“The budget this year reiterates its emphasis on the infrastructure sector, which remains fundamental to India’s growth story. The increased cap on FIIs in infrastructure, coupled with issuance of tax-free bonds for infrastructure projects, is a very positive step for the industry. The exemption of UMPP equipments from the excise duty will significantly contribute to the growth of generation capacity through conventional sources. We, at CLP, welcome this move as we continue to engage in bids for UMPPs, leveraging our rewarding experience in building a 1320MW super-critical coal-fired Jhajjar Power Plant in Haryana”, said Mr Rajiv Mishra, Managing Director, CLP India.

 “With the increasing demand for power, a definite measure to boost the generation capacity is the extension of tax holiday for one year. The budget also aims to reconcile environmental concerns that emerge with growth needs, as demonstrated by the setting up of the 10 Year Green India Mission. These are steps in the right direction and are progressive proposals coming from the Union Budget 2011-12. However, as a leading wind power developer in the country, CLP was expecting the budget to have a greater emphasis on the renewable sector. The power industry was anticipating many more measures from the Government to speed up the capacity addition programme”, added Mr Mishra.