RE-Invest 2024: CEO Roundtable Explores Opportunities and Challenges for Offshore Wind in Gujarat

The session opened with an address by Government of Gujarat, highlighting key milestones, including securing Viability Gap Funding for 500 MW of offshore wind projects along the Pipavav coast and approval for seabed blocks to develop 10 GW of offshore wind parks in Gujarat.

Commenting on this CEO Roundtable, Shri Bhupinder Singh Bhalla, IAS, Secretary, Ministry of New and Renewable Energy (MNRE), Government of Gujarat, said, “With its impressive 1,600-kilometer coastline, Gujarat is strategically positioned to become a hub for offshore wind energy sector in India. Favourable wind speeds and water depths make Gujarat an ideal location for large-scale offshore wind farms. Offshore wind energy is likely to play a pivotal role in helping India achieve its target of “500 GW by 2030” and “Net Zero by 2070” and Gujarat is poised to emerge as a key player in the offshore wind energy. The Central government has already identified potential offshore wind blocks off Gujarat’s coast, with a potential of 32-35 GW of wind energy. This development aligns with Gujarat’s goal of achieving 100 GW of installed RE capacity by 2030, contributing significantly to the nation’s clean energy portfolio.”

The event saw active participation from prominent organizations such as the Danish Energy Agency, NIWE, CEEW, Suzlon, Vestas, Vena Energy, PowerGrid, Aran Power, L&T, Essar, and IIM-A, with discussions centred on site identification, the importance of detailed techno-feasibility and climate studies, and the necessary transmission infrastructure for offshore projects.

The session discussed about the Government of India recently approved the Viability Gap Funding (VGF) scheme for offshore wind energy projects, with a financial allocation of Rs. 7,453 crore. Additionally, incentives such as ISTS waiver and enhancement of port infrastructure for offshore wind logistics are being introduced to stimulate growth in the sector. With centrally approved Viability Gap Funding (VGF) for 500 MW of offshore wind projects, Gujarat is set to develop the first of its kind offshore wind projects in India. The discussion included the development of offshore energy projects, focusing on the technological advancements, economic impacts and environmental benefits associated with these projects, as well as their role in transitioning to a more sustainable energy future.

The forum underscored the need for a skilled workforce, dedicated port facilities, and the utilization of available funding mechanisms from institutions like the IFC and the World Bank.

Representatives from both the central and state governments assured developers of robust offtake arrangements for upcoming offshore wind projects in Gujarat.

The successful development of offshore wind energy projects heavily relies on a clear and supportive regulatory framework. The Government of India and the Government of Gujarat have initiated several key policy measures to create a conducive environment for offshore wind energy. The roundtable delved into attracting large-scale investments through Public-Private Partnerships (PPP), Green Financing, and incentives for both domestic and international investors.

To support logistics and supply chains for offshore wind projects, Gujarat is investing in enhancing its port infrastructure and transmission network. Advance mechanisms for managing fluctuating power outputs from wind farms and how to leverage the existing infrastructure for connecting Offshore Wind Farms to the State and National Grid will also be discussed.

India is still in the early stages of developing offshore wind energy projects, and while venturing into this domain, Gujarat will be facing a few challenges in terms of advanced structures for offshore platforms, transmission to onshore grid, regulatory processes and other technical and operational challenges. This roundtable provided a platform to discuss methods and solutions to overcome the challenges of developing offshore wind projects in Gujarat.

If you have any objection to this press release content, kindly contact pr.error.rectification@gmail.com to notify us. We will respond and rectify the situation in the next 24 hours.