Government cuts GST on solar and wind energy, boosting green tech adoption

Solar and wind energy equipment, including modules and cells, along with biogas plants, are among the items that will now attract a lower goods and services tax of 5%, down from 12%. In contrast, coal and lignite will see their GST rate raised to 18% from the current 5%.

The move is expected to give a further push to the green energy sector and bring down tariffs in the segment, thereby encouraging wider adoption by states and industry.