A new ₹8,386 crore interstate transmission project has been approved to supply 5,000 MW of green power to Visakhapatnam. The infrastructure, featuring major substations and 765kV lines, will support green hydrogen/ammonia manufacturing and regional data center operations, cementing Vizag’s status as a critical green energy hub.
VISAKHAPATNAM — A major interstate transmission system (ISTS) scheme has been approved to provide critical power support for upcoming green hydrogen and green ammonia manufacturing projects in Visakhapatnam, Andhra Pradesh. This development is essential for meeting the estimated 5,000 MW of green energy demand from industrial players in the region, including significant requirements from firms like NTPC Green Energy Ltd (NGEL), which has already sought 2,500 MW of power for its local hydrogen facilities.
The project, valued at approximately ₹8,386 crore, will be developed under the tariff-based competitive bidding (TBCB) framework. With a 30-month construction timeline, this infrastructure is designed to serve as a cornerstone for Andhra Pradesh's burgeoning renewable energy ecosystem.
Strengthening the Power Backbone
The approved transmission scheme, titled “Transmission system for proposed green hydrogen/green ammonia projects in Vizag area, Andhra Pradesh (Phase-I),” involves the construction of two major substations and extensive high-voltage transmission lines to ensure a reliable flow of renewable energy.
According to industry reports, the key components of the infrastructure include:
Pendurthi (Vizag) GIS Substation: A 4×1500 MVA, 765/400kV gas-insulated substation designed to handle large-scale renewable integration.
Khamman-II Substation: A 3×1500 MVA, 765/400kV facility to stabilize grid distribution.
Interconnectivity: A 765kV double-circuit line spanning roughly 350 km will link the two primary substations, while additional lines will connect to existing grid nodes in Srikakulam and Warangal.
In addition to serving industrial manufacturing, the Pendurthi substation is slated to support the increasing power demands of local data centers, including the massive AI data center campus recently announced by AdaniConneX and Google in Visakhapatnam.
Industrial Impact and Strategic Growth
The push for green ammonia in Vizag is part of a broader national strategy to displace fossil-fuel-based feedstocks with renewable alternatives. Green ammonia is a critical component for future clean energy applications, including marine fuel, fertilizer production, and coal-fired power plant co-firing.
By facilitating the transmission of 5,000 MW of green energy, this project positions Visakhapatnam as a vital hub for India’s transition to carbon-neutral industrial processes. The infrastructure will provide the necessary “green electrons” required by manufacturers to scale production while aligning with India’s national goal of reaching net-zero emissions by 2070.
Official Sources
The project is being coordinated by REC Power Development & Consultancy Ltd (RECPDCL) under the guidance of the National Committee on Transmission (NCT). The Union Ministry of Power is providing the necessary concurrence for the scheme due to its scale and strategic importance to the national grid.
Why It Matters
Practical implications of this infrastructure include:
Scaling Production: Manufacturers of green hydrogen and green ammonia will gain the reliable, high-capacity energy needed to reach commercial viability.
Grid Stability: The integration of 765kV transmission lines enhances the resilience of the Andhra Pradesh power grid, accommodating both heavy industrial demand and data center growth.
Economic Development: The investment acts as a catalyst for regional employment, driving job creation in technology, construction, and sustainable energy operations.
Key Facts at a Glance
Estimated Cost: ₹8,386 crore.
Power Capacity Supported: 5,000 MW of green energy demand.
Project Timeline: 30 months from commencement.
Primary Infrastructure: Two 765/400kV substations and approximately 1,380 circuit kilometers (ckm) of transmission lines.
Frequently Asked Questions
What is the purpose of the new transmission project in Vizag?
The project is designed to transmit massive amounts of renewable energy to power new green hydrogen and green ammonia manufacturing facilities in the Visakhapatnam region.
Will this project affect local power supply?
Yes, the project is designed to enhance the overall capacity and stability of the electricity grid in Andhra Pradesh, supporting both heavy industrial demand and local infrastructure like data centers.
Who is managing the development?
REC Power Development & Consultancy Ltd (RECPDCL) is the bid process coordinator for the project, which will be executed under the Tariff Based Competitive Bidding (TBCB) framework.
Source: Adani Group Newsroom, T&D India, REC Power Development & Consultancy Ltd