The Andhra Pradesh government has approved allocation of 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. According to a government order issued by the Energy Department on Tuesday, the proposal 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 project will be developed at the Lord Balaji Donthi Kona PSP Park in Kadapa district and is expected to be among the country's largest pumped storage facilities. As reported by the government order, the facility is scheduled for completion within 72 months, with power transmission support to be provided by Andhra Pradesh Transmission Corporation Limited (APTRANSCO). 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.
The project aligns with the state government's push for large-scale renewable energy, pumped storage and green industrial projects under the Integrated Clean Energy Policy 2024. According to the government order, the facility will be eligible for incentives under this policy framework, which aims to attract investments worth nearly ₹10 lakh crore and generate around 7.5 lakh jobs across the clean energy sector. 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.
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, as stated in the government order. The project is designed to supply power both within and outside the state, with the facility positioned to become one of India's largest pumped storage facilities once completed.
