
Indian Oil Corporation is looking to diversify into renewable and nuclear energy sectors and has earmarked $430 million for investment in the next five years.
The move comes as no surprise as several other government-owned oil companies have showed interest in investing into renewable energy infrastructure. IOC is looking to develop wind energy, solar energy and tidal energy for commercial sale of power. Additionally, it is also looking to form a joint venture with the Nuclear Power Corporation of India to take full advantage of investment opportunities resulting from the Indo-US nuclear deal.
The company already generates power from wind energy for captive use but intends to foray into power generation for commercial sale, either to the power exchanges or to the grid itself. The company is looking for sites in Rajasthan and Tamil Nadu for setting up solar and wind energy plants; both these states have significant wind and solar energy resources. The company has also registered for roof-top solar installations implying that it could look into small-scale installations coupled with feed-in tariff schemes that ensure higher revenue due to higher tariff rates.
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