Madhya Pradesh slows down

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Investors for wind are increasingly hard to come by in Madhya Pradesh, once the most favoured state for developing wind farms in India. Developers have slowed down on projects in Jamgodrani, Dewas district, where Enercon is setting up 31, 230 kW units and joint sector company MP Windfarms is building 13 MW at the site. The delay is blamed on a slowdown in reimbursement of sales tax benefits on renewable energy equipment (Windpower Monthly, December 1997), as well as overall confusion on benefits following the introduction of a new Value Added Tax, which will be in effect until April 2001. Meanwhile, a plan for setting up a $175 million wind farm at Kukru, in the Betul district, is said to be languishing. The nearest 132 kV substation is at Multai, 90 kilometres from the site. A transmission line will need to be set up.

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