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Andhra Pradesh Approves 2,250 MW Pumped Storage Project to Adani Hydro Energy Eleven Ltd

The Andhra Pradesh government has allocated a 2,250 MW pumped storage project in YSR Kadapa district to Adani Hydro Energy Eleven Ltd, as part of efforts to strengthen the state's clean energy and storage infrastructure. This move is in line with the state government's push for large-scale renewable energy, pumped storage, and green industrial projects under the Integrated Clean Energy Policy 2024.

The policy aims to position Andhra Pradesh as a major clean energy investment destination, with a target of attracting investments worth nearly Rs 10 lakh crore and generating around 7.5 lakh jobs across the clean energy sector. The proposal for the project was cleared by the State Investment Promotion Board (SIPB) chaired by Chief Minister N Chandrababu Naidu, following recommendations of the State Investment Promotion Committee.

The 2,250 MW Gandikota-2 Pumped Storage Project (PSP) will be located at the Lord Balaji Donthi Kona PSP Park in Kadapa district and is expected to be among the country's largest pumped storage facilities. Pumped storage projects play a key role in balancing renewable energy by storing excess solar and wind power during low-demand periods and supplying electricity during peak consumption hours.

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The government has also approved allocation of 29.2 MCM of water for one-time initial filling and 2.2 MCM annually towards evaporation losses from the existing Gandikota reservoir, subject to prevailing guidelines. Andhra Pradesh Transmission Corporation Limited (APTRANSCO) will facilitate the evacuation of power from the project to the nearest central transmission utility substations, while the company will develop the required evacuation infrastructure.

The project is scheduled for completion within 72 months, and power generated from the facility can be supplied within or outside the state. The allocation of this project is expected to strengthen the state's clean energy and storage infrastructure, positioning Andhra Pradesh as a major clean energy investment destination.

Project Details

ParameterValue
Project NameGandikota-2 Pumped Storage Project (PSP)
LocationLord Balaji Donthi Kona PSP Park, Kadapa district
Capacity2,250 MW
Water Allocation29.2 MCM (one-time initial filling) and 2.2 MCM (annually)
Completion Schedule72 months

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Investor Takeaway

The approval of the 2,250 MW Adani Pumped Storage Project in Kadapa is a positive step towards strengthening Andhra Pradesh's clean energy and storage infrastructure.

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