By way of a unique market incentive program, the Non-Conventional Energy Development Corp of Andhra Pradesh (Nedcap) has given approval to six companies to develop a total of 43 MW of wind energy at Kadavakallu in the district of Anantapur. Most companies are expected to commission their units by September, says Phanindra Reddy of Nedcap. A decision on another proposed 7 MW is expected this month. RCI Power Corp will build the largest plant, with an installed capacity of 20 MW. Andhra Pradesh Windfarms, a Nedcap subsidiary, has permission to build a 3 MW wind farm for $2.85 million. Reddy says the whole 50 MW project has been promoted under a unique scheme, with Nedcap auctioning portions of the capacity to private investors. "We are working on the scheme in a manner to ensure returns on investment made would be higher than other tax-saving schemes," says Reddy. Nedcap invites investments in units of $1430, entitling investors for part ownership of the turbines. Further, investors are eligible for a tax depreciation up to $2380. Reddy says the scheme is still being evaluated by credit rating agencies, but the details should soon be in place.
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