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GWEC Global Wind Report: India Targets 140 GW of Installed Wind Power Capacity by 2030

According to the National Electricity Plan, India’s installed wind power capacity is expected to reach approximately 73 GW in 2026-27 and 122 GW in 2031-32.

June 24, 2024. By News Bureau

The GWEC Global Wind Report 2024 highlights India’s role in contributing to global wind power capacity. India has significantly contributed towards the symbolic milestone of 1 TW installed capacity globally, ranking fourth in total wind installations with 45 GW of installed onshore wind capacity as of January 2024.

‘‘In 2023, due to various policies and institutional interventions by both the central and state governments, over 2.8 GW onshore wind capacity was commissioned – the highest annual installation level since 2017,’’ as stated in the GWEC Global Wind Report 2024.

The Global Wind Energy Council expects a continued recovery in the wind power sector and has revised India’s onshore wind outlook for 2024-2028 to 22.8 GW. India is expected to reach an installed wind energy capacity of 73 GW in 2026-2027 and 122 GW in 2031-2032 as per the National Electricity Plan.

India’s mission to achieve a 500 GW renewable energy target by 2030, with 140 GW from wind energy capacity, aiming to reach net zero by 2070, and several other strategic initiatives are facilitating a surge in the country’s renewable energy goals.

The GWEC Global Wind Report 2024 underscores the need for strategic measures to strengthen India’s wind energy sector:

Single-stage and e-reverse auction bidding for 10 GW of annual onshore wind bids targeted from 2023-2027.
Waiver for inter-state transmission system (ISTS) charges up to June 2025.
Wind-specific renewable purchase obligations (RPOs) from 2023 to 2030.
Mandated minimum renewable energy consumption for DISCOMs and enabled consumers to purchase green electricity.
Timely disbursal of payments by DISCOMs.
Revised ‘National Repowering and Life Extension Policy for Wind Power Projects 2023.

The GWEC Global Wind Report 2024 mentions, ‘’ Concluded wind and hybrid tenders affirm that there is a pipeline of more than 13 GW of wind projects in India as of September 2023. The Government of India has entrusted public sector undertakings (PSUs), such as NHPC Limited, NTPC Limited, Indian Railways, SJVN Limited and PTC India Limited, to advance the attainment of targeted volumes of annual wind and renewable auctions.’’ The state utilities have also announced standalone wind, RTC, FDRE and hybrid auctions totalling 21 GW of capacity in 2023.

However, a few challenges continue to deter progress: ‘’Despite positive policy and regulatory momentum, the current onshore wind forecast through the end of the decade still leaves a sizeable gap between wind market growth and the government’s 140 GW target of installed capacity by 2030,’’ as per the GWEC report.

Other challenges like state-level issues for right of way, PPA sanctity and delayed payments, as well as land allocation, continue to impact progress on onshore wind. Additionally, the wind power sector is facing increased turbine prices due to higher costs of financing and commodity price inflation.
A revised ‘Strategy Paper for Establishment of Offshore Wind Energy Projects’, which showcases three models for awarding 37 GW of capacity through 2030, has been published. The publication has released the offshore wind lease rules as well, and in early February 2024, the central tender agency, SECI, announced offshore wind seabed leasing of 4 GW capacity in Tamil Nadu. In addition to an ISTS waiver up to 2032, viability gap funding (VGF) has also finally been approved for an initial 1 GW of offshore wind capacity.

The GWEC report examines that there has been an intense interest among PSUs to forge partnerships and joint ventures, for example between L&T and Navantia, ONGC and NGEL, NGEL and Gujarat Pipavav Port, as well as Stiesdal and L&T for floating wind and an energy island.

India, positioned as the second-largest hub for onshore wind turbine assembly and key component production in the Asia Pacific, is strategically placed to meet its wind manufacturing expansion. The country’s domestic manufacturing sector is sufficient to meet its own onshore wind demand through 2030. India can benefit from a ‘China + 1’ approach adopted by many major supply chain players. Notably, it is well-positioned to reduce imports of large components such as castings, generators and pultrusion carbon fibre. During the Vibrant Gujarat Summit in January 2024, Reliance announced that it would set up the country’s first carbon fibre facility at Hazira, Gujarat, for use in blade manufacturing in the wind power sector.

Looking ahead, there is a huge scope for wind energy capacity expansion, and India needs to tap the opportunity and move quickly to unlock it. India has all the required resources to achieve 140 GW of installed wind power capacity by 2030; however, the government needs to be more proactive in regulating policies to tackle the challenges faced by industry players to ensure the growth of the wind energy sector.

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GWEC Global Wind Report

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