Notes to Accounts of Adani Power Ltd.

Mar 31, 2025

v Provisions, Contingent Liabilities and
Contingent Assets

The amount recognised as a provision is the
best estimate of the consideration required to
settle the present obligation at the end of the
reporting period, taking into account the risks
and uncertainties surrounding the obligation.

A contingent liability is a possible obligation that
arises from past events whose existence will be
confirmed by the occurrence or non-occurrence
of one or more uncertain future events beyond
the control of the Company or a present
obligation that is not recognised because it is
not probable that an outflow of resources will
be required to settle the obligation or a reliable
estimate of amount cannot be made.

Contingent liabilities may arise from litigation,
taxation and other claims against the Company.
The contingent liabilities are disclosed where it
is management''s assessment that the outcome
of any litigation and other claims against the
Company is uncertain or cannot be reliably
quantified, unless the likelihood of an adverse
outcome is remote.

Contingent assets are not recognised but
are disclosed in the notes where an inflow of
economic benefits is probable.

Provisions, contingent liabilities and contingent
assets are reviewed at each reporting date.

A contingent liability recognised in a
business combination is initially measured

at its fair value. Subsequently, it is
remeasured as per provisions of Ind AS 103.

w Impairment of non-financial assets

The Company assesses, at each reporting date
whether there is any indication that assets may
be impaired. If any such indication exists, the
Company estimates the asset''s recoverable
amount. An asset''s recoverable amount is the
higher of an asset''s or cash-generating unit
("CGU") is fair value less costs to disposal and
its value in use.

In assessing value in use, the estimated future
cash flows are discounted to their present
values using a pre-tax discount rate that
reflects current market assessment of the
time value of money and the risks specific to
the asset. In determining fair value less cost of
disposal, recent market transactions are taken
into account. If no such transactions can be
identified, an appropriate valuation model is
used. These calculations are corroborated by
valuation multiples, quoted share prices for
publicly traded companies or other available
fair value indicators.

The Company enters into transaction with
suppliers that involves prepayment in
conjunction with advances for goods and
services wherein the Company assesses at
each reporting date whether goods against
the advance is recoverable and if there is any
indication, the asset may be provided.

Goodwill is tested for impairment annually as
at March 31 and when circumstances indicate
that the carrying value may be impaired.

Impairment is determined for goodwill by
assessing the recoverable amount of each CGU
(or group of CGUs) to which the goodwill relates.

The Company bases its impairment calculation
on detailed budget and forecast calculations,
which are prepared separately for each of
the Company''s cash-generating unit to which
the individual assets are allocated. For longer
periods, a long-term growth rate is calculated
and applied to project future cash flows.
To estimate cash flow projections beyond
periods covered by the most recent budget /

forecasts, the Company estimates cash flow
projections based on estimated growth rate.

If the recoverable amount of an asset (or
cash-generating unit) is estimated to be less
than its carrying amount, the carrying amount
of the asset (or cash-generating unit) is reduced
to its recoverable amount. An impairment loss
is recognised immediately in the statement of
profit and loss.

x Mine Development Expenditure

i) Expenditure incurred towards coal mines
under construction are capitalised to
''Coal Mines under construction'' as long as
they meet the capitalisation criteria and
is presented as capital work-in-progress.
Upon commencement of production stage,
the ''Coal Mines under construction'' is
capitalised and presented as ''Mining Rights''
under Intangible Assets except in situation
when the Company decide to surrender its
rights in mine and amount is classified as
recoverable from Nominated Authorities.

ii) Mining Rights are amortised using unit-of-
production method on the basis of proven
and probable reserves on commencement
of commercial production.

Mine Closure Obligations

The liability for meeting the mine closure has
been estimated based on the mine closure plan
in the proportion of total area exploited to the
total area of the mine as a whole. These costs
are updated annually during the life of the mine
to reflect the developments in mining activities.
The mine closure obligations are included in
Mining Rights under Intangible assets and
amortised based on unit of production method.

y Amended standards adopted by the Company

The accounting policies adopted in the
preparation of the financial statements
are consistent with those followed in the
preparation of the Company''s annual financial
statements for the year ended March 31, 2024,
except for amendments to the existing Indian
Accounting Standards (Ind AS). The Company
has not early adopted any other standard,

interpretation or amendment that has been
issued but is not yet effective.

The Ministry of Corporate Affairs notified
new standards or amendment to existing
standards under Companies (Indian Accounting
Standards) Rules as issued from time to time.

The Company applied following amendments
for the first-time during the current year which
are effective from April 1, 2024:

i) Introduction of Ind AS 117

MCA notified Ind AS 117, a comprehensive
standard that prescribe, recognition,
measurement and disclosure requirements,
to avoid diversities in practice for
accounting insurance contracts and
it applies to all companies i.e., to all
"insurance contracts" regardless of the
issuer. However, Ind AS 117 is not applicable
to the entities which are insurance
companies registered with IRDAI.

Additionally, amendments have been made
to Ind AS 101, First-time Adoption of Indian
Accounting Standards, Ind AS 103, Business
Combinations, Ind AS 105, Non-current
Assets Held for Sale and Discontinued
Operations, Ind AS 107, Financial Instruments:
Disclosures, Ind AS 109, Financial
Instruments and Ind AS 115, Revenue from
Contracts with Customers to align them with
Ind AS 117. The amendments also introduce
enhanced disclosure requirements,
particularly in Ind AS 107, to provide clarity
regarding financial instruments associated
with insurance contracts.

ii) Amendments to Ind AS 116 -Lease liability
in a sale and leaseback

The amendments require an entity to
recognise lease liability including variable
lease payments which are not linked to
index or a rate in a way it does not result
into gain on Right-of-use asset it retains.

The Company has reviewed the new
pronouncements and based on its evaluation
has determined that these amendments
do not have a significant impact on the
Company''s Financial Statements.

3 Significant accounting judgements,
estimates and assumptions

The preparation of the Company''s financial
statements requires management to make
judgements, estimates and assumptions that affect
the reported amounts of revenues, expenses, assets
and liabilities, and the accompanying disclosures,
and the disclosure of contingent liabilities.
The estimates and assumptions are based on
historical experience and other factors including
expectations of future events that are considered
to be relevant. The estimates and underlying
assumptions are continually evaluated and any
revisions thereto are recognised in the period of
revision and future periods if the revision affects
both the current and future periods. Uncertainties
about these assumptions and estimates could result
in outcomes that require a material adjustment to
the carrying amount of assets or liabilities affected
in future periods.

Key Sources of estimation uncertainty :

The key assumptions concerning the future and
other key sources of estimation uncertainty at the
reporting date that have a significant risk of causing
a material adjustment to the carrying amounts
of assets and liabilities within the next financial
year are described below. Existing circumstances
and assumptions about future developments may
change due to market changes or circumstances
arising that are beyond the control of the Company.
Such changes are reflected in the assumptions
when they occur.

i) Useful lives of Property, Plant and Equipment

In case of the power plant equipment, where
the life of the assets has been estimated at 25
or 40 years based on technical assessment,
taking into account the estimated usage of the
asset and the current operating condition of
the asset, depreciation on the same is provided
based on the useful life of each component
based on technical assessment, if materially
different from that of the main asset.

ii) Fair value measurement of financial
instruments

In estimating the fair value of financial assets
and financial liabilities, the Company uses

market observable data to the extent available.
Where such Level 1 inputs are not available,
the Company establishes appropriate valuation
techniques and inputs to the model. The inputs
to these models are taken from observable
markets where possible, but where this is not
feasible, a degree of judgement is required in
establishing fair values. Judgements include
considerations of inputs such as liquidity
risk, credit risk and volatility. Changes in
assumptions about these factors could affect
the reported fair value of financial instruments.
Information about the valuation techniques
and inputs used in determining the fair
value of various assets and liabilities are
disclosed in note 55.

iii) Defined benefit plans (gratuity benefits)

The cost of the defined benefit gratuity plan
and the present value of the gratuity obligation
are determined using actuarial valuations.
An actuarial valuation involves making various
assumptions that may differ from actual
developments in the future. These include
the determination of the discount rate, future
salary increases and mortality rates. Due to the
complexities involved in the valuation and its
long-term nature, a defined benefit obligation
is highly sensitive to changes in these
assumptions. All assumptions are reviewed
at each reporting date. Information about
the various estimates and assumptions made
in determining the present value of defined
benefit obligations are disclosed in note 59.

iv) Impairment of non financial assets

For determining whether Property, Plant and
Equipment, intangible asset and goodwill
are impaired, it requires an estimation of the
value in use of the relevant cash generating
units. The value in use calculation is based
on a Discounted Cash Flow model over the
estimated useful life of the Power Plants.
Further, the cash flow projections are based on
estimates and assumptions relating to tariff,
change in law claims, operational performance
of the Plants, life extension plans, market prices
of coal and other fuels, exchange variations,
inflation, terminal value etc. which are

considered reasonable by the Management.
(Refer note 50).

v) Impairment of Investments made / Loans given
to subsidiaries

In case of investments made and loans
given by the Company to its subsidiaries,
the Management assesses whether there is
any indication of impairment in the value of
investments and loans. The carrying amount
is compared with the present value of future
net cash flow of the subsidiaries based on its
business model or estimates is made of the
fair value of the identified assets held by the
subsidiaries, as applicable.

vi) Taxes

Significant management judgement is required
to determine the amount of deferred tax assets
that can be recognised, based upon the likely
timing and the level of future taxable profits
together with future tax planning strategies,
including estimates of temporary differences
reversing on account of available benefits under
the Income Tax Act, 1961. (Also refer note 26).

Deferred tax assets are recognised for unused
tax losses to the extent that it is probable that
taxable profit will be available against which the
losses can be utilised. Significant management
judgement is required to determine the amount
of deferred tax assets that can be recognised,
based upon the likely timing and the level of
future taxable profits together with future tax
planning strategies.

vii) Income / Revenue

Revenue from Operations on account of Force
Majeure / Change in Law events or Interest
Income on account of carrying cost in terms of
Power Purchase Agreements / Supplemental
Power Purchase Agreements with various
State Power Distribution Utilities is accounted
for / recognised by the Company based on best
management estimates following principles
of prudence, as per the orders / reports of
Regulatory Authorities, the Hon''ble Supreme
Court of India ("Hon''ble Supreme Court”) and the
outstanding receivables thereof in the books of
account have been adjusted / may be subject

to adjustments on account of consequential
orders of the respective Regulatory Authorities,
the Hon''ble Supreme Court and final closure
of the matters with the respective Discoms.
(Refer note 34 and 35).

In certain cases, the Company has claimed
compensation from the Discoms based on
management''s interpretation of the regulatory
orders and various technical parameters
including provisional methodology for coal cost
recovery, which are subject to final verification
and confirmation by the respective Discoms,
and hence, in these cases, the revenues have
been recognised during various financial
years / periods, on a prudent basis with
conservative attributable parameters in the
books. The necessary true-up adjustments
for revenue claims (including carrying cost /
delayed payment surcharge) are made in the
books on final acknowledgement / regulatory
orders / settlement of matters with respective
Discoms or eventual recovery of the claims,
whichever is earlier.

In case of Udupi TPP, Revenue from sale of power
and other income is recognised upon judgement
by the management for recoverability of the
claims based on the relevant contractual terms
/ provisional tariff rates as provided by the
regulator / governing tariff regulations, to the
extent applicable, having regard to mechanism
provided in applicable tariff regulations and
the bilateral arrangement with the customers,
which may be subject to adjustments in
future years, on receipt of final orders of the
respective Regulatory Authorities or final
closure of the matter with the customers.
(Refer note 34 and 35).

viii) Classification of Trade Receivables

In cases of circumstances / matters where there
are pending litigations on regulatory matters
/ change in law claims, the classification of
disputed / undisputed trade receivables is
a matter of judgement based on facts and
circumstances. The Company has evaluated
the fact pattern and circumstances including
ongoing discussions with the Discoms for
each such regulatory matter pending to be
adjudicated by the relevant authority.

In cases, where rule of law and principles
of economic restitution have already been
established by APTEL / Supreme Court in
similar matters, the revenues are recognised
on prudent and conservative technical
parameters, significant amounts have been
recovered already and the management does
not perceive any downside risks in future
on final adjudication by Supreme Court and
settlement of matter with Discoms, the related
receivables are classified as undisputed.

In cases, where discussions with Discoms have
not made reasonable progress and matters are
sub-judice, the related receivables are classified
as disputed, even though the management is
reasonably confident of recovering the dues in
full, backed by the regulatory orders in favour
of the Company.

ix) Mega Power Status

One of the thermal power plant has availed
exemption of customs / excise duty in
pursuance to terms of the provisional mega
power policy as notified by the Government
of India. The Company has not recognised for
the reduction in cost to property, plant and
equipment as a grant, pending compliance
of terms of Mega Power Status which
needs to be attained within 156 months, i.e.
September, 2022, from the date of import of

plant and equipment as per approval by the
Ministry of Power ("MoP"), Government of
India vide amendment dated April 07, 2022.
Ministry of Power vide its letter dt. December 19,
2024, has granted proportional Final Mega
Power Certificate to the extent of 71% of the
installed capacity which is tied up under long
term Power Purchase Agreements. For the
balance untied installed capacity of 29%, the
Management is confident to receive the
extension to comply with the conditions for
balance capacity.

x) Applicability of Appendix D - Service
Concession Arrangements of Ind AS 115
Revenue from contracts with customers

The Company has entered into PPAs with
various state DISCOMs for supplying power
for a period upto 25 years from its thermal
power plants (TPP). These TPPs have been
set up on Build-Own-Operate basis with no
transfer of assets at the end of the term of
PPA. The management is of the view that PPA
does not cover the entire life of these power
plants. Further, the DISCOMs does not control
any significant residual interest and does not
restrict the Company''s practical ability to
sell or pledge these assets. Accordingly, the
management is of the view that Appendix D to
Ind AS 115 is not applicable to the Company.

4.1 Property, Plant and Equipment and Capital Work-In-Progress (Refer Note 50) (Contd...)

Notes :

i) For charge created on aforesaid assets, Refer note 22 and 28.

ii) I n case of Mundra thermal power plant ("Mundra TPP") and Godda thermal power plant ("Godda TPP"), the Company has
availed tax and duty benefit in the nature of exemptions from Custom Duty, Excise Duty, Service Tax, VAT and CST on its
project procurements. The said benefits were availed by virtue of SEZ approval granted to the Power Plant of Mundra in
December 2006 and Jharkhand in September 2019, in terms of the provisions of the Special Economic Zones Act, 2005
(hereinafter referred to as the ''SEZ Act'') and the Special Economic Zone Rules, 2006 which entitled the Power Plant to procure
goods and services without payment of taxes and duties as referred above.

The Company in respect of Tiroda thermal power plants ("Tiroda TPP"), Kawai thermal power plants ("Kawai TPP") and Godda
thermal power plant ("Godda TPP") have availed tax and duty benefit in the nature of exemptions from Custom Duty and
Excise Duty on its project procurements. The said benefits were availed by virtue of power plants being designated as Mega
Power Project in accordance with the policy guidelines issued in this regard by the Ministry of Power, Government of India
which entitled Tiroda TPP, Kawai TPP and Godda TPP to procure goods and services without payment of taxes and duties as
referred above.

Since, the procurement of goods and services during the project period were done by availing the exemption from payment
of aforesaid taxes and duties, the amount capitalised for these power plants as on the capitalisation date, is cost of property,
plant and equipment (PPE) net off tax and duty benefit availed. However, on transition to IND AS w.e.f. April 01, 2015, in
compliance with Ind AS 20 - "Government Grant”, the value of PPE of Mundra TPP, Kawai TPP, Tiroda TPP and Godda TPP have
been grossed up by the amount of tax and duty benefit / credit availed after considering such benefits as government grant.
The amount of said government grant (net off accumulated depreciation) as on the transition date has been added to the value
of PPE with corresponding credit made to the deferred government grant. The amount of grant is amortised over useful life of
PPE along with depreciation on PPE. The amount of deferred liability is amortised over the useful life of the PPE with credit to
statement of profit and loss classified under the head "Other Income”.

