Also the extension of tax exemption of the clause 80-IA for one more year for the industry would be a good factor. The green energy power projects can avail a tax holiday for a period of 10 years out of the total 15 year period. India has an installed capacity of 19 GW of wind energy as of March 2013. Renewable Energy Sources currently accounts for 12.5% i.e. 27.5 GW of India's overall installed power capacity. Wind Energy holds the major portion of 70% among renewable energy in the Indian energy scenario. In its 12th Five Year Plan (2012-2017), the Indian Government has set a target of adding 18.5 GW of renewable energy sources to the generation mix out of which 11 GW would be wind energy.
The industry has put forward a target of 15,000 MW, realistic target of 20,000 MW and an aspirational target of 25,000 MW in the plan period of 2012-2017. Overall the future of Wind Energy in India is bright as energy security and self-sufficiency is identified as the major driver. The biggest advantage with wind energy is that the fuel is free, and also it doesn't produce CO2 emission. Wind farm can be built reasonably fast, the wind farm land can be used for farming as well and it is cost effective too.