted below 2GW/annum. Way Forward Wind power is crucial to India’s target of achieving 175GW of renewable energy capacity by 2022, and 60 GW of planned targets for wind power contribution is vital to achieving the overall goal. The government in the current context has to take bold steps to reinvigorate the sector. Fundamental issues con - cerning timely acquisition of land for wind projects where the availability of wind-rich sites is scarce having to be resolved. With most of the wind-rich sites being remote, adequate power evacuation infrastructure needs to be provided. The low-ceil - ing tariffs set for reverse auctions are not always feasible and can be attained only on ideal wind-rich sites with high wind power density. In the long run, the large-scale concentration of wind assets in select states can lead to problems unless inter-state transmission infrastructure and mechanisms for inter-state cooperation are put in place. Instead, repowering old wind power sites with a precise policy- enabled support mechanism, exploring the large-scale deployment of offshore high-density wind power, and creating a market mechanism that promotes the use of medium to low wind power density sites with wind- solar hybrids, are some of the alternate means to ensure the sector continues to sustain capacity additions year after year. Progress is underway on all these aspects, especially the off- shore wind projects, with a target of 5GW set for 2022, which would be further scaled up to 30GW by 2030. However, the pace of progress is concerning since offshore wind projects have significant dependencies on new supply chains that currently do not exist, and the lead time for commissioning offshore projects is much longer. The offshore technology is well-proven globally, given its advantages of high-density power with a flat generation profile. Cost-related impediments are significant roadblocks. Despite the planned Viability Gap Funding, the initial projects are expected to deliver an LCOE— levelized cost of energy—that is more than twice the current cost of wind power in the country. In the past, GE developed a low wind speed turbine specifically for Indian conditions and went on to launch them in other markets. A similar innovation is required in the current context with new market realities to real- ize India’s future potential for wind power. But the government and policymakers have to step in immediately with reassuring measures.