India has an extremely long coastline and is situated advantageously to receive wind at a good speed in many locations.
Wind energy was given top priority as a source of energy to generate electricity. Government announced several schemes and incentives which led to the erection and commissioning of wind farms on a large scale by private investors and India ranks third in the world in terms of installed wind power generating capacity.
India has nearly 100 sites which receive wind at speeds of 18 Kmph (average). Wind resource is in full force during June to August,blowing at speeds of 20 to 30 Kmph over Gujarat and over 15-25 kmph over Western India, South Tamil Nadu and Coastal Bengal. September onwards wind speed noticeably weakens down to 10 kmph in most areas, excepting for Gujarat and Tamil Nadu where wind speeds between 15 to 20 Kmph are available. November to December wind blows at a speed of 10 kmph over most areas while in January and February the speed further declines to 5 Kmph, picking up to 10-25 Kmph during March – April over the West Coast, South Tamil Nadu and Orissa Bengal Coast.
Most of the installations are windmills from Europe (Denmark, Germany and Netherlands).
· 100% accelerated depreciation in the first year of commissioning of wind farm
· Duty-free import of components for the indigenous manufacturer of turbines
o Gear Box
o Yaw components
o Special bearings
· Duty-free imports of parts and raw materials for manufacture of blades for the Windmills.
· Wheeling facilities and banking facilities
· Capital subsidy-Industry Status
· Sales Tax incentives
MNES is the administering ministry and frames guidelines to streamline development and growth of wind power sector. Guidelines include measures for installation of tested and certified quality equipments.
Though wind power fluctuates seasonally it is one of the best alternatives available at present to electrify rural and remote places where there is no likelihood of conventional electric lines ever reaching.