The Company has Government grant balance (net of amortisation) of '' 6,098.91 crore till March 31, 2025 (Previous year
'' 6,499.22 crore).

iii) Cost of Property Plant and Equipment includes carrying value recognised as deemed cost as of April 01, 2015, measured as per
previous GAAP and cost of subsequent additions.

iv) In case of acquisition of Adani Dahanu Thermal Power Station ("ADTPS"), the cost of the assets acquired have been allocated
to the individual identifiable assets on the basis of their relative fair values on the date of acquisition.

v) Break up of Capital Work-in-Progress is as below :

Notes:

i) The capital assets in the nature of Railway Siding for Raigarh TPP forming part of Capital Work-In¬
Progress have become overdue compared to the original completion plan. The Company is in the
process of acquiring additional land for completing the asset under development. The Management
expects to acquire additional land from the government authorities and has already obtained in
principle approval from railway authorities for the said project. Post acquisition of the additional
land, the management will update the estimate and assumption of the original completion plan of
the assets. Further, given that demand of power is expected to be higher compared with generation
capacity available in the industry, the development of asset forming part of Capital Work-In¬
Progress will have economic viability for the Company. During the previous year, the company had
paid advance of '' 37.60 crore year to CSIDC for allotment of land. Further, during the current year,
the company has obtained final approval of South East Central Railways to carry out development
activities for the siding project and started development activities.

ii) The capital assets in the nature of Mining Project forms part of Capital Work-In-Progress have
become overdue compared to the original completion plan. The Company is in the process of
obtaining mandatory clearances from various regulatory authorities for completing the asset
under development. Post obtaining clearances, the management will update the estimate and
assumption of the original completion plan of the assets.

iii) The Company does not have any project temporarily suspended as at March 31, 2025 and as at
March 31, 2024.

Notes :

i) During the year, the Company has invested '' 46.00 crore (Previous year - '' 800.00 crore) in equity
shares of Mahan Energy Limited (MEL). Of the above shares 45,74,70,000 Equity shares (Previous year -
40,85,10,000 Equity shares) have been pledged by the Company as additional security for secured term
loans availed by MEL.

ii) During the year, the Company has been allotted 50,00,000 equity shares of '' 10 each amounting to '' 5
crore by Mirzapur Thermal Energy U.P. Private Limited ("MTEUPL''), a subsidiary of Adani Infra (India) Limited,
on preferential basis resulting in a 99.80 % equity stake in MTEUPL. Further, the company has acquired
remaining equity stake i.e., 10,000 equity shares of '' 10 each amounting to '' 0.01 crore in MTEUPL from
Adani Infra (India) Limited and MTEUPL became wholly owned subsidiary of the Company w.e.f July 23,
2024. Additionally, the Company has invested in 34,08,10,000 equity shares of '' 10 each amounting to
'' 340.81 crore.

iii) During the year, the Company has invested '' 246.00 crore (Previous Year '' 118.70 crore) into OCDs of its
subsidiary MEL. These OCDs shall be optionally converted into equity share capital at fair value at the
discretion of issuer or will be redeemed in full on completion of 10 years and 20 years respectively from the
date of allotment. The fair value as at March 31, 2025 is '' 246.39 crore (Previous year '' 54.31 crore).

iv) During the year, the Company has invested '' 3.45 crore (Previous year '' 6.35 crore) into OCDs of its wholly
owned subsidiary Chandenvalle Infra Park Limited for the purpose of acquiring land on lease. These OCDs
shall be optionally converted into equity shares in the ratio of 1 : 1 or will be redeemed at the discretion of
issuer at any time within 10 years from the date of issue.

viii) Adani Power Global Pte Ltd and Adani Power Middle East Ltd have been incorporated as Wholly Owned
Subsidiaries of the Company on June 14, 2024 and August 16, 2024 respectively.

ix) Investments at FVTOCI reflect investment in unquoted equity instruments. These equity shares are
designated as FVTOCI as they are not held for trading purpose, thus disclosing their fair value change in
profit and loss will not reflect the purpose of holding.

x) Investment in Unsecured Perpetual Securities ("Securities”), which are perpetual in nature with no maturity
or redemption and are callable only at the option of the issuer. The distribution on these Securities are
cumulative at 9% p.a. and at the discretion of the issuer. As these securities are perpetual in nature, ranked
senior only to the Equity Share Capital of the issuer and the issuer does not have any redemption obligation,
these are considered to be in the nature of equity instruments.

xi) On June 07, 2022, the Company had acquired 100% equity shares of Innovant Buildwell Private Limited
(Formerly known as Eternus Real Estate Private Limited) ("IBPL'') for a consideration of '' 329.30 crore and
it also settled the liability of '' 320.70 crore respectively towards the existing debt of IBPL. Hence, IBPL
became wholly owned subsidiary of the Company w.e.f. June 07, 2022. IBPL hold land parcel at Navi Mumbai.
Further, transaction cost of '' 63.34 crore was added to investment in IBPL. During the previous year, the
Company has disposed off its investment in IBPL. Also refer note 34(vii).

xii) The Company, having effective operational control over operations of MPGL, has accounted for the same
as a subsidiary under Ind AS 110 w.e.f August 30, 2024 and residual stake of 51% has been reflected as
non-controlling interest. There was no change in fair value of Investment in equity instrument of Associate
Company on account of change in control.

xiii) During the year, the Company has invested '' 1 crore in equity shares of Korba Power Limited (KPL). Of the
above shares 5,10,000 Equity shares have been pledged by the Company as additional security for secured
term loans availed by KPL.

xiv) During the year, the Company has been allotted 8,00,00,000 equity shares of '' 10 each at '' 24.90 per
equity share (as per valuation report received from a registered valuer) by Anuppur Thermal Energy (MP)
Private Limited ("ATEMPL''), a subsidiary of Adani Infra (India) Limited, on preferential basis resulting in a
94.40 % equity stake in ATEMPL. Consequent to the allotment of equity shares, ATEMPL has become a

subsidiary of the Company. Subsequently, the Company has acquired remaining equity stake in ATEMPL
from Adani Infra (India) Limited and ATEMPL became wholly owned subsidiary of the Company with effect
from October 03, 2024. ATEMPL is engaged in infrastructure development activities and is yet to commence
commercial activities.

xv) The Company has acquired 100% equity shares of Orissa Thermal Energy Limited ("OTEL'') (formerly known
as Padmaprabhu Commodity Trading Private Limited) for a consideration of '' 0.01 crore on September 27,
2024. OTEL holds land parcel at Cuttack, Orissa which Company proposes to develop for Infrastructure
facilities / capacity augmentation of the Company.

xvi) The Company has investment in OCDs of its wholly owned subsidiaries, Alcedo Infra Park Limited. These
OCDs shall be optionally converted into equity shares in the ratio of 1 : 1 or will be redeemed at the discretion
of issuer at any time within 10 years from the date of issue.

Notes:

i) For charges created on Trade Receivables, Refer note 22 and 28.

ii) Credit concentration

As at March 31, 2025, out of the total trade receivables 95.52% (Previous year - 96.46%) pertains to dues
from State Electricity Distribution Companies and Bangladesh Power Development Board ("BPDB")) under
contractual agreement through Power Purchase Agreements ("PPAs”) / Supplemental Power Purchase
Agreement (SPPAs), claims under Force Majeure / Change in Law matters / Contractual Right, Carrying Cost
thereof etc (including significant amount pertaining to dues from BPDB), 4.28% (Previous year - 3.54%)
from related parties (refer note 67) and remaining receivables from others. Also refer note 3(viii) relating to
significant accounting judgements, estimates and assumptions for income / revenue recognition.

iii) Expected Credit Loss (ECL)

The Company is having majority of receivables against power supply from State Electricity Distribution
Companies ("Discoms") which are Government undertakings and also includes dues from Bangladesh
Power Development Board (BPDB) under contractual agreement through Power Purchase Agreements
("PPAs”).

The Company is regularly receiving its normal power sale dues from Discom and BPDB. In case of regulatory
revenue claims, the same is recognised on conservative basis based on best management estimates following
principles of prudence, as per the binding regulatory orders. In case of delayed payments apart from carrying
cost on settlement of claims, the Company is entitled to receive interest as per the terms of PPAs / SPPAs.
Hence they are secured from credit losses in the future.

Receivables are secured by letter of credit amounting to '' 3,777.84 crore (Previous year '' 3,732.24 crore).
The Company holds sovereign guarantee from BPDB for the entire receivables under Power purchase
agreement.

iv) Also refer note 34 for disclosures related to revenue and note 53 for ageing of receivables.

v) The fair value of Trade receivables are approximately the carrying value presented (Refer note 55).

* For transaction with related parties, Refer note 67

Nature and purpose of reserves :

i) Capital Reserve is not a free reserve and can not be utilised for distribution of dividend.

Capital Reserve includes :

(a) Amount of '' 359.80 crore created due to amalgamation of Growmore Trade and Investment Private
Limited with the Company in the financial year 2012-13. As per the order of the Hon''ble High Court of
Gujarat, the capital reserve created on amalgamation shall be treated as free reserve of the Company.

(b) Amount of '' 1,029.60 crore created on account of acquisition of Raipur TPP and Raigarh TPP during
the financial year 2019-20. (including '' 344.49 crore pertaining to equity component of 0.01% CRPS).

ii) Securities premium represents the premium received on issue of shares over and above the face
value of equity shares. The reserve is available for utilisation in accordance with the provisions of the
Companies Act, 2013.

iii) General reserve of '' 9.04 crore was created in the FY 2015-16 due to merger of solar power undertaking
acquired from Adani Enterprises Limited, as per the scheme of arrangement approved by order of the Hon''ble
High Court of Gujarat.

iv) Deemed equity contribution represents the difference between the fair value of financial instruments and
consideration paid / payable as promoters'' contribution.

v) During the current financial year, the Company has called up the uncalled amount of NCRPS and subsequently
redeemed the same in full. The difference between the equity component and consideration thereof is
recognised in deemed equity.

vi) The cash flow hedge reserve represents the cumulative gains or losses arising on changes in fair value of
designated effective portion of hedging instruments entered into for cash flow hedges. The same will be
reclassified to profit or loss only when the hedge transactions affects the profit or loss.

vii) Retained earnings represent the amount that can be distributed as dividend considering the requirements
of the Companies Act, 2013. During the current financial year, no dividends are distributed to the owners
by the Company.

22 Non-current Borrowings (Contd...)

Notes:

1. The security details for the borrowing balances:

a. Security Details as at March 31, 2025

i) Rupee Term Loans from Banks aggregating to '' 12,540.00 crore and Rupee Term Loans from
Financial Institutions aggregating to '' 6,175.00 crore are secured by first mortgage, deed of
hypothecation and charge on the identified leasehold and freehold project land (as applicable)
at Mundra TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP, Dahanu TPP and
Solar Bitta plant, immovable and movable assets, both present and future assets of the Company,
operating cash flows including book debts, receivables, permitted investments, advances,
intangible assets etc. except "investments in equity share capital, unsecured loans, quasi equity
etc., Godda TPP and certain non-project land", on paripassu basis with the lenders of the Company.

Term loans from lenders carried annual weighted average interest rate of 8.85% p.a. and are
repayable over a period of next 13 years in quarterly installments from Financial Year 2025-26 to
Financial Year 2037-38.

Security creation as per master facility agreement dated March 22, 2024 has been completed
during the Financial Year 2024-25, which was in process during Financial Year 2023-24.

ii) I n case of Godda TPP, Borrowings from Financial Institutions aggregating to '' 7,374.56 crore
are secured by first charge on all present and future immovable, movable assets of the Godda
TPP. Further, these borrowings are secured by DSRA bank guarantees issued on the limits of the
subsidiary. It carried annual weighted average interest rate of 11.50% p.a. and are repayable over
a period of next 14 years in monthly installments from Financial Year 2025-26 to Financial Year
2038-39. Further during the year, Godda TPP has repaid trade credits from Bank aggregating to
'' 1,139.30 crore against which '' 853.02 crore has been disbursed by Rural Electrical Corporation
Limited (REC) and Power Finance Corporation Limited (PFC) out of their letter of comfort.

b. Security Details as at March 31, 2024

i) Rupee Term Loans from Banks aggregating to '' 13,200.00 crore and Rupee Term Loans from
Financial Institutions aggregating to '' 6,500.00 crore are secured by first mortgage, deed of
hypothecation and charge on the identified leasehold and freehold project land (as applicable)
at Mundra TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP and Solar Bitta plant,
immovable and movable assets, both present and future assets of the Company, operating cash
flows including book debts, receivables, permitted investments, advances, intangible assets
etc. except "investments in equity share capital, unsecured loans, quasi equity etc. and certain
non-project land", on paripassu basis with the lenders of the Company.

Term loan from banks in terms of master facility agreement carried annual weighted average
interest rate based on respective lenders benchmark rate applicable spread, equivalent to 9.54%
p.a. and are repayable over a period of next 14 years in quarterly installments from Financial Year
2024-25 to Financial Year 2037-38.

Consequent to the enhancement in the credit rating of the Company to AA-, which followed the
amalgamation of its six subsidiaries with the Company, the Company has consolidated the term
loan facilities into a single long-term Rupee term loan facility of '' 19,700 crore under a consortium
financing arrangement with lead banker, State Bank of India.

ii) In case of Godda TPP, Borrowings from Financial Institutions aggregating to '' 7,080.66 crore are
secured by first charge on all present and future immovable, movable assets of the Godda TPP.

a. During the financial year 2021-22, the erstwhile wholly owned subsidiary of the Company, Adani Power
(Mundra) Limited (now amalgamated with the Company), had issued 5,00,00,000 nos. of upto 5%
Non-cumulative Compulsory Redeemable Preference shares ("NCRPS'''') of '' 100 each amounting to '' 500
crore and had called '' 60 per share amounting to ''300 crore. On account of amalgamation, the Company
cancelled the NCRPS and issued fresh NCRPS on the same terms during the financial year 2022-23.
During the current financial year balance amount of '' 40 per share amounting to '' 200 crore was
called and aggregate called up amount of '' 100 per share amounting to '' 500 crore was fully redeemed
during current financial year 2024-25. The discounted value at March 31, 2025 is '' Nil (Previous year -
'' 66.88 crore).

b. During the financial year 2019-20, the erstwhile wholly owned subsidiary of the Company, Raipur
Energen Limited (now amalgamated with the Company), had issued 4,15,86,207 nos. of 0.01%
Compulsory Redeemable Preference shares (CRPS) of '' 100 each amounting to '' 415.86 crore
which are redeemable in 3 equal annual instalments from FY 2036-37 to FY 2038-39. On account of
amalgamation, the Company cancelled the CRPS and issued fresh CRPS during financial year 2022-23.
Considering CRPS as compound financial instrument, these are accounted for as liability at fair value
of '' 71.37 crore and other equity (under capital reserve) of '' 344.49 crore on initial recognition.
Interest on liability component is accounted for as interest expense, using the effective interest
method. The discounted value at March 31, 2025 is '' 129.37 crore (Previous year '' 117.61 crore).

3. The amount disclosed in security details in note 1 above and repayment schedule in note 2 above are gross
amount excluding adjustments towards upfront fees.

