In an attempt to reduce the burden on conventional energy sources,the Punjab government on Wednesday announced a package for renewable energy investors under its New and Renewable Energy Policy 2012.
Providing details of the new policy,Non-Conventional Energy Minister Bikram Singh Majithia said the state government will provide wheeling and banking facilities to the investors,besides a 50 per cent duty exemption on the power consumed to construct the renewable energy sources.
Majithia further said that 100 per cent entry tax exemption would be provided to the project holders.
Besides that the government has also announced VAT exemption on equipment required for these projects,he added.
The minister also said that available government land would be leased to these projects,for a period of 38 years,without any fees.
Majithia said that with the incentives,Punjab should be able to promote investment through the Public-Private partnership model in areas of mini-hydel projects,co-generation,biomass,solar energy and wind power,among others,for systematic and faster development of renewable energy sources in the state.
He said that the government has set a target of 1,000 MW power production from non-conventional energy projects till 2017.
He further said that the state government would provide all clearances in a time-bound manner through a single window system within a period of 60 days.
He added that solar power projects of less than 5 MW capacity will be exempted from obtaining any no-objection-certificates from the PPCB.