NEWS & UPDATES

Weekly Power Sector Round up: 25th January 2020

India tops power generation tenders issued globally in 4th quarter 2019

India issued tenders for the highest total power generation capacity during the 4th quarter of 2019. Amongst the top issuers of tenders were the Solar Energy Corporation of India (SECI) at 3000MW and NTPC at 2514MW.

Amongst the total power generation tenders issued worldwide, solar accounted for 73.7% of the share followed by thermal with 11.3% share and hydro with a 6.8% share.


Power generation to be classified as manufacturing, dropping Corporate Tax to 15%

The government, in its efforts to incentivise the power sector, is looking to extend the benefit of a lower corporate tax to power generation by classifying it as manufacturing.

Power Generation is subject to a 25% corporate tax at present with manufacturing or production being subject to a 15% corporate tax under the amended Finance Act.

This change may be a part of the budget proposals to be announced by the Finance Minister on February 1, 2020.