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Informist, Friday, Feb. 21, 2025

 

--Andhra OKs including SECI's Adani Green-backed 4 GW solar energy buy plan 

--Andhra OKs including SECI's 4 GW solar energy buy plan for FY26

--Andhra OKs procuring 4.19 bln units in FY26 from SECI solar power project

 

By Narayana Krishna
 

HYDERABAD - Andhra Pradesh Electricity Regulatory Commission has given its nod to buy 4.19 billion units of power from Solar Energy Corp. of India Ltd. in 2025-26 (Apr-Mar), according to the regulator's tariff order published on its website. Solar Energy Crop will procure the solar energy from Adani Green Energy Ltd and supply to distribution companies in Andhra Pradesh at a fixed cost of INR 2.49 per unit.

In 2021, Andhra Pradesh had entered into a power sale agreement with Solar Energy Corp of India to buy 7,000 MW of power over 25 years at a cost of INR 2.49 per unit. While the agreements were signed during then chief minister Y.S. Jagan Mohan Reddy's regime, the deal became controversial after Adani Group Chairman Gautam Adani was charged by the US Department of Justice over his role in a years-long scheme to allegedly pay a $250-million bribe to Indian officials, including from Andhra Pradesh. The current state government, led by N. Chandrababu Naidu, voived concerns about the agreement due to the bribery case. Since then, the future of the deal between Andhra Pradesh, Solar Energy Corp and Adani Green has been in focus, as conflicting reports emerged on possible cancellation of the pact.

However, Southern Power Distribution Co of AP Ltd., Eastern Power Distribution Co of Andhra Pradesh Ltd., and Andhra Pradesh Central Power Distribution Corp Ltd. submitted their aggregate revenue requirement and tariff proposals to the state regulator for FY26 on Nov. 30. 

 

Besides its nod to buy 4.19 billion units, the state regulator also agreed to include 4,000 MW of capacity in the overall procurement plan for FY26, out of the 7,000 MW signed.

Andhra Pradesh power distribution companies have set up a special purpose vehicle, AP Rural Agriculture Power Ltd, to source the power from Solar Energy Corp, which will procure the solar energy from Adani group-owned solar parks in Rajasthan and Gujarat.  End

 

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Edited by Avishek Dutta

 

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