Rapidly developing Naidupeta emerges as a key industrial node in southern AP

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The facility of Premier Energies which is coming up in Naidupeta SEZ in Tirupati district of Andhra Pradesh. With a major part of the work completed in less than 12 months, the facility is set for inauguration in June 2026

The facility of Premier Energies which is coming up in Naidupeta SEZ in Tirupati district of Andhra Pradesh. With a major part of the work completed in less than 12 months, the facility is set for inauguration in June 2026

In a striking turnaround, the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) Special Economic Zone (SEZ) at Naidupeta in Tirupati district has sprung back to life, catalysing both industrial expansion and a quiet but significant rural economic shift.

After remaining largely inactive for over five years, the SEZ is now a hive of activity, with marquee investments in solar energy , electronics and manufacturing — cleared over the past two years by the Chandrababu Naidu-led NDA government — moving rapidly from blueprint to reality.

At the centre of this transformation are four villages — Dwarakapuram, Menakuru, Palachur and Attivaram — home to nearly 28,000 people. For residents, the impact is already visible.

“Projects under construction and those nearing completion have boosted our incomes,” said S Gurunatham of Attivaram. “There is a clear rise in demand for rental housing, local transport and jobs. The change in the past year has been substantial.”

“It was a surprise for me to find a job near my village itself and many of the local graduates have been able to find employment here,’’ P Vinod of Mekanuru village, a recent graduate said.

Township developing

Beyond direct employment, the industrial push is triggering a broader ecosystem shift. Companies are investing in worker housing and social infrastructure, signalling a move towards creating a sustainable industrial township model.

Premier Energies, one of the anchor investors, has launched an affordable housing initiative to support workforce needs. Plans are also underway to strengthen access to education, healthcare and essential services — critical to retaining skilled labour in a semi-rural setting.

The SEZ has attracted a mix of manufacturing players, including Premier Energies, Syrma SGS, Websol Energy Systems and Philips Carbon Black, collectively positioning Naidupeta as an emerging industrial node in southern Andhra Pradesh.

Premier Energies’ ₹6,000 crore integrated solar manufacturing facility is among the most significant projects. Envisaged with 4-7.4 GW solar cell capacity and 5-6 GW module capacity, the unit is nearing completion in its first phase and is scheduled for commissioning by June 2026.

“We have already hired professionals from colleges in Nellore, Sullurpeta and Tirupati, and recruitment will continue as we scale up,” said M N Phaneedra Rao, Project Manager, Premier Energies. Of the planned 2,000 jobs, around 375 skilled positions have already been filled.

Websol Energy Systems is also setting up an 8 GW integrated solar manufacturing facility with an investment of ₹3,538 crore, expected to generate about 200 direct jobs.

Fast-track projects

The proactive role of the State government has been a driver for new investments in the region.

“The land allotment has been hassle-free and industry-friendly. The investors are favouring Naidupeta in view of the plug and play infrastructure being provided and its proximity to Krishnapatnam Port, Tirupati and Sri City industrial zone,’’ M Abhishikth Kishore, Vice-Chairman and Managing Director, APIIC, said. 

Industry officials point to the pace of project rollout as a standout feature. “Our DPR was approved in January 2025, land was allotted in March, and construction began in April. We are on track for commissioning by June 2026,” Rao said, describing the timeline as a record in the State’s industrial development landscape.

Published on March 17, 2026

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