Archive · 1 Oct 2025
Andhra Pradesh's Solar Deal Faces Challenges Over Fees
Imagine a company, Adani, made a deal to sell solar power to the state of Andhra Pradesh.
The state now wants to be excused from paying a certain fee, called a transmission fee, that would make the solar power more expensive.
This fee is around 40% of the cost of the power.
If the state doesn't get this discount, the deal might not happen.
The US has accused Adani of bribery in a different matter, and the government must decide if the deal will be adjusted.
Andhra Pradesh is requesting a transmission fee waiver on a solar power deal with Adani Green Energy.
The transmission fee could increase the cost of the solar power by approximately 40%.
Without the waiver, the cost of solar power could rise from ₹2.49 per unit to ₹3.49.
The deal involves 7,000 megawatts of solar power, with Adani ready to supply 4,312 MW.
US authorities accused Adani of a bribery scheme connected to securing contracts.
- Who
- Adani Green Energy, Andhra Pradesh, and the Solar Energy Corporation of India.
- What
- Andhra Pradesh is requesting a transmission fee waiver on a solar power deal with Adani Green Energy, which could disrupt the agreement.
- When
- Adani and Andhra Pradesh signed a deal in 2021, the waiver was revoked two years later.
- Where
- Andhra Pradesh, India.
- Why
- Andhra Pradesh seeks the waiver as they claim it was an incentive for the 2021 contract, and the transmission fee could make the solar power too expensive.
- Parties Involved
- Adani Green Energy, Andhra Pradesh, Solar Energy Corporation of India
- Solar Power Deal (MW)
- 7,000
- Adani's Supply (MW)
- 4,312
- Transmission Fee Impact
- Increases cost by ~40%
- Current Cost Per Unit
- ₹2.49
- Cost Per Unit With Fee
- ₹3.49
- Bribery Allegations
- US authorities accused Adani of a $265 million bribery scheme