By IANS,
New Delhi : The government Thursday offered Rs.380 crore as generation-based incentives (GBIs) for wind power companies if the electricity produced could be fed into the national grid.
The incentives are expected to cost the government Rs.380 crore till 2012.
As per the GBI programme of the new and renewable energy ministry, wind electricity producers will be able to claim Rs.0.5 per unit fed into the grid for not less than four years and a maximum of 10 years with a cap of Rs.62 lakh per megawatt.
They will also simultaneously be allowed to claim accelerated depreciation in a mutually exclusive manner.
“However, provision of accelerated depreciation in parallel with GBI will continue till the 11th Plan period or introduction of Direct Tax Code, whichever is earlier,” said the ministry in a statement.
The subsidies will be applicable to projects of up to 4,000 MW and detailed guidelines will be issued later, said the statement.