The central government has unveiled guidelines for the viability gap funding (VGF) scheme, allocating Rs 74.53 billion to support offshore wind energy projects along the Gujarat and Tamil Nadu coasts. The scheme designates Rs 68.53 billion for 1,000 MW of offshore wind capacity and Rs 6 billion for port infrastructure.
The Ministry of New and Renewable Energy will oversee the scheme, with Solar Energy Corporation of India Limited (SECI) managing applications, awards, and progress. The initiative will begin with a 500 MW project in Gujarat and Tamil Nadu, with international bidders selected through an e-reverse auction. The scheme will run until 2031-32, with bidders required to meet offshore wind experience and financial criteria, complete projects within 48 months of the power purchase agreement, and connect to the inter-state transmission system.