Govt announces subsidy in renewable energy sector
In a bid to attract investors into the renewable energy sector, government announced handing over 50 per cent subsidy immediately after disbursement of the first installment as its contribution towards equity.
By PTI |
NEW DELHI: In a bid to attract investors into the renewable energy sector, government on Thursday, announced handing over 50 per cent subsidy immediately after disbursement of the first installment as its contribution towards equity.
"One-half of subsidy will henceforth be given to such projects immediately after disbursement of the first loan installment as contribution towards equity. This is the first time that subsidy is being used for reducing the equity burden of the investor," said union non-conventional energy sources Vilas Muttemwar.
Addressing a session of experts and officials organized by the ministry, Muttemwar said the major driver of deployment of new and renewable energy systems and devices was national energy security that needed replacement of fossil fuels including coal in due course.
He emphasised the need to supplement rising rural energy needs through the bio-energy route and deployment of new and renewable energy systems of industrial, commercial and urban applications besides providing grid-interactive renewable power to replace coal in the long term.
Muttemwar said the National Hydrogen Energy Board will shortly be submitting the Hydrogen Roadmap and India was one of the few countries in the world that has reached a certain threshold level of success in making devices for stationary, portable and transport applications in this field.
Urging experts to prepare a "realistic action plan", the minister said the task of providing grid quality electricity to 25,000 remote villages by 2009 was progressing on course.
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