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/* India */
===India===
<br>Today the Indian market is emerging as one of the major
manufacturing hubs for wind turbines in Asia. Currently,
depreciation before this option is phased out.
For a detailed country profile of India please visit this [[Image:India_capacity.JPG|thumb|centre|1000px|Total Installed Capacity for IndiaWind Energy Profile Link]] <br>'''Policy support for wind power in India'''<br>Since the 2003 Electricity Act, the wind sector has registereda compound annual growth rate of about 29.5%. The centralgovernment policies have provided policy support for bothforeign and local investment in renewable energytechnologies. The key financial incentives for spurring windpower development have been the possibility to claimaccelerated depreciation of up to 80% of the project costwithin the first year of operation and the income tax holidayon all earnings generated from the project for tenconsecutive assessment years.<br>In December 2009 the Ministry for New and RenewableEnergy (MNRE) approved a Generation Based Incentive (GBI)scheme for wind power projects, which stipulated that anincentive tariff of Rs 0.50/kWh (EUR 0.8 cents/USD 1.1 cents)would be given to eligible projects for a (maximum) period often years. This scheme is currently valid for wind farmsinstalled before 31 March 2012. However, the GBI and theaccelerated depreciation are mutually exclusive and adeveloper can only claim concessions under one of them for the same project. Although the projected financial outlay forthis scheme under the 11th Plan Period (2007-2012) isRs 3.8 billion (EUR 61 million/USD 84 million), the uptake ofthe GBI has been slow due to the fact that at the current rateit is still less financially attractive than accelerateddepreciation.<br>Currently 18 of the 25 State Electricity RegulatoryCommissions (SERCs) have issued feed-in tariffs for windpower. Around 17 SERCs have also specified state-wideRenewable Purchase Obligations (RPOs). Both of thesemeasures have helped to create long-term policy certaintyand investor confidence, which have had a positive impact onthe wind energy capacity additions in those states. <br>'''Support framework for wind energy'''<br>There has been a noticeable shift in Indian politics since theadoption of the Electricity Act in 2003 towards supportingresearch, development and innovation in the country’srenewable energy sector. In 2010, the Indian governmentclearly recognised the role that renewable energy can play inreducing dependence on fossil fuels and combating climatechange, and introduced a tax (“cess”) of Rs.50 (~USD1.0) onevery metric ton of coal produced or imported into India. Thismoney will be used to contribute to a new Clean Energy Fund.In addition, the MNRE announced its intention to establish aGreen Bank by leveraging the Rs 25 billion (EUR 400 million /USD 500 million) expected to be raised through the nationalClean Energy Fund annually. The new entity would likely workin tandem with the Indian Renewable Energy DevelopmentAgency (IREDA), a government-owned non-banking financialcompany.<br>In keeping with the recommendations of the National ActionPlan on Climate Change (NAPCC) the MNRE and the CentralElectricity Regulatory Commission (CERC) have evolved aframework for implementation of the Renewable EnergyCertificate (REC) Mechanism for India.1 This is likely to giverenewable energy development a further push in the comingyears, as it will enable those states that do not meet theirRPOs through renewable energy installations to fill the gapthrough purchasing RECs. <br>'''Obstacles for wind energy development'''<br>With the introduction of the Direct Tax Code2, thegovernment aims to modernize existing income tax laws.Starting from the fiscal year 2011-12, accelerateddepreciation, the key instrument for boosting wind powerdevelopment in India, may no longer be available.Another limitation to wind power growth in India isinadequate grid infrastructure, especially in those states withsignificant wind potential, which are already struggling tointegrate the large amounts of wind electricity produced. Asa result, the distribution utilities are hesitant to accept morewind power. This makes it imperative for CERC and SERCs totake immediate steps toward improved power evacuationsystem planning and providing better interface betweenregional grids. The announcement of India’s Smart Grid TaskForce by the Ministry of Power is a welcome first step in thisdirection.
==Market Share Analysis==
