Tamil Nadu Gears Up for Offshore Wind Energy Tenders by March 2025

Chennai, December 2023 - Tamil Nadu is set to launch its first tender for 500MW of offshore wind energy by March 2025, as announced by the National Institute of Wind Energy (NIWE). This move, however, places Tamil Nadu behind Gujarat, which has already advanced in its offshore wind initiatives by at least a year.

The delay in Tamil Nadu's offshore wind project is largely attributed to the central government, which is spearheading an initial 1GW project split equally between Gujarat and Tamil Nadu. Despite this, there is a pressing need for the state to accelerate its efforts. "Tamil Nadu needs to push for faster implementation and also engage with coastal communities to ensure their support and involvement in this significant environmental and economic venture," said a state official.

The potential for offshore wind energy along the coasts of Gujarat and Tamil Nadu is estimated at 70GW. The central government aims to develop 37GW-38GW of offshore wind farms, which could cost around Rs 4.5 lakh crore, through investments from various sources.

While some argue that India should focus on solar and onshore wind due to land availability, the rising costs and acquisition challenges of prime land for these projects make offshore wind an increasingly attractive option. "The right of way and land acquisition issues are significantly reduced with offshore wind," explained Srijith Menon from Aban Power Ltd. He highlighted that Tamil Nadu's offshore wind conditions are comparable to Europe, with wind speeds of 7-8 m/sec, sometimes reaching 10 m/sec, for 9-10 months annually.

Investors are eyeing Tamil Nadu due to its established supply chain for wind energy components and its potential to lead in this sector. "Tamil Nadu has the potential to transition entirely to renewable energy, significantly reducing carbon emissions," Menon added.

However, challenges remain. NIWE is currently collecting detailed wind data necessary for investor confidence, a process that includes deploying floating systems to assess wind speeds over two seasons. "We need accurate, on-site data to proceed confidently with the tenders," stated a private wind forecaster.

At a recent industry conference, Rajesh Katyal from NIWE addressed concerns about funding and infrastructure, promising that lessons from the first 1GW project would inform future phases. The Power Grid Corporation has already been awarded a contract to set up the necessary transmission network for 500MW, although procuring sub-sea cables remains a challenge due to the lack of domestic manufacturers.

Despite these hurdles, Tamil Nadu's existing engineering ecosystem could facilitate the transition to offshore wind manufacturing. "International firms are already operating here, designing for global markets," noted Francis Jayasurya from the Global Wind Energy Council.

The state government has taken steps by agreeing with the central government to purchase power at Rs 4 per unit. "The state has done what it can; the ball is now in the central government's court for data compilation and port development," concluded Aneesh Sekhar, MD of TN Green Energy Corporation.

As Tamil Nadu moves forward with its offshore wind ambitions, the focus remains on overcoming logistical and environmental challenges to harness this vast renewable resource effectively.