Archive · 22 Aug 2026
Andhra Pradesh Approves Adani Data Centre Land Lease Changes
The Andhra Pradesh government changed some rules for Adani-linked data centre projects.
The projects are planned in areas near Visakhapatnam and Anakapalli.
One proposal is connected with a Google data centre.
The developers can now use certain approved loans to finance the projects.
If they break the agreement, they get 30 days to fix the problem before cancellation begins.
The agreements will also include stronger promises about land ownership and use.
Their responsibility for extra land-compensation claims will be limited to 10% of the paid land cost.
The government also approved a lease of 5.84 acres for another data centre park.
The Andhra Pradesh government modified land-sale agreements for Adani-linked data centre projects in Tarluvada and Rambilli.
The changes allow external commercial borrowings and financing from institutions approved by the central government.
Project developers will receive a 30-day cure period to address breaches before cancellation proceedings begin.
Liability for enhanced compensation claims is capped at 10% of the land cost paid at sale-agreement execution.
The government approved leasing 5.84 acres at Adavivaram and Mudasarlova to Vizag Hyperscale Data Centre Park.
- Who
- The Andhra Pradesh government, Adani-linked special purpose vehicles, Adani Infra (India) Ltd, and related agencies including GVMC are involved.
- What
- The government modified data centre land-sale agreements and approved a separate lease of 5.84 acres.
- When
- The government order was issued on August 20, following a State Investment Promotion Board meeting on August 12.
- Where
- The projects involve Tarluvada in Visakhapatnam district, Rambilli in Anakapalli district, and Adavivaram and Mudasarlova.
- Why
- The changes were prompted by a proposal to establish a Google data centre and to facilitate financing, land registration, and project implementation.
- Tarluvada allotment
- 266.6 acres for Vizag Mega Data Centre Park
- Rambilli allotment
- 159.80 acres after field verification, reduced from 174.8 acres
- Additional lease
- 5.84 acres of GVMC land at Adavivaram and Mudasarlova
- Lease rental
- Three per cent of the SRO value, with five per cent escalation every five years
- Cure period
- 30 days to rectify a breach or default before cancellation proceedings
- Compensation liability
- Capped at 10 per cent of the land cost paid at execution of the sale agreement
- Financing
- External commercial borrowings and financing from institutions approved by the central government are permitted