Notes :

a. Security Details as at March 31, 2025

i) Working Capital Demand Loans, Trade Credits, Cash Credits and Customers'' Bills Discounted provided
by Banks (Working Capital Facilities) aggregating to '' 6,710.95 crore are secured by first mortgage,
deed of hypothecation and charge on the identified leasehold and freehold project land at Mundra
TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP, Dahanu TPP and Solar Bitta plant,
immovable and movable assets, both present and future assets of the Company, operating cash flows
including book debts, receivables, permitted investments, advances, intangible assets etc. except
"investments in equity share capital, unsecured loans, quasi equity etc., Godda TPP and certain non¬
project land", on paripassu basis with the lenders of the Company. It carried annual weighted average
interest rate of 5.90% p.a.

ii) In case of Godda TPP, Secured trade credits, Working Capital Demand Loan and Cash Credit aggregating
of '' 2,026.21 crore are secured by first mortgage and charge on the identified immovable, movable and
leasehold land, both present and future assets of the project on paripassu basis with other secured
lenders. It carried annual weighted average interest rate of 8.36% p.a.

b. Security Details as at March 31, 2024

i) Working Capital Demand Loans, Trade Credits, Cash Credits and Customers'' Bills Discounted provided
by Banks (Working Capital Facilities) aggregating to '' 5,775.06 crore are secured by first mortgage,
deed of hypothecation and charge on the identified leasehold and freehold project land at Godda
TPP, Mundra TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP and Solar Bitta plant,
immovable and movable assets, both present and future assets of the Company, operating cash flows
including book debts, receivables, permitted investments, advances, intangible assets etc. except
"investments in equity share capital, unsecured loans, quasi equity etc., Godda TPP and certain non¬
project land", on paripassu basis with the lenders of the Company. It carried annual weighted average
interest rate of 6.27% p.a.

28 Current Borrowings (Contd...)

ii) In case of Godda TPP, Secured trade credits, Working Capital Demand Loan and Cash Credit aggregating
of '' 621.89 crore are secured by first mortgage and charge on the identified immovable, movable and
leasehold land, both present and future assets of the project on paripassu basis with other secured
lenders. It carried annual weighted average interest rate of 8.62% p.a.

c. Working Capital Demand Loans, Cash Credits and Trade Credits are repayable on demand / on their
respective due dates.

d. The Company has sanctioned borrowings / facilities from banks on the basis of security of current assets. The
quarterly returns or statements of current assets filed by the Company with banks and financial institutions
are in agreement with the books of accounts.

Notes:

(i) In respect of Tiroda TPP

(a) In the matter of non-availability of coal due to cancellation of Lohara coal block for the Company''s 800
MW power generation capacity at Tiroda thermal power plant ("Tiroda TPP”), the Hon''ble Supreme Court
vide its order dated April 20, 2023, upheld the orders of Maharashtra Electricity Regulatory Commission
("MERC”) dated September 06, 2019 and APTEL order dated October 05, 2020, granting compensation
(including carrying costs thereon) towards additional coal cost for the use of alternative coal.

(b) Similarly, in a matter relating to shortfall in availability of domestic coal under New Coal Distribution
Policy ("NCDP”) and Scheme of Harnessing and Allocating Koyala (Coal) Transparently in India ("SHAKTI”)
policy of the government, for the Company''s 2500 MW power generation capacity at Tiroda TPP, Hon''ble
Supreme Court vide its orders dated March 03, 2023 and April 20, 2023, upheld the MERC''s orders
dated March 07, 2018 and February 07, 2019, and the APTELs orders dated September 14, 2020 and
September 28, 2020 respectively granting compensation (including carrying costs thereon) towards
additional coal cost for the use of alternative coal.

(c) Based on the various regulatory orders in respect of matters stated in (a) and (b) above, the Company
has continued to recognise tariff compensation claims towards additional coal cost of '' 3,786.20
crore and carrying cost of '' Nil (including '' 366.26 crore pertaining to earlier years) during the year
ended March 31, 2025 and additional coal cost of '' 4,282.15 crore and carrying cost of '' 190.49 crore
(includes tariff compensation claims of '' 290.19 crore (net of credit of '' 115.72 crore) and carrying cost
of '' 190.49 crore pertaining to earlier years) during the year ended March 31, 2024.

Further, during the year ended March 31, 2025, the Company has also accounted late / delayed payment
surcharge ("LPS”) of '' 367.90 crore (Previous year '' 5,870.81 crore) from Maharashtra State Electricity
Distribution Company Limited ("MSEDCL''), under other income, based on Company''s policy relating to
recognition of late / delayed payment surcharge on acknowledgement or receipt, whichever is earlier.

(d) Apart from above, in one of the matters relating to cost factor for computation of tariff compensatory
claim, on account of consumption of alternate coal, based on the claim amount billed by the Company,
MSEDCL filed an appeal with APTEL although the Company has favorable tariff compensation order
from MERC dated September 11,2021 in the matter. APTEL vide its order dated July 09, 2024 dismissed
the appeal filed by MSEDCL. Subsequently, MSEDCL filed an appeal with Hon''ble Supreme Court in the
matter which is pending adjudication. Further, during the year ended March 31, 2024, MSEDCL has also
filed a petition with MERC w.r.t. the interpretation of its earlier order relating to compensation for in¬
land transportation cost factor for transfer of domestic coal.

Currently, the Company has continued to recognise the compensation claim on best estimate basis
pending settlement of petition and does not expect any adverse outcome in the matter.

34 Revenue from Operations (Contd...)

ii) In case of PPAs governed by section 62 of Electricity Act, 2003, the Company recognises revenue from sale
of power based on the most recent tariff order / provisional tariff approved by the respective Regulatory
Commission, as modified by the orders of Appellate Tribunal for Electricity (''APTEL!'') / Regulatory commissions
and necessary provisions / adjustment considered on conservative basis. This revenue is recognized having
regard to mechanism provided in applicable tariff regulations and the bilateral arrangements with the
Discoms. Such tariff orders are subject to conclusion of final tariff orders in terms of Multiyear Tariff ("MYT”)
Regulations at the end of respective tariff period.

iii) In respect of Kawai TPP

In the matter relating to shortfall in availability of domestic linkage coal, the Hon''ble Supreme Court vide its
order dated August 31, 2020 has admitted all tariff compensation claims for additional coal costs incurred
for power generation and the Company continues to realise the claim amount towards compensation.
During the previous year, Rajasthan Urja Vikas and IT Services Limited ("RUVITL'') (formerly known as Rajasthan
Urja Vikas Nigam Limited) has filed a fresh petition before Rajasthan Electricity Regulatory Commission
("RERC”) primarily challenging the methodology and operating parameters considered while arriving at the
tariff compensation claim for additional coal cost incurred for power generation by the Company which
had earlier been settled by RUVITL in March, 2022 based on Hon''ble Supreme Court order dated August
31, 2020. The RERC vide its order dated September 01, 2023 dismissed the petition of RUVITL. RUVITL has
now preferred an appeal with APTEL against the ruling of RERC. The Company continues to recognise the
revenue based on the principle as approved in the order passed by the Hon''ble Supreme court.

iv) In respect of Mundra TPP

(a) The Company and Gujarat Urja Vikas Nigam Limited ("GUVNL'') had entered into an additional
Supplemental Power Purchase Agreements ("SPPAs”) dated March 30, 2022 to resolve all pending
matter / dispute relating to Bid 1 and Bid 2 Power Purchase Agreement ("PPA / SPPA”), towards supply of
2434 MW of power and thereby approached CERC to determine the base energy tariff rates for power
sales under Bid 1 & Bid 2 SPPAs, with retrospective effect from October 15, 2018, for further submission
to the Government of Gujarat ("GoG”). CERC vide its order dated June 13, 2022 recommended the
base energy tariff rates for final approval of GoG which is still pending as on reporting date. CERC
order allows the Company and GUVNL to mutually agree on adoption of six monthly or monthly CERC
escalation index to apply over base energy tariff rate as on October 2018 as per the provisions of earlier
SPPA dated December 05, 2018 having impact on determination of subsequent period energy rates.

(b) Pending approval of the base energy tariff rate by GoG and also the mutual agreement between
the Company and GUVNL as regards adoption of monthly / six-monthly CERC escalation index, the
Company has been supplying power to GUVNL based on certain mechanism whereby actual fuel cost
incurred gets pass through in the billing of energy charges, from March 01, 2022 onwards till date
as per understanding with GUVNL for the purpose of additional Supplemental PPA dated March 30,
2022. The Company also realised significant amounts of invoices billed to GUVNL, although there are
certain deductions made by GUVNL which are pending reconciliation / settlement. During the previous
year, the Company received communication from GUVNL seeking refund of '' 1,172.69 crore towards
energy charges on account of adjustment of coal cost in respect of power supplied during October 15,
2018 to March 31, 2023, which was adjusted in the books as a matter of caution, though disputed by
company with GUVNL.

The Company continues to recognise energy charges revenue as per amount billed based on actual
fuel costs since the date of SPPA, pending approval of base energy tariff and agreement between the
Company and GUVNL regarding adoption of method of CERC escalation index, which has impact on the
Company''s energy charges claims, depending on the trend of coal price movement. The escalation index
has positive impact on energy charges as at reporting date but Company continues to invoice energy
charges on actual fuel cost basis. The Company does not expect any adverse outcome in this matter.

34 Revenue from Operations (Contd...)

(c) In respect of the matter relating to shortfall in availability of domestic coal under Fuel Supply Agreement
("FSAs”) with Coal India Limited''s subsidiaries for supply of power against 1424 MW of PPA from
Mundra TPP (reduced to 1200 MW PPA pursuant to the SPPAs dated February 28, 2023) with Haryana
Discoms, the Hon''ble Supreme Court vide its order dated April 20, 2023 upheld the APTELs orders dated
November 3, 2020 and June 30, 2021, allowing the tariff compensation claims (including carrying cost
thereon) relating to NCDP and SHAKTI policy, respectively.

Pursuant to the said orders, the Company has recognised additional tariff compensation claims of
'' 393.23 crore (including carrying cost of '' 135.55 crore) during the previous year, including pertaining
to earlier period on account of realisation of certain additional claims from Haryana Discoms after
initial estimation of claims made by the Company during the year ended March 31, 2023.

Further, during the previous year, the Company has also recognised income towards delayed payment
interest of '' 961.89 crore (including '' 941.85 crore pertaining to earlier period) as other income based
on realisation of such amount from Haryana Discoms based on Company''s policy relating to recognition
of late / delayed payment surcharge.

(d) The Company has claimed compensation for alternate coal cost incurred for supply of power under
1,200 MW of Supplemental Power Purchase Agreement (SPPA) with Haryana Discoms. The Haryana
Discoms have sought certain information to validate such claims. Pending final resolution of the matter,
Haryana Discoms continue to pay 50% of the claims made by the Company from June 2023 till date.
The Company expects a favorable outcome in the matter and has accordingly recognised revenues of
'' 891.04 crore during the year, on best estimate basis, which has been fully realised.

v) Revenue from operations and other income (including amounts disclosed separately elsewhere in other notes)
includes following amounts pertaining to earlier years, based on the orders received from various regulatory
authorities such as MERC / CERC, APTEL, the Hon''ble Supreme Court and reconciliation with Discoms relating
to various claims towards change in law events, carrying cost thereon and delayed payment interest.

vi) For regulatory claims / change in law claims, the management recognises income on conservative parameters,
since the same are under litigation / pending final settlement with Discoms. The differential adjustments
on account of such claims are recognised on resolution of the litigation / final settlement of matter with
Discoms, including carrying cost / late payment surcharge.

vii) During the previous year, the Company had disposed off its investments in the subsidiaries, lnnovant Buildwell
Private Limited ("IBPL”) (formerly known as Eternus Real Estate Private Limited) (acquired on June 07, 2022)
and Aviceda Infra Park Limited ("AIPL''(incorporated on September 05, 2022), by execution of Share Purchase
Agreements with AdaniConnex Private Limited for an aggregate consideration of '' 536.22 crore. The net
income on such sale of investments amounti

---

Mar 31, 2024

i) For charge created on aforesaid assets, refer note 21 and 26.

ii) During the previous year, certain project of '' 33.97 crore were provided for by the Company on account of impairment.

iii) In case of Mundra thermal power plants ("Mundra TPP"), the Company has availed tax and duty benefit in the nature of exemptions from Custom Duty, Excise Duty, Service Tax, VAT and CST on its project procurements. The said benefits were availed by virtue of SEZ approval granted to the Power Plant in December 2006, in terms of the provisions of the Special Economic Zones Act, 2005 (hereinafter referred to as the ''SEZ Act'') and the Special Economic Zone Rules, 2006 which entitled the Power Plant to procure goods and services without payment of taxes and duties as referred above.

The Company in respect of Tiroda thermal power plants ("Tiroda TPP") and Kawai thermal power plants ("Kawai TPP") have availed tax and duty benefit in the nature of exemptions from Custom Duty and Excise Duty on its project procurements. The said benefits were availed by virtue of power plants being designated as Mega Power Project in accordance with the policy guidelines issued in this regard by the Ministry of Power, Government of India which entitled Tiroda TPP and Kawai TPP to procure goods and services without payment of taxes and duties as referred above.

Since, the procurement of goods and services during the project period were done by availing the exemption from payment of aforesaid taxes and duties, the amount capitalised for these power plants as on the capitalisation date, is cost of property, plant and equipment (PPE) net off tax and duty benefit availed. However, on transition to IND AS w.e.f. April 01, 2015, in compliance with Ind AS 20 - "Government Grant”, the value of PPE of Mundra TPP, Kawai TPP and Tiroda TPP have been grossed up by the amount of tax and duty benefit / credit availed after considering such benefits as government grant. The amount of said government grant (net off accumulated depreciation) as on the transition date has been added to the value of PPE with corresponding credit made to the deferred government grant. The amount of grant is amortised over useful life of PPE along with depreciation on PPE. The amount of deferred liability is amortised over the useful life of the PPE with credit to statement of profit and loss classified under the head "Other Income”.

The Company has Government grant balance (net) of '' 4,183.27 crore till March 31, 2024 (Previous year '' 4,487.33 crore).

iv) During the current year, depreciation of '' 3.71 crore (Previous year '' Nil) and finance cost '' 2.95 crore (Previous year '' Nil) relating to qualifying assets have been allocated to Capital Work in Progress. The rate used to determine the amount of borrowing cost eligible for capitalisation is 9.00%.

v) Cost of Property Plant and Equipment includes carrying value recognised as deemed cost as of April 01, 2015, measured as per previous GAAP and cost of subsequent additions.

vii) The Company and its Tiroda TPP, Kawai TPP, Mundra TPP, Raipur TPP, Raigarh TPP and solar bitta plant have obtained land under lease from various parties for a lease period of 5 to 99 years. The Company is restricted from subleasing of certain leasehold land mentioned above.

viii) During the year, the land measuring 590.535 acres at Udupi TPP has been registered as freehold Land based on agreement with The Karnataka Industrial Areas Development Board, which was earlier held under 11 years lease arrangement from The Karnataka Industrial Areas Development Board.

a) The capital assets in the nature of Railway Siding for Raigarh TPP forming part of Capital Work-InProgress have become overdue compared to the original completion plan. The Company is in the process of acquiring additional land for completing the asset under development. The Management expects to acquire additional land from the government authorities and has already obtained in principle approval from railway authorities for the said project. Post acquisition of the additional land, the management will update the estimate and assumption of the original completion plan of the assets. Further, given that demand of power is expected to be higher compared with generation capacity available in the industry, the development of asset forming part of Capital Work-InProgress will have economic viability for the Company. Further, in Current year the company is in advance stage in obtaining final approval of South East Central Railways to carry out development activities for the siding project. Also, the company has paid advance of '' 37.60 crore to CSIDC for allotment of land.

*Subsequent to the year end, all title pertaining to land (Leasehold and freehold) and building for Kawai TPP has been transferred in the name of the Company.

Note:

Gross carrying value includes additional capital costs incurred during the year on the land properties which are pending to be transferred in the Company''s name.

