The Ministry of New and Renewable Energy (MNRE) has updated its 2016 policy for repowering wind power projects, aiming to simplify the process of replacing older turbines. The ‘National Repowering and Life Extension Policy for Wind Power Projects 2023′ permits the replacement of older turbines with more efficient ones, even prior to reaching the conclusion of their design life, by making modifications to parts like gearbox, blades, generator, and controller. Using the most recent onshore wind turbine technologies, the policy seeks to maximise the energy yield per square km in the project area in order to optimise the efficient use of wind energy resources. To help with the implementation of repowering/refurbishment policy, the MNRE is required to form the wind repowering committee, a monitoring and advisory group, within a month of its announcement. Loans for repowering projects will be offered by the Rural Electrification Corporation, Power Finance Corporation, and Indian Renewable Energy Development Agency, subject to terms and conditions comparable to those outlined for new projects.
IREDA will provide a 0.25 per cent discount on the interest rate, surpassing the rate applicable to newly financed wind projects, as an additional incentive. Furthermore, a debt financing product designed especially for wind power project repowering may be introduced. If repowering projects fulfill the necessary requirements, they will be eligible for all fiscal and financial benefits that are offered to new wind projects. Considering wind turbines with a capacity of less than 2 MW, the National Institute of Wind Energy (NIWE) has assessed the nation’s potential for repowering to be 25.4 GW.
Wind turbine generator technology has progressed, witnessing a shift from sub-MW scale to multi-MW scale in individual rated capacities. Certain older wind turbines have either reached the conclusion of their design life or are approaching it, demonstrating inefficiency when compared to the latest technology. They also feature lower hub heights ranging from 30-60 meters, in contrast to the current range of 120-140 meters.
With an emphasis on wind turbines with capacities under 2 MW, NIWE will provide a map of the nation’s repowering potential. Along with incorporating ownership, technology, turbine details, associated substations, and land ownership, it will also develop and maintain a project database for all previous projects. It will work with state and central nodal organisations to gather and evaluate performance data in order to identify locations that need to be repowered or refurbished.
Repowering projects can be classified either as standalone or aggregation projects. Until the power purchase agreement (PPA) expires, electricity procurement will be based on the average generation of the previous three years. The current PPA tenure will be extended for up to two years, or for a term equal to the refurbishment or repowering. The existing distribution company (discom) is not entitled to any authority or procurement over the surplus power produced, following repowering or refurbishment. The developer has the flexibility to sell the surplus power generated as per their choice, whether through the power exchange, bilateral agreements, or by engaging in short/medium/long-term PPA in accordance with prevailing laws and regulations. There is no mandatory obligation to supply the power to any discom or procurer at fixed rates. Repowering or refurbishment initiatives should be operational within 24 months from the issuance of the consent letter.