Author: PPD Team Date: 18/03/2025
The Andhra Pradesh Energy Department has issued operational guidelines under the Integrated Clean Energy (ICE) Policy 2024, covering resource allocation, land allotment, grid connectivity, open access, banking facilities, and project migration.
To streamline approvals, the New and Renewable Energy Development Corporation of Andhra Pradesh (NREDCAP) will develop a unified portal for applications, approvals, and project tracking. Developers need to submit applications online with the required documents and fees. Projects up to 40 MW will receive approvals within 14 days, while larger projects require review by state authorities.
Land allocation follows an economic priority model. Government or revenue land will be leased at Rs 31,000 per acre per year, with a 5% escalation every two years. Biofuel projects will have a lower lease rate of Rs 15,000 per acre per year, while green hydrogen hubs at ports will be charged Rs 100,000 per acre annually. Lease payments must begin from the date of possession or the lease agreement, whichever comes first.
The guidelines also cover grid connectivity, requiring developers to obtain approvals from the State Transmission Utility (STU) or Central Transmission Utility (CTU) and submit bank guarantees. Open access for clean energy projects is permitted under the Andhra Pradesh Electricity Regulatory Commission’s (APERC) Green Energy Open Access Regulations, 2024.
Incentives include capital subsidies, SGST reimbursement, electricity duty waivers, and exemptions on open access charges. Solar rooftop projects will receive direct subsidies for consumers. Migration of projects from old policies is also permitted under defined guidelines.
With these structured measures, Andhra Pradesh aims to accelerate renewable energy adoption, attract investments, and simplify project approvals in the state.