SHORT PRESENTATION

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• SHORT PRESENTATION
• BY
• IWTMA
• CHENNAI
• 25.11.08

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About IWTMA

• Founded in 1997 to bridge the gap between demand
  and supply of power and to compliment other forms
  of energy
• Voice of the industry and the Umbrella body of
  Wind Turbine Manufacturers of India
• Presently represented by ten members
• Elecon Engineering Company Ltd, Enercon India
  Ltd, GE Wind Energy India, LM Glassfiber, Pioneer
  Wincon Pvt Ltd, RRB Energy Ltd, Shriram EPC,
  Southern Wind Farms, Suzlon Vestas Wind
  Technology.
• Founder member of Global Wind Energy Council
  (GWEC), one amongst the seven associations in the
  world, European Wind Energy Association, American
  Wind Association etc.
• Member Governing Council of Centre for Wind
  Energy Technology (CWET)

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Background

• Wind installed capacity 9000 MW
• Members are able to bring to the table,
  state-of-the-art technology of stall, pitch and
  variable speed gearless.
• Declared policy in 10 states and operational in
  eight states
• The Current capacity of Wind Turbines ranges
  between 225 KW - 2100 KW.
• Turnkey solutions to customers needs one stop
  shop
• Effective operation and maintenance to build
  customers confidence
• Some manufacturers are into export of WTG
  components as well as WTG exports
• Privately installed metmast to study larger and
  new areas of wind farm development
• Private participation in installing substations.

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Background (Contd)

• Holding the fourth position in the world. Almost
  90 has come from private investment therefore,
  less cost to the exchequer
• Typical example, wind power in Tamil Nadu plays
  a vital role of wind energy complementing other
  power sources
• It has contributed to direct and indirect
  employment and has visibly changed the lifestyles
  in rural hamlets of Coimbatore District,
  Kanyakumari and Tenkasi
• Wind energy contribution to prevent Global
  Warming threat that is challenging the universe

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KEY DRIVERS

• Profit making companies taking advantage of
  Income Tax Act -
• Accelerated Depreciation.
• Advantage of Section 80 - IA of Income Tax Act
  benefit.
• State policy using generated power for captive
  generation -
• arresting of power cost escalation.
• Carbon Credit To play a vital role in
  accelerating the momentum .
• India can earn 26.95 mn Euros for existing
  wind power projects
• through Carbon Credits. Manufacturers are able
  to offer Carbon
• Credit as an extended service.

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Wind Power Growth

• 8712 MW as on 31st Mar-08 Fourth Largest in
  the World

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Wind Power Growth

• growth on declining trend Growth
  directly related with Policies

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Wind Sector Policies

• Policy certainty (Clear Term)
• Tariff certainty (Fixed Term)
• Operational certainty (Must Run Status)
• Wheeling and Banking (W B)
• Renewable Purchase Obligation (RPO) / Renewable
  Purchase Specifications (RPS)
• Transmission and distribution sector support
• Flexible and progressive norms for installations
  of Wind Mast/ Mills

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COST OF WIND ENERGY

• Everyone complains for the wind energy equipment
  are expensive and they are meant for the rich.
• We manufacturers (almost most of us) outsource
  components and assemble together where our
  contribution is only technology.
• Therefore the value addition in assembly and site
  related project work are almost minimal.
• The global shortage situation of renewable energy
  equipment and components needs to be seen as a
  positive factor to fight climate change and not
  as a sellers market.

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Issues of Concern

• No national policy for wind (Renewable Energy
  Law).
• Order on RPO/RPS by State Commissions.
• Must Run Status (a clear order is necessary)

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IWTMAs PROJECTIONS

• Capacity Addition by Wind in FY07-08 was 1595 MW.
• If the policy regime favours we plan to add 14000
  MW during the 11th plan

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WISH LIST

• Repowering and intercropping for maximum
  exploitation of land which is a finite source.
• Special interest subsidies as demonstrated in TUF
  (Textile Upgradation Fund) and to encompass power
  intensive sectors to attract private investment.
• Development of Off Shore
• Hybrids in wind and Bio fuel
• All of us need to join together to make wind
  energy and other renewable energy source
  investor-friendly for attractive return and
  viable option investor in the country as other
  alternatives.

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FUTURE

• Generation based incentive to attract Foreign
  Direct Investment and IPP.
• Real Time Forecast as wind power is seen as
  unstable and infirm power by utilities.
• Higher realisation on CDM projects

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QUOTES

• We would require 1 Million MW of power by year
  2030, compared to 160,000 MW at present.
• To meet the demand in the future, they can be met
  by Hydel, wind and coal based energy projects.
  However, coal reserves would not last for more
  than 45 years.
• - Kirit S Parikh - Member Planning
  Commission.

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QUOTE China is witnessing the start of a
golden age of wind power development, and the
magnitude of growth has caught even policymakers
off guard It is widely believed that wind power
will be able to compete with coal generation by
as early as 2015. That will be the turning point
in China, which by then will be the worlds
largest energy consumer. UNQUOTEIn India to
achieve this magnitude, we require Social,
Commercial Political Will (ARE ALL OF
US LISTENING?)
CASE STUDY THE CHINA MODEL
Quote from Jufeng Li, Secretary General, China
Renewable Energy Industries Association
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THANK YOU