Offshore Wind Worldwide 2022 edition - Flipbook - Page 104
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of the offshore wind energy lease rules
(which is yet to be adopted)10 detailing the
terms on which offshore leases would be
granted to offshore wind developers.
In order to provide accurate data that is
essential for identifying suitable project
sites, National Institute of Wind Energy
(NIWE) has installed Light Detection and
Ranging (LiDAR) at the Gulf of Khambat, off
the coast of Gujarat and is pursuing LiDAR
installation at identified zones in Tamil
Nadu.11
B. Scheme in relation to exclusivity to
construct, own and operate a project,
as well as to receive feed in revenues
The Offshore Wind Policy envisages
development of offshore wind capacity in
India through an open international
competitive bidding (ICB) process.
NIWE is the nodal agency tasked under the
Offshore Wind Policy to seek proposals for
development of offshore wind power projects
in the identified blocks under ICB. The
Offshore Wind Policy provides that following
the award of the project, the project
developer would enter into a PPA with the
Hogan Lovells
India
offtaker identified in the bid documents and
would also enter into a lease agreement with
respect to the seabed lease required for the
project with NIWE.12 At the RE-Invest 2020
conference held in December 2020, it had
been reported that the MNRE is looking to
set up structures for PPAs and offshore wind
auctions, which may result in further
detailing of the process broadly identified
under the Offshore Wind Policy13. In the case
of projects that are competitively bid out
(such as offshore wind projects), note that
Section 63 of the Electricity Act, 2003
(Electricity Act) clearly indicates that the
tariff determined through the transparent
bid process would be adopted by the
appropriate commission.
C. Incentives for investments
While various states under their respective
renewable power policies have emerged with
different options to promote development of
renewable power, broadly, the following
incentives are available:
1.Electricity Duty Exemptions: Common
among state policies are exemptions for
wind power projects from levy of
electricity duty.
10 Ministry of New and Renewable Energy, Government of India “Draft Offshore Wind Energy Lease Rules, 2019” issued through Office
Memorandum F. No. 225/8/2018 -WE dated 25 January 2019.
11 MEC Intelligence (MEC+), ‘India Opens Tender for Mapping Wind Resource for TN Offshore Wind’
as accessed on 1 February
2022.
12 Supra note 10.
13 Anjali Lathigara, ‘Offshore Wind Power in India: Key policy advances can lead to rapid gains for sector’, published in REVE (9 December
2020) < https://www.evwind.es/2020/12/09/offshore-wind-power-in-india-key-policy-advances-can-lead-to-rapid-gains-forsector/78461> as accessed on 1 February 2022.