Water and Energy Abstracts

  • Year: 2008
  • Volume: 18
  • Issue: 1

Financing of Wind Power Projects

  • Author:
  • Abhilakh Singh
  • Total Page Count: 2
  • DOI:
  • Page Number: 61 to 62

Abstract

Energy is a basic requirement for the economic development of any Country. With the rapid industrialization and population growth in the country, the need of energy has increased in many folds since independence specifically during last decade. The growing consumption of energy has also resulted in the country becoming increasingly dependent on fossil fuels such as coal, oil and gas. Rising prices of oil and gas along with shortages in future are causing concerns about the security of energy supply, which is needed to sustain our economic growth. Increased use of fossil fuels also causes environmental problems both on local and global scales. In this background, there is urgent need for the country to develop a sustainable path of energy development for future energy security. Promotion of energy conservation and increased use of renewable energy sources are the twin planks of sustainable energy. In order to meet with the demand of increased demand, a comprehensive planned development of power sector required. Towards achieving the required demand and reducing the gap between supply & demand, Government of India has drawn a plan to install 78,000 MW Power Plants by 2012. The Xlth plan targets 14,500 MW from Renewables. With significant supply side constraints and growing environmental concerns, particularly Green House Gases Emissions associated with Thermal Power Generation, risks of radio active leaks and large castrophic events associated with Nuclear power, rehabilitation and submergence issues associated with Large Hydro projects, Power generation through renewables is good option. The Government further enacted Electricity Act of 2003 by which the Government has opened the doors for private participation in disribution and transmission and made electricity a tradeable commodity. With the Electricity Act, the Government has made it mandatory the development of energy from renewable energy sources. Further, as per the Integrated Policy on Energy, taking into account a long term perspective coupled with the key issue of energy security the needs to diversify energy sources, renewables remain important to India’s energy sector. Further with a concerted push for increase in capacity, renewables can account for around 5–7% of India Energy mix by 2031–32. Wind energy is considered a preferred option among the renewable energy sources due to short gestation period in installation, reliable, mature, proven and a zero emission renewable energy technology.