India Had No Offshore Wind Capacity Installation As Of May 2023: GWEC

India Had No Offshore Wind Capacity Installation As Of May 2023: GWEC Report

The ‘GWEC Global Offshore Wind 2023’ report cites that for fulfilling demand for large offshore wind, and turbine installation of vessels requires trained workforce with adequate operational knowhow for regional cooperation in the APAC Asia–Pacific region. The study finds that its timely deployment will foster cooperation especially in new markets such as India, the Philippines, Australia and New Zealand.

Bottlenecks in Wind Energy Deployment:

The report highlights that Europe may be hit by a shortage of WTIV (Wind Turbine Installation Vessel) in future and APAC, reliant on European vessels, needs to find a solution for the future.

Large offshore wind turbine installation vessels (WTIVs) require skilled workforce

This means that regional cooperation for vessels in APAC is vital to ensure offshore wind deployment won’t get delayed, especially in new markets such as India, the Philippines, Australia and New Zealand, says the report.

Regional Collaboration
The report shares details on the importance of regional collaboration on the supply chain offshore wind, which is poised for significant growth in the APAC (Asia–Pacific) region. The report adds that China has dominated the numbers so far, but Japan, Korea, Taiwan (China) and Vietnam are now active offshore wind markets. However, the newcomers like Australia, New Zealand, India and the Philippines are looking to move forward with their ambitions, the report adds. The report takes the case of countries such as Australia, Spain, India, Germany and the US, and it anticipates that potential supply chain bottlenecks like high CAPEX requirements will start to ease, and that green hydrogen will become an important energy source for reaching net zero by 2050.

Case for India
Globally, India ranks third in total energy consumption and fourth in wind and renewable energy installed capacity, says the report. The report gives an account of India’s installed capacity, adding that India had 43.2 GW onshore wind and no offshore wind capacity as of May 2023. The report gives details on India’s share of global primary energy consumption, which is likely to increase to about 9.8% by 2050 under stated policies from the current share of 6.1%.43, the report finds. This is in association with India’s target committed at COP26 to install 30 GW offshore wind and a total 500 GW of non-fossil fuel power by 2030.

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The report includes certain factors that affect India’s trajectory, for instance, it finds that, for the first 5 GW, the seabed leasing tender offshore wind could be a pivotal source for India’s round-the-clock (RTC). The report perceives the offshore wind to be available for more months than onshore wind at many sites and hence it is often considered a commercially attractive option for RTC power. 

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Logistics Supply

On the supply chain side, the report anticipates that it is likely that for the first few GWs of projects, offshore wind turbine generators will have to be imported. The study associated the scale of the auction pipeline up to 2030, with an urgent need to create a domestic supply chain in order to gradually reduce levelized cost of electricity (LCOE). 

Logistical Supply in India GWEC report.

Conclusion
The report anticipates that, for a successful venture into offshore wind, India will require investment, planning for port readiness and an upgrade of grid infrastructure. These, the report specifies, are essential for driving the interest of offshore wind stakeholders in the Indian market. Alongside this, the report suggests that for an effective implementation of a single-window clearance system for projects, offshore wind tailored standards and guidelines, attractive financial incentives and support for power offtake.

Recently, the Ministry of New and Renewable Energy (MNRE) has issued norms for the tenders for allocating seabed to develop offshore wind projects. It comes when the Ministry has proposed to hold bids for the allocation of offshore wind sites off the coast of Tamil Nadu.