EESL to invest more than US$500 million in Andhra Pradesh in four clean energy projects

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Energy Efficiency Services Limited (EESL), Government of India, have announced an investment of more than $500 million for four projects in the state of Andhra Pradesh (AP). The projects undertake ventures in e-mobility, energy efficiency, smart metering and solar rooftop energy.

MoUs were inked at CII Partnership Summit 2018, held at APIIC Ground, Harbour Park, Vishakhapatnam, Andhra Pradesh on February 24, 2018, across the four projects with the government.  The projects are poised to create 15,000 jobs and result in savings of up to INR 31.85 billion ($491 million), tweeted Saurabh Kumar, MD, EESL.

In the e-mobility sector, 10,000 electric vehicles (EVs), mainly cars and 4,000 e-car chargers will be supplied to various AP departments through New & Renewable Energy Development Corporation of Andhra Pradesh Ltd (NREDCAP). EESL tweeted, “We will invest INR 10.1 billion (156 million) on the project with no upfront cost to the state government.”

Moreover, the state government is in the process of announcing a policy to promote EVs across the state and over 1500 EVs are going to be delivered by the end of February 2018 with the coordination of EESL, announced by AP Energy Department on February 23 before the summit.

Kumar has mentioned that the entire fleet of Andhra Pradesh will turn green in two years. AP will adopt EVs by enabling conducive policy, and favorable regime including waiver of road tax, registration fees, and having green number plates.

Solar

Furthermore, the MoU signed by EESL with Southern Power Distribution Company of AP Ltd (APSPDCL) will support the installation of up to 450 MW solar rooftop across Andhra Pradesh, while establishing small solar PV based power projects at its substation.

EESL declared, “We will invest INR 19.5 billion ($300 million) on the project in two phases.” 150 MW in INR 6.6 billion and 300 MW in INR 13 billion investment.

Their partnership with the Eastern Power Distribution Co & the Southern Power Distribution Co will be essential in removing billing inefficiencies and reduce O&M cost with the use of smart meters. The MoU will supply around 1.7 million smart meters to both AP Discoms.

The MoUs were signed at the Partnership Summit 2018 in the presence of EESL’s Managing Director, Saurabh Kumar and AP Chief Minister, N Chandrababu Naidu, and Ajay Jain, AP’s Principle Energy Secretary.

EESL also mentioned that it has installed 11,000 energy efficient agricultural pumps in the southern state of India, AP. Moreover, replacement of inefficient and unreliable pumps will enable 28.49 million kWh energy savings, and reduce 21,109 tons of CO2 emissions per year.

At the summit, as of now, energy sector has signed 34 MoUs worth INR 1.1 trillion with an employment potential of 133,031 jobs.

Co-authored by Frederic Brown

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