Adani Energy wins Rs 8,500 crore Andhra Pradesh order; stock reacts

Adani Energy Solutions Ltd saw its shares rising nearly 2 per cent in an otherwise weak trading session on Friday after India’s largest private transmission and distribution company said it has won a Rs 8,500 crore inter-state transmission project in Andhra Pradesh.

The project, aimed at developing the transmission system for the proposed Phase I of Green Hydrogen and Green Ammonia projects in the Vizag area of Andhra Pradesh, was awarded under the Government of India's Tariff-Based Competitive Bidding (TBCB) framework, with AESL emerging as the successful bidder. 

Adani Energy said the transmission system has been planned to facilitate integration and supply of power to the proposed Green Hydrogen and Green Ammonia projects in the Vizag area, catering to an estimated demand of 4,500 MW. 

Following the development, the stock rose 1.71 per cent to hit a high of Rs 1,713 on BSE.     

"The project will also support the growing load requirement expected from the Pendurthi–Vizag region, where a new wave of data centre and digital infrastructure investments is taking shape," Adani Energy said. 

As green molecules generation (green hydrogen) and data centres scale up in the Andhra Pradesh, reliable high-capacity transmission infrastructure will be critical to ensuring power availability, grid stability and long-term industrial competitiveness, Adani Energy said.

Adani Energy has a cumulative transmission network of 29,531 ckm and 1,33,675 MVA transformation capacity. In its retail electricity distribution business, AESL serves approximately 13 million consumers in metropolitan Mumbai and the industrial hub of Mundra SEZ. It is also ramping up its smart metering business.

The Adani group firm said the fresh project will be housed under the Special Purpose Vehicle, Vizag Power Transmission Ltd. Its scope involves establishment of a 4×1500 MVA, 765/400 kV GIS substation at Pendurthi (Vizag) and a 3×1500 MVA, 765/400 kV Khammam-II substation. 

"With this, AESL will add 1,582 ckm of transmission lines and 10,500 MVA of transformation capacity, taking its overall transmission network to 29,531 ckm and 1,33,675 MVA of transformation capacity," Adani Energy said.