State's yet to be framed new energy policy attracts investors

Chennai:

The new energy policy of the state, which is expected to be framed within a month, has generated huge interest among renewable energy investors resulting in huge demand for land by investors, according to industry experts.

As the state is planning to introduce the energy policy to fulfill its aim of becoming a power surplus state in three years by utilising new and renewable energies, consultant firm Energy Alternatives India co-founder and director Narasimhan Santhanam said that investors are already queuing up to acquire land in southern Tamil Nadu.

He said there will be a huge demand for manpower in this sector. “It will need about three lakh people by 2022,” Santhanam said.

Co-founder of EIA Manohar Namasivayam said that investors are acquiring land to set up solar farms. “Usually a solar farm requires four to five acres as such there is a huge demand for land in southern Tamil Nadu,” he said.

But Santhanam and Namasivayam doesn’t have a concrete figure on the kind of investments the state will attract. Santhanam estimates that in the next 10 years the investment in India could be anywhere between 2.5 lakh crore in the renewable energy sector of which five to 10 per cent will be in Tamil Nadu.

Speaking on the sidelines of a function organized as a prelude to Reaction 2012, one of the largest renewable energy meet to be held in Chennai on July 26, Santhanam said the event would generate awareness among the people on the potential the sector holds besides nurturing renewable energy enterprenuers.

He also ruled out that renewable energy is costlier than electricity generated through traditional means. “Currently, the price of solar power per unit is Rs 9. It was earlier Rs 18. We expect it to come down further,” said Santhanam.