Inox Wind Aims to Complete 2 GW of Projects by FY26

Inox Wind (IWL) has set an ambitious target to complete 2,000 megawatts (MW) of wind energy projects by the end of FY26, following the successful execution of 140 MW during April-June 2024. As an integrated player in the wind energy sector offering end-to-end turnkey solutions, IWL currently holds its largest-ever order book of around 3,000 MW.

“We aim to execute 800 MW in FY25 and 1,200 MW in FY26. The market is expanding at a good pace, and we anticipate more tenders for capacities to be floated moving forward,” said Devansh Jain, Executive Director of INOXGFL Group, in an interview with businessline.

The company has already secured 611 MW of orders, including repeat orders from prominent clients. Ongoing discussions with multiple independent power producers (IPPs), public sector undertakings (PSUs), and commercial and industrial (C&I) customers indicate strong potential for additional large orders, Jain added.

In a recent investor call, Inox Wind CEO Kailash Tarachandani highlighted the favorable macro-outlook for the wind energy sector. He noted that approximately 7,000 MW of new wind hybrid FDRE (firm and dispatchable renewable energy) tenders were floated, and around 7,500 MW of hybrid FDRE projects were awarded in the first four months of FY25. Tariffs have remained healthy, ranging between ₹3.4-3.5 per unit for central sector wind solar hybrid projects, ₹3.6-3.68 for plain vanilla wind, and around ₹5 per unit for FDRE.

Jain expressed optimism about the company’s future, stating, “The hard work of the last several years has started to yield results, and we are now on the runway, ready for take-off on the massive growth journey ahead, buoyed by strong macro tailwinds.” He also noted that a recent ₹900 crore infusion by parent company IWEL has made IWL net cash positive, further strengthening its balance sheet to capitalize on the multi-decadal opportunity in the Indian wind sector.

With the wind energy market expected to add 80,000 MW of capacity over the next eight years, Jain anticipates adding 3-4 large customers to its current base of 7-8 major clients, each contributing more than 100 MW of capacity. To support this growth, IWL is setting up a new nacelle manufacturing unit near Ahmedabad on a lease rental basis, which is expected to be operational in 2024 and will provide significant savings on capital expenditure.

The company remains bullish on the Indian wind sector, driven by the growing demand from C&I consumers for renewable power amid the green energy transition. Additionally, the draft proposal of domestic content requirements for wind turbines by NITI Aayog may lead to further consolidation of suppliers in the domestic market. India’s ambitious green hydrogen targets of 5 million tonnes per annum (MTPA) will also require an additional 125,000 MW of renewable energy capacity, including wind and solar power.

HBL