- Companies leaving the State as they are unable to meet extortion demands from those in power
- Websol Renewable shifts to West Bengal
- Harassment by a close associate of a key minister and project partner over demands for a share
- Websol concludes West Bengal is a better investment destination than Andhra Pradesh
- Tata Power recently shifted to Odisha
- GINFRA moved to Telangana
- Coca-Cola, Azad Mobility and Jupiter Renewables projects also derailed
- Hollow publicity over claims of Rs. 23 lakh crore in investments
- Andhra Pradesh falls from No.1 to 8th place in Ease of Doing Business
- Chandrababu government weak in performance, strong only in publicity
- Industrialists alarmed by “Red Book” intimidation
- Projects worth Rs. 12,890 crore have moved out under the Chandrababu coalition government
- Employment opportunities for 8,962 youth affected
Industrialists are deeply worried as leaders in the Chandrababu coalition government pressure them for shares and commissions. As a result, companies are leaving Andhra Pradesh. The coalition government has failed even to retain major projects that came to the State during the previous YSRCP government.
The latest to exit is Websol Renewable Private Limited, which has decided to leave Andhra Pradesh after facing pressure over demands for a share. Earlier, Tata Power, which had been allotted around 250 acres in the KRIBHCO SEZ in Nellore, shifted its proposed project to Odisha. So far, six major projects involving investments of around Rs. 12,890 crore have slipped away, affecting employment opportunities for 8,962 youth.
Even as companies leave the State, the government continues to publicise claims of Rs. 23 lakh crore and Rs. 24 lakh crore in investments. Apart from MoUs on paper, announcements on public platforms and favourable media publicity, there is little evidence of new industries actually being established on the ground.
Websol says Goodbye to Andhra Pradesh
Websol Renewable Private Limited signed an agreement with the AP Economic Development Board on November 15, 2025, to establish a 4 GW solar-cell and solar-module manufacturing unit near Naidupeta in Tirupati district with an investment of Rs. 3,538 crore. SIPB approved the project in December.
The government allotted 123.45 acres near Naidupeta and issued orders granting tailor-made incentives of around Rs. 2,212 crore, amounting to nearly 69 per cent of the investment value.
Websol had planned to begin construction in January, complete major works by June, install machinery and commence production by July 2027. However, the company has now withdrawn the Andhra Pradesh proposal and shifted to West Bengal.
Websol Executive Director Sanjana Khaitan, during an investor call, said the company was withdrawing its Andhra Pradesh proposal because West Bengal was more suitable for investment.
There is widespread discussion within official circles that, after the G.O. for the Websol unit was issued, a Delhi-based adviser considered very close to senior government leaders directly intervened and demanded a share, becoming a major reason for the company’s decision to move to West Bengal.
Tata Power moves to Odisha — Andhra Pradesh Loses Rs. 6,675-Crore Project
During the YSRCP government, plans were initiated for Tata Power Renewable Energy to establish a 10 GW ingot and wafer manufacturing facility at IFFCO SEZ in Nellore district with an investment of Rs. 6,675 crore. The project was expected to create 1,000 direct jobs and several thousand more through ancillary industries.
But the same project has now shifted to Gopalpur in Odisha. The company management said Odisha was chosen because of ready land, better infrastructure and stronger government support. YSRCP questioned why the State Government remained silent even as a Rs. 6,675-crore project slipped away. It also asked why Nara Lokesh, who functions as a minister handling virtually every department, had not spoken on the issue.
YSRCP mocked the government, asking whether sending industries meant for Andhra Pradesh to neighbouring states was what Chandrababu calls “Speed of Doing Business.”
Coca-Cola Withdraws — Rs. 1,200-Crore Project Stalled
The YSRCP government had allotted 50.04 acres at Krishnampalem in Rambilli mandal of Anakapalli district to Hindustan Coca-Cola Beverages. A beverage manufacturing and distribution facility involving an investment of nearly Rs. 1,200 crore was proposed, and the process of setting up the project had already begun.
After the change in government, however, the project returned to square one. The company asked that the allotted land be taken back. YSRCP demanded that the government explain why a company that had come forward to establish an industry subsequently sought to return the land.
Azad Mobility Exits — 2,381 Jobs Lost
Azad India Mobility was allotted 70.71 acres at Gudipalli in Sri Sathya Sai district for an EV manufacturing facility producing two-wheelers, trucks and buses. The project proposed an investment of Rs. 1,046 crore and employment for 2,381 people.
The company withdrew and sought cancellation of the land allotment following pressures and demands said to have come from those in power. The government immediately accepted the request and also agreed to refund the company’s Rs. 2.50 crore Earnest Money Deposit without interest.