4.2 Goodwill

Goodwill of '' 6.95 crore was recognised on acquisition of Tiroda TPP during the FY 2012-13 on account of amalgamation of Growmore Trade and Investment Private Limited with erstwhile Adani Power Maharashtra Limited (Now amalgamated with the Company) and '' 183.66 crore was recognised upon acquisition of erstwhile Udupi Power Corporation Limited (now amalgamated with the Company) during the FY 2015-16.

i) Of the above shares 243,65,00,000 Equity shares (Previous year - 243,65,00,000 Equity shares) have been pledged by the Company as additional security for secured term loans availed by AP(J)L.

ii) During the year, the Company has invested '' 800.00 crore in equity shares of MEL. Of the above shares 40,85,10,000 Equity shares (Previous year - 5,10,000 Equity shares) have been pledged by the Company as additional security for secured term loans availed by MEL.

iii) During the year, the Company has invested additional '' 195.00 crore (Previous year '' 737.20 crore) into 1,95,00,000 Optionally Convertible Debentures ("OCDs”) of its wholly owned subsidiary, AP(J)L. The OCDs

shall be optionally converted into equity share capital at fair value at the discretion of issuer or will be redeemed in full or part after December 31, 2037. The OCDs have coupon rate of 100 basis points less than interest coupon rate payable to lenders of AP(J)L, w.e.f June 26, 2023 on completion of construction period. The OCDs were initially issued at Zero Coupon. On completion of construction on June 26, 2023, the Company remeasured the fair value of outstanding OCDs on that date and on account of modification of contractual cashflows, the effective interest rate gets revised. The Company derecognised equity contribution by '' 80.08 crore and increased the fair value of outstanding OCDs. The fair value of the OCD as at March 31, 2024 is '' 331.51 crore (Previous year - '' 411.59 crore). Out of the above 21,75,75,900 OCDs (Previous year - 19,80,75,900) have been pledged by the Company as additional security for secured term loans availed by AP(J)L.

iv) During the year ended March 31, 2022, the Company had invested '' 118.70 crore into OCDs of its wholly owned subsidiary MEL. These OCDs shall be optionally converted into equity share capital at fair value at the discretion of issuer or will be redeemed in full on completion of 10 years from the date of allotment. The fair value as at March 31, 2024 is '' 54.31 crore (Previous year '' 50.16 crore).

v) During the year, the Company has invested '' 6.35 crore (Previous year '' 80.66 crore) and '' Nil (Previous year '' 43.91 crore ((out of which '' 2.10 crore redeemed during the previous year)) into Optionally Convertible Debentures ("OCDs”) of its wholly owned subsidiaries, Chandenvalle Infra Park Limited and Alcedo Infra Park Limited respectively for the purpose of acquiring land on lease. These OCDs shall be optionally converted into equity shares in the ratio of 1 : 1 or will be redeemed at the discretion of issuer at any time within 10 years from the date of issue.

vi) During the year, the Company has invested '' 38.75 crore (Previous year - '' 164.13 crore) into OCD of Aviceda Infra Park Limited for the purpose of acquiring land. The OCD were sold along investment in equity shares of Aviceda Indra Park Limited. (refer note 32 (vii))

vii) On June 07, 2022, the Company has acquired 100% equity shares of Innovant Buildwell Private Limited (Formerly known as Eternus Real Estate Private Limited) ("IBPL”) for a consideration of '' 329.30 crore and it also settled the liability of '' 320.70 crore respectively towards the existing debt of IBPL. Hence, IBPL became wholly owned subsidiary of the Company w.e.f. June 07, 2022. IBPL hold land parcel at Navi Mumbai. Further, transaction cost of '' 63.34 crore is added to investment in IBPL. During the current year, the Company has disposed off its investment in IBPL. (refer note 32(vii) for sale transaction)

viii) The investment in Compulsory Convertible Debentures of various subsidiaries shall be mandatorily converted in to equity shares at par in the ratio of 10:1 at any time after the expiry of 5 years but before 20 years from the date of issue i.e. during financial year 2016-17 to 2018-19.

ix) Fair value of OCD and Financial guarantee obligation accounted as deemed investment through equity instruments.

x) Investments at Fair Value Through Other Comprehensive Income (FVTOCI) reflect investment in unquoted equity instruments. These equity shares are designated as FVTOCI as they are not held for trading purpose, thus disclosing their fair value change in profit and loss will not reflect the purpose of holding.

i) During the current year, the Company has recognised deferred tax assets of '' 376.34 crore (net) on its carryforward of unused tax losses and unused tax credits since it has become probable that taxable profit will be available in future periods against which such tax losses / credits can be utilised.

ii) The current tax expense in relation to the Company''s profit for the year is '' Nil on account of utilisation of past unused tax losses / credits.

iii) Unused tax losses of '' 511.31 crore relating to Capital Losses will expire in Assessment Year 2028-29.

i) For charges created on Trade Receivables, refer note 21 and 26.

ii) Credit concentration

As at March 31, 2024, out of the total trade receivables 91.99% (Previous year - 93.53%) pertains to dues from State Electricity Distribution Companies under contractual agreement through Power Purchase Agreements ("PPAs”) / Supplemental Power Purchase Agreement ("SPPAs") including receivables on account of claims under Force Majeure / Change in Law matters, carrying cost thereof etc. Also refer note 3 relating to significant accounting judgements, estimates and assumptions for income / revenue recognition. Also includes 5.73% (Previous year - 4.63 %) from related parties (refer note 64) and remaining receivables from others.

iii) Expected Credit Loss (ECL)

The Company is having majority of receivables against power supply from State Electricity Distribution Companies ("Discoms") which are Government undertakings.

The Company is regularly receiving its normal power sale dues from Discom and in case of regulatory revenue claims, the same is recognised on conservative basis based on best management estimates following principles of prudence, as per the binding regulatory orders. In case of delayed payments apart from carrying cost on settlement of claims, the Company is entitled to receive interest as per the terms of PPAs / SPPAs. Hence they are secured from credit losses in the future.

iv) Trade receivables includes Customers'' bills discounted of '' Nil (Previous year - '' 1,192.50 crore).

v) Also refer note 32 for disclosures related to revenue and note 49 for ageing of receivables.

vi) The fair value of Trade receivables are approximately the carrying value presented (Also refer note 51).

b. Terms / rights attached to equity shares

i) The Company has only one class of equity shares having par value of '' 10 per share. Each holder of equity shares is entitled to one vote per share.

ii) In the event of liquidation of the Company the holders of the equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the share holders.

c. Terms/rights attached to preference shares

i) The preference shares rank ahead of the equity shares in the event of a liquidation.

ii) The terms of the preference shares and segregation into liability and equity portions of these shares are explained in note 21(2).

#During the year, equity shares held by Worldwide Emerging Market Holding Limited has reduced below 5% and hence the disclosure is not applicable for the current year.

$During the previous year, shares held by Emerging Market Investment DMCC was below 5% and hence the disclosure is not applicable for the previous year.

(i) The Company has issued Unsecured Perpetual Securities ("Securities”), which are perpetual in nature with no maturity or redemption and are callable only at the option of the issuer. The distribution on these Securities are cumulative at 9% to 10.67% p.a. and at the discretion of the issuer. As these securities are perpetual in nature and ranked senior only to the Equity Share Capital of the Company and the issuer does not have any redemption obligation, these are considered to be in the nature of equity instruments.

(ii) During the current year, the Company has redeemed Unsecured Perpetual Securities of '' 5,900.00 crore.

Nature and purpose of reserves :

i) (a) Capital Reserve includes '' 359.80 crore created due to amalgamation of Growmore Trade and

Investment Private Limited with the Company in the financial year 2012-13. As per the order of the Hon''ble High Court of Gujarat, the capital reserve created on amalgamation shall be treated as free reserve of the Company.

(b) Capital reserve of '' 1,029.60 crore was created on acquisition of Raipur TPP and Raigarh TPP during the financial year 2019-20.

ii) Securities premium represents the premium received on issue of shares over and above the face value of equity shares. The reserve is available for utilisation in accordance with the provisions of the Companies Act, 2013.

iii) General reserve of '' 9.04 crore was created in the FY 2015-16 due to merger of solar power undertaking acquired from Adani Enterprises Limited, as per the scheme of arrangement approved by order of the Hon''ble High Court of Gujarat.

iv) Deemed equity contribution represents the difference between the fair value of financial instruments and consideration paid / payable as promoters'' contribution.

v) Retained earnings represent the amount that can be distributed as dividend considering the requirements of the Companies Act, 2013. During the year, no dividends are distributed to the equity shareholders by the Company.

vi) During the previous year, the Company in case of Raipur TPP, has written back the outstanding amount of assigned ECB based on a consent letter received from Adani Global DMCC, a related party of the Company for waiver of the same. As the ECB was accounted at fair value on initial recognition, the outstanding portion of debt component of '' 179.17 crore has been accounted as deemed equity contribution.

1. The security details for the borrowing balances:

a. Security Details as at March 31, 2024

Rupee Term Loans from Banks aggregating to '' 13,200.00 crore and Rupee Term Loans from Financial Institutions aggregating to '' 6,500.00 crore are secured by first mortgage, deed of hypothecation and charge on the identified leasehold and freehold project land at Mundra TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP and Solar Bitta plant, immovable and movable assets, both present and future assets of the Company, operating cash flows including book debts, receivables, permitted investments, advances, intangible assets etc. except "investments in equity share capital, unsecured loans, quasi equity etc. and certain non-project land", on paripassu basis with the lenders of the Company.

Term loan from banks in terms of master facility agreement carries interest rate based on respective lenders benchmark rate applicable spread, equivalent to 8.70% p.a.

Consequent to the enhancement in the credit rating of the Company to AA-, which followed the amalgamation of its six subsidiaries with the Company, the Company has consolidated the term loan facilities into a single long-term Rupee term loan facility of '' 19,700 crore under a consortium financing arrangement with lead banker, State Bank of India.

Security Creation is in process as per terms of Master facility agreement dated March 22, 2024.

b. Security Details as at March 31, 2023

Rupee Term Loans from Banks aggregating to '' 15,584.15 crore, Rupee Term Loans from Financial Institutions aggregating to '' 3,319.31 crore, ARCs aggregating to '' 71.92 crore, Foreign Currency Loans from Banks aggregating to '' 763.04 crore and Foreign Currency Loans from Financial Institutions aggregating to '' 506.04 crore carry annual weighted average interest rate of 9.14% p.a. and are secured by first mortgage and charge on the identified immovable and movable and leasehold land, both present and future assets of the Mundra TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP (collectively and individually referred as "Projects") on paripassu basis with the lenders of the respective projects.

Further, for related party transactions refer note 64

a. During the year, the Company has fully paid term loan facilities of '' 20,244.46 crore, outstanding as at March 31, 2023.

b. During the financial year 2021-22, the erstwhile wholly owned subsidiary of the Company, Adani Power (Mundra) Limited (now amalgamated with the Company), had issued 5,00,00,000 nos. of upto 5% Non-cumulative Compulsory Redeemable Preference shares ("NCRPS”) of '' 100 each amounting

to '' 500 crore and has called '' 60 per share amounting to '' 300 crore and balance to be called at discretion of the issuer. On account of amalgamation, the Company cancelled the NCRPS and issued fresh NCRPS on the same terms during the financial year 2022-23.

The instrument is redeemable at any time at the option of the Issuer but not later than 20 years from the date of issue. These NCRPS are separated into liability and recognised at fair value of '' 53.45 crore and equity components of '' 246.55 crore considering the instrument as compound financial instrument on initial recognition. Interest on liability component is recognised as interest expense using the effective interest method. The discounted value as at March 31, 2024 of '' 66.88 crore (Previous year - '' 62.06 crore) are redeemable in Financial Year 2041-42.

c. During the financial year 2019-20, the erstwhile wholly owned subsidiary of the Company, Raipur Energen Limited (now amalgamated with the Company), had issued 4,15,86,207 nos. of 0.01% Compulsory Redeemable Preference shares (CRPS) of '' 100/- each amounting to '' 415.86 crore. On account of amalgamation, the Company cancelled the CRPS and issued fresh CRPS during financial year 2022-23.

Considering CRPS as compound financial instrument, these are accounted for as liability at fair value of '' 71.37 crore and other equity (under capital reserve) of '' 344.49 crore on initial recognition. Interest on liability component is accounted for as interest expense, using the effective interest method. The discounted value as at March 31, 2024 of '' 117.61 crore (Previous year '' 106.89 crore) are redeemable at any time by June 30, 2038.

3. The amount disclosed in security details in note 1 above and repayment schedule in note 2 above are gross amount excluding adjustments towards upfront fees.

i) The fair value of Other Non-current Financial Liabilities are approximately the carrying value presented (Also refer note 51).

ii) Financial guarantees are issued by the Company in respect of borrowings taken by subsidiaries. (refer note 64).

* For transaction with related parties, refer note 64

a. Security Details as at March 31, 2024

Working Capital Demand Loans, Trade Credits, Cash Credits and Customers'' Bills Discounted provided by Banks (Working Capital Facilities) aggregating to '' 5,775.06 crore are secured by first mortgage, deed of hypothecation and charge on the identified leasehold and freehold project land at Mundra TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP and Solar Bitta plant, immovable and movable assets, both present and future assets of the Company, operating cash flows including book debts, receivables, permitted investments, advances, intangible assets etc. except "investments in equity share capital, unsecured loans, quasi equity etc. and certain non-project land", on paripassu basis with the lenders of the Company. It has interest rate ranges between 5.46% p.a. to 8.35% p.a.

b. Security Details as at March 31, 2023

Working Capital Demand Loans, Trade Credits, Cash Credits and Customers'' Bills Discounted provided by Bank (Working Capital Facilities) aggregating to '' 5,671.58 crore carry annual weighted average interest rate of 5.75% p.a. and are secured by first mortgage and charge on the identified immovable and movable, both present and future assets of the Mundra TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP (collectively and individually referred as "Projects") on paripassu basis with the lenders of the respective projects.

i) Trade payables mainly include amount payable to coal suppliers and operation and maintenance vendors in whose case credit period allowed is 0-180 days. The Company usually opens usance letter of credit in favour of the coal suppliers.

ii) The fair value of trade payables are approximately the carrying value presented (Also refer note 51).

*Where due dates not provided, date of transaction is considered.

includes amount payable to MSEDCL for fixed charges towards start-up power arrangement of earlier years at Tiroda TPP which it has already applied for termination. In the matter, APTEL allowed the appeal filed by Tiroda TPP and remanded the matter back to MERC to reexamine the case within the defined framework. Although, on a conservative basis, the Company has provided these claims in the books. However, the management expects the favourable outcome in the matter.

Includes '' 50.87 crore (Previous year '' 50.87 crore) on account of Fair Valuation of contingent liabilities recognised on acquisition of Raipur TPP, '' 1,515.88 crore (Previous year '' 3,046.98 crore) on account of additional cost for procurement of coal based on power supplies obligation, as may be required and '' 47.02 crore (Previous year '' 47.02 crore) towards accrual of demand for matter related to National Green Tribunal ("NGT") (refer note 45).

(i) In respect of Tiroda TPP

(a) In the matter of non-availability of coal due to cancellation of Lohara coal block for the Company''s 800 MW power generation capacity at Tiroda thermal power plant ("Tiroda TPP”), the Hon''ble Supreme Court vide its order dated April 20, 2023, upheld the orders of Maharashtra Electricity Regulatory Commission ("MERC”) dated September 06, 2019 and the Appellate Tribunal for Electricity ("APTEL'') dated October 05, 2020, respectively granting compensation (including carrying costs thereon) towards additional coal cost for the use of alternative coal.

