Andhra Pradesh Sets Up Renewable Energy Zones to Accelerate Green Power Generation
The state of Andhra Pradesh has made an ambitious announcement to establish renewable energy zones (REZs) in an effort to boost green power generation. This move is part of the government’s larger plan to encourage investment and promote sustainable development in the state.
Promoting Advanced Technology and Manufacturing in Renewable Energy
Under the recently issued Integrated Clean Energy Policy (ICEP) guidelines, the government will provide Viability Gap Funding (VGF) to renewable energy plants that utilize advanced technologies. This financial assistance aims to bridge the gap between the cost of setting up these plants and the revenue generated from clean energy production.
To further strengthen the renewable energy sector, Andhra Pradesh will develop Renewable Energy Manufacturing Zones (REMZ) specifically tailored for the solar, wind, battery, and electrolyser manufacturing industries. The responsibility of spearheading this initiative lies with Andhra Pradesh State Power Corporation Limited (APSPCL), which will collaborate with other agencies to establish dedicated manufacturing hubs equipped with essential infrastructure.
REMZ developers will manage key infrastructure elements within the zones, such as power evacuation systems and road networks. Additionally, they will have the opportunity to recover associated charges, such as lease and maintenance fees, from the project developers. This incentives-based approach aims to attract more investments and foster growth in the renewable energy manufacturing sector.
Promoting Innovation and Expansion into New Renewable Technologies
Recognizing the importance of innovation in the clean energy sector, APSPCL will also support New and Innovative Renewable Energy technologies (NIRE). This initiative aims to explore and promote offshore, geothermal, and tidal energy solutions by providing Viability Gap Funding or a 20% capital subsidy for pilot projects up to 5 MW. These measures will encourage the deployment of cutting-edge technologies and diversify Andhra Pradesh’s renewable energy portfolio.
Fostering Knowledge and Skills in the Clean Energy Sector
As part of its commitment to promoting the growth of the clean energy industry, Andhra Pradesh plans to establish a Green Energy and Circular Economy University through a public-private partnership. This institution will serve as a knowledge hub, offering specialized training and certification programs in clean energy technologies. The university aims to foster industry collaboration, develop tailored curricula, enhance talent across the clean energy value chain, and facilitate technology transfer.
With these initiatives, Andhra Pradesh aims to position itself as a leader in renewable energy generation and manufacturing. By creating renewable energy zones, supporting advanced technologies, and nurturing a skilled workforce, the state is fostering sustainable development and encouraging investment in the clean energy sector.
