Andhra Pradesh Chief Minister Y.S. Jagan Mohan Reddy virtually inaugurated the foundations for three Renewable Energy (RE) projects on August 23, totaling a capacity of 5,314 Megawatts (MW).
The projects include a 2,300MW solar park at Junuthala in Owk Mandal, Kurnool district; a combined 700MW solar and 314MW wind project at Kandikayapalle village in Panyam Mandal, Nandyal district; and a 1,000MW solar and 1,000MW wind project at Muddavaram in Bethamcherla Mandal, also in Nandyal district. These initiatives are being developed in partnership with Greenko, ArcelorMittal Green Energy, and Ecoren Energy.
Additionally, a 50:50 joint venture agreement was signed between the Andhra Pradesh Power Generation Corporation (APGENCO) and the National Hydropower Corporation Limited (NHPC) to establish two Pumped Storage Hydropower Projects (PSHPs) with a combined capacity of 1,950MW. This includes a 1,000MW unit at Yaganti in Nandyal district and a 950MW unit at Kamalapadu in Anantapur district.
Mr. Jagan Mohan Reddy emphasized that these projects represent a significant advancement for Andhra Pradesh in harnessing RE potential amid the global transition from fossil fuels to cleaner energy sources. He described PSHPs as “natural artificial batteries” capable of generating clean power during peak demand hours.
Currently, 37 sites have been identified for potential PSHP development, with an aggregate capacity of 41,000 MW. Feasibility studies at 29 locations have been completed for a capacity of 33,240MW, and Detailed Project Reports have been prepared for projects totaling 20,900MW. So far, projects with a capacity of 16,180MW have been allocated, while feasibility studies are ongoing at three additional sites for 2,750MW capacity.
The Chief Minister noted that the state is currently generating approximately 9,000MW of RE and plans to purchase 7,200MW of solar power from the Solar Energy Corporation of India at ₹2.49 per unit, ensuring nine hours of free power per day for the agriculture sector.
Mr. Reddy also highlighted the economic benefits of the RE projects, indicating that they would create local employment opportunities and generate government royalties of ₹1 lakh per MW, plus GST, for several decades. Farmers who lease their land for these projects will receive a rent of ₹30,000 per acre annually, with a 5% increment every two years.
The event was attended by British Deputy High Commissioner for Andhra Pradesh and Telangana Gareth Wynn Owen, Energy Minister Peddireddy Ramachandra Reddy, Chief Secretary K.S. Jawahar Reddy, APGENCO MD K.V.N. Chakradhar Babu, NHPC Director (Finance) R.P. Goyal, and Executive Director Rajat Gupta, among others.
