The policy proposes to make land available for wind-power projects at a 10% discount, and to allow developers to purchase private land in excess of the normal limit. Land could also be leased for a period of 30 years. Land acquisition is often a big obstacle to infrastructure development in India, including wind-power projects.
In most parts of India, the power generated by wind farms is either used by the producers themselves or sold to the local state utilities. Open access would give generators greater flexibility in production, uptake and prices.
The policy would fix a renewable purchase obligation for the Rajasthan power utility at 4.5% in 2011-12, rising to 5.7% by 2013-14. If approved, the new policy will apply from 1 April.