Saturday, May, 27, 2023 07:40:53

NTPC and ONGC, two major Indian energy companies, have reportedly planned to unite for setting up offshore wind energy projects.

Oil gas exploration company ONGC Ltd. and power generation company NTPC Ltd. signed a Memorandum of Understanding (MoU) in 2020. This deal also encapsulates other clean energy sectors like e-mobility and storage.

Recently, NTPC apparently declared a renewable energy capacity target of 60 gigawatts by 2032. At present, NTPC possesses a 66 gigawatts installed capacity, with coal-based power capacity of around 46.6 gigawatts. On the other hand, the company has only 1 gigawatt of wind and solar energy capacity. NTPC participated in fierce auctions to obtain the development rights for large-scale solar power projects.

According to the Ministry of New and Renewable Energy (MNRE), by 2022, the offshore capacity should reach 5 gigawatts and around 30 gigawatts by 2030. However, this project is progressing at a slower pace.

The Center for Wind Energy Technology (C-WET) initiated a survey to assess the potential of offshore wind energy in India in 2010 and it was anticipated to be complete within 2-3 years. India implemented its policy for offshore wind energy in 2015. Although there have been several speculations related to the implementation of India’s first offshore wind project, concrete developments are yet to materialize.

MNRE also issued an EoI (expression of interest) for establishing an offshore wind project in 2018. While the expression of interest garnered significant traction from many leading international and Indian companies, there has been no substantial progress regarding the project.

In 2019, there were claims of an impending tender launch for an offshore project in what would have been a first-of-its-kind auction in India. The project supposedly received subsidies over USD 900 million and was planned to be located in Gujarat. However, progress in this project is yet to be observed.

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