India has set a target of achieving an overall wind energy installed capacity of 27.3GW by 2017 and 38.5GW by 2022.
According to estimates by Novonous, this will create a $31.25 billion opportunity for the wind market in India extending at least until 2022.
“The wind energy market in India has been growing for many years” said Ambarish Kumar Verma CEO of Novonous. “The total installed capacity of the Indian Wind Energy market is 21.13 MW and India stands at the 5th Rank in terms of the total installed wind power capacity just behind China, USA, Germany and Spain.”
However, the potential is far from being utilised. The Indian Wind Energy Association estimates that the wind power potential for all the Indian states put together would be in the order of 1.5GW, enough to sustain the growing electricity requirements of Indian consumers in a sustainable way.
India has the world’s fifth-largest electricity generation capacity which stood at 250.25 GW as of 31st July, 2014. The power sector in India is highly diverse with varied commercial sources for power generation like coal, natural gas, hydro, oil and nuclear as well as unconventional sources of energy like solar, wind, bio-gas and agriculture. The demand for power has been growing at a rapid rate and has overtaken the supply, leading to power shortages in spite of manifold growth in power generation over the years.
With regard to wind power, India has an estimated wind power potential of 1,02,772 MW out of which the total installed capacity as of 31st March 2014 was 21,136.30 MW. The wind energy market in India is currently based on only on-shore installations. Over the years various government policies like renewable purchase obligations (RPOs), renewable energy certificates (RECs), generation based incentives (GBIs) and accelerated depreciation (AD) has helped this sector to grow rapidly from 242 MW in FY 2003 to 21,136.30 MW currently.