Why did a major EV manufacturer voluntarily leave Andhra Pradesh? And who is responsible for the loss of 2,381 job opportunities for the State’s youth?
Government Fails to Retain Even a Defence-Sector Project
The coalition government also cancelled 121.53 acres allotted to GINFRA Precisions at Thimmasamudram in Anantapur district. The company was to establish a manufacturing facility for bi-modular charge systems used in 155 mm artillery guns. The strategically important defence project was expected to bring an investment of around Rs. 1,150 crore and create nearly 250 jobs.
But the company has now shifted to Telangana. YSRCP questioned how a government that could not retain even a strategically important defence-manufacturing project could claim that it would attract new defence industries to Andhra Pradesh.
Jupiter Project Cancelled — 2,216 Jobs Affected
Jupiter Renewables was allotted 142 acres at the Rambilli Industrial Park in Anakapalli district for a manufacturing facility with 4.8 GW solar PV cell capacity and 1.5 GW solar-module capacity.
The project envisaged an investment of around Rs. 2,700 crore and employment for 2,216 people. The government has now cancelled the land allotment for this project as well. YSRCP said the loss of both the Tata Power and Jupiter projects in the renewable-energy sector reflects the failure of the coalition government’s industrial policy.
More Projects, Including Indi Semiconductors, in Limbo
Proposals from Indi Semiconductors, Adani Mobility, Elat Health Solutions and other companies have also failed to materialise. US-based Indi Semiconductors had proposed a project involving an investment of Rs. 119.18 crore and employment for thousands of people, but its future has now become uncertain.
YSRCP questioned why the government was not disclosing the real reasons behind the repeated cancellation of land allotted for industrial projects.
Rs. 12,890 Crore in Investments, 8,962 Job Opportunities Affected
| Company | Proposed Investment |
| Tata Power | Rs. 6,675 crore |
| Jupiter Renewables | Rs. 2,700 crore |
| Coca-Cola | Rs. 1,200 crore |
| GINFRA Precisions | Rs. 1,150 crore |
| Azad Mobility | Rs. 1,046 crore |
| Indi Semiconductors | Rs. 119.18 crore |
| Total | Around Rs. 12,890 crore |
Together, these projects represented proposed investments of nearly Rs. 12,890 crore, while employment opportunities for around 8,962 people were affected.
These projects either slipping away or being stalled have affected a total of 8,962 job opportunities.
‘Cash… Suitcase… Lokesh… Rajesh’
YSRCP said industrialists in Andhra Pradesh are being intimidated by what it described as the four factors of “Cash… Suitcase… Lokesh… Rajesh.” It said companies seeking approvals, land, incentives and government support are being forced to pay huge sums to those in power.
Strong allegations are also being heard that shares in companies, commissions and extortion payments are being demanded. YSRCP said some companies, unable to withstand this pressure or meet these demands, are shifting their projects to other states.
If the government believes these charges are false, YSRCP challenged it to constitute an independent committee, speak directly to the managements of companies that have left Andhra Pradesh and bring the facts before the public. It demanded disclosure of the letters written by those companies to the government, minutes of meetings held with officials and the reasons cited for cancellation or surrender of land allotments.
Rs. 23 Lakh Crore Publicity — Where Are the Industries?
YSRCP said the coalition government is claiming that investments exceeding Rs. 23 lakh crore, generating nearly 20 lakh jobs, have come to Andhra Pradesh during its tenure. At times, the same figure is being projected as Rs. 24 lakh crore, it said.
If the government has the courage and sincerity, it should publish evidence of industries actually established in the State. Which companies have set up units? Where are they located? How many are under construction? How many have commenced production? How much investment has actually materialised? How many jobs have actually been created? Which projects are still expected?
YSRCP demanded that all these details be placed before the public, company-wise, along with investment, land allotment, construction progress and employment figures.
Are SIPB Proposals Being Counted as Investments?
YSRCP said the government is portraying proposals placed before the State Investment Promotion Board (SIPB) as investments that have already arrived in Andhra Pradesh.
Submitting a proposal, securing SIPB approval or signing an MoU does not mean an industry has actually been established, it said. The government should release a white paper showing how many SIPB-approved projects have materialised, how many received land, how many began construction, how many started production, the actual investment realised and the employment actually created.
YSRCP said the government should stop masking the exit of major projects with publicity and attacks on the previous government.
What Andhra Pradesh needs is not investments on paper, but industries visible on the ground; not jobs in announcements, but appointment letters in the hands of the youth.
