Green Energy Corridor-III: Centre Approves Rs 27,370 Crore for Andhra Pradesh

Amaravati, Nov 2 (KNN) The Centre has approved a Rs 27,370 crore investment to expand Andhra Pradesh’s power transmission network under the Green Energy Corridor Phase-III (GEC-III) scheme.

The project aims to strengthen the state’s infrastructure for renewable energy transmission, with the first phase expected to be commissioned in 2029-30, Business Standard reported, citing a government source.

The approval follows the Union Cabinet’s clearance of the Rs 1.86 trillion GEC-III scheme on September 30. The national initiative aims to facilitate the transmission of up to 135 GW of renewable energy through state-level networks by 2032-33.

The total allocation includes Rs 1.36 trillion for intra-state transmission infrastructure and Rs 50,000 crore for battery energy storage systems with a combined capacity of 50 GWh.

Project Infrastructure and Capacity

Proposed by the Transmission Corporation of Andhra Pradesh (APTRANSCO), the project involves the construction of 7,872 circuit kilometres of 400 kV and 220 kV transmission lines, along with 9,500 MVA of substation capacity. This includes five new 400/220 kV substations.

Key infrastructure will include renewable energy pooling stations at Mudigubba and Talupula, each with a capacity of 5 GW, and Porumamilla, with a capacity of 1 GW. New 400 kV substations are also proposed at Ramayapatnam and Koppaka.

Central Assistance and Rising Power Demand

The project will receive central financial support to reduce intra-state transmission charges, with the broader GEC-III scheme providing Rs 54,082 crore towards this purpose. The initiative is also expected to support the implementation of Andhra Pradesh's Integrated Clean Energy Policy 2024 and reduce power procurement costs for distribution companies.

The identified renewable energy zones include Roddam-Penukonda, Gorantla, OD Cheruvu-Amadaguru and Kondikonda in Anantapur and Sri Sathya Sai districts, along with Rajupalem in Prakasam district.

The expansion comes amid projections of a significant increase in Andhra Pradesh's electricity demand. According to estimates by the Central Electricity Authority (CEA), the state's peak power demand is expected to rise from 15,600 MW in 2025-26 to 30,927 MW by 2035-36. Without additional renewable energy capacity and adequate transmission infrastructure, unserved energy could reach 19.4 per cent by 2035-36.

The project is therefore expected to play an important role in strengthening the state's power infrastructure and improving its capacity to integrate renewable energy into the electricity grid.

(KNN Bureau)