(b) Similarly, in a matter relating to shortfall in availability of domestic coal under New Coal Distribution Policy ("NCDP”) and Scheme of Harnessing and Allocating Koyala (Coal) Transparently in India ("SHAKTI”) policy of the government, for the Company''s 2500 MW power generation capacity at Tiroda TPP, Hon''ble Supreme Court vide its orders dated March 03, 2023 and April 20, 2023, upheld the MERC''s orders dated March 07, 2018 and February 07, 2019, and the APTELs orders dated September 14, 2020 and September 28, 2020 respectively granting compensation (including carrying costs thereon) towards additional coal cost for the use of alternative coal.

(c) Pursuant to the said Hon''ble Supreme Court order, in respect of matters stated in (a) and (b) above, the Company has completed provisional reconciliation of claims from April 2013 to February 2023, with Maharashtra State Electricity Distribution Company Limited ("MSEDCL'') based on various regulatory orders and accordingly, reassessed the compensation claims (including carrying cost thereon) recognised in the books of account since earlier periods and recognised certain additional claims on account of reconciliation / realisation with / from MSEDCL.

The Company has recognised tariff compensation claims towards additional coal cost of '' 4,282.15 crore and carrying cost of '' 190.49 crore during the year ended March 31, 2024 (includes tariff compensation claims of '' 290.19 crore (net of credit of '' 115.72 crore) and carrying cost of '' 190.49 crore pertaining to earlier years) after initial estimation of claims made by the Company during the year ended March 31, 2023.

Further, during the year ended March 31, 2024, the Company has also accounted late / delayed payment surcharge ("LPS”) of '' 5,870.81 crore from MSEDCL, disclosed as other income, based on Company''s policy relating to recognition of late/delayed payment surcharge on acknowledgement or receipt whichever is earlier.

(d) Apart from above, in one of the matter relating to cost factor for computation of tariff compensatory claim, on account of consumption of alternate coal, based on the claim amount billed by the Company, MSEDCL is in appeal with APTEL although the Company has favorable tariff compensation order from MERC dated September 11, 2021 in the matter. Further, during the year ended March 31, 2024, MSEDCL

has also filed a petition with MERC w.r.t. the interpretation of its earlier order relating to compensation for in-land transportation cost factor for transfer of domestic coal. During the year ended March 31, 2024, the Company has recognised additional tariff compensation claim of '' 1,239.95 crore, carrying cost of '' 303.18 crore and late payment surcharge of '' 709.04 crore (including recognition of tariff compensation claim of '' 1,364.44 crore, carrying cost '' 303.18 crore and late payment surcharge of '' 709.04 crore pertaining to prior years) on account of acknowledgement / realisation of claims in the matter from MSEDCL. The management does not expect any adverse impact of the matter. Currently, the Company has recognised the compensation claim in the matter on the best estimate basis pending settlement of appeal.

ii) In respect of Udupi TPP

For power supplied from Udupi thermal power plant ("Udupi TPP”), the Company raises invoices on its customers ("Karnataka Discoms”) based on the most recent tariff order / provisional tariff approved by the Central Electricity Regulatory Commission ("CERC”), as modified by the orders of Appellate Tribunal for Electricity ("APTEL'') / CERC to the extent applicable, having regard to mechanism provided in applicable tariff regulations and the bilateral arrangements with the Discom. Such tariff order is subject to conclusion of final tariff order in terms of Multiyear Tariff ("MYT”) Regulations at end of tariff period of every 5 years. During the year, the CERC has issued tariff order dated January 04, 2024 in respect of MYT period 201924 and true up order in respect of MYT period 2014-19. Accordingly, the Company has revised the revenue recognition, reversed the revenue of '' 16.81 crore for the year ended March 31, 2024.

iii) In respect of Kawai TPP

In the matter relating to shortfall in availability of domestic linkage coal Hon''ble Supreme Court vide its order dated August 31, 2020 has admitted all tariff compensation claims for additional coal costs incurred for power generation and the Company continues to realise the claim amount towards compensation based on the methodology for change in law compensation approved by Rajasthan Electricity Regulation Commission ("RERC”), APTEL and the Hon''ble Supreme Court. During the year ended March 31, 2022, the Company had recognised additional tariff compensation claims on account of realisation of '' 5,996.44 crore from Discoms and continued to recognise the tariff compensation claims based on the methodology upheld by the Hon''ble Supreme court vide aforesaid order during the subsequent period till date and it has been able to realise such claims from Discoms.

During the year ended March 31, 2024, Rajasthan Urja Vikas and IT Services Limited ("RUVITL”) (formerly known as Rajasthan Urja Vikas Nigam Limited) had filed a fresh petition before RERC primarily challenging the methodology and operating parameters considered while arriving at the tariff compensation claim for additional coal cost incurred for power generation by the Company which had earlier been settled by RUVITL in March, 2022 based on Hon''ble Supreme Court order dated August 31, 2020. The RERC vide its order dated September 01, 2023 dismissed the petition of RUVITL and giving RUVITL the liberty to raise the issue before appropriate legal forum in terms of order passed by Hon''ble Supreme Court dated April 19, 2022 in the contempt petition. Subsequent to the order of RERC, RUVITL has preferred an appeal with APTEL against the ruling of RERC. Pending conclusion of the matter with APTEL, the Company continues to recognise the revenue based on the principle as approved in the order passed by the Hon''ble Supreme Court.

iv) In respect of Mundra TPP

(a) The Company and Gujarat Urja Vikas Nigam Limited ("GUVNL'') had entered into an additional Supplemental Power Purchase Agreements ("SPPAs”) dated March 30, 2022 to resolve all pending matter / dispute relating to Bid 1 and Bid 2 Power Purchase Agreement ("PPA / SPPA”), towards supply of 2434 MW of power and thereby approached CERC to determine the base energy tariff rates for power sales under Bid 1 & Bid 2 SPPAs, with retrospective effect from October 15, 2018, for further submission to the Government of Gujarat ("GoG”). CERC vide its order dated June 13, 2022 recommended the

base energy tariff rates for final approval of GoG which is still pending as on reporting date. CERC order allows the Company and GUVNL to mutually agree on adoption of six monthly or monthly CERC escalation index to apply over base energy tariff rate as on October 2018 as per the provisions of earlier SPPA dated December 05, 2018 having impact on determination of subsequent period energy rates.

(b) Pending approval of the base energy tariff rate by GoG and also the mutual agreement between the Company and GUVNL as regards adoption of monthly / six-monthly CERC escalation index, the Company has been supplying power to GUVNL based on certain mechanism whereby actual fuel cost incurred gets pass through in the billing of energy charges, during March 01, 2022 to March 31, 2024 as per understanding with GUVNL for the purpose of additional Supplemental PPA dated March 30, 2022. The Company also realised significant amounts of invoices billed to GUVNL, although there are certain deductions of '' 406.74 crore (net of provision) made by GUVNL are pending reconciliation / settlement which management expects to be settled after conclusion of base energy tariff rate with GUVNL covering period since 2018. Apart from this, during the year, the Company has received a communication from GUVNL seeking refund of '' 1,172.69 crore from the Company towards energy charges on account of adjustment of coal cost in respect of power supplied during October 15, 2018 to March 31, 2023 considering CERC base rate order of June 13, 2022.

The Company has not accepted the GUVNL claim but based on conservative parameters made one time provisional adjustments in the revenue of '' 1,172.69 crore during the year ended March 31, 2024 (Including reversal of '' 1,222.37 crore pertaining to prior period). The Company continues to recognise energy charges revenue as per amount billed based on actual fuel costs since the date of SPPA, pending approval of base energy tariff and agreement between the Company and GUVNL regarding adoption of method of CERC escalation index. CERC escalation index impact the Company''s energy charges claims, depending on the trend of coal price movement. During the current financial year the escalation index has positive impact on energy charges but Company continues to invoice energy charges on actual fuel cost basis. For the reporting period ended March 31, 2024, the company has recognised revenue on provisional basis as per amount billed (net of certain adjustments). The Company expects to settle the matter without any further recognition / derecognition in this regard.

(c) In respect of the matter relating to shortfall in availability of domestic coal under Fuel Supply Agreement ("FSAs”) with Coal India Limited''s subsidiaries for supply of power against 1424 MW of PPA from Mundra TPP (reduced to 1200 MW PPA pursuant to the SPPAs dated February 28, 2023) with Haryana Discoms, the Hon''ble Supreme Court vide its order dated April 20, 2023 upheld the APTELs orders dated November 03, 2020 and June 30, 2021, allowing the tariff compensation claims (including carrying cost thereon) relating to NCDP and SHAKTI policy, respectively.

Pursuant to the said orders, the Company has recognised additional tariff compensation claims of '' 393.23 crore (including carrying cost of '' 135.55 crore) during the year, including pertaining to earlier period on account of realisation of certain additional claims from Haryana Discoms after initial estimation of claims made by the Company during the year ended March 31, 2023.

Further, during the year ended March 31, 2024, the Company has also recognised income towards delayed payment interest of '' 961.89 crore (including '' 941.85 crore pertaining to earlier period) as other income based on realisation of such amount from Haryana Discoms based on Company''s policy relating to recognition of late / delayed payment surcharge.

v) Revenue from operations for the year ended March 31, 2024, (including the amounts disclosed separately elsewhere in other notes) includes recognition of amount of '' 683.43 crore, (net off reversal) recognised pertaining to prior years upto March 31, 2023 (Previous Year - '' 2,377.24 crore pertaining to period upto March 31, 2022), based on the orders received from various regulatory authorities such as MERC / CERC, APTEL, Hon''ble Supreme Court and reconciliation with Discoms relating to various claims towards change in law events, carrying cost thereon and delayed payment interest.

vi) For regulatory claims / change in law claims, the management recognises income on conservative parameters, since the same are under litigation / pending final settlement with Discoms. The differential adjustments on account of such claims are recognised on resolution of the litigation / final settlement of matter with Discoms, including carrying cost / late payment surcharge.

vii) During the year ended March 31, 2024, the Company has disposed off its investments in the subsidiaries, lnnovant Buildwell Private Limited ("IBPL'') (formerly known as Eternus Real Estate Private Limited) (acquired on June 07, 2022) and Aviceda Infra Park Limited ("AIPL'') (incorporated on September 05, 2022), by execution of Share Purchase Agreements with AdaniConnex Private Limited for an aggregate consideration of '' 536.22 crore. The net income on such sale of investments amounting to '' 143.50 crore is accounted as other operating revenue.

viii) Similarly, during the previous year, the Company has disposed off its investment held in Support Properties Private Limited ("SPPL''), a wholly owned subsidiary and holding land parcel at Navi Mumbai by execution of share purchase agreement with AdaniConnex Private Limited and received a consideration of '' 988.97 crore which has been arrived at on arm''s length basis. The net income on such sale of investment amounting to '' 654.44 crore was accounted as other operating revenue.

ix) For transaction with related parties, refer note 64.

i) Includes Interest income in nature of Late payment surcharge / carrying cost of '' 8,666.15 crore (Previous year - '' 3,499.93 crore) from DISCOMs towards change in law claims and overdue receivables.

ii) Includes interest on bank fixed deposit of '' 175.72 crore (Previous year - '' 82.64 crore) and interest on loans given and OCDs of '' 433.30 crore (Previous year - '' 231.23 crore)

iii) Miscellaneous income mainly includes refund of customs duty of '' 258.63 crore. (Previous year '' 61.84 crore towards GST refund, '' 150.08 crore towards credit of transmission charges, which were expensed off in earlier years)

34 Purchase of Stock in trade / Power

It includes purchase of traded goods of '' 105.84 crore (Previous year '' 110.14 crore) and purchase of Power of '' 108.67 crore (Previous year '' 99.44 crore).*

*For transaction with related parties, refer note 64.

i) For transaction with related parties, refer note 64

ii) Includes interest on lease liabilities (net of capitalisation (refer note 4.1)) of '' 17.11 crore (Previous year '' 9.32 crore) and unwinding of interest on preference shares of '' 15.54 crore (Previous year '' 14.63 crore)

iii) During the year, unamortised borrowing cost of '' 46.25 crore has been charged off on payment of entire outstanding borrowing.

40 Contingent Liabilities and Commitments (to the extent not provided for) :

(a) Contingent Liabilities :		'' In crore
Particulars	As at March 31, 2024	As at March 31, 2023
i) Claims against the Company not acknowledged as debts in respect of:
a. Income Tax demands (under appeal)	6.33	27.74
b. Entry Tax (under appeal) (refer note 1(a) below)	-	1.65
c. Custom Duty (refer note 1(b) and 2 below)	1,220.51	1,220.51
d. Transmission Line Relinquishment (refer note 1(c) below)	154.50	154.50
e. Central Sales Tax (under appeal) (refer note 3 below)	13.10	13.10
f. Value Added Tax (refer note 4 below)	-	1.51
g. Goods and Services Tax (under appeal) (refer note 5 below)	35.12	-
Total	1,429.56	1,419.01

Notes:

1) (a) In Case of Raipur TPP, the Company has opted for amnesty scheme during the current year

and accordingly the matter stands settled.

(b) In Case of Raipur TPP, The Ministry of Power, Government of India vide letter dated September 08, 2011 had granted Provisional Mega Power Status Certificate under the Mega Power Policy for construction of its 1,370 MW Thermal based Power Plant. In terms of the same, the Raipur TPP (the entity stand merged with the Company) has availed exemptions of duty of customs and excise duty upon submission of bank guarantees worth '' 960.01 crore and pledge of margin money deposits of '' 59.67 crore. The grant of final Mega power status of Raipur TPP is dependent upon plant achieving tie up for supply of power for 70% of its installed capacity through long term Power Purchase Agreements by way of competitive bidding and the balance through regulated market within stipulated time. The time period to achieve tie up for supply of power as prescribed in Mega Power Policy has been further extended to 156 months from the date of Import, till September 12, 2024, by the Ministry of Power, Government of India vide amendment dated April 07, 2022. The Management expects to comply the conditions and hence no adjustments are made in the books.

(c) In case of Raipur TPP, the Company had entered into a bulk power transmission agreement (''BPTA'') with Power Grid Corporation of India Limited (''PGCIL) dated March 31, 2010 as per which the Company was granted Long term Access (''LTA'') of 816 MW. However, owing to nonavailability of PPA, which as per management is beyond the control of the Company, Raipur TPP was not in a position to utilise the LTA and has accordingly sought for surrender of the LTA, for which PGCIL has raised demand of '' 154.50 crore towards relinquishment charges on the Company. However, the said claim will be subject to the outcome of the petition dated September 07, 2020 filed by the Company before the APTEL. Presently, the Company has taken legal opinion in the matter as per which there are force majure events and other factors as per which it is not liable to pay charges.

2) For the Company''s Udupi TPP and Tiroda TPP, matter on Custom Duty relating to March 2012 to February 2013 is contested at Customs, Excise and Service Tax Appellate Tribunal ("CESTAT").

3) The Central Sale Tax matter of Company''s Mundra TPP relating to FY 2017-18, is contested at Commissioner Appeals.

4) For company''s Tiroda TPP, Joint Commissioner of State Tax (Adm), Nagpur Division, has raised demand of Value added tax relating to FY 13-14 along with interest. During the current year, the Company has opted for the amnesty scheme and accordingly the matter stands settled.

5) The Goods and Services Tax matters of Company''s Mundra TPP and Raipur TPP relating to FY 201718 and Raigarh TPP relating to FY 2022-23, are contested at Commissioner Appeals.

ii) Apart from above, the Development Commissioner, Mundra has issued a show cause notice to the Company in case of Mundra TPP for the period FY 2009-10 to FY 2014-15 in relation to custom duty on raw materials used for generation of electricity supplied from SEZ to DTA, which amounts to '' 963.94 crore. The Company has contested the said show cause notice. Further, the management is of the view that such duties on raw material are eligible to be made good to Mundra TPP under the PPA with Discoms or are refundable from the Authorities. Hence, the Company has not considered this as contingent liabilities.

iii) The Company has assessed that it is only possible, but not probable, that outflow of economic resources will be required in respect of above matters.

