Representative image of solar manufacturing.
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Hyderabad: It appears Telangana's loss is Andhra's gain. In a significant industrial shift, noted solar cell manufacturer Premier Energies Ltd has decided to relocate its 4 GW solar photovoltaic (PV) cell manufacturing facility from Telangana's Seetharampur Industrial Park to the Naidupeta Industrial Park in Andhra Pradesh's Nellore district.
The company, which was an early entrant in India's solar cell manufacturing sector, originally proposed establishing both a 4 GW cell facility and a 4 GW module facility in Telangana last year. However, recent stock exchange filings reveal a change in plans. Premier Energies will now invest approximately Rs 1,700 crore in Andhra Pradesh, promising to generate around 2,000 jobs in the process. While the 4 GW Solar PV TOPCon Module line will remain at its original location proposed in Telangana, the critical cell manufacturing facility's relocation marks a significant moment in the competitive landscape between both the Telugu states.
In its official filing with the Bombay and National Stock Exchanges, Premier Energies Ltd explained the rationale behind the relocation. The company aims to implement a backward integration strategy by co-locating its silicon ingot and wafer manufacturing facilities with the solar PV cell manufacturing operations.
The Andhra Pradesh Industrial Infrastructure Corporation has allotted Premier Energies 269.71 acres of land. This includes 169.71 acres already allotted and an additional 100 acres with an in-principle approval. The new site will accommodate the proposed 4 GW Solar Cell Topcon facility and a 5 GW silicon ingot and wafer manufacturing plant, ensuring a seamless supply chain.
“After conducting a comprehensive market analysis, the management of the Company has decided to implement a backward integration strategy by co-locating the silicon ingot and wafer manufacturing facility with the solar PV cell manufacturing operations. As a result, the location for the implementation of the 4 GW Solar PV TOPCon Cell manufacturing line will be changed from UDL-5 Part at the Industrial Park, Seetharampur, Ranga Reddy District, Telangana, as previously disclosed in the Prospectus, to a new location at the Industrial Park, Naidupeta Village, Nellore District, Andhra Pradesh. However, the 4 GW Solar PV TOPCon Module line will continue to be implemented at the same location as indicated in the original Prospectus,” said Premier Energies Ltd in its latest filing in BSE and NSE.
This site in Naidupeta will accommodate Premier Energies Ltd's proposed 4GW Solar Cell Topcon along with the 5 GW silicon Ingot and wafer manufacturing facility, supporting the backward integration strategy and ensuring a seamless supply chain for both the ingot and wafer production as well as the PV cell manufacturing.
A senior Andhra government source highlighted the state's proactive approach in securing this investment. “Premier Energies was seeking a large site for an integrated facility. Given the company's ambitious expansion plans, access to a land bank and proximity to ports were crucial,” the source told DH.
Initial discussions between the Andhra Economic Development Board (EDB) and Premier Energies began in October 2024. The state government's swift response culminated in land allocation in February 2025, demonstrating what the source called an excellent example of “speed of doing business.”
Timeline:
October 2024: First meeting between APEDB and Premier Energies
December 2024: Site finalization
January 2025: Detailed Project Report (DPR) submission
February 2025: Approval by State Investment Promotion Board (SIPB)