VIJAYAWADA: The Andhra Pradesh High Court has issued interim orders regarding the construction of the proposed Vizag Hyperscale Data Centre Park at Adavivaram and Muddarapalem villages in Visakhapatnam Rural mandal, ruling that all ongoing construction activities will remain subject to the final outcome of a Public Interest Litigation (PIL) pending before the court.
A Division Bench, comprising Chief Justice Lisa Gill and Justice Challa Gunaranjan, clarified that Vizag Hyperscale Data Centre Park Limited may proceed with the construction at its own risk, but emphasised that the company cannot claim any rights or equity in the future on the grounds of having made heavy financial investments.
Follow all green and legal rules, AP High Court tells Vizag data centre developers
The bench directed the developers to strictly adhere to all statutory procedures, and environmental regulations, cautioning that the court would intervene if legal violations or lack of valid permissions are proven, and that the developers must strictly abide if the final judgment goes against them.
The court directed the Union Government, the State Government, and Vizag Hyperscale Data Centre Park Limited to file detailed counter-affidavits before adjourning the matter.
The PIL was filed by environmentalist and Jal Biradari national convener Bolisetty Satyanarayana, who challenged the allotment of 160 acres of land belonging to the Simhachalam Sri Varaha Lakshmi Narasimha Swamy Devasthanam for the project, alleging widespread environmental non-compliance.
Representing the petitioner, the counsel clarified that they are not opposed to the data centre itself, but raised serious concerns over ecological fallout, stating that the facility is being built just 1 km from a wildlife sanctuary. The petitioner argued that the project falls under ‘Category A’, making Central environmental clearance mandatory.
Countering the claims, Advocate General Dammalapati Srinivas, appearing for the State Government, submitted that the State Environment Impact Assessment Authority (SEIAA) granted clearance on June 10 after inspecting ground realities.
He also informed the court that a petitioner named Krishna has separately challenged the clearance before the National Green Tribunal (NGT). He clarified that the project falls under ‘Category B’, which does not require Central clearance, and added that water supply is being arranged through the Rural Water Supply Board.
Senior advocate Avinash Desai cited a Ministry of Environment, Forest and Climate Change statement in the Rajya Sabha clarifying that data centres do not require standalone environmental clearances beyond standard building construction approvals, while seeking time to submit a comprehensive counter-affidavit.