(b) Commitments :		'' In crore
Particulars	As at March 31, 2024	As at March 31, 2023
Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advances)	11,484.93	7,809.65
Total	11,484.93	7,809.65

Note:

Capital commitment mainly includes commitment relating to Flue Gas Desulphurisation project.

Other Commitment:

(i) The Company has given a commitment to lenders of Mahan Energen Limited (MEL) that it will not transfer its 49% equity holding in MEL outside the Adani Power Group, except with the prior approval of lenders.

41 Leases

The Company has lease contracts for land, Building and computer hardware used in its operations. Leases of these items have lease terms between 2 to 99 years. The Company is restricted from assigning and subleasing the leased assets.

The weighted average incremental borrowing rate applied to lease liabilities are in range of 8.50% to 9.00%.

43 The Company had sought cancellation of the Jitpur coal block and requested the Nominated Authority, Ministry of Coal, New Delhi, to cancel the Vesting Order, vide its representation dated October 31, 2020 and had also requested to authorities for refund of the costs of '' 138.51 crore incurred by it and for release of the performance bank guarantee of '' 92.90 crore given to the Nominated Authority. The Nominated Authority vide its letter dated September 17, 2021, had accepted the surrender petition by the Company and ordered for invocation of bank guarantee along with obligation to fulfil antecedent liability. On September 29, 2021, the Hon''ble Delhi High Court, in response to petition filed by the Company, has stayed the invocation of the said performance bank guarantee and restrained the Nominated Authority from taking any coercive steps in the matter. The said Writ Petition is yet to be adjudicated by the Delhi High Court. Meanwhile, the Hon''ble Delhi High Court vide its order dated March 03, 2022, had directed the Nominated authority to return the said performance bank guarantee within one week from the date of execution of Letter of Intent of "Coal Mines Production and Development Agreement” ("CMPDA”) with a new bidder and to present the said CMPDA before the Delhi High Court. The Nominated Authority has concluded the fresh e-auction of Jitpur Coal Block on September 13, 2022. Pursuant to this, the CMDPA has been signed between the new bidder and the Nominated Authority, Ministry of Coal on October 13, 2022. The Nominated Authority is yet to submit CMPDA with new bidder with Delhi High Court in the matter.

Earlier, the Company has submitted the details of costs / expenditure incurred towards development of mine with Nominated Authority, and based on allotment of mine to a new bidder, the Company expects a favourable resolution relating to cost realisation of Jitpur mine with Nominated Authority and for release of Performance Bank Guarantee. The Company has also obtained legal opinion basis which it is reasonably confident to get compensation realised of the entire costs incurred towards the development of the coal mine in the subsequent period.

44 The Company through erstwhile subsidiary, Raipur Energen Limited ("REL'') has incurred cost of '' 55.57 crore and '' 30.75 crore towards development of Talabira Coal mine and Ganeshpura Coal mine, respectively in the earlier years.

In the above matter, earlier the Company had filed two writ petitions with Hon''ble Delhi High Court requesting surrender of the said mines in view of Union of India''s ("Uol”) notification dated April 16, 2015 stating capping of the fixed / capacity charges and also requested to refund the costs incurred along with the release of bid security. The Hon''ble Delhi High Court vide its single order dated April 15, 2019 dismissed the petitions on the ground of delay in filling of writ petitions. Consequently, the Company filed petitions before Hon''ble Supreme Court to set aside the order of the Hon''ble Delhi High Court. Pending adjudication of the petitions, Hon''ble Supreme Court directed Uol and others vide its order dated May 30, 2019 that no coercive action to be taken in these matters.

The management expects favourable resolution of these matters and is reasonably confident to realise the entire cost spent towards these coal mines as compensation in the subsequent periods.

However, the matter has been pending for long period of time, the company based on prudence principles has fully provided the amount in the books for the purpose of financial reporting.

45 The National Green Tribunal ("NGT") in a matter relating to non-compliance of environmental norms relating to Udupi thermal power plant ("Udupi TPP”) directed the Company vide its order dated March 14, 2019, to make payment of '' 5.00 crore as an interim environmental compensation to Central Pollution Control Board ("CPCB"), which was deposited by the Company with CPCB under protest, in April 2019 and expensed the same in the books.

NGT vide its order dated May 31, 2022 settled the matter and directed the Company to deposit an additional amount of '' 47.02 crore with CPCB within 3 months from the date of order. The Company has recognised expense provision of '' 47.02 crore in the books on a conservative basis, although, the Company has filed petition with the Hon''ble Supreme Court dated August 26, 2022 against the above referred NGT order. The Udupi TPP continues to operate in compliance with all the conditions under Environment Clearance as at reporting date.

46 (a) In respect of Mundra TPP, the management believes that on account of resolution of majority of the issues relating to tariff compensation claim with GUVNL and Haryana Discoms and also on account of execution of 360 MW PPA with MPSEZ Utilities Limited ("MUL''), and certain other factors, Mundra TPP of the Company would be able to establish profitable operations over a foreseeable future and meet its performance and financial obligations. During the year, the Company has resumed supply of power to Haryana Discom and consequently has improved its operational performance in terms of achieving Higher Plant load factor (PLF) and generating positive operating cashflows, hence, based on the assessment of value in use of Mundra TPP, no provision / adjustment is considered necessary to the carrying value of its Mundra TPP related property, plant and equipment aggregating to '' 15,094.30 crore as at March 31, 2024.

(b) The Company has determined the recoverable amounts of all its Thermal Power Plants (including goodwill allocated to respective Power Plants) over their useful lives based on the Cash Generating Units ("CGUs") identified, as required under Ind AS 36, Impairment of Assets on the basis of their Value in Use by estimating the future cash inflows over the estimated useful life of the Power Plants. Further, the cash flow projections are based on estimates and assumptions relating to tariff, operational performance of the Plants, availability of domestic coal under fuel supply agreement / coal linkage as per the directives of Competent Authority, life extension plans, market prices of coal and other fuels, exchange variations, inflation, terminal value etc. which are considered reasonable by the Management.

On a careful evaluation of the aforesaid factors, the Management of the Company has concluded that the recoverable value of such CGUs individually is higher than their respective carrying amounts as at March 31, 2024. However, if these estimates and assumptions were to change in future, there could be corresponding impact on the recoverable amounts of the Plants.

48 Financial Risk Management Objective and Policies :

The Company''s risk management activities are subject to the management direction and control under the framework of Risk Management Policy as approved by the Board of Directors of the Company. The Management ensures appropriate risk governance framework for the Company through appropriate policies and procedures and the risks are identified, measured and managed in accordance with the Company''s policies and risk objectives.

The Company''s financial liabilities (other than derivatives) comprises mainly of borrowings including interest accrual, leases, trade, capital and other payables. The Company''s financial assets (other than derivatives) comprise mainly of investments, cash and cash equivalents, other balances with banks, loans, trade and other receivables.

In the ordinary course of business, the Company is exposed to Mark

---

Mar 31, 2023

ii) In case of Mundra thermal power plants ("Mundra TPP”), the Company has availed tax and duty benefit in the nature of exemptions from Custom Duty, Excise Duty, Service Tax, VAT and CST on its project procurements.

The said benefits were availed by virtue of SEZ approval granted to the Power Plant in December 2006, in terms of the provisions of the Special Economic Zones Act, 2005 (hereinafter referred to as the ''SEZ Act'') and the Special Economic Zone Rules, 2006 which entitled the Power Plant to procure goods and services without payment of taxes and duties as referred above.

The Company in respect of Tiroda thermal power plants ("Tiroda TPP”) and Kawai thermal power plants ("Kawai TPP”) have availed tax and duty benefit in the nature of exemptions from Custom Duty and Excise Duty on its project procurements. The said benefits were availed by virtue of power plants being designated

as Mega Power Project in accordance with the policy guidelines issued in this regard by the Ministry of Power, Government of India which entitled Tiroda TPP and Kawai TPP to procure goods and services without payment of taxes and duties as referred above.

Since, the procurement of goods and services during the project period were done by availing the exemption from payment of aforesaid taxes and duties, the amount capitalised for the said power plant as on the put to use date, is cost of property, plant and equipment (PPE) net off tax and duty benefit availed. In compliance with Ind AS 20 - "Government Grant”, Mundra TPP, Kawai TPP and Tiroda TPP have opted to gross up the value of its PPE by the amount of tax and duty benefit / credit availed after considering the same as government grant. The amount of said government grant (net off accumulated depreciation) as on the transition date has been added to the value of PPE with corresponding credit made to the deferred government grant. The amount of grant is amortised over useful life of PPE along with depreciation on PPE. The amount of deferred liability is amortised over the useful life of the PPE with credit to statement of profit and loss classified under the head "Other Income”.

The Company has Government grant balance (net) of H4,487.33 Crores till 31st March, 2023 (Previous year

H4,791.40 Crores).

iii) Cost of Property Plant and Equipment includes carrying value recognised as deemed cost as of 1st April, 2015, measured as per previous GAAP and cost of subsequent additions.

iv) During the year, an amount of H33.97 Crores was expensed out of carrying amount of Capital Work in

Progress towards impairment of project cost.

v) During the previous year, an amount of H55.57 Crores was transferred from balance of Capital Work in Progress to Other non current financials assets - Others. (Refer Note 7)

vii) The Company in case of Tiroda TPP, Kawai TPP , Mundra TPP, Raipur TPP, Raigarh Thermal Power Plant ("Raigarh TPP") and solar bitta plant has obtained Land under lease from various parties for a lease period of 5 to 99 years. The Company is restricted from assigning and subleasing the said leased assets.

viii) In November 2007, the Company obtained Land under lease from Karnataka Industrial Areas Development Board (Lessor) for its Udupi TPP for 11 years from the date of agreement whose validity period of Lease Agreement was further extended from Lessor till 11th September, 2022. As at year end, in terms of lease agreement, the Company is in the process to exercise its option to get the lease deed converted to sale deed as the terms and conditions of land allotment has been fulfilled. Since the entire amount of H76.64 Crores which was considered in Lease-cum-Sale Agreement is considered as a sale consideration on expected transfer, the Company has not provided amortization on said land.

a) The capital assets in the nature of Railway Siding for Raigarh TPP forming part of Capital Work-InProgress have become overdue compared to the original completion plan as the Company is in process of acquiring additional land for completing the asset under development. The Management expects to acquire additional land from the government authorities and has already obtained in principle approval from railway authorities for the said project. Post acquisition of the additional land, the management will update the estimate and assumption of the original completion plan of the assets. Further, given that demand of power is expected to be higher compared with generation capacity available in the industry, the development of asset forming part of Capital Work-In-Progress will have economic viability for the Company. Further, during the year, the Company has expensed cost of Capital Work in Progress of H33.97 Crores.

4.2 Goodwill

Goodwill of H6.95 Crores arose on acquisition of Tiroda TPP during the FY 2012-13 on account of amalgamation

of Growmore Trade and Investment Private Limited with erstwhile Adani Power Maharashtra Limited (Now amalgamated with the Company) and H183.66 Crores upon acquisition of erstwhile Udupi Power Corporation Limited (now amalgamated with the Company) during the FY 2015-16.

i) Of the above shares 243,65,00,000 Equity shares (Previous year - 243,65,00,000 Equity shares) have been pledged by the Company as additional security for secured term loans availed by AP(J)L.

ii) Of the above shares 5,10,000 Equity shares (Previous year - 5,10,000 Equity shares) have been pledged by the Company as additional security for secured term loans availed by MEL.

iii) During the year, the Company has invested H737.20 Crores (Previous year H1,243.56 Crores) into Optionally Convertible Debentures ("OCDs”) of its wholly owned subsidiary, AP(J)L for the purpose of development of power plant. These OCDs shall be optionally converted into equity share capital at fair value at the discretion of issuer or will be redeemed in full or part after 31st December, 2037. These OCDs have 0% coupon rate till the completion of construction period and thereafter will carry coupon 100 basis points less than interest coupon rate payable to lenders. Out of the above 19,80,75,900 OCDs (Previous year - 11,12,55,900) have been pledged by the Company as additional security for secured term loans availed by AP(J)L. The fair value

iv) During the previous year, the Company had invested H118.70 Crores into OCDs of its wholly owned subsidiary MEL. These OCDs shall be optionally converted into equity share capital at fair value at the discretion of issuer or will be redeemed in full on completion of 10 years from the date of allotment. The fair value as at 31st March, 2023 is H50.16 Crores (Previous year H46.02 Crores).

v) During the year, the Company has invested H80.66 Crores (Previous year H Nil), H43.91 Crores (out of which H2.10 Crores redeemed during the year ) (Previous year HNil) and H164.13 crores (Previous year H Nil) into Optionally Convertible Debentures ("OCDs”) of its wholly owned subsidiaries, Chandenvalle Infra Park Limited, Alcedo Infra Park Limited and Aviceda Infra Park Limited respectively for the purpose of acquiring land on lease. These OCDs shall be optionally converted into equity shares in the ratio of 1 : 1 or will be redeemed at the discretion of issuer at any time within 10 years from the date of issue.

vi) On 7th June, 2022, the Company has acquired 100% equity shares of Innovant Buildwell Private Limited (Formerly known as Eternus Real Estate Private Limited) ("IBPL'') for a consideration of H329.30 Crores and it also settled the liability of H320.70 Crores respectively towards the existing debt of IBPL. Hence, IBPL become wholly owned subsidiary of the Company w.e.f. 7th June, 2022. IBPL hold land parcel at Navi Mumbai which the Company propose to develop for Infrastructure facilities as part of its trading, investment and other business activities. Further, transaction cost of H63.34 Crores is added to investment in IBPL.

vii) The Compulsory Convertible Debentures shall be mandatorily converted in to equity shares at par in the ratio of 10:1 at any time after the expiry of 5 years but before 20 years from the date of issue i.e. during

financial year 2016-17 to 2018-19.

i) For charges created on Trade Receivables, (Refer note 20 and 26).

ii) Credit concentration

As at 31st March, 2023, out of the total trade receivables 93.53% (Previous year - 97.90%) pertains to dues from State Electricity Distribution Companies under contractual agreement through Power Purchase Agreements ("PPAs”) including receivables on account of claims under Force Majeure / Change in Law matters, carrying cost thereof etc. and remaining receivables from related parties (Refer note 68) and

others,

iii) Expected Credit Loss (ECL)

The Company is having majority of receivables against power supply from State Electricity Distribution Companies ("Discoms”) which are Government undertakings.

The Company is regularly receiving its normal power sale dues from Discom and in case of regulatory revenue claims, the same is recognised on conservative basis based on best management estimates following principles of prudence, as per the binding regulatory orders. In case of delayed payments apart from carrying cost on settlement of claims, the Company is entitled to receive interest as per the terms of PPAs, Hence they are secured from credit losses in the future.

iv) Trade receivables includes Customers'' bills discounted of H1,192.50 Crores (Previous year - H1,000.00 Crores),

v) Also refer note 33 and 52,

vi) The fair value of Trade receivables are approximately the carrying value presented (Also refer note 54).

