By Chandan Singh | Page 3 News Worldwide | New Delhi 

Visakhapatnam: The Andhra Pradesh High Court on Monday, August 24, heard a PIL challenging environmental clearances and other approvals granted for a proposed Adani-linked data centre project in Visakhapatnam, with the petitioner raising concerns over the use of temple land, proximity to a wildlife sanctuary, and the project’s projected requirements for water and electricity.

The PIL, filed as Writ Petition No. 137/2026 by Jal Biradari National Convenor Boli Setty Satyanarayana, was heard by a Bench headed by Chief Justice Lisa Gill. Advocate Virag Gupta appeared for the petitioner, while Mr T. Vishnu Teja represented the government.

According to arguments presented before the court, around 160 acres of land belonging to Simhachalam Devasthanam had been leased for the project. The petitioner contended that the transfer was contrary to an earlier High Court order dated May 30, 2006, and alleged that advance possession of the land was given on April 10, 2026, without following the required legal process.

The petitioner also questioned the environmental approvals in view of the project’s proximity to Kambalakonda Wildlife Sanctuary, which, according to the State Level Environment Impact Assessment Authority’s reply, is around 850 metres from the proposed site. The petitioner cited Ministry of Environment and Forest notifications concerning restrictions on commercial construction near protected areas and argued that the project required prior approval at the central level.

Another major issue raised was the nature of the environmental clearance granted to VHDCPL, an Adani Group special purpose vehicle incorporated on February 3, 2026. The petitioner argued that the proposed 1.22 lakh sq. metre construction was cleared as a building project, while the actual data-centre operations, including their potentially substantial water, electricity and pollution-related requirements, had not been adequately assessed.

The petition also highlighted the presence of Mudasarlova Lake around 100 metres from the project site, describing it as an important source of fresh water for Visakhapatnam. The petitioner argued that the project could affect nearby water resources and the ecologically sensitive area, and urged that no further construction or development be permitted without appropriate environmental clearances covering the proposed data-centre activity.

The court was also apprised of allegations concerning special facilitation for the project, including land-use changes, assured water supply for 20 years and a private electricity network. The petitioner claimed that government records indicated incentives worth around ₹22,000 crore for the data-centre project, apart from concessional land and other tax and regulatory benefits.

After hearing the matter in detail, the Chief Justice-led Bench cautioned officials that construction on land belonging to Simhachalam Devasthanam must comply with all statutory requirements and environmental clearances. The court made it clear that any activity at the site would remain subject to applicable statutory and environmental norms.

The Bench further warned that any violation of assurances made before the court would be viewed seriously and that officials concerned could be held accountable if the government’s submissions were breached.

The matter has been posted for September 2. The state government has been directed to file its counter, following which the Advocate General is expected to clarify the government’s position before the court.

The above report is based solely on the arguments and claims contained in the supplied press note and does not independently establish the allegations as findings of the court.