Biomass, CleanTech/ Renewable Energy, Other, solar, Wind

Clean power capacity races past 28,000 mw in 2012-13

According to reports, country’s grid-interactive renewable energy capacity addition crossed 28,000 mw in FY13 though the sector missed the target for the year due to drop in capacity addition in wind sector, a major driver in country’s clean energy capacity rise. Over the past three years, about 11,250 mw new renewable capacity has been added into the grid.

With about 68 per cent contribution from wind power, the cumulative green power installed capacity in the country stood at 28,068 mw as on March 31, 2013, up from 16,817 mw as of March 31, 2010. The renewable energy is reported to be accounting for about 13 per cent of total installed power capacity in the country.

Despite strong contribution from solar sector, the annual capacity addition was below the target in FY13. The sector added 3,163 mw of new capacity to the grid while the target for FY13 was 4,125 mw, according to union ministry of new and renewable energy statement.

The major drop was in the wind sector due to lapse of an incentive scheme and uncertainties over a policy framework. Against the target of 2,500 mw, wind segment added only 1,699 mw in FY13. Though solar segment too missed the target marginally, the FY13 saw significant addition of 754 mw, thanks to National Solar Mission (NSM).

“The NSM has been a great catalyst for the capacity addition that India has witnessed in the past two years. The excellent bankability of the off-take arrangements under the NSM Phase-1 also saw optimal capital being deployed by lenders into the programme making it possible for developers to provide competitive tariffs as the program progressed. Not only has the NSM program met its initial objectives under the Phase-1 with regard to the PV technology capacity of 500 mw, but few states like Gujarat and Madhya Pradesh have go ahead and built capacities to serve their own RPO obligations,” Sujoy Ghosh, country head, First Solar India told Financial Chronicle.

Other segments such as bagasse cogeneration, small hydro, biomass and waste-to-power contributed 352 mw, 237 mw, 115 mw and 6 mw respectively to the total capacity addition in FY13. Besides, 147 mw of off-grid/ captive power generation capacity from different renewable energy sources were also added during the financial year.

Of the total installed renewable energy capacity of 28,068 mw as on March 31, 2013, wind power contributed 19,051 mw, followed by small hydro (3,632 mw), bagasse generation (2,337 mw), biomass (1,265 mw), solar (1,684 mw) and waste-to-energy (96 mw). Major contribution to total capacity came from Tamil Nadu (7,849 mw), Maharashtra (4,188 mw), Gujarat (4,079 mw), Karnataka (3,605 mw), Rajasthan (3,353 mw) and Andhra Pradesh (1,114 mw).

Ministry of new and renewable energy (MNRE) has set a target of capacity addition of 29,800 mw from renewable energy sources during 12th Plan period. This includes 15,000 mw from wind, 10,000 mw from solar, 2,100 mw from small hydro and 2,700 mw from biomass including waste to energy. A gross budgetary support of Rs 19,113 crore has been allocated for the renewable energy activities for the 12th Plan period.


One thought on “Clean power capacity races past 28,000 mw in 2012-13

  1. Interest subsidy of 5% for Rs. 7 Crore = Rs. 1.82 Crore, which can be paid in 12 year term period, considering a 70% Project debt cost of (0.7 x 7 = Rs. 5.6 Crore).

    Interest subsidy for 29,800 MW = Rs. 53,640 Crore.

    Already a budget provision is made for Rs. 19,113 crore, however, through Tax collections (by abolishing the Accelerated Depreciation), non payment of Viability Gap funding (25% of 29,800 MW = 0.25 x 29800 x 7 cr/mw = 52,150 Crore!! or Capital Subsidy!!) and National Clean Tech Fund the Government can easily provide the remaining Interest subsidy (of Rs. 53,640 – 19,113 = Rs.34,527 Crore)….Thus, there will be a net saving for the Government and also ensure the assured power generation….

    If IREDA or Indian Finance Institutes can fund at 7% or National Clean Tech fund can provide such low cost fund, then 5% interest subsidy will make the total project cost will be only 2% and hence, many small, new, First generation Entrepreneurs can be created to provide power at Rs.5/kwh with 5% cost escalation on Tariff for the first 10 years. Please refer to my article published in ENERGETICA INDIA with these financial numbers (also access a suggested business model at, wherein, a

    BIG NO to Accelerated Depreciation, a BIG NO to Capital Subsidy, a BIG NO to Viability Gap Funding, but, only a miniscule Interest subsidy, which is with a Discount Factor for 12 years, is not a load on the Government and hence on the common man…. but, a GREAT ADVANTAGE of creating large number of local small entrepreneurs and rural jobs with a transparant business plan, mentoring from Government with Control Stake holding from Lenders !!

    Due to BIG NO to Accelerated Depreciation, government can collect the taxes from the Tax evaders through this policy..

    Due to BIG NO to Capital Subsidy and Viability Gap Funding, promoter’s short sight of EXIT PLANS and Topi Pahenao attitude through Stock Market will also vanish and the set of new, small and First time Entrepreneurs will take care of their native land with learned business plan as part of Policy.

    If any Government is caring for AAM ADMI or advocates for INDIA FIRST, it must ABOLISH the Accelerated Depreciation, Viability Gap Funding or Capital Subsidy, instead provide Interest subsidy with learned and transparent business plan with Numbers to create large number of Entrepreneurs and provide large number of jobs for the rural India……

    Posted by praveen Kulkarni | April 30, 2013, 9:00 am

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Panchabuta's Trending Tweets

Panchabuta’s Twitter

Web Analytics Clicky
stats for wordpress
%d bloggers like this: