Amaravati: A U.S. court filing alleging Gautam Adani, his nephew, and six others of bribing a high-ranking Andhra Pradesh official has drawn sharp reactions from the YSR Congress Party (YSRCP). The ruling party in Andhra Pradesh during the period in question has denied the claims, calling them baseless.
According to the indictment, Adani allegedly paid ₹1,750 crore to influence Andhra Pradesh state electricity distribution companies (DISCOMs) to purchase seven gigawatts of solar power from the Solar Energy Corporation of India (SECI) under a manufacturing-linked project. The court filings claim that Adani met the high-ranking official, referred to as “Foreign Official #1,” multiple times in 2021 to advance the power sale agreement (PSA).
The filings further allege that Adani Group executives, including Gautam Adani and his nephew Sagar Adani, offered ₹2,029 crore (approximately $265 million) in bribes to secure the deal, benefiting Adani Green Energy subsidiaries. The state eventually signed the PSA with SECI on December 1, 2021, agreeing to purchase seven gigawatts of solar power—the largest deal of its kind in India.
In response, the YSRCP issued a statement on X (formerly Twitter), asserting that the allegations against the state government are false. The party emphasized there was no direct agreement between Andhra Pradesh DISCOMs and any entities associated with the Adani Group.
Clarifying the procurement process, the YSRCP explained that Andhra Pradesh supplies approximately 12,500 million units (MU) of free electricity annually to the agricultural sector, a subsidy reimbursed by the state government. Due to costly power purchase agreements (PPAs) signed by previous administrations, the state sought to reduce costs by developing 10,000 MW of solar capacity.
In November 2020, the Andhra Pradesh Green Energy Corporation Limited (APGECL) floated a tender for 6,400 MW of solar power. Despite receiving over 24 bids with competitive tariffs of ₹2.49 to ₹2.58 per kWh, legal and regulatory hurdles stalled the project.
In 2021, SECI, a central government entity, offered to supply 7,000 MW of solar power at ₹2.49 per kWh, including inter-state transmission system (ISTS) charge waivers. The Andhra Pradesh government accepted the proposal, signing an agreement to procure power from SECI, bypassing direct agreements with private companies.
The YSRCP reiterated that the agreement was solely with SECI, a central government enterprise, and not with Adani Group or its subsidiaries. “The allegations made against the state government, in light of the indictment, are incorrect,” the party declared.
As the case unfolds, it has reignited debates about transparency and governance in India’s renewable energy sector. The court filings cast a spotlight on the intricate relationships between corporate entities and government decision-making, raising questions about accountability in high-stakes projects.
