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Wind turbine makers say Rs 5,000-7,000 cr required to meet govt's 60 GW target

Turbine makers' umbrella organisation says financial support and friendly policies from govt crucial in expansion

T E Narasimhan  |  Chennai 

manufacturers say that to boost the manufacturing, around Rs 5,000-7,000 crore of new investments is required to meet the government target of 60 GW by 2022. The industry also sought the government a long term policy to support the manufacturers.

Madhusudan Khemka, Chairman, Indian Manufacturers' Association (IWTMA) said that currently the installed manufacturing capacity of the industry is around 9,500 MW per annum.

"We believe it is enough to meet the government's plan of 60 GW by 2022, but there has always been a requirement of associated investments since all the component supplier may or may not be geared up to meet the capacity," said Khemka adding that around 70-75% of the suppliers have geared up but to utilise the full capacity another Rs 5,000-7,000 crore investments is required.

According to him, the industry is not able to utilise the campaign by catering to the export market despite manufacturing cost is low, since the industry don't have enough manufacturing capacity to cater to the export markets.

He noted, the industry need project development, study and incentives for exports to compete with neighbouring countries like China.

"Furthermore investments from the government for the financial support is crucial," said Khemka, who also called for long-term policies from both state and central governments.

"Investments are very much policy driven. States that are not friendly towards the wind sector cannot avail the benefits like in the case of Tamil Nadu. Madhya Pradesh, Rajasthan, Maharashtra and to some extend even Andhra Pradesh are favourable towards the industry, he said.

Besides, favorable policy, proper grid infrastructure is another key for the investors.

Khemka said, the ongoing conference in New Delhi is a very good platform to attract not only investment but convey the message very clearly to the nation that the country is going towards having 60 GW of by 2022. The thrust will be to attract more investment by investment friendly policy by the government through Make in India program.

First Published: Tue, February 17 2015. 12:38 IST
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