Renewable power tariff below Rs 5 to impact viability

Bhuj: Terming India as a "promising" market for renewable energy, Suzlon group Chairman Tulsi Tanti said the sector is "demanding" too, with tariffs going below Rs 5 per unit that can impact economic viability of companies. 
 
The founder of India's leading wind turbine maker said there is some reluctance from banks to finance projects as there are fears that lower tariffs can lead to payment delays. 
 
"Tariffs have to be at a level so that internal rate of return (IRR) is minimum 14 per cent and for that, I think tariff has to be a minimum Rs 5 per unit. There can be issues with the project's economic viability. They can become economically unviable," Tanti told reporters here.

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