Wind industry seeks long-term credit
The recently launched National Mission in Wind Power industry will probably consider a plea by the industry to make sure that those who want to put up wind farms get access to credit — just long-term credit, not even at any lower rate of interest. Towards this, the wind power industry has mooted the creation of a Rs 25,000-crore fund, which could perhaps be managed by the government-owned renewable energy finance company, IREDA, out of which loans could be given.“Today, wind companies stand last in the queue for credit,” Ramesh Kymal, a doyen of the wind power industry in India and the Chairman of the Indian Wind Turbine Manufacturers Association reportedly said. The industry is not asking for any subsidised interest rates, but for more loan for the same amount of equity capital (or, ‘higher leverage’) and loans repayable over longer terms, say 10-15 years.The association, along with the Wind Independent Power Producers Association and the Shakti Sustainable Energy Foundation, made a presentation at a meeting of all stakeholders held in Delhi on January 9. Kymal noted that while the specific recommendation for the creation of a fund to give loans out of it will be considered by the government, “Everybody agreed that there is a need to do something,” he said about giving the wind industry easier access to credit.