New Delhi, Aug 27 (IANS): Over Rs.4,900 crore has been received by the renewable energy sector as Foreign Direct Investment since 2008-09 with Rs.480.34 crore investment in the first quarter of the current financial year itself, Minister of New and Renewable Energy Farooq Abdullah said Friday.
A recent report by independent consultants Ernst and Young has ranked India as the third best investment destination in renewable energy sector, next only to China and the US, said Abdullah in a written reply to a question in the Lok Sabha.
Foreign direct investment of up to 100 percent is permitted under the automatic route in renewable energy generation and distribution projects subject to the provisions of the Electricity Act, 2003.
The government plans to add power generation capacity of around 3,400 MW (grid-interactive) and 130 MW (off-grid) from various renewable energy sources - like wind, solar, biomass and small hydro - during 2011-12.
This capacity addition would require investments of around Rs.29,000 crore including Rs.14,500 crore in wind power, Rs.2,500 crore in small hydro power, Rs.3,000 crore in bio-power and Rs.9,000 crore in solar power.
FDI during 2010-11 stood at Rs.977.71 crore, while it was Rs.2,872.41 crore during 2009-10 and Rs.602.87 during 2008-09.