Gazette No 234: Energy Department – Proposal for setting up of 2100 MW of Pumped Storage Hydro Power(PSP) Projects by M/s Shirdi Sai Electricals Ltd.-Allotment of 2100 MW PSP Projects at Somasila in YSR District (900 MW) and Yerravaram in Alluri Seetharama Raju District (1200 MW) – Orders – Issued.

Registered No. HSE-49/2016 PART I EXTRAORDINARY No.576 AMARAVATI, TUESDAY, MAY 23, 2023 G.234 NOTIFICATIONS BY GOVERNMENT --x--File No.ENE01-APRE/8/2022-MLO-ENE-Part(1) GO MS/4/2023/ENE01-Energy GOVERNMENT OF ANDHRA PRADESH ABSTRACT Energy Department – Proposal for setting up of 2100 MW of Pumped Storage Hydro Power(PSP) Projects by M/s Shirdi Sai Electricals Ltd.-Allotment of 2100 MW PSP Projects at Somasila in YSR District (900 MW) and Yerravaram in Alluri Seetharama Raju District (1200 MW) – Orders – Issued. = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = = ENERGY (POWER.II) DEPARTMENT G.O.Ms.No.02 Dated:19-01-2023 Read the following:- 1. Proposal No. SSE/ED-NREDCAP/PSP/03, dated. 13.06.2022 of M/s Shirdi Sai Electrical Limited, Hyderabad. 2. Govt Letter No.ENE01-APRE/8/2022, dated:20-06-2022. 3. From the Vice Chairman & Managing Director, New and Renewable Energy Development Corporation of Andhra Pradesh (NREDCAP), vide letter No.NREDCAP/WE/PSP/SSE/2022, dated 20.06.2022. 4. From the Chairman & Managing Director, APTRANSCO, vide letter No.CMD/CGM/Commercial/RAC/F.05/22, D.No.73/22, dt.20.06.2022. 5. From the Member-Convenor, APPCC, Vijayawada, letter No. MC/APPCC/ CGM(PP)/ DGM(IPPs)/ F.PSPs.D.No.136/22, dt.21-06-2022. 6. G.O.Ms.No.64, Water Resources (Reforms) Dept, dated:10-12-2021. 7. G.O.Ms.No.6, Water Resources (Reforms) Dept, dated:18-01-2023. *** O R D E R:- Renewable Energy has started playing an increasingly important role worldwide in augmentation of grid power, providing energy access, reducing the consumption of fossil fuels thereby mitigating the climate change challenges. Andhra Pradesh being one of the leading states contributing to the RE capacity addition, has been rolling out multiple initiatives, programs, policies and incentives to accelerate the development of the renewable energy sector. However, in order to balance the variations in RE generation, reliable Energy Storage solutions are required. Though various energy storage technologies are available, Pumped Hydro Storage Power Projects (PSP) offers highest promise due to their flexible operation to balance the Variable Renewable generation in short span of time. Andhra Pradesh is in forefront in the country in identifying potential sites for promotion of Pumped Storage Hydro Power Projects. Techno-Commercial Feasibility Reports (TCFR) are prepared with an aggregate potential of 33,240 MW. Detailed Project Reports are under preparation for most viable locations in phased manner. Considering the huge capital investments required to establish PSP Projects, the Government is intending to encourage private investments in already identified PSP projects. 2. Further, the Government of India has committed at the 26th session of the Conference of the Parties (COP26) to the United Nations Framework Convention on Climate Change (UNFCCC) held in Glasgow, United Kingdom to reach 500 GW Page 1 of 5File No.ENE01-APRE/8/2022-MLO-ENE-Part(1) GO MS/4/2023/ENE01-Energy Non-fossil energy capacity by 2030 and achieve the target of net zero emissions by 2070. In view of the commitments of Government of India, the share of Renewable Energy is expected to be increased substantially in the country in the coming years and is going to be more challenging than ever before to maintain stable grid due to variations in Renewable Energy Power generation. The Govt.of India has identified pumped storage hydro projects as one of the most prominent energy storage options that can be considered for balancing of variable renewable energy and is extensively promoting development of PSPs which is the most commonly used and commercially viable large scale electricity storage technology and currently accounts for 95% of the total storage capacity globally. 