(i) The Company has issued Unsecured Perpetual Securities ("Securities”), which are perpetual in nature with no maturity or redemption and are callable only at the option of the issuer. The distribution on these Securities are cumulative at 9% to 10.67% (Previous year 9% to 11%) p.a. and at the discretion of the issuer. As these securities are perpetual in nature and ranked senior only to the Equity Share Capital of the Company and the issuer does not have any redemption obligation, these are considered to be in the nature of equity instruments,

i) (a) Capital Reserve includes H359.80 Crores created due to amalgamation of Growmore Trade and

Investment Private Limited with the Company in the financial year 2012-13. As per the order of the

Hon''ble High Court of Gujarat, the capital reserve created on amalgamation shall be treated as free reserve of the Company,

(b) Capital reserve of H1,029.60 Crores was created on acquisition of Raipur TPP and Raigarh TPP during

the financial year 2019-20.

ii) Securities premium represents the premium received on issue of shares over and above the face value of equity shares. The reserve is available for utilisation in accordance with the provisions of the Companies

Act, 2013.

iii) General reserve of H9.04 Crores was created in the FY 2015-16 due to merger of solar power undertaking acquired from Adani Enterprises Limited, as per the scheme of arrangement approved by order of the Hon''ble

High Court of Gujarat.

iv) Equity instruments through Other Comprehensive Income : The Company has elected to recognise changes in the fair value of certain investments in equity instruments in other comprehensive income. These changes in equity instruments are accumulated through Other Comprehensive Income within equity. The Company transfers amounts from this reserve to retained earnings when the relevant equity instruments

are derecognised.

v) Deemed equity contribution represents the difference between the fair value of financial instruments and consideration paid / payable as promoters'' contribution.

vi) Retained earnings represent the amount that can be distributed as dividend considering the requirements of the Companies Act, 2013. During the year, no dividends are distributed to the equity shareholders by the

Company.

1. The security details for the borrowing balances:

a. Rupee Term Loans from Banks aggregating to H15,584.15 Crores (Previous year H20,726.08 Crores), Rupee Term Loans from Financial Institutions and ARCs aggregating to H3,391.23 Crores (Previous year H3,617.94 Crores), Foreign Currency Loans from Banks aggregating to H763.04 Crores (Previous year H1,516.93 Crores), Foreign Currency Loans from Financial Institutions aggregating to H506.04 Crores (Previous year H1,513.46 Crores) carry annual weighted average interest rate of 9.14% p.a. and are secured by first mortgage and charge on the identified immovable and movable and leasehold land, both present and future assets of the Mundra TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP (collectively and individually referred as "Projects") on paripassu basis with the lenders of the respective projects,

On amalgamation of six subsidiaries of the Company with itself in terms of National Company Law Tribunal (''NCLT'') order dated 8th February, 2023, as at reporting date, the Company is in the process of concluding of fresh financing documents with all the lenders, whereby the above facilities will be secured by first mortgage and charge on the identified immovable and movable and leasehold land, both present and future assets of the projects / locations on paripassu basis with the lenders of the projects

b. Rupee Term Loan from Banks and Trade credits (current borrowing) aggregating to H5,491.57 Crores (Previous year - H6,772.03 Crores) are further secured by pledge of 764,426,421 equity shares of the Company held by S.B. Adani Family Trust (Previous year 764,426,421) as a First charge.

Further, for related party transactions Refer Note 68.

2. Repayment schedule for the Secured borrowing balances:

a. The secured term loans from Banks aggregating to H13,791.10 Crores (Previous year H19,634.88 Crores) and from Financial Institutions aggregating to H2,869.65 Crores (Previous year H4,114.12 Crores) respectively are repayable over a period of next 12 years in quarterly / half yearly / yearly from Financial year 2023-24 to Financial year 2034-35. During the year, the Company has also made prepayments of

H4,755.45 Crores.

b. In case of Raipur TPP, Rupee Term Loans and Foreign Currency Loans from Banks and Financial Institution aggregating to H2,767.75 Crores (Previous year H2,746.53 Crores) are repayable in 3 equal annual installments starting from 30th June, 2026.

c. In case of Raigarh TPP, the secured term loans from Banks aggregating to H674.87 Crores (Previous year H726.92 Crores) and from Financial Institutions aggregating to H141.09 Crores, including H71.92 Crores from ARCs (Previous year H151.95 Crores, including H77.46 Crores from ARCs) respectively are repayable in structured quarterly instalments from Financial year 2023-24 to Financial year 2026-27.

3. Repayment schedule for the Unsecured borrowing balances:

a. Unsecured loans from related parties of H6,790.12 Crores (Previous year H5,160.06 Crores) and from others of HNil (Previous year H721.59 Crores) are repayable on agreed dates over a period of 2 to 4 years

starting from Financial year 2024-25 to Financial year 2026-27.

b. Up to 5% Non-cumulative Compulsory Redeemable Preference Shares aggregating to H300 Crores (Previous year - H300 Crores) recognised at discounted value of H62.06 Crores (Previous year - H57.25 Crores) are redeemable in Financial year 2041-42.

c. 0.01% Compulsory Redeemable Preference shares aggregating to H415.86 Crores (Previous year H415.86 Crores) recognised at discounted value of H106.89 Crores (previous year H97.18 Crores) are redeemable in structured 3 equal annual instalments from Financial year 2036-37 to Financial year 2038-39.

4. During the year, the Company in case of Raipur TPP, has written back the outstanding amount of assigned ECB based on a consent letter received from Adani Global DMCC, a related party of the Company for waiver of the same. As the ECB was accounted at fair value on initial recognition, the outstanding portion of debt component of H179.17 Crores has been accounted as deemed equity contribution.

5. The amount disclosed in security details in note 1 above and repayment schedule in note 2 above are gross amount excluding adjustments towards upfront fees.

i) Working Capital Demand Loans, Trade Credits, Cash Credits and Customers'' Bills Discounted provided by Bank (Working Capital Facilities) aggregating to H5,671.58 Crores (Previous year H6,571.23 Crores) carry annual weighted average interest rate of 5.75% p.a. and are secured by first mortgage and charge on the identified immovable and movable, both present and future assets of the Mundra TPP, Tiroda TPP, Kawai TPP, Udupi TPP, Raipur TPP, Raigarh TPP (collectively and individually referred as "Projects") on paripassu basis with the lenders of the respective projects.

On amalgamation of six subsidiaries of the Company with itself in terms of NCLT order dated 8th February, 2023, as at reporting date, the Company is in the process of concluding of fresh financing documents with all the lenders, whereby the above facilities will be secured by first mortgage and charge on the identified immovable and movable and leasehold land, both present and future assets of the projects / locations on paripassu basis with the lenders of the projects.

i) Trade payables mainly include amount payable to coal suppliers and operation and maintenance vendors in whose case credit period allowed is 0-180 days. The Company usually opens usance letter of credit in

favour of the coal suppliers.

ii) The fair value of trade payables are approximately the carrying value presented (Also refer note 54).

iii) Details of due to micro and small enterprises :

On the basis of the information and records available with management, details of dues to micro and small

enterprises as defined under the MSMED Act, 2006 are as below:

(i) In respect of Tiroda TPP

(a) Maharashtra Electricity Regulatory Commission ("MERC”) vide its order dated 6th September, 2019 had allowed relief on account of use of alternative coal for non-availability of coal due to cancellation of Lohara coal block for the Company''s 800 MW power generation capacity at Tiroda TPP, The relief was upheld by the Appellate Tribunal for Electricity ("APTEL'') vide its order dated 5th October, 2020, although the Maharashtra State Electricity Distribution Company Limited ("MSEDCL'') had filed an appeal in the Hon''ble Supreme Court against the APTEL order, The Hon''ble Supreme Court after issuing interim relief order dated 31st January, 2022 passed the final order dated 20th April, 2023 upheld all the matters which were concluded in the APTEL order, Pursuant to said Hon''ble Supreme Court order, the Company has reassessed the compensation claims recognised till date and recognised an additional revenue of H321,71 Crores (net off reversal of Carrying Cost of H10,98 Crores) at the year end (including H201.21 Crores pertaining to earlier period).

The total tariff compensation claim recognised for year ended 31st March, 2023 is H3,916,48 Crores (including carrying cost H487,15 Crores), The Company has recognised tariff compensation claims on best estimate basis and management expects to fully realise outstanding balances of such claims from the discoms.

(b) In a matter relating to tariff compensation claim (including carrying costs thereon) for additional costs incurred by the Company for 2500 MW power generation capacity at Tiroda TPP, due to shortfall in availability of domestic coal under New Coal Distribution Policy ("NCDP”) and Scheme of Harnessing and Allocating Koyala (Coal) Transparently in India ("SHAKTI”) policy of the government, the Company had earlier received favorable orders from MERC, based on which the Company has recognised claims and carrying cost thereon in earlier years, on best estimate basis, Subsequently, APTEL vide its orders dated 14th and 28th September, 2020 provided further clarity on the various claim parameters to be considered in computing tariff compensation claims, However, MSEDCL had filed an appeal with the Hon''ble Supreme Court against the aforesaid orders of APTEL, The Hon''ble Supreme court after issuing interim relief order dated 31st January, 2022 passed its final order dated 3rd March 2023 and 20th April, 2023 upheld all the matters which were concluded in the APTEL orders towards compensation claims relating to NCDP and SHAKTI policy respectively, Pursuant to said Hon''ble Supreme Court orders the Company has derecognised claim of H90.26 Crores (net off recognition of carrying cost of H178.38 Crores) at the year end (including claim reversal of H90.26 Crores pertaining to prior period).

The tariff compensation claim recognised for the year ended 31st March, 2023 is H5,063.12 Crores (including carrying cost of H1,131.94 Crores). The Company has recognised tariff compensation claims on best estimate basis and management expects to fully realise outstanding balances of such claims from the discoms.

(c) Apart from above, in one of the matters relating to cost factor for computation of tariff compensatory claim based on claim amount billed by the Company, MSEDCL is also in appeal with APTEL although the Company has favorable order from MERC in the matter. The management does not expect any adverse impact of the matter. Currently, the Company has recognised the compensation claim on the best estimate basis pending settlement of appeal.

(ii) In respect of Kawai TPP

The Company, for recognition of tariff compensation claims for additional coal costs incurred for power generation due to shortfall in availability of domestic linkage coal under Shakti Policy of the Government, the Company has relied on the favourable order of Hon''ble Supreme Court dated 31st August, 2020 in which Hon''ble Supreme Court has admitted all tariff compensation claims and the Company continues to realise the claim amount towards compensation. The Company has recognised tariff compensation claims on best estimate basis which management expects to fully realise such claims from the discoms.

iii) In respect of Udupi TPP

The Company raises invoices on its customers ("Karnataka Discoms”) based on the most recent tariff order / provisional tariff approved by the Central Electricity Regulatory Commission ("CERC”), as modified by the orders of Appellate Tribunal for Electricity ("APTEL'') / CERC to the extent applicable, having regard to mechanism provided in applicable tariff regulations and the bilateral arrangements with the customers. Such tariff orders are subject to conclusion of final tariff order in terms of Multiyear Tariff ("MYT”) Regulations at end of tariff period of every 5 years.

(iv) Revenue from operations for the year ended 31st March, 2023, (including the amounts disclosed separately elsewhere in other notes) includes H2,377.24 Crores (net) recognised pertaining to prior years upto 31st March, 2022 (Previous year - H465.40 Crores pertaining to period upto 31st March, 2021), based on the orders received from various regulatory authorities such as MERC / CERC, APTEL, Hon''ble Supreme Court

and reconciliation with discoms relating to various claims towards change in law events, carrying cost thereon and delayed payment interest.

(v) For regulatory claims / change in law claims, the management recognises income on conservative parameters, since the same are under litigation / pending final settlement with Discoms. The differential adjustments on account of such claims are recognised on resolution of the litigation / final settlement of matter with Discoms, including carrying cost / late payment surcharge.

vi) On 7th June, 2022, the Company has acquired 100% equity shares of Support Properties Private Limited ("SPPL'') for a consideration of H280.10 Crores and it also settled the liability of H485.24 Crores towards the existing debt of SPPL. Hence, SPPL become wholly owned subsidiary of the Company w.e.f. 7th June, 2022. SPPL hold land parcel at Navi Mumbai which the Company proposed to develop for Infrastructure facilities as part of its trading, investment and other business activities (a company''s business segment). Further, transaction cost of H54.43 Crores is added to investment in SPPL. On 22nd March, 2023, the Company has disposed off its investment held in SPPL by execution of share purchase agreement with Adani Connex Private Limited and received a consideration of H988.97 Crores (excluding debt component of H485.24 Crores) which has been arrived at on arm''s length basis. The net income on such sale of investment amounting to H654.44 Crores is accounted as other operating revenue.

i) Interest income of H3,834.36 Crores (Previous year - H3.633.66 Crores) mainly includes Interest income in nature of Late payment surcharge / carrying cost of H3,499.93 Crores (Previous year - H3,475.88 Crores)

from DISCOMs towards change in law claims and overdue receivables and interest income on fixed deposit H82.64 Crores (Previous year - H40.69 Crores).

ii) Miscellaneous income mainly includes H61.84 Crores (Previous year - HNil) towards GST refund and H 150.08

Crores (Previous year - HNil) towards credit of transmission charges which were expensed off in earlier years.

41 Contingent Liabilities and Commitments (to the extent not provided for) :
	As at 31st March, 2023	As at 31st March, 2022
(a) Contingent Liabilities :
i) Claims against the Company not acknowledged as debts in respect of:
a. Income Tax demands (under appeal)	27.74	69.04
b. Entry Tax (under appeal)	1.65	1.51
c. Custom Duty (Refer note 1(a) and 2 below)	1,220.51	1,220.51
d. Transmission Line Relinquishment (Refer note 1(b) below)	154.50	154.50
e. Electricity Duty (Refer note 3 below)	-	25.19
f. Central Sales Tax (under appeal)	13.10	-
g. Value Added Tax (Refer note 4 below)	1.51	-
Total	1,419.01	1,470.75

Notes:

1) (a) In Case of Raipur TPP, The Ministry of Power, Government of India vide letter dated 8th September,

2011 had granted Provisional Mega Power Status Certificate under the Mega Power Policy for construction of its 1,370 MW Thermal based Power Plant. In terms of the same, the Company has availed exemptions of duty of customs and excise duty upon submission of bank guarantees worth H960.01 Crores and pledge of margin money deposits of H59.67 Crores. The grant of final Mega power status of Raipur TPP is dependent upon plant achieving tie up for supply of power for 70% of its installed capacity through long term Power Purchase Agreements by way of competitive bidding and the balance through regulated market within stipulated time. The time period to achieve tie up for supply of power as prescribed in Mega Power Policy has been further extended to 156 months from the date of Import, till 12th September, 2024, by the Ministry of Power, Government of India vide amendment dated 7th April, 2022. The Management expects to comply the conditions and hence no adjustments are made.

(b) In case of Raipur TPP, the Company had entered into a bulk power transmission agreement (''BPTA'') with Power Grid Corporation of India Limited (''PGCIL) dated 31st March, 2010 as per which the Company was granted Long term Access (''LTA'') of 816 MW. However, owing to non-availability of PPA, which as per management is beyond the control of the Company, Raipur TPP was not in a position to utilise the LTA and has accordingly sought for surrender of the LTA, for which PGCIL has raised demand of H154.50 Crores towards relinquishment charges on the Company. However, the said claim will be subject to the outcome of the petition dated 7th September, 2020 filed by the Company before the APTEL.

2) For the Company''s Udupi TPP and Tiroda TPP, matter on Custom Duty relating to March 2012 to February 2013 is contested at Customs, Excise and Service Tax Appellate Tribunal ("CESTAT”).

3) In case of Raigarh TPP, Chief Electrical Inspector, Government of Chhattisgarh (''CEIG''), has raised demand for electricity duty on auxiliary power consumption @15% of tariff instead of @ 10% as per the circular dated 12th August, 2016 from January 2015 to December 2021 along with interest. During the current year, the Company has received favourable order from Chief Electrical Inspector, Raipur Office

in the matter dated 1st June, 2022.

