Andhra Pradesh clears land for two 1,000 MW solar parks

The Andhra Pradesh government has approved the allocation of government land for two ultra-mega solar parks in YSR Kadapa and Kurnool districts, each with a planned capacity of 1,000 MW. The decision was taken at a recent cabinet meeting as part of efforts to expand grid-connected solar capacity in the state.

The land will be transferred to Andhra Pradesh Solar Power Corporation Limited (APSPCL), the state’s nodal solar agency, which will lease the sites to private developers for 33 years. The Kadapa project will be located in Mylavaram mandal, covering 466.54 acres, while the Kurnool project will come up in Orvakal mandal over approximately 737.66 acres.

The two parks have different lease structures. For Kadapa, annual rent is set at 10% of the land’s 2016 market value, with a 10% increase every five years. For Kurnool, rent has been fixed at Rs 20,000 per acre, based on a notional land value of Rs 2 lakh per acre, with the same escalation pattern over the lease period.

The model reflects a shift from outright land transfer to a lease-based approach, allowing the state to retain ownership while enabling private investment. Routing land through APSPCL is intended to centralise project oversight and streamline developer participation.

According to the Central Electricity Authority (CEA) status report as of December 31, 2025, Andhra Pradesh’s solar parks have a total planned capacity of 4,300 MW. Of this, 3,050 MW has been commissioned, 950 MW is under construction, 400 MW is awarded, and 300 MW is under tendering.

Among key projects, the Kurnool Ultra Mega Solar Park has commissioned its full 1,000 MW capacity with associated transmission infrastructure in place. The Ananthapuramu-I Ultra Mega Solar Park has commissioned 1,400 MW, with 100 MW yet to be awarded. The Ananthapuramu-II park has commissioned 400 MW of its 500 MW capacity, with the remaining 100 MW reallocated to APGENCO for EPC contracting.

The Kadapa Ultra Mega Solar Park has commissioned 750 MW out of 1,000 MW, with the remaining 250 MW under construction by NTPC under a bundling scheme. Around 79 acres of land at the site remain pending lease, subject to a No Objection Certificate (NOC) from the district collector. The 300 MW Ramagiri Solar Park has been tendered by the Solar Energy Corporation of India (SECI), with module procurement initiated in November 2024 and infrastructure development underway.

The featured photograph is for representation only.