Decarbonisation solutions provider ReNew Energy Global Plc has received clearance from the State Investment Promotion Board (SIPB) to establish a Green Data Centre in Anakapalli, Andhra Pradesh, entailing an investment of ₹85,200 crore, official sources said on Thursday.
Project cleared by SIPB, cabinet ratification pending
The SIPB clearance is subject to ratification by the State Cabinet, which is expected to consider the proposal at its next meeting later this month, the sources added. Once ratified, the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) will allot a plot for the project in Anakapalli, they said.
ReNew, which positions itself as a decarbonisation and green-energy solutions provider, intends to pursue a collaborative delivery model for the data-centre development and is in talks with several global data-centre players for partnership, according to the same sources.
Why ReNew is entering data centres
Data centres consume large amounts of electricity; ReNew has indicated the project aligns with its strengths in renewable power generation and storage. The company has already announced multiple large-scale investments in Andhra Pradesh, and the proposed green data centre would be a new addition to that portfolio.
At a broader level, the move reflects growing interest among renewable-energy firms to integrate power-generation assets with digital-infrastructure projects, reducing carbon intensity of data processing and offering captive clean power to energy-intensive facilities.
Existing commitments in the State
ReNew has previously committed substantial investments in Andhra Pradesh. Details cited by officials include:
- ₹60,000 crore commitment announced at the CII Partnership Summit in Visakhapatnam for multiple green-energy projects;
- An earlier ₹22,000 crore set of investments disclosed prior to the CII announcement;
- Projects under development or committed in the State such as a 6‑GW PV ingot-wafer plant, a 2‑GW pumped hydro scheme, a 300‑ktpa green ammonia facility and 5 GW of hybrid projects including wind‑solar and solar‑BESS.
| Committed/Planned Item | Scale |
|---|---|
| Green Data Centre (proposed) | ₹85,200 crore |
| Earlier commitment (CII summit) | ₹60,000 crore |
| Prior announced investments | ₹22,000 crore |
Potential local effects and unanswered questions
The scale of the proposed investment could have broad implications for local employment, supply chains and land use in Anakapalli and neighbouring areas, but officials have not yet released a timeline for construction, phased investment details or estimates of direct and indirect job creation.
Key operational questions — including the exact land area to be allotted by APIIC, the technical partners that will be finalised for data‑centre design and management, and the balance between on‑site renewable generation and grid supply — remain to be clarified following cabinet ratification, the officials said.
What it means for Andhra Pradesh
If realised at the proposed scale, the green data centre would strengthen Andhra Pradesh’s position both as a destination for large green-energy projects and as a provider of low‑carbon digital infrastructure — a combination that could attract multinational technology and cloud firms seeking greener hosting options.
For residents and businesses in the region, the project may offer construction and operations employment as well as ancillary business opportunities, but it will also raise questions about land allocation, environmental clearances and local infrastructure needs such as transmission capacity and water supply.
Officials emphasised that the SIPB clearance is an initial administrative approval and that detailed project agreements and approvals will follow the cabinet’s decision and subsequent negotiations between ReNew, APIIC and partner firms.
Disclosure: The details in this report are based on official sources familiar with the SIPB decision and ReNew’s statements to state authorities; cabinet ratification and subsequent agreements are awaited and may refine project parameters.