3. In the reference 1st read above, M/s.Shirdi Sai Electrical Ltd. (M/s SSEL), Hyderabad, have submitted proposal to the Government for allocation of 2100 MW Pumped Storage Hydro Power (PSP) projects at the following locations, i. Somasila, YSR District : 900 MW ii. Yerravaram, Alluri Seetarama Raju District : 1200 MW 4. M/s. Shirdi Sai Electrical Ltd. have requested to extend certain incentives and issue project allotment order for development of 2100 MW PSPs and extend necessary support required from relevant departments of GoAP for grant of various approvals, clearances related to the above projects. Implementation of 2100 MW PSP Projects will bring investments to an extent of Rs. 8,855 Crores and the projects help to improve the local economy besides creating direct and indirect employment to 2100 persons. 5. The proposal of M/s. Shirdi Sai Electrical Ltd. has been placed before State Investment Promotion Board (SIPB) meeting held on 12.12.2022. The SIPB have taken the following decisions: i.Allotment of 2100 MW Pumped Storage Hydro Power (PSP) Projects near Somasila, YSR District and Yerravaram in ASR District. ii.Extend Mega Industrial Project Status to the project to facilitate single window clearances. NREDCAP will be the Nodal Agency. However, no incentives will be provided. iii.Allotment and alienation of land required and available if any in the project areas for the projects on outright sale basis @ Rs. 5 lakhs per acre per year or on lease basis with lease rentals of Rs. 31,000/acre with an annual escalation of 5% for every two years, based on the option of the project developer. iv.Allocation of 0.294 TMC of water on one-time non-consumptive basis and 0.015 TMC water towards annual evaporation losses from Somasila Reservoir in case of Somasila PSP and 0.53 TMC water on one-time non- consumptive basis and 0.046 TMC water towards annual evaporation losses from natural streams in case of Yerravarm PSP. The charges as per the prevailing guidelines of the Water Resources Department shall be paid. v.Green Energy Development Charges shall be levied @ Rs. 1 lakh/MW/Year for 1st 25 years and Rs. 2 lakhs/MW/year for remaining life of the project. vi.Govt. of A.P. will support and facilitate the project for availing grants of special category projects under Central Govt. schemes. Page 2 of 5File No.ENE01-APRE/8/2022-MLO-ENE-Part(1) GO MS/4/2023/ENE01-Energy vii.Govt. of A.P. will facilitate the project for availing benefits provided as per National Energy Storage Policy without any financial commitment from Govt. of AP. viii.The project shall be completed within 6 years the date of handing over of revenue lands available if any at the proposed project locations. 6. Government after detailed examination of the proposal of M/s Shirdi Sai Electrical Ltd., in consultation with various stakeholders i.e, Revenue Dept., EFS&T Dept., Water Resources Department, APTRANSCO in the light of the decisions taken in the State Investment Promotion Board, have decided to extend the incentives that are considered for Pumped Storage Hydro Power Projects earlier allotted to M/s. Adani Green Energy Ltd. Accordingly, Government hereby issue the following orders: i.Allotment of 2100 MW of Pumped Storage Hydro Power Project to M/s Shirdi Sai Electrical Ltd. at Somasila, YSR District (900 MW) and Yerravaram, Alluri Seetharama Raju District (1200 MW). ii.Mega Industrial Project Status has been accorded to the project to facilitate single window clearances. NREDCAP will be the Nodal Agency. However, no incentives will be provided. iii.For allotment and alienation of land required and available if any in the project area for the project either on outright sale basis @ Rs. 5 lakhs per acre or on lease basis with lease rentals of Rs.31,000/acre with an escalation of 5% for every two years, based on the option of the Project developer. iv.Allocation of water for initial filling and annual recouping towards evaporation losses from the natural streams as per the prevailing guidelines of the Water Resource Department as detailed below: a. Somasila : 0.294 TMC of water for initial filling and 0.015 TMC of water for annual recouping towards evaporation losses from the existing Somasila Reservoir subject to subject to terms & conditions of Water Resource (Reforms) Department and payment of water royalty charges for Non-Consumptive / Consumptive utilization as fixed by the Government from time to time as per the orders of the Government vide G.O.Ms.No.64, dated.10.12.2021 of Water Resources (Reforms) Department. b. Yerravaram: