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Andhra Pradesh clears DDL framework for Google data centre

The Andhra Pradesh government has cleared a power distribution licence for the upcoming Google data centre in Visakhapatnam under a new deemed distribution licence (DDL) policy.

The Energy Department has issued an order enabling DDL for strategic data centres, allowing them to procure power and develop distribution networks. This makes Andhra Pradesh the first State to permit distribution licences for private entities outside the power sector.

Projects by a single developer with a minimum connected load of 300 MW qualify for DDL, with provision to aggregate load across locations. Power supply will be limited to data centre operations within the licensed area approved by the Andhra Pradesh Electricity Regulatory Commission (APERC), with no supply to third-party consumers.

DDL holders can procure power from any lawful source, including renewable energy through bilateral power purchase agreements (PPAs), open access, captive plants such as solar, wind and hybrid with battery energy storage systems (BESS), and power exchanges.

The policy aligns with the State’s push to attract data centre investments. Last month, the foundation stone was laid for the Google Cloud India AI Hub in Anakapalli district, with a proposed investment of $15 billion.

The featured photograph is for representation only.

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