Suppose a corporate wants to invest in a wind farm, what are the economics?
If he buys our 1.65 MW turbine, it will cost around Rs 10 crore and he will get an annual generation of around 55 lakh units. At Rs 2.70 a unit, that would fetch about Rs 1.50 crore a year, assuming it is Tamil Nadu and you are selling to the grid. But if you want to use all the power yourself, it would be worth a lot more. Even at Rs 2.70 it makes a lot of sense, because you will get your money back in seven years. Can the per MW cost be brought down to, say, Rs 3 crore? Take the case of the telecom sector where volumes have driven down prices, both of handsets and calls… Rs 3 crore may be a little difficult. Volumes will bring costs down to a point. There is a difference between us and the telecom sector: A turbine is a mechanical equipment, not an electronic one. We are trying to reduce the number of moving parts. Technology is helping. Straightaway I can tell you that prices will come down, if quantities go up and indigenisation goes up. If the Customs duty is lowered, that will
