In a major boost to India’s clean energy transition, the Andhra Pradesh government has officially approved the allocation of the massive 2,250 megawatt Gandikota-2 Pumped Storage Project to Adani Hydro Energy Eleven. Located at the Lord Balaji Donthi Kona PSP Park in the YSR Kadapa district, this venture is set to become one of the largest pumped storage projects in the country.
The approval was granted during a State Investment Promotion Board meeting chaired by Chief Minister N Chandrababu Naidu. Scheduled for completion within 72 months, the project is designed to act as a crucial stabilizing pillar for the state’s power infrastructure. By storing excess solar and wind power during off-peak hours and releasing it during peak demand, the facility will ensure a stable, round-the-clock supply of clean energy.
This infrastructure is expected to catalyze Andhra Pradesh’s growing industrial ecosystem, fueling advancements in green hydrogen, electric mobility, advanced manufacturing, and hyperscale data centers. To support operations, the state government has approved a one-time allocation of 29.20 million cubic metres of water from the Gandikota reservoir, alongside 2.20 million cubic metres annually to offset evaporation losses.
The mega-project will qualify for incentives under the newly introduced Andhra Pradesh Integrated Clean Energy Policy 2024. This ambitious state policy aims to attract nearly ₹10 trillion in investments and generate roughly 750,000 jobs across the clean energy sector. With its combination of policy stability, fast-track approvals, and integrated transmission planning, Andhra Pradesh continues to solidify its reputation as India’s premier hub for large-scale renewable energy infrastructure.
