RE Feature

Tamil
Nadu
WiNd
ENErgy
ProfilE
Wind energy in Tamil Nadu has
witnessed tremendous growth propelling
the State to the number one position in
India in terms of renewables. However
the challenge that remains is the huge
investment that is needed on evacuation
infrastructure and grid management.
KAMALASEKHAR

Small wind turbine at

Thirunelveli, Tamil Nadu

26 October 2012
Volume 6 Issue 2
 RE Feature

I
nfrastructure development of any country is an important
aspect for its sustainable development. Besides water
and roads, electricity is one of the core components of
infrastructure development. The demand for power has
grown rapidly and today we find it difficult to match demand
and supply. India faces a formidable challenge in meeting
its energy needs and providing adequate and affordable
energy to all sections of society in a sustainable manner.
In this regard Tamil Nadu has been actively involved in
augmenting the power generation capacity of the State.
The government of Tamil Nadu has identified wind energy
as a potential source of electricity among all renewable
energy sources and is extending various fiscal incentives
and attractive policies.

initiative of mNrE
The Government of India (GoI) through the Ministry of
New and Renewable Energy (MNRE), [previously known as
Department of Non-conventional Energy Sources (DNES)
till 1992 and later as the Ministry of Non-conventional Energy
Sources (MNES)] initiated the wind power programme for
the introduction of new technology, for capacity addition of
power generation and to invite private sector participation
in the wind sector. The wind power programme includes
a comprehensive wind resource assessment programme,
research and development, implementation of
demonstration projects to create awareness, development
of infrastructural capability, development of capacity of
manufacturing, installation, operation and maintenance of
wind turbines and the creation of a conducive policy. In 1986,
the DNES also launched demonstration wind farm projects
for the states. In fact the Ministry has played a pivotal role
by introducing attractive fiscal and promotional incentives
at the Central and state levels to encourage private investors
and developers to take up commercial projects in the area
of wind energy.
Tamil Nadu Wind Pass
Tamil Nadu is blessed with natural meteorological and
topographical settings for wind power generation. In Tamil
Nadu there are four passes namely ‘Palghat’, ‘Shengottah’,
‘Aralvoimozhi’ and the recently identified ‘Cumbum Pass’
that are endowed with heavy wind flows during the South-
West monsoon. The wind period starts at the end of April
and ends at the end of September in a given year. The
months of July and August are the peak season for the
winds.
demonstration Projects
In 1986 when the GoI through the DNES announced the
programme of setting up of demonstration wind farm
projects, the Tamil Nadu government welcomed the
proposal and established the country’s first demonstration
wind farm project of 1.15 MW at Mullakadu in Tuticorin
SHENGOTTAH PASS Tirunelveli,Tuticorin
ARALVOIMOZHI PASS Kanyakumari, Radhapuram,Muppandal
CUMBUM PASS Theni, Cumbum and Andipatti
PALGHAT PASS Coimbatore, Dindigul
district in the year 1986 itself. Subsequently, 120 wind mills
with a total capacity of 19.355 MW were set up in the period
of 1986 to 1993. Based on the successful functioning of these
demonstration wind farms, private developers began to
take a keen interest in this sector and set up a large number
of windmills in the State.
Commercial deployment
The Ministry took a lead to help set up these demonstration
wind power projects with the objective to create the
necessary infrastructure and to open up the sites for
commercial development by demonstrating the success,
so that the private sector is encouraged to invest. After
Tamil Nadu, the states of Gujarat, Rajasthan, Maharashtra
and Karnataka followed suit. The demonstration sites
helped private investors in analysing the performance and
economics of wind power projects and identifying the areas
of concern in the operation of wind based power projects.
In 1986 itself, private industries were permitted to
harness wind energy to meet the power requirements of
their enterprises. This led to the private sector setting up
wind mills from 1990 onwards. Table 1 shows the yearly
wind capacity addition of commercial deployment.
In the year 2004 when the GoI announced the technology
upgradation fund (TUF) to textile industries, in order to
meet their power demand, they started investing in the wind
sector and established wind farms. Due to this, during the
year 2004 the capacity reached over 857 MW. Based on the

October 2012
Volume 6 Issue 2 27
 RE Feature
success of Tamil Nadu, states like Gujarat, Rajasthan and in the year 2004 when the goi
Andhra Pradesh adopted the Tamil Nadu model. announced the technology
incentive extended upgradation fund (Tuf) to textile
In order to promote wind energy in large scale commercial industries in order to meet their
operations, the Tamil Nadu government extended various power demand, they started
incentives. These included:
■ 80 per cent accelerated depreciation in the first year,
investing in wind sector and
■ Concessional custom duty on certain components of wind established wind farms.
electric generators,
■ Excise duty exemption,

■ Ten years tax holiday on income generated from wind

power projects, and ■ Banking of wind energy for one year from 1 April of a said
■ Loans from Indian Renewable Energy Development year to 31 March of the succeeding year with 5 per cent
Agency (IREDA) and other financial institutions. banking charges.
■ Boundary distance to be maintained for wind energy

Policies adopted based on ministry’s generator (WEG)

guidelines ■ D+5 metres (where D is the diameter of the rotor).

