Andhra Pradesh is eyeing Rs 10 lakh crore investment in the clean energy sector in the state as it unveiled a new policy that incentivises investments across solar, wind and round-the-clock renewable energy projects to achieve net zero carbon emissions by 2047.
Andhra Pradesh chief minister N Chandrababu Naidu unveiled the AP Integrated Clean Energy (ICE) Policy that envisages incentives ranging from hassle-free land acquisition at reasonable price to power subsidy to certain sectors.
The ICE Policy will involve a proposed investment outlay of Rs 10 lakh crore, creating direct and indirect employment for 7,50,000 workers, the policy document said.
The policy looks to leverage the state's vast renewable energy potential across wind, solar and hybrid sources, storage capabilities through pumped storage projects, a long coastline, six operational ports (with four under development) and skilled manpower availability as it pivots energy transition.
The police will aid in setting up of projects that generate electricity from abundant sunlight and wind energy as well from pump-storage projects on water bodies.
Andhra Pradesh is targeting 78.5 gigawatts of solar capacity, 35 GW of wind energy, 22 GW of pumped storage and 1.5 million tonnes per annum of green hydrogen manufacturing capacity.
It is also looking to set up 25 GWh of battery energy storage as well as projects to manufacture ethanol and biogas from biomass and 5,000 EV charging stations.
It is also looking at 25-30 GW of cleantech manufacturing that will create jobs for the local population.
To develop relevant skills in our workforce, the University for Green Energy and Circular Economy (UGC) will be established in collaboration with the government of India and industries under PPP (Public-Private Partnership) Mode.
Clean Energy Knowledge & Skill Development Center (CEKSDC) will be formed to serve as a knowledge and training hub and enable partnerships with academia, think tanks, and industry.
The incentives in the policy include concessional land lease for all clean energy projects as well as renewable energy component manufacturing units.
Stamp duty will be waived for mini-hydro, pump storage projects, battery storage, biofuels and manufacturing units while capital subsidies provided for battery storage, green hydrogen, biofuels and renewable energy manufacturing projects.
Electricity duty and other open access charges will be waived.
Other incentives include a capital subsidy for electrolyser and biofuel projects, reimbursement of net state GST for 5 years, waiver of ED and reimbursement/waiver of intra-state transmission charges.
Capital subsidy of up to 25 per cent is being offered for renewable energy manufacturing projects as also reimbursement of net state GST, off-take guarantee, and power subsidy of Re 1 per unit for 5-10 years.
The policy will be operational for five years.
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