Suzlon wins 500 MW wind farm contracts in Gujarat

Suzlon Group, one of pioneers in India’s wind energy sector, said it has won construction orders for two wind energy farms in Kutch region of Gujarat, totaling 500 MW of capacity.

Suzlon will execute both the projects on a turnkey basis and will also provide operation and maintenance services, the company said.

The bids were won by Suzlon’s customers from the Solar Energy Corporation of India or SECI via public auctions.

The contract indicates that contractors who won in the recently introduced bidding rounds for wind energy are starting to implement the projects.

The wind energy sector had been facing a slump over the last several years due to a shift from an investment-based incentive structure to a production-based incentive structure by the central government.

“With the introduction of the bidding regime, the industry is poised to grow to 8-10 GW annually,” said  J.P. Chalasani, Group CEO.

Under the production-based structure, companies will qualify for government support based on the number of units of electricity they produce from their wind farms.

The companies that quote the lowest amount — in terms of the tariff they are willing to accept — get long-term purchase guarantees from the government.

Chalasani said Suzlon, which manages more than 11 GW of wind assets in India, expects to get more such implementation contracts from winners of the various auctions.

To implement the two projects that it has won, Suzlon will install 238 units of S111 wind turbine generators, each of which can produce up to 2.1 megawatt.

With a swept area of 9,852 sq. metre, the 140m-high S111 can function well at high altitudes making low wind sites viable, Suzlon said.

“There is an increased interest from all customer segments to invest in renewable energy in their pursuit of contributing towards mitigating risks of climate change and providing affordable and renewable power for all,” Chalasani said.