Stakeholders in the renewable energy sector have expressed concern over the effect that the implementation of the goods and services tax (GST) will have on the industry.
At the inaugural session of Energizing South 2016, a two-day conference and exposition on “Smart – Reliable – Sustainable Power”, being organized by Confederation of Indian Industry (CII) here on Monday, industry stake holders presented their concerns about the implementation of GST. Currently the sector enjoys many fiscal incentives like 100 per cent tax holiday on earnings for 10 years, concessional excise and custom duties and so on. However, with the introduction of GS,T all this will come to an end, which in turn will impact the cost of setting up renewable projects. Earlier in the day, SD Dubey, chairman, Central Electricity Authority, Ministry of Power, Government of India said that southern states have a lot of potential in solar and wind energy generation.