The Ministry of New and Renewable Energy has asked finance ministry to free the solar power projects which are in a process of development from 25 per cent safegaurd duty imposed on imported solar equipment last week.
The Ministry of New and Renewable Energy (MNRE) has demanded finance ministry to exempt ongoing solar power projects from 25 per cent safeguard duty imposed on imported solar equipment last week.
“We have requested the finance ministry to exempt projects that have already been awarded or were at the implementation stage before July 30,” MNRE secretary Anand Kumar told ET.
Solar developers have demanded to raise additional capital in a recent meeting with MNRE officials, saying that they were not aware of safeguard duty while bidding for projects. According to renewable energy consultancy firm Bridge to India, around 13,000 MW capacity of solar projects are under construction as on July 30.
“The discom, until the end, will keep resisting the extra tariff even if the regulator rules in favour of the developers,” Vinay Rustagi, Managing Director, Bridge to India said. “In this case, exemption of projects is the fairest solution. Typically in safeguard duty, no exemption like this is given. The question is whether the ministry of finance is sympathetic to this request.”
