Credit rating agency ICRA, the efficiency of wind-based energy generation is reflected in its low tariff rates, thus increasing cost competitiveness of wind based energy generation against conventional energy sources as well as solar power.
The tariff of Rs. 3.46 per unit discovered through reverse auction in the scheme by the Ministry of New and Renewable Energy (MNRE), Government of India for award of 1000 MW wind power projects connected to the inter-state transmission system (ISTS), is a record low in the wind energy sector.
This tariff is also much lower than the prevailing feed-in tariffs varying from around Rs. 4.16 per unit to Rs. 5.76 per unit – for wind power projects across key states with high wind power generation potential.