Reliance Industries Limited (RIL) entered into a Memorandum of Understanding with the Andhra Pradesh government on Tuesday to set up compressed biogas projects in the State, with a proposed investment of ₹65,000 crore.
The investment will create employment for around 2,50,000 people with an estimated financial benefit of around ₹57,650 crore in State Goods & Service Tax (SGST) collection, electricity duty, and taxes on employment for Andhra Pradesh over a period of 25 years. RIL proposes to establish 500 Compressed Bio Gas (CBG) plants over the next four to five years in the State. The company has proposed utilisation of available wastelands in the State for setting up the CBG plants, each of which will require an investment of ₹130 crore.
The MoU was signed in the presence of Chief Minister N. Chandrababu Naidu at the Secretariat. “Andhra Pradesh is progressing rapidly and is attracting investments. The new industrial policies introduced by the State government are delivering fruitful results. A.P. has favourable conditions for investment, and to facilitate the smooth execution of these large projects, IAS officers will be appointed as ‘Escort Officers’, the Chief Minister said.
The projects would be completed swiftly without any obstacles. To move forward with this agreement with Reliance Industries, Transco Joint Managing Director Keerthi Chekuri has been appointed as the escort officer, Mr. Naidu said, adding that the agreement marked a significant step forward.
Mr. Naidu recalled that the government had introduced the Clean Energy Policy 2024, with a target of achieving ₹10 lakh crore in investments.
The government has plans of establishing a university focused on clean energy. The Clean Energy Policy was yielding positive results, with the State advancing in solar, wind, and pumped energy projects, he said, and urged companies like Reliance to cooperate in these initiatives.
‘Crucial step forward’
IT Minister Nara Lokesh stated that the agreement with Reliance Industries marks a crucial step forward in achieving the goal of creating 20 lakh jobs. As the chairman of the Sub-Committee of Ministers overseeing job creation, Mr. Lokesh said that this agreement alone would generate 2.5 lakh jobs. He expressed satisfaction that the government reached an agreement based on proposals discussed with Reliance Chairman Mukesh Ambani and his son Anant Ambani a few days ago. Mr. Lokesh said that Reliance aims to establish 2,000 CBG plants across the country, with 500 of them being set up in A.P., which is a positive development.
Energy Minister Gottipati Ravi Kumar and Industries Minister TG Bharat, Chief Secretary Neerabh Kumar Prasad, RIL Executive Director P.M.S. Prasad, Reliance Bioenergy Ltd. CEO Bashir Shirazi, Special Chief Secretary (Energy) K. Vijayanand, MD, AP Solar Power Corporation Ltd, M. Kamalakar Babu and others were present.
Published – November 12, 2024 08:23 pm IST
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