The Solar Energy Corporation of India (SECI) and the Government of Andhra Pradesh will develop a 1200-megawatt hour (MWh) Battery Energy Storage System (BESS) in Nandyal and a 50 MW hybrid solar project.
This marks “one of the most significant state-level storage commitments to date and with this, India’s clean energy transition gets a major boost,” an official statement read.
The agreement—finalised through an exchange of Government Orders—took place during the Energy Session of the Andhra Pradesh Partnership Summit 2025 in Visakhapatnam, organised with the Department for Promotion of Industry and Internal Trade, in association with the Confederation of Indian Industry.
The Union Ministry of Power, through an order issued on January 23, 2025, designated SECI as the implementing agency for the 1200 MWh BESS under market-based operations, giving the central sector public sector unit a lead role in operationalising large-scale storage assets.
The project received board-level clearance on October 22, 2025, with Chairman Santosh Kumar Sarangi approving SECI’s proposal. The Union Ministry of New & Renewable Energy has been closely monitoring the progress of both the storage and hybrid projects.
Both the BESS and the 50 MW hybrid solar project will be developed under the CAPEX model, with SECI taking full investment responsibility—an approach that underscores the Centre’s intent to rapidly expand firm renewable capacity while retaining strategic control over key assets.
State officials said the partnership would accelerate Andhra Pradesh’s efforts to build high-quality renewable infrastructure and improve grid stability through dependable storage assets.
The 1200 MWh BESS—among the largest grid-scale storage deployments in India—marks a major leap toward creating a flexible, storage-enabled national grid capable of integrating higher levels of solar and wind generation. The complementary 50 MW hybrid project will add renewable capacity while improving power supply reliability for the state.
SECI said the agreement reflects its commitment to working with states and central ministries to drive India’s clean energy transformation. “This marks a significant milestone in strengthening Andhra Pradesh’s renewable energy ecosystem,” the corporation noted, adding that such projects will be key to powering India’s “greener, more resilient, storage-enabled future.”
According to Renewable Watch, as of July 2025 Andhra Pradesh has an installed renewable energy capacity of 13,488.39 MW, made up of roughly 5,523 MW solar, 4,398 MW wind, 2,810 MW large hydro, 163 MW small hydro, and 594 MW biopower. Meanwhile, the AP Socio-Economic Survey 2024-25 reports a slightly lower figure of 7,522.24 MW (~3,755 MW solar, ~3,636 MW wind, 10.5 MW small hydro, 119.6 MW biomass/waste) for FY25.