Posted on February 19, 2025
A new analysis shows that Tamil Nadu, India’s southernmost state, could deliver up to $75bn of economic growth and 805,000 from the offshore wind manufacturing supply chain by 2030.
The analysis, done by Ocean Energy Pathway with support from the Global Wind Energy Council and international consultancy COWI, shows that achieving the country’s target of 37GW of offshore wind by 2030 will bring substantial social and economic benefits to India as a whole, and Tamil Nadu in particular.
According to the World Bank, India has the potential for 91GW of fixed offshore wind along its coastline. If India’s long-term full potential for offshore wind is realised, the report forecasts that by 2040, offshore wind will contribute to a total economic growth of $125bn and additional employment of 1.25m people.
But Tamil Nadu stands out, with high wind speeds, shallow seabed depths, and proximity to industrial hubs which already represent 46% of India’s total capacity for manufacturing offshore wind turbines.
The study said that government commitment, financial incentives, and supportive policies are crucial to attracting investment into India’s offshore wind sector and ensuring its long-term viability.
The report also offers recommendations to unlock the offshore wind potential in Tamil Nadu and across India as a whole.
Namely, it calls for establishing a clear pipeline with sufficient volumes for offshore wind development to attract OEMs to invest in new production facilities within Tamil Nadu and for creating financial incentives for investors to accelerate the offshore wind build-out in Tamil Nadu, such as providing a guaranteed power offtake.
It also points out the need for setting out a clear institutional framework articulating guidelines, regulations, processes, and responsibilities to make the opportunity more attractive to businesses and investors.
The report also sees a need for a strategic approach to publicly provided enabling infrastructure as well as clearly defined local content requirements which support local offshore wind development.
“This report shows that there are tangible opportunities to supercharge the stellar growth that Tamil Nadu has enjoyed in manufacturing, through a strategic focus on offshore wind,” said Charles Ogilvie, executive director of Ocean Energy Pathway.
