Adani Energy Solutions

“So we do not see a requirement currently as of now to revise the capex guideline, and we hope that we will be able to do it in next 6 months of this year.”

“So I would say this way that within the Maharashtra one, 2,500 megawatts, we have broadly covered 50% right now based on our sourcing.”

“We might complete the Navinal project in the current year, or maybe it may spill over in the next year first half.”

“And in Mahan as well, phase 1 will get commissioned, the phase 2 will be in next year first quarter.”

“All the contracts has been awarded, teams has been mobilized, contractor has been mobilized, and you will see a lot of execution activity on the ground scaling up in the second half.”

“The other project that we expect to commission would be WRSR in this year, and probably we will complete.”

“And we already have a tie-up of 4 gigawatt of renewables and 3.5 gigawatt of base capacity.”

“Mahesh, we recently commissioned one element of phase 4, Khavda-Bhuj recently.”

“And with these two projects, our order book remains at about INR87,000 crores.”

“Smart Metering, we have now delivered about 14.8 million meters so far. And around 60 percentage of our order book, that we have delivered and balance portion, we wish to complete in another 12 to 14-month time.”

“So both the projects that we have won last quarter, one is Satara as well as second is Pendurthi. Both are interstate projects.”

“Satara is important for development of PSP projects and Pendurthi is for data centers that is coming up in Vizag region.”

“Our Distribution losses in Mumbai has reduced further to 4.29 percentage in the first half. And this despite the fact that consumption has also increased by more than 10 percentage.”

“During this quarter, the platform delivered revenue of over INR2,000 crores and EBITDA of over INR800 crores.”

“in Bihar and Maharashtra where the pace was low, we expect that to increase significantly.”

“We will continue to tie up capacity on both sides on a long-term basis, so that we have stability in revenue as well as profitability.”

“And you must have seen that we have done this long-term PPA with MSEDCL, which will start operating from last quarter of this year.”

“So one, obviously, you have 2,500 megawatts of the MSEDCL PPA, 750 megawatt of AEML, so that's 3,250 megawatts. We are targeting multiple data center customers. We are in advanced discussions with them.”

“we also have close to 400 megawatts of C&I clients, which are smaller ones”

“There are already current auctions, which are there in market. We are participating, and we believe that the portfolio can be ramp up because the market is seeing the benefits of it coming in, and we are fully positioned to actually tap that opportunity.”

“And right now, see, I think the tender pipeline itself at the country level is around INR140,000 crores.”

“like this year, we see consumption increase in the city of Mumbai of the order of 11 percentage to 12 percentage.”

“See, the average realization as far as trading is concerned is about INR5.75. And what we sell on exchange on behalf of others, we get about INR0.02 to INR0.03 per unit.”

“But we believe that we will continue to maintain healthy margins in our businesses across the diversified consumer base, and that's what you would see.”

“So margin on the -- of the order of INR1.70 to INR2.”

“So with volumes picking up and all of the PPAs coming in, we expect to maintain a very good EBITDA margin in this business.”

“And we were fortunate enough that between this period where we start our long-term supply, the market was good and we have been able to earn a good margin.”

“On the borrowing side, ECB is around 10%. On the overall debt of INR51,000 crores, 10% is from the ECB.”

“So 75% to 80% of our debt portfolio is on fixed coupon basis.”

“On our funding and balance sheet side, a significant portion of our debt is also the fixed rate or hedged appropriately. So we don't expect much of the volatility due to foreign exchange or interest rate realization in our P&L or balance sheet.”

“We executed a 2,500-megawatt RE-RTC contract with MSEDCL.”

“And once we have the CCI approval, we will complete the transaction immediately. So we expect that will happen in next one month time.”

“We will be doing another PPA with AEML, where regulatory approval has already been achieved, so we will be doing that PPA.”

“As far as 750 megawatts is concerned, that's already approved by the regulator. All process already done. We are in the process of executing that, expect that to happen over the course of next 3 to 4 weeks.”

“And there could also be an opportunity of acquisition in the market on top of what we get here through bidding.”

“See, there are two companies, MEGPTCL and ATIL, where we have decided to go to the new tax regime and recognize the past paid MAT assets in the books of account which are close to around INR1,500 crores.”

“Since these are Section 62 assets, and therefore corresponding adjustable recoverable liability has also been created and to that extent, there is no impact on P&L.”

“Yes, obviously, the deployment in the first half was lower than even our expectation and those reasons were mainly extraneous”

“Halvad is stacked up because of the ROW problem. And we expect resolution very soon.”

“We have started utilizing drone to avoid ROW problem for stringing. So we expect that to complete in this year only.”

“Currently, they have not been able to schedule corresponding to the curtailment that is being enforced. So our responsibility starts the moment power is scheduled.”

“those reasons are obviously resistance from people for a smart meter, where we have now ramped up our campaign to educate those customers.”

“Financially as well, we delivered another strong quarter with total income growing over 50 percentage. EBITDA also increasing close to 67 percentage and PAT growing 145 percentage.”

“So there is no tie-up with Adani Power as of now. But out of the total capacity, around 700 megawatts is from third party as well, 650 megawatts.”

“now in S&P Global Electric Utility category, we are number one globally, getting 90 out of 100 rank, where industry average is about 40”

“So it will be having all kinds of sources, including thermal, PSP, renewables, BESS and whatnot.”

“So obviously, we connect with them as well for these capacities, and you would see some of those happening in the near future, but purely on the market benchmarks, where the value is available for both the entities, if at all those transactions happen.”