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APGENCO eyes nuclear and storage solutions to diversify energy mix and reduce carbon footprint

Thursday, 15 Jan 2026
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To meet the state’s growing power demands while minimising carbon emissions, Andhra Pradesh Power Generation Corporation aims to diversify its energy portfolio, which predominantly relies on thermal and hydro power.

One of the key strategies involves incorporating small modular reactors (SMRs) into the mix. However, APGENCO Managing Director S Nagalakshmi emphasised that this initiative is still in its early stages, with various challenges such as cost and regulatory hurdles needing thorough evaluation. The company is also focusing on completing pumped storage hydropower plants (PSHPs) and optimising the performance of thermal power plants (TPPs), which are essential for base load maintenance.

Regarding coal supply issues, MD Nagalakshmi mentioned that blending domestic coal with imported and washed coal is helping address grade slippages that affect plant load factor (PLF). She also highlighted the cautious exploration of battery energy storage systems (BESS), acknowledging the competition from private players and the need for a sustainable financial model. 

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