Adani Green Energy

Adani Green Energy's Rs 7,000 MW solar power supply agreement with Andhra Pradesh faces complications as the state government demands waiver of central-mandated transmission charges. The transmission fee could increase solar power costs by approximately 40%, but waiving it would require policy-level intervention as it's embedded in central regulations. The 2021 agreement involves Adani Green, Andhra Pradesh, and Solar Energy Corporation of India (SECI). Since April, Adani has sent multiple letters urging the state to begin drawing power, with the company ready to supply 4,312 MW of solar power. The deal represents one of the largest renewable power supply agreements in the country. The situation adds to Adani Green's operational challenges amid ongoing regulatory and legal complexities. Adani Green shares closed 2.8% higher at Rs 896.15 on Wednesday.

Adani Green Energy Limited commissioned a 50 MW solar power project and a 31.2 MW wind power project through its subsidiary Adani Hybrid Energy Jaisalmer Five Limited at Khavda, Gujarat on September 30, 2025. The commissioning increases AGEL's total operational renewable generation capacity to 16,679.80 MW. The decision to commission the plants was made on October 01, 2025 at 10:01 p.m. based on relevant clearances.

The US Department of State highlighted Sri Lanka's inconsistent foreign investment policy in its 2025 Investment Climate Statements, specifically citing Adani Group's withdrawal from a $400 million renewable energy project. Despite Sri Lanka's GDP growth hitting 5% in 2024 and improved political stability under President Anura Kumara Dissanayake, the investment climate remains challenging due to regulatory unpredictability and bureaucratic hurdles. Adani pulled out of the 484 MW wind project after the Sri Lankan government sought to renegotiate the previously approved contract, demanding tariff reductions from 8.26 cents per unit to below 5 cents, which Adani found unviable. The State Department noted that foreign direct investment remains constrained with most transactions in the $3-5 million range, well below the government's $5 billion FDI target for 2025. Key impediments include unnecessary regulations, legal uncertainty, poor bureaucratic responsiveness, and fragmented authority across government departments. The report emphasized that policy stability, regulatory reform, and improved transparency must precede significant large-scale investments.