Setback in Karnataka as grid charges set

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The Indian wind industry has suffered a set back in Karnataka after the state government set its grid charges at 15% of power sales for entities generating their own supply of electricity and 20% for wheeling of electricity to customers. The high charges ignore guidelines published by the Ministry of Non-conventional Energy Sources which stipulate they should be 2% of power sales. Payment for wind power in Karnataka has meantime been fixed at INR 3.25/kWh ($0.07/kWh) for plant online and for those commissioned by August 31. After that date, the rate is INR 3.10/kWh ($0.067/kWh), increasing annually by 2%.

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