Reliance Industries will reportedly invest Rs 65,000 crore in Andhra Pradesh in what will be its biggest investment outside Gujarat for its clean energy initiative. The Mukesh Ambani-helmed conglomerate is planning to set up 500 compressed biogas plants over the next five years.
According to a report in The Economic Times, the biogas plants will be set up at an investment of Rs 130 crore on wastelands in the state. As many as 2.5 lakh people are expected to get direct or indirect employment, as per the state’s estimate.
The plan, the report added, was finalised between Anant Ambani who helms RIL’s clean energy initiative, and Andhra Pradesh IT minister Nara Lokesh. The memorandum of understanding (MoU) will be signed between RIL and Andhra Pradesh industries department in the presence of Chief Minister N Chandrababu Naidu.
This comes after the Andhra government announced incentives for biofuel projects under its newly introduced integrated clean energy policy. These incentives include a 20 per cent capital subsidy on fixed capital investments in compressed biogas (CBG) plants for five years, along with full reimbursement of state goods and services tax (SGST) and electricity duty for the same period.
Nara Lokesh said that they have introduced several incentives in their integrated clean energy policy to attract investors and create jobs, adding that they are eager to encourage more investments from Reliance.
The minister said that the entire process from the final outreach to the signing of the MoU was completed in 30 days. He said that the creation of 2.5 lakh jobs is a “game-changer” for the state’s youth.
