The Andhra Pradesh government has made a major regulatory change by granting `Deemed Distribution Licence’ status to Google through its subsidiary Raiden Infotech.
By becoming a power distributor, Google can buy electricity, both conventional and green, directly from any power generator or use its own renewable sources from across India to distribute power among its own units, ensuring greater control over supply reliability and long-term costs. This status allows the tech giant to bypass the standard grid to independently manage a staggering one-gigawatt supply, which is crucial for maintaining the 24/7 operations required by its massive $15 billion data centre project that is coming up at three locations in Viskhapatnam.
This decision makes Google the first private company in the State to function with its own power utility. It clears the path for the massive $15 billion data centre project, which will require one gigawatt (1GW) of power. To ensure the project remains environmentally friendly, the government has put a condition on Google, that at least 51% of its energy must be from renewable sources. The move also protects local residents, as the huge electricity demand of the data centres will not burden the existing State utility, APEPDCL.
