Answer By law4u team
Offshore wind farms present a promising opportunity for India to harness clean energy and reduce its reliance on fossil fuels. With a vast coastline and favorable wind conditions, India is aiming to develop offshore wind capacity. However, due to the environmental, maritime, and infrastructural complexities, offshore wind energy is subject to a series of regulatory frameworks, policies, and legal requirements governed by central and state authorities.
Key Laws and Regulations Governing Offshore Wind Farms in India
National Offshore Wind Energy Policy (2015)
Issued by the Ministry of New and Renewable Energy (MNRE), this policy provides a framework for offshore wind development in India’s Exclusive Economic Zone (EEZ) and designates MNRE as the nodal agency.
Maritime Zones of India Act, 1976
Defines India’s territorial waters and EEZ where offshore energy projects can be developed. Any activity in these zones requires clearances from relevant ministries.
Electricity Act, 2003
Governs generation and transmission of electricity in India, including power from offshore wind farms. It mandates open access and allows private players to enter the energy market.
Environmental Impact Assessment (EIA) Notification, 2006
Requires offshore projects to obtain prior environmental clearance. A detailed EIA report must be submitted, considering marine biodiversity and coastal ecosystem impacts.
Coastal Regulation Zone (CRZ) Notification
Managed by the Ministry of Environment, Forest and Climate Change (MoEFCC), it regulates development in sensitive coastal stretches that may be affected by transmission lines or access routes from offshore sites.
Guidelines by MNRE and NIWE
MNRE, along with the National Institute of Wind Energy (NIWE), issues technical and regulatory guidelines for project development, site surveys, and grid connectivity.
The Electricity (Promoting Renewable Energy through Green Energy Open Access) Rules, 2022
Supports the integration of offshore wind projects by allowing developers to sell power directly to consumers and improve project viability.
Power Purchase Agreements (PPAs) and Bidding Guidelines
Central and state agencies float tenders for offshore wind projects under competitive bidding with provisions for long-term PPAs to ensure investor confidence.
Key Regulatory Bodies and Stakeholders
Ministry of New and Renewable Energy (MNRE) – Nodal ministry for policy, approvals, and promotion.
National Institute of Wind Energy (NIWE) – Technical partner for resource assessment, data collection, and site allocation.
Ministry of Environment, Forest and Climate Change (MoEFCC) – Grants environmental clearances.
Ministry of Defence, Ministry of Shipping, Indian Navy – Consulted for site approval in strategic and navigational areas.
State Governments and DISCOMs – Facilitate grid integration and local approvals.
Challenges in Regulation and Implementation
Overlapping jurisdiction among ministries and state bodies.
Delay in environmental clearances and coastal approvals.
Lack of offshore grid infrastructure.
High project cost and initial investment risk.
Need for international collaboration and technology transfer.
Example
Suppose a renewable energy company plans to develop a 500 MW offshore wind farm off the coast of Gujarat.
Steps they must follow:
Conduct initial wind resource assessment and site surveys through NIWE.
Apply for site allocation and project approval from MNRE under the Offshore Wind Energy Policy.
Prepare and submit an Environmental Impact Assessment (EIA) to MoEFCC and seek CRZ clearance.
Obtain no-objection certificates from the Ministry of Defence, Indian Navy, and local port authorities.
Participate in bidding rounds organized by SECI (Solar Energy Corporation of India) and secure a Power Purchase Agreement (PPA).
Coordinate with state DISCOMs and Power Grid Corporation for grid connectivity.
Begin construction after receiving all necessary approvals, including from the Maritime Board and Coastal Authority.
