Hinting that the proposed venture would be in Maharashtra, highly placed sources said the Maharashtra Government has provided the necessary impetus and given incentives for the development of wind energy in the state with the announcement of its policy on wind energy in June 1998.

The fiscal and tax benefits announced under the policy make wind power generation an attractive proposition, sources said.

The company plans to raise funds from public to meet its long-term and working capital requirement for the project and will increase its authorised share capital from Rs 265 crore at present to Rs 370 crore, sources added.

Incidentally, the company had already taken initiatives to diversify into different areas of financial services and had formed a joint venture company (JVC) with American Express International Inc. (AEI), for the purpose of carrying our foreign exchange services and allied activities with an authorised share capital of Rs 15 crore.

To start with, the company along with other Tata companies would be subscribing to 74 per cent of the paid-up capital of the new venture and balance would be subscribed to by AEI, sources said, adding the statutory approvals are likely to be in place shortly.