As per the MNES guidelines issued during 1995, the ■ Micrositing distance adopted 5D x 7D .

following policies were undertaken: ■ The evacuation work carried out by the Tamil Nadu

■ The minimum purchase rate of Rs. 2.25 per unit with 5 Electricity Board (TNEB) on collection of the deposit
per cent escalation every year for a period of 5 years. contribution work (DCW) amount from the WEG.
■ Wheeling of wind energy at a minimum of 5 per cent

wheeling charges. Policies under the TNErC

Based on the MNRE guidelines, Tamil Nadu Generation
Small wind turbine at
and Distribution Corporation Ltd. (TANGEDCO) fixed the
Thirunelveli, Tamil Nadu tariff rate and other terms and conditions for wind energy
and followed the same upto 15 May 2006, after which Tamil
Nadu Electricity Regulatory Commission (TNERC) issued
the first tariff order for wind energy and subsequently
issued a further order. TANGEDCO then adopted the same.

Power Evacuation
Normally, wind electric generators are interfaced at 11 kV, 22
kV and 33 kV levels, depending upon the voltage level of the
network available in that area. Initially all the dedicated wind
farm sub-stations of 110 kV and 230 kV level and the required
extra high tension (EHT) lines were established by the TNEB.
The gestation period of the windmills is 2 to 3 months, but

Table-1. Initial yearly capacity addition in Tamil Nadu

Year Capacity added MW
1990-91 4.775
1991-92 1.750
1992-93 9.500
1993-94 48.465
1994-95 190.865
1995-96 282.025
1996-97 119.420
Total 656.80
Sources: NCES Dept./TANGEDCO

28 October 2012
Volume 6 Issue 2
 RE Feature
the power evacuation works require at least 6 months to 1 Table-3. Wind mill capacity as on 31-07-2012 (Board & Private)
year for completion. Due to sudden spurt in windmill growth Installed Capacity in MW
during 2002, there has been a mismatch between installation Year
During Year Cum Total
of windmills and power evacuation. In order to cope with
the pace of development of the wind energy sector, from the Upto 1997 0.000 676.155
year 2003, private WEG manufacturers/ promoters were 1997-1998 31.140 707.295
permitted to create the required infrastructure facilities of 1998-1999 17.765 725.060
110 kV, 230 kV Sub stations and EHT lines on reimbursement
1999-2000 45.675 770.735
basis. Additionally, the TNEB formed a ‘Task Force’ in August
2006 consisting of members of the Indian Wind Turbine 2000-2001 41.895 812.630
Manufacturer Association (IWTMA) and the Indian Wind 2001-2002 44.035 856.665
Power Association (IWPA). The task force meetings were 2002-2003 133.600 990.265
conducted once every three months. This helped in planning
the development of infrastructure to evacuate wind energy. 2003-2004 371.225 1361.490
Now the developers are establishing their own 110 KV and 2004-2005 678.735 2040.225
230 KV substations for their clients and also maintaining the 2005-2006 857.555 2897.780
sub-stations on their own. 2006-2007 577.910 3475.690

augmenting Evacuation infrastructure 2007-2008 381.075 3856.765

The total installed generation capacity of Tamil Nadu 2008-2009 430.975 4287.740
including renewable energy is 18155 MW as on 31 March 2009-2010 602.025 4889.765
2012 (Table 2). The total power demand of Tamil Nadu is
2010-2011 997.400 5887.165
14,000 MW, whereas TANGEDCO generation and share
is around 10,000 MW and therefore there is a shortage of 2011-2012 1083.460 6970.625
4000 MW. The shortage of 4000 MW is partly met by wind 2012-2013
113.550 7084.175
generation. The installed capacity of wind energy of Tamil (up to July’12)
Nadu as on 31 July 2012 is 7084.175 MW (Table 3) and an Sources: NCES Dept./TANGEDCO
addition of 3000 MW is underway. Further, applications for
a capacity of 10,800 MW are pending and are in the process
of load flow study. achievements
The state of Tamil Nadu has made many strides in the field
of wind energy. Some of these are listed below:
Table-2. Tamil Nadu power position as on 31.03.2011 ■ The installed capacity of wind energy of Tamil Nadu is

Sector wise Generation in MW 7084.175 which is 40 per cent of India’s wind capacity.
■ The State had an all time high wind capacity addition of
TNEB’s own generating stations
Thermal 2,970 1083 MW in 2011-12.
Hydel 2,223 ■ Tamil Nadu also had an all time high wind generation of
Gas 516 4050 MW on 6 August 2012.
Private sector power plants 1,180 ■ The 13th Finance Commission has recommended a grant

