Late subsidy forces Simran Wind to stop expansion plans
Indian wind farm development company Simran Wind Project Pvt had decided to stop its expansion plans for the financial year. The International Finance Corp backed firm said the government subsidies had arrived too late for the company.
Simran currently has 207 megawatts of operational capacity had originally planned to increase its capacity by 150 megawatts every year. According to one of the directors of the company, Joy Saxena, "We have not done any projects this year." He made the remarks during an interview.
The issue was the late reinstatement of government subsidies to wind farms made available in August. This was too late for the wind developer to identify a site and then build a project by the March 31 end of the fiscal year.
The company though expects to return to its expansion mode by next year. It had already identified an 800 megawatt capacity increase for 2017, with focus on the Tamil Nadu state.
Simran is a subsidiary of Techno Electric & Engineering Co where 3.4% is owned by the IFC.