The Andhra Pradesh Cabinet on June 24 approved Adani Green Energy Ltd’s proposal to build pumped hydro storage projects with a total capacity of 3,700 MW at four locations in the state.

According to the chief minister’s office, Adani proposed to build the factory in four phases at a total price of Rs 15,376 crore and provide employment for 4,000 people.

The State Investment Promotion Board (SIPB) cleared the proposal two days ago, and the state cabinet headed by Chief Minister YS Jagan Mohan Reddy approved it. According to the proposal, Adani will install 1,000 MW each in YSR and Parvathipuram Manyam districts, 1,200 MW in Manyam district and another 500 MW in Satya Sai district.

According to the CMO, in 2022-23 (phase one), the company will invest Rs 1,349 crore in these projects. Officials say the proposed four plants will require more than 11,000 acres of land. Adani will have to lease land from farmers and pay an annual rent of Rs 30,000 per acre, as directed by the state government.

Since the proposed project is located in an arid region, the CM believes that the leased land will provide a stable source of income for the farmers. “It is good for the farmers and the country,” the chief minister told the SIPB meeting.