Allocation of 0.553 TMC of water (for one-time filling) and 0.046 TMC (towards annual evaporation losses) every year from Bodderu subject to the terms and conditions laid down in GO Ms No. 6 dated 18.01.2023 of Water Resources (Reforms) Department and developer should abide by any other conditions laid by the Water Resource Department / Govt. of AP at later date. v.Green Energy Development Charges shall be levied @ Rs. 1 lakh/MW/Year for 1st 25 years and Rs. 2 lakhs/MW/year for remaining life of the project. vi.Registration charges @ Rs.50,000/- MW shall be paid to NREDCAP within two (2) months from date of this order. vii.Actual expenditure incurred by the NREDCAP in preparations of the DPRs and carrying out various field investigations of the said PSP projects and expenditure towards obtaining various clearances shall be reimbursed/ paid Page 3 of 5File No.ENE01-APRE/8/2022-MLO-ENE-Part(1) GO MS/4/2023/ENE01-Energy by M/s. Shirdi Sai Electricals Ltd. as and when demand raised by the NREDCAP. viii.Govt. of A.P. will support and facilitate the project for availing grants of special category projects under central govt. schemes. ix.Govt.of A.P. will facilitate the project for availing benefits provided as per National Energy Storage Policy without any financial commitment from Govt. of A.P. x.APTRANSCO shall facilitate for evacuation of power from the proposed PSP Projects to the nearest CTU sub-stations. Necessary evacuation facility till the nearest CTU shall be developed by M/s.Shirdi Sai Electricals Ltd. xi.The Forest Department shall extend necessary support and facilitate to carry out surveys and investigations in forest areas and diversion of forest lands. xii.The Power generated from these pumped storage projects would be connected to Power Grid / CTU substation and delivered outside the State with no obligation for DISCOMS to purchase power. However, DISCOMs shall have first right of refusal. xiii.The allocated projects shall be executed and commissioned within a period of Six (6) years from the date of total land handing over to the Project, failing which the entire land shall be resumed back to the Government. 7. The Revenue Department/EFS & T/Industries & Commerce/Water Resources Department/ Chairman & Managing Director, APTRANSCO, Vijayawada shall take necessary action accordingly with respect to their issues mentioned at para 6 above. 8. The Vice Chairman & Managing Director, New and Renewable Energy Development Corporation of Andhra Pradesh, Tadepalli shall take further necessary action accordingly. (BY ORDER AND IN THE NAME OF THE GOVERNOR OF ANDHRA PRADESH) K.VIJAYANAND SPECIAL CHIEF SECRETARY TO GOVERNMENT To M/s Shirdi Sai Electricals Ltd., Plot No. 13/82, 53-55 and 58-60, Industrial Development Area, Kadapa, YSR District - 516002. The VC& Managing Director, NREDCAP, Tadepalli. The Chairman & Managing Director, APTRANSCO, VidyuthSoudha, Vijayawada. The Chief Commissioner of Land Administration & Special Chief Secretary to Government,APIIC Towers, Mangalagiri. The Special Chief Secretary to Government, Revenue Department The Special Chief Secretary to Government, Finance Department The Special Chief Secretary, Industries & Commerce Department The Special Chief Secretary to Government, EFS&T Department. The Principal Secretary to Government, Water Resources Department. The Principal Chief Conservator of Forests, GoAP, Guntur The Collector & District Magistrate, YSR District. The Collector & District Magistrate, Alluri Seetharama Raju District. Page 4 of 5File No.ENE01-APRE/8/2022-MLO-ENE-Part(1) GO MS/4/2023/ENE01-Energy Copy to: The Commissioner of Industries Department, Vijayawada. The Managing Director, APGENCO, Gunadala, Vijayawada. The Chairman & Managing Director, APSPDCL, Tirupathi. The Chairman & Managing Director, APCPDCL, Vijayawada. The Chairman & Managing Director, APEPDCL, Visakhapatnam. The P.S to Special Chief Secretary to Chief Minister. The P.S., to the Secretary to Chief Minister. The P.S., to Minister for Energy, EFS & T and Mines & Geology. The P.S., to the Special Chief Secretary to Government, Energy Department. The Secretary, Ministry of New & Renewable Energy (MNRE), New Delhi. The Secretary, Ministry of Power, New Delhi. The G.A.(Cabinet) Department. SF/SCs. //FORWARDED BY ORDER// SECTION OFFICER Page 5 of 5