Vijayawada: Andhra Pradesh is set to become a major hub for renewable energy with the government approving three large-scale clean energy projects worth Rs 25,000 crore and a combined capacity of over 2,800 MW.

The government sanctioned a 400 MW solar project by Tata Power Renewable Energy Limited, a 400 MW solar-plus-battery project by ACME Urja One Pvt. Ltd., and a 2,000 MW pumped-hydro project by Chinta Green Energy Pvt. Ltd. All three received clearance from the State Investment Promotion Board (SIPB) at its meeting on October 8, 2025.

Tata Power Renewable Energy Ltd will set up a 400 MW (AC) / 560 MWp (DC) solar power plant across Erragudi, Avulenna, Siripi, Dudekunta, Ankampalli and Taguparthy villages in Beluguppa mandal of Anantapuramu district. The project area will not overlap with any zones earmarked for other renewable or wind-resource developments.

Likewise, ACME Urja One Pvt. Ltd. will establish a 400 MW (AC) / 580 MWp (DC) solar project integrated with 600 MWh of battery energy storage at Kamalapadu, Konakondla and Gullapalem villages in Vajrakarur mandal, also in Anantapuramu district. Both developers must complete their projects within 24 months.

In a parallel decision, the government cleared a 2,000 MW pumped-hydro storage project proposed by Chinta Green Energy Pvt. Ltd. at Duggeru in Makkuva mandal of Parvathipuram-Manyam district. The project, to be completed within 48 months, will draw 24 million cubic metres (MCM) of water for one-time filling and 1.5 MCM annually from Vengalaraya Sagar I, Vengala Rao Sagar II, and Thotapalli reservoirs, subject to availability.

The energy department officials said these projects align with the State’s clean-energy policy that targets over 160 GW of renewable capacity, Rs10 lakh crore in potential investments, and 7.5 lakh direct and indirect jobs. To support developers, the government has fixed a land-lease rate of Rs 31,000 per acre per year with 5 per cent escalation every two years, besides granting exemptions on stamp duty, registration fees, and land-conversion charges. Projects will enjoy deemed non-agricultural status and qualify for Central government grants through the Ministry of New and Renewable Energy (MNRE).

APTransco will facilitate grid connectivity, while developers must lay evacuation lines to the nearest Central Transmission Utility (CTU) substation. The power generated will primarily be exported, though the State retains the right of first refusal for up to 30 per cent at a tariff fixed by the State Electricity Regulatory Commission (SERC).

For the pumped-hydro project, the government has waived electricity duty for 25 years, cross-subsidy surcharges (except on end use), and royalty power obligations. Developers must follow all rehabilitation and resettlement norms and contribute to local-area development. In a related decision, the state government approved an additional 2.3 MW of wind and solar capacity for Ampin Energy Transition Pvt. Ltd. and its group firms in Kurnool and Nandyal districts, enhancing their total sanctioned capacity to 351.80 MW.

The new allocation, 1.8 MW wind and 0.5 MW solar, was cleared by the SIPB in its October 8 meeting. It will be distributed among Ampin Energy Green Sixteen Pvt. Ltd. (0.9 MW wind), Ampin Energy Green Seventeen Pvt. Ltd. (0.9 MW wind), and Ampin Energy C&I Twelve Pvt Ltd. (0.5 MW solar).