K Vijayanand, Special Chief Secretary (Energy), mentioned that Andhra Pradesh was leading in the promotion of Pumped Storage Hydropower Projects (PSHPs). He noted that techno-commercial feasibility reports had been prepared for the establishment of PSHPs with the potential to generate 33,240 Megawatts (MW) at 29 different locations. Among these, projects with a capacity of 5,000 MW were planned to be set up by AP-Genco, in collaboration with the National Hydro Power Corporation.
He informed that measures were being undertaken to put into action the Green Hydrogen and Green Ammonia Policy. Additionally, efforts were being made to acquire 7,000 MW of solar power from the Solar Energy Corporation of India (SECI). On the operational front, he pointed out that AP-Transco had successfully reduced transmission losses to 2.69%.
Vijayanand shared that AP-Genco was currently in the process of establishing a 960-MW hydropower plant at Polavaram, consisting of 12 units of 80 MW each. The initial seven units of this plant were anticipated to become operational in the fiscal year 2024-25, followed by the remaining five units in FY 2025-26.
While participating as the chief guest during the 77th Independence Day celebrations at Vidyut Soudha, Vijayanand revealed that a total of 15 PSHPs had been awarded contracts, with a combined capacity of 16,180 MW. He highlighted that these pumped storage projects aligned with the government's priority of expanding Renewable Energy (RE) resources. He emphasised the significant advantage of their flexibility, which facilitated the balancing of variable RE generation in a short timeframe.
Considering the substantial capital investment required for the establishment of PSHPs, the government had already issued the A.P. Pumped Storage Power Promotion Policy, 2022, aimed at attracting private investments. Additionally, the Green Hydrogen and Green Ammonia Policy had been introduced earlier in the same year.
Vijayanand further stated that the government had provided a subsidy of Rs 418.20 billion to the DISCOMs over the past four years. To ensure grid stability and meet demand as needed, AP-Genco proposed the construction of a 1,350-MW capacity PSHP at the existing upper Sileru reservoir. This project was deemed crucial for balancing the fluctuations in wind and solar power generation on the grid.
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