Share from central sector generating stations 2,956 in aid of Rs. 455 crore to Tamil Nadu for capacity addition
of 600 MW for the period 2010 to 2014. However the
External assistance 305
capacity of 997 MW of wind was added during 2010 itself
Others (captive power plants) 214 and the 13th Finance Commission was requested to release
Total 10,364 the grant.
■ On 30 June 2008, the Prime Minister’s Council on Climate
Renewable energy
Change approved the National Action Plan on Climate
Wind mills 6,970
Change (NAPCC). The NAPCC stipulates that a dynamic
Co-generation 637 minimum renewable purchase target of 5 per cent (of total
Biomass 169 grid purchase) may be prescribed in 2009-2010 and this
Solar 15
should increase by 1 per cent each year for a period of 10
years to reach 15 per cent in 2020. The TNERC had fixed
Total 7,791 a Renewable Purchase Obligation (RPO) of 13 per cent for
Grand total 18,155 the year 2009-10 and 14 per cent for the year 2010-11.
Sources: Planning Dept./TANGEDCO The MNRE in the 12th Five Year plan (2012-2017)

October 2012
Volume 6 Issue 2 29
 RE Feature
has envisaged a growth capacity addition of 30,000 MW
of renewable energy power with as much as 15,000 MW
from wind energy alone. In Tamil Nadu the wind energy
investment is from small and medium sized industries that
individually install less than five machines in a year. The
main driving force for the small and medium sized industries
until 2009 was the provision of accelerated depreciation of
80 per cent. This provision enabled both large profit making
companies, small investor and captive users to participate
in the sector. However with independent power producers
(IPPs) and foreign direct investors (FDIs) entering Tamil
Nadu with a capacity for bulk generation has led to the
reduction of accelerated depreciation to 15 per cent. The
response to this change can be assessed at the end of this
financial year on 31 March 2013. Secondly, the transmission
infrastructure is the responsibility of state transmission
utilities (STU), but many STUs are not financially healthy
to invest in the required transmission upgrades. In order
to evacuate the present capacity of 7084 MW and ensure
the regular capacity addition, bodies like the TANGEDCO/
TANTRANSCO need around Rs. 4,160 crores.
Thirdly, even though the all time highest peak of wind
reached 4050 MW on 6 August 2012, the generation pattern
has been erratic resulting in difficulty in managing the grid.
Even though the CERC vide its Indian Electricity Grid Code
2010 mandated the scheduling and forecasting of wind
energy, it is at the pilot project study stage only. However if
Wind farm in
Muppandal, Tamil Nadu
30 October 2012
Volume 6 Issue 2
The mNrE in the 12th five year
plan (2012-2017) has envisaged
a growth capacity addition of
30,000 mW of renewable energy
power with as much as 15,000
mW from wind energy alone.
the generators forecast the generation of wind energy and
give clear schedules, the grid can be managed effectively.
government initiative
The government of Tamil Nadu is giving the necessary
impetus to the initiative taken by the State. In a document
termed ‘Tamil Nadu Vision 2023, released on 22 March
2012, the government envisages a total investment of Rs.
4,50,000 crores in the energy sector. This will include:
■ Rs. 1,70,000 crores towards development of power generation,
■ Rs. 2,00,000 crores to development of transmission and
distribution network,
■ Rs. 25,000 crores towards development of wind energy
sector and,
■ Rs. 55,000 crores for development of solar energy sector.
■ Additionally there are plans to set up a centre for excellence
in the area of clean energy technology including solar,
■ Establishment of separate 400 kV wind power corridor,
■ Comprising establishment of 3nos. 400 kV substations
■ 393 kms of 400KV DC line.
■ Estimated capital cost of Rs. 1076.72 crore, and,
■ Establishment of a separate central load dispatch centre
to monitor the wind power generation.
Conclusion
The State government has been extending various incentives
such as preferential feed-in tariff, wheeling of wind energy
to any HT/LT services, third party sale, banking of wind
energy; payment for any unutilised banked energy at the
end of the banking period, REC schemes, absorption of all
the energy generated upto the grid capacity. Even though
various studies have shown that huge wind potential is
available in the State, the viability of the capacity addition
has to be studied in comparison with other thermal and hydel
generation capacity addition in the light of the consumers/
public interest. But it goes without saying that Tamil Nadu
has discovered the potential of wind and will do everything
possible to ensure that it harnesses this promising form of
renewable energy. b
The author is Asst. Executive Engineer, Non-conventional Energy
Sources, Tamil Nadu Generation and Distribution Corporation Ltd.
Chennai. Email: aeences@tnebnet.org