AP to position itself as leader in in green energy production

Andhra Pradesh's focus on green energy generation has led to an impressive response to investment in the sector at the just concluded 30th edition of CII Partnership Summit.

Among all the areas, Visakhapatnam has already become the home for one of the largest mega investments and India's first Green Hydrogen Hub at Pudimadaka in Anakapalle district, about 40 km here, by NTPC Green Energy Limited. The stone for the $21 billion-project was laid by Prime Minister Narendra Year early this year typifying efforts to make Visakhapatnam not only a prominent hub in IT and data centers but also in clean energy.

India is keen on reducing the emission intensity of its GDP by 45% by 2030 based on 2025 figures. The target is to achieve 500 GW of generating non-fossil fuel sources by 2030. The country is on track by achieving 50% of the targets set during the Paris Agreement on greenhouse gas reduction goals with an aim to limit global warming to 1.5 degree C and net zero by 2050.

AP's Integrated Clean Energy Policy (2024-29) promises a slew of incentives to generate 160 gigawatts (GW). Google's $15 billion AI data center project will produce one GW of solar power. The policy mainly framed to position AP as a leader in renewable energy will aim to achieve a capacity to produce 78.5 GW solar, 35 GW wind and 22 GW pumped storage. Green hydrogen target is 1.5 million tonnes per annum besides achieving battery storage capacity of 25 GWh. Cleantech production is expected to reach 25 to 30 GW. As per the government, to achieve all these targets by 2029, the target is to bring an investment of $118.95 billion equivalent to nearly Rs.10 lakh crore.

To create the required ecosystem and to meet the required manpower, a proposal is under consideration to set up a university to promote the creation of high-end and specialised manpower in green energy, circular economy and a clean energy and skill development centre.

Interestingly, the energy sector received the highest total investment of Rs.5.33 lakh crore out of total investment proposals signed at the CII Partnership Summit. The two summits led to signing of 613 MoUs envisaging an investment of Rs.13.25 lakh crore.

After energy, the investments were for industries (Rs.2.80 lakh crore), infrastructure (Rs.2.01 lakh crore) and IT, electronics and communications (Rs.1.59 lakh crore).

Among the marquee investors, Greenko AMG has committed an investment of Rs.35,000 crore on its green aluminium project followed by Rs.20,000 crore investment by Waaree Group and Rs.15,000 crore by Indian Bullion and Jewellers Association. Energy Efficiency Services Limited(EESL) signed MoUs worth Rs.1800 crore. Indichip Semiconductors has inked MoU for an investment of Rs.22,976 crore.