India has embarked on its first-ever offshore wind energy initiative with a Viability Gap Funding (VGF) scheme worth 7453 crore approved by the Union Cabinet. This funding includes 6853 crore allocated for the installation and commissioning of 1 GW of offshore wind energy projects, marking a significant step towards achieving the nation’s goal of developing 37 GW of offshore wind energy. The projects, located off the coasts of Gujarat and Tamil Nadu, aim to reduce the cost of power from offshore sources, making them economically feasible for purchase by power distribution companies.
The initiative, overseen by the Ministry of New and Renewable Energy, involves a bidding process for private developers to establish the projects, supported by infrastructure development by the Power Grid Corporation of India Ltd (PGCIL). The scheme also includes provisions for upgrading port infrastructure to support logistics for offshore wind energy projects.
Global estimates highlight India’s potential in offshore wind energy alongside countries like Japan, South Korea, and Brazil, as part of global efforts to meet net zero targets. The initiative underscores India’s commitment to renewable energy expansion and sustainable development.
Source: Fortune India
