Andhra Pradesh Launches JSW Rayalaseema Steel Plant and 3,850 MW Captive Renewable Energy Project

Andhra Pradesh has taken a step towards sustainable industrial development with the launch of the JSW Rayalaseema Steel Plant and its associated 3,850 MW captive renewable energy project, positioning the state as a key destination for green manufacturing and clean energy-led industrial growth.

Chief Minister N. Chandrababu Naidu, along with JSW Group Chairman and Managing Director, Sajjan Jindal and Union Minister Srinivasa Varma, laid the foundation stone for the Rayalaseema Steel Plant at Sunnapurallapalle in Kadapa district. The Chief Minister also inaugurated the construction of the JSW Neo Energy Solar Captive Power Project and virtually launched the company’s industrial park in Vizianagaram district.

The Rayalaseema Steel Plant will be developed in two phases with an investment of INR 16,350 crore and an annual production capacity of 2 million tonnes. Complementing the steel facility, JSW Neo Energy will establish a 3,850 MW solar and wind power project with an investment of INR 20,350 crore, supplying renewable electricity to the plant and enabling low-carbon steel production.

The integrated steel and renewable energy projects are expected to generate around 2,700 direct jobs, while supporting Andhra Pradesh’s vision of building a sustainable industrial ecosystem. The company is also investing INR 531 crore to develop a 1,166-acre industrial park in Vizianagaram, providing plug-and-play infrastructure for future industries.

Addressing the gathering, Chief Minister Naidu said the Rayalaseema Steel Plant marks the beginning of a new era for the region and fulfils a long-standing demand for industrial development. He highlighted Rayalaseema’s emergence as a hub for electric mobility, defence manufacturing, electronics, horticulture, mining and renewable energy, adding that the region is transforming into a water-secure and industrially vibrant economy.

Naidu emphasised that the upcoming steel plant will manufacture steel entirely using green energy, reflecting the state’s commitment to decarbonising heavy industry. He also cited ongoing investments in the steel sector, including the proposed INR 1.35 lakh crore in ArcelorMittal steel plant in Anakapalle and the revival of the Visakhapatnam Steel Plant, supported by inr 11,440 crore in financial assistance from the Centre.

The Chief Minister reaffirmed the state’s commitment to providing critical infrastructure, including water, road, rail and port connectivity, to support large-scale industrial investments while promoting the use of local mineral resources to drive regional economic development.

Highlighting Andhra Pradesh’s broader investment strategy, Naidu said the state is increasingly attracting investments in renewable energy, electric vehicles, aerospace, defence, electronics, food processing and space technology due to stable governance and strong investor confidence.

Speaking at the event, Sajjan Jindal, Chairman and Managing Director of JSW Group, described the Chief Minister as a visionary leader and announced that the company plans to expand the Rayalaseema Steel Plant beyond its initial 2 MTPA capacity. He also revealed that JSW intends to invest nearly INR 50,000 crore across Andhra Pradesh, creating employment opportunities for approximately 50,000 people.