Websol Renewable Private Limited will invest Rs 35.38 billion to set up an 8 GW integrated solar manufacturing facility in Andhra Pradesh, reinforcing the state’s ambition to emerge as a major clean-energy manufacturing hub.

The Government of Andhra Pradesh has approved the greenfield project at MPSEZ–Naidupeta in Tirupati district. The facility will comprise 4 GW of solar cell capacity and 4 GW of solar module capacity, according to a state government order.

The project is expected to generate direct employment for around 2,000 people. It will be developed in two phases across about 120 acres, with commercial production scheduled to begin in July 2027 and July 2028. To ensure low-cost and sustainable operations, the state has also facilitated land for a dedicated captive solar power plant spread over roughly 300 acres. In addition, Websol plans to install a 100 MW captive solar power plant as part of the project.

Naidupeta and the southern Andhra Pradesh–Tamil Nadu industrial corridor are emerging as a key solar manufacturing cluster, with companies such as Premier Energies, Tata Power and Voltsun also establishing large-scale facilities in the region. The area benefits from port connectivity, improving logistics infrastructure and a growing supplier ecosystem.

As part of the approval, the state has extended a customised incentive package under the AP Industrial Development Policy 2024–29. This includes allotment of 123.45 acres of land at a concessional rate of Rs 6 million per acre, an investment subsidy of 48.5 per cent of fixed capital investment capped at Rs 15.53 billion to be disbursed over 10 years, power tariff reimbursement of Rs 1 per unit for 10 years capped at Rs 2.02 billion, exemption from electricity duty for a decade, a 75 per cent subsidy on industrial water charges and full exemption from stamp duty.

Sohan Lal Agarwal, chairman and managing director of Websol Energy System, said the investment would support India’s renewable energy ambitions and the Atmanirbhar Bharat initiative. He added that Andhra Pradesh’s supportive industrial ecosystem offers a strong platform for executing the company’s 4 GW solar cell and 4 GW solar module expansion strategy.

Welcoming the investment, Nara Lokesh, minister for industries, IT and electronics, said the project was a strong endorsement of Andhra Pradesh’s position as a competitive destination for clean-energy manufacturing. He noted that fast land allotment, single-desk clearances and reliable power infrastructure, including captive green power, are helping build a globally competitive solar manufacturing ecosystem.

The project will significantly expand Websol’s manufacturing footprint from its existing capacity of 1.2 GW in solar cells and 550 MW in solar modules, positioning the company for growth amid rising domestic demand for photovoltaic equipment. Officials said the investment further strengthens Andhra Pradesh’s trajectory towards becoming a leading hub for renewable energy manufacturing, green jobs and export-oriented clean technology industries.