In a strategic step towards sustainable energy development, the Government of Andhra Pradesh has signed a Memorandum of Understanding (MoU) with NITI Aayog and the ISEG Foundation to implement a comprehensive State Energy Transition Roadmap. The MoU was formalised in the presence of Hon’ble Chief Minister N. Chandrababu Naidu.

Speaking at the signing ceremony, Chief Minister Naidu recalled that undivided Andhra Pradesh had been a pioneer in power sector reforms as early as 1998. After the reorganisation in 2014, the state had made renewable energy a central focus, laying the foundation for low-cost and clean power generation. Highlighting the state’s progressive policies, the Chief Minister noted, “Andhra Pradesh is now embracing advanced technologies that empower citizens to become both producers and consumers of electricity. This transformation will minimise distribution losses and accelerate electric vehicle (EV) adoption, leading to lower transportation costs.”

Mr. Naidu reiterated the state’s commitment to a diversified clean energy mix, including solar, wind, pumped hydro, battery storage, and green hydrogen. “Andhra Pradesh is rich in natural resources and offers significant potential to lead India’s green energy future. We seek continued support from NITI Aayog to realise this vision,” he added.

The agreement aims to enhance the share of renewable energy in the state’s power capacity additions. Andhra Pradesh currently has an installed power generation capacity of 27.3 gigawatts (GW). Electricity demand has steadily increased from 55.6 billion units (BU) in 2019 to 69.7 BU in 2025. This demand is projected to rise sharply, reaching 88.6 BU in 2026 and an estimated 163.9 BU by 2035. Industrial and residential sectors have driven this growth, with respective increases of 4.8% and 5.1% in recent years.

To meet these growing demands sustainably, the state has laid out an ambitious agenda under its Integrated Clean Energy Policy. Targets for 2029 include the development of 78.50 GW solar power, 35 GW wind energy, 22 GW pumped hydro storage, 1.50 million metric tonnes per annum (MMTPA) of green hydrogen, 25 GW of battery storage, 1,500 kilolitres per day (KLPD) ethanol production, 5,000 electric vehicle charging stations, and 10,000 tonnes per day (TPD) of bio-CNG/CBG.

The state has already secured investments worth ₹5.78 lakh crore in the clean energy sector, paving the way for 57.7 GW of installed power generation capacity.

The event was attended by key stakeholders, including Andhra Pradesh Energy Minister Gottipati Ravikumar, NITI Aayog CEO B.V.R. Subrahmanyam, Chief Secretary K.S. Jawahar Reddy, and representatives from the ISEG Foundation.

This collaboration is expected to accelerate Andhra Pradesh’s transition towards a low-carbon economy and set a national benchmark for integrated and inclusive energy planning.

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