4) For company''s Tiroda TPP, Joint Commissioner of State Tax (Adm), Nagpur Division, has raised demand of Value added tax relating to FY 13-14 along with interest.

ii) Apart from above, the Development Commissioner, Mundra has issued a show cause notice to the Company in case of Mundra TPP for the period FY 2009-10 to FY 2014-15 in relation to custom duty on raw materials used for generation of electricity supplied from SEZ to DTA, which amounts to H963.94 Crores. The Company has contested the said show cause notice. Further, the management is of the view that such duties on raw material are eligible to be made good to Mundra TPP under the PPA with Discoms or are refundable from the Authorities. Hence, the Company has not considered this as contingent liabilities.

iii) The Company has assessed that it is only possible, but not probable, that outflow of economic resources will

be required in respect of above matters.

		As at 31st March, 2023	As at 31st March, 2022
(b) Commitments :
Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advances)		7,809.65	174.93
	Total	7,809.65	174.93

Note:

As at 31st March, 2023, capital commitment mainly includes commitment relating to Flue Gas Desulphurisation

project.

Others:

(i) The Company has given a commitment to lenders of Mahan Energen Limited (MEL) that it will not transfer its 49% equity holding in MEL outside the Adani Power Group, except with the prior approval of lenders.

42 Leases

The Company has lease contracts for land, Building and computer hardware used in its operations. Leases of these items have lease terms between 2 to 99 years. The Company is restricted from assigning and

subleasing the leased assets.

The weighted average incremental borrowing rate applied to lease liabilities is 8.50%.

44 The Company has incurred cost of H103.75 Crores for the development of Jitpur Coal Block mine in the earlier years and had also given performance bank guarantee of H92.90 Crores to the government authorities. Considering the long pendency of the matter relating to development of mine, the Company applied for surrender of the coal block to Nominated Authority and requested for refund of the costs incurred and release of the performance bank guarantee. The Nominated Authority vide its letter dated 17th September, 2021, accepted the surrender petition by the Company and ordered for invocation of bank guarantee along with obligation to fulfil antecedent liability. On 29th September 2021, the Hon''ble Delhi High Court, in response to petition filed by the Company, has stayed the invocation of the said performance bank guarantee and restrained the Nominated Authority from taking any coercive steps in the matter. Further the Hon''ble Delhi High Court vide its order dated 3rd March, 2022, instructed the Nominated authority that the said performance bank guarantee shall be returned within one week from the date of execution of "Letter of Intent of Coal Mines Production and Development Agreement” with a new bidder. The Nominated Authority has concluded the fresh e-auction of Jitpur Coal Block on 13th September, 2022 and allotted mine to new bidder on 13th September, 2022.

Earlier, the Company has submitted the details of costs / expenditure incurred towards development of mine with Nominated Authority, however based on allotment of mine to a new bidder, the Company expects a favourable resolution relating to cost realisation of Jitpur mine with Nominated Authority. The Company has also obtained legal opinion basis which it is reasonably confident to get compensation realised of the entire costs incurred towards the development of the coal mine in the subsequent period.

45 The Company through erstwhile subsidiary, Raipur Energen Limited ("REL'') has incurred cost of H55.57 Crores and H30.75 Crores towards development of Talabira Coal mine and Ganeshpura Coal mine, respectively in

the earlier years.

In the above matter, earlier the Company had filed two writ petitions with Hon''ble Delhi High Court requesting surrender of the said mines in view of Union of India''s ("UoI”) notification dated 16th April, 2015 stating capping of the fixed / capacity charges and also requested to refund the costs incurred along with the release of bid security. The Hon''ble Delhi High Court vide its single order dated 15th April, 2019 dismissed the petitions on the ground of delay in filling of writ petitions. Consequently, the Company filed petitions before Hon''ble Supreme Court to set aside the order of the Hon''ble Delhi High Court. Pending adjudication of the petitions, Hon''ble Supreme Court directed UoI and others vide its order dated 30th May, 2019 that no coercive action to be taken in these matters.

The management expects favourable resolution of these matters and is reasonably confident to realise the entire cost spent towards these coal mines as compensation in the subsequent periods.

46 The National Green Tribunal ("NGT") in a matter relating to non-compliance of environmental norms relating to Udupi TPP directed the Company vide its order dated 14th March, 2019, to make payment of H5.00 Crores as an interim environmental compensation to Central Pollution Control Board ("CPCB"), which was deposited by the Company with CPCB under protest, in April 2019 and expensed the same in the books. NGT vide its order dated 31st May, 2022 settled the matter and directed the Company to deposit an additional amount of H47.02 Crores with CPCB within 3 months from the date of order. The Company has recognised expense provision in the books of H47.02 Crores on conservative basis. The Company has filed petition with the Hon''ble Supreme Court dated 26th August, 2022 against the above referred NGT order. The Udupi TPP continues to operate in compliance with all the conditions under Environment Clearance as at reporting date.

47 (a) In respect of Power Purchase Agreement ("PPA / SPPA”) for Bid 2 with Gujarat Urja Vikas Nigam Limited

("GUVNL''), for supply of 1,234 MW power through Mundra TPP (as amended), the Hon''ble Supreme Court, vide its order dated 2nd July, 2019, had allowed appeal filed by the Company, for termination of long term PPA / SPPA with retrospective effect from the date of PPA i.e. 2nd February, 2007 and allowed the Company to claim compensatory tariff. Till reporting period ended 31st December, 2021, GUVNL was in appeal in the matter with Hon''ble Supreme Court and had filed the curative petition.

On 3rd January 2022, a settlement deed was entered between the Company and GUVNL to resolve all pending matters / disputes relating to Bid 1 & Bid 2 and as per the Settlement deed followed by Supplemental Power Purchase Agreement dated 30th March, 2022, GUVNL approached CERC to determine the base energy tariff rates for power sales under Bid 1 & Bid 2 SPPAs, with retrospective effect from 15th October, 2018, for submission to the Government of Gujarat ("GoG”). CERC vide its order dated 13th June 2022 recommended the base energy tariff rates for final approval of GoG which is pending as on reporting date. CERC order allows the Company and GUVNL to mutually agree on adoption of six monthly or monthly escalation index to apply over base energy tariff rate as on October 2018 for determination of subsequent period energy rates. Pending approval of the base energy tariff rate by GoG and the mutual agreement between the Company and GUVNL on methodology for escalation index, the Company has made adjustments in the revenue of H269.09 Crores based on prudent principles with conservative parameters. Presently, revenue in this matter has been recognised based on pass through of coal cost in a prudent and consistent basis as concluded through Supplemental Agreement dated 30th March, 2022.

(b) On 28th February 2023, a Supplemental Power Purchase Agreements ("SPPA”) has ben signed with

Dakshin Haryana Bijli Vitaran Nigam Limited and Uttar Haryana Bijli Vitaran Nigam Limited (collectively "Haryana DISCOMs”) in respect of its two existing Power Purchase Agreements ("PPA”) of net contracted capacity of 712 MW each (1424 MW in aggregate at Generation end). Under the terms of the SPPAs, the net capacity contracted with Haryana DISCOMs has been reduced to 600 MW each, or 1200 MW in aggregate, as delivered. This development allowed the Company to schedule power supply to Haryana DISCOMs using two dedicated Units of 660 MW each instead of all three units of Phase IV of Mundra TPP. This will also allow efficient recovery of alternate fuel costs in case of demand from Haryana DISCOMs exceeds domestic coal availability under the FSA. Further on 14th April, 2023, the Company has entered into long term PPA of 360 MW with MPSEZ Utilities Limited ("MUL'') to be supplied from third unit of Mundra TPP Phase-IV.

The management believes that with majority of the tariff compensation claim issues relating to GUVNL and Haryana Discoms have been resolved, over a foreseeable future Mundra TPP of the Company would be able to establish profitable operations and meet its performance and financial obligations. Hence, based on the assessment of value in use of Mundra TPP, no provision / adjustment is considered necessary to the carrying value of its Mundra TPP related property, plant and equipment aggregating to H16,200.47 Crores as at 31st March, 2023.

(c) The Company has determined the recoverable amounts of the Power Plants (including goodwill allocated to respective Power Plants) over their useful lives based on the Cash Generating Units ("CGUs") identified, as required under Ind AS 36, Impairment of Assets on the basis of their Value in Use by estimating the future cash inflows over the estimated useful life of the Power Plants. Further, the cash flow projections are based on estimates and assumptions relating to tariff, operational performance of the Plants, availability of domestic coal under fuel supply agreement / coal linkage as per the directives of Competent Authority, life extension plans, market prices of coal and other fuels, exchange variations, inflation, terminal value etc. which are considered reasonable by the Management.

On a careful evaluation of the aforesaid factors, the Management of the Company has concluded that the recoverable value of such CGUs individually is higher than their respective carrying amounts as at 31st March 2023. However, if these estimates and assumptions were to change in future, there could be corresponding impact on the recoverable amounts of the Plants.

48 In respect of Mundra TPP, the Company has claimed tariff compensation claim (including carrying cost thereon) for additional cost incurred related to power generation against 1424 MW of Power Purchase Agreement due to shortfall in domestic coal based on supplies under Fuel Supply Agreements with Collieries of Coal India Limited''s subsidiaries, against power supplied to Haryana Discoms based on favourable CERC Order dated 31st May, 2018 and 13th June, 2019 duly upheld by APTEL order dated 3rd November, 2020 and 30th June, 2021. However, Haryana Discom had filed an appeal with the Hon''ble Supreme Court against the aforesaid order of APTEL although the Company had recognised revenue supported by favourable order in respect of similar other matters. The Hon''ble Supreme Court after issuing interim relief order dated 16th February, 2021 passed its final orders dated 20th April, 2023 upheld all the matters which were concluded in the APTEL order towards tariff compensation claims relating to NCDP and SHAKTI policy respectively.

Based on final order of Hon''ble Supreme Court, there is no significant change in tariff compensation claims recognised on best estimate as per the orders of CERC / APTEL and management expects to fully realise

outstanding balances of such claims from the discom.

49 GUVNL vide its letter dated 21st May, 2021 has raised certain claims on the Company for excess energy injected during the period 1st April, 2017 to 31st October, 2020 from the 40 MW solar power plant at Bitta in terms of the power purchase agreement and has withheld H72.10 Crores against power supply dues in the previous year. GERC vide its order dated 3rd November, 2022 in the matter accepting the petition of the Company in the said matter and directed GUVNL to make payment of the amount withheld within three months from the date of order along with late payment surcharge as per PPA. However, GUVNL has filed an appeal with APTEL against the said order of GERC and the matter is pending adjudication. The management, based on GERC order, expects favourable outcome in the matter. As per interim order of APTEL, the Company has already received H51.75 Crores being 75% of the withheld amount subject to outcome of appeal with APTEL. The Management expects favourable resolution of this matter and is reasonably confident to realise the outstanding dues.

The Company''s risk management activities are subject to the management direction and control under the framework of Risk Management Policy as approved by the Board of Directors of the Company. The Management ensures appropriate risk governance framework for the Company through appropriate policies and procedures and the risks are identified, measured and managed in accordance with the Company''s policies and risk objectives. In the ordinary course of business, the Company is exposed to Market risk, Credit risk and Liquidity risk.

(i) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, currency risk and commodity risk.

a) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the part of Company''s debt obligations with floating interest rates. The Company manages its interest rate risk by having a mixed portfolio of fixed and variable rate loans and borrowings. To manage this, the Company enters into interest rate swaps, in which it agrees to exchange, at specified intervals, the difference between fixed and variable rate interest amounts calculated by reference to an agreed upon notional principal amount.

The sensitivity analysis have been carried out based on the exposure to interest rates for instruments not hedged against interest rate fluctuation at the end of the reporting period. The said analysis has been carried out on the amount of floating rate liabilities outstanding at the end of the reporting period. The year end balances are not necessarily representative of the average debt outstanding during the year. A 50 basis point increase or decrease represents management''s assessment of the reasonably possible change in interest rates.

In case of fluctuation in interest rates by 50 basis points on the exposure of borrowings (having fluctuating rates i.e. exposed to changes in rates) of H20,735.47 Crores as on 31st March, 2023 and H23,494.30 Crores as on 31st March, 2022 respectively and if all other variables were held constant, the Company''s profit or loss for the year would increase or decrease as follows:

	For the year ended 31st March, 2023	For the year ended 31st March, 2022
Impact on Profit or Loss before tax for the year	103.68	117.48
Impact on Equity	103.68	97.69

b) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the Company''s operating activities and borrowings. The Company manages its foreign currency risk by hedging transactions that are expected to realise in future. The Company also enters into various foreign exchange hedging contracts such as forward covers, swaps, options etc. to mitigate the risk arising out of foreign exchange rate movement on foreign currency borrowings or trade payables.

Every one percentage point depreciation / appreciation in the exchange rate between the Indian rupee and U.S.dollar on the unhedged exposure of $ 56.53 million as on 31st March, 2023 and $ 87.48 million as on 31st March, 2022 would have affected the Company''s profit or loss for the year

as follows:

	For the year ended 31st March, 2023	For the year ended 31st March, 2022
Impact on Profit or Loss before tax for the year (net of amounts capitalised under Property, Plant and Equipment)	4.65	6.63
Impact on Equity	4.65	6.62

c) Commodity price risk

The Company is affected by the price volatility of coal prices, including imported coal, which is moderated by optimising the procurement under fuel supply agreement and getting compensated under long term power purchase agreements. Its operating / trading activities require the on-going purchase for continuous supply of coal and other commodities. Therefore the Company monitors its purchases closely to optimise the procurement cost.

(ii) Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or

customer contract, leading to a financial loss.

The Company is having majority of receivables from State Electricity Boards which are Government undertakings and have interest clause on delayed payments and hence they are secured from credit

losses in the future.

The Company has issued financial guarantees to banks on behalf of and in respect of loan facilities availed by its subsidiaries. In accordance with the policy of the Company, the Company has recognised

these financial guarantees as liability at fair value (Refer note 22 and 29). Outstanding loans in the subsidiaries against the financial guarantee contracts given by the Company as at 31st March, 2023 is H9.477.45 Crores (Previous year H7,522.52 Crores).

(iii) Liquidity risk

The Company monitors its risk of shortage of funds using cash flow forecasting models. These models consider the maturity of its financial investments, committed funding and projected cash flows from operations. The Company''s objective is to provide financial resources to meet its business objectives in a timely, cost effective and reliable manner and to manage its capital structure. A balance between continuity of funding and flexibility is maintained through internal accruals as well as adequately adjusting the working capital cycle and additional support from promoter Companies on need basis.

Maturity profile of financial liabilities :

The table below has been drawn up based on the undiscounted contractual maturities of the financial liabilities including interest that will be paid on those liabilities upto the maturity of the instruments.

i) The above ageing has been calculated based on due date as per terms of agreement. In case where due

date is not provided, date of transaction is considered.

ii) Includes H1,192.50 Crores (Previous year - H1,000.00 Crores) of Customers'' bills discounted considered as

not due.

iii) Trade receivable includes certain balances which are under reconciliation / settlement with Discoms for

payment / closure.

iv) Also refer note 3(viii).

53 Capital management :

The Company''s objectives when managing capital is to safeguard continuity, maintain a strong credit rating and healthy capital ratios in order to support its business and provide adequate return to shareholders through continuing growth. The Company''s overall strategy remains unchanged from previous year.

The Company sets the amount of capital required on the basis of annual business and long-term operating plans which include capital and other strategic investments.

The funding requirements are met through a mixture of equity, unsecured perpetual securities, internal fund generation and other long term borrowings. The Company monitors capital and long term debt on the basis of

debt to equity ratio.

(i) Debt is defined as Non-current borrowings (including current maturities) and lease liabilities.

(ii) Capital is defined as Equity share capital, Unsecured perpetual securities and other equity including reserves

and surplus.

The Company believes that it will able to meet all its current liabilities and interest obligations in timely manner.

The Company''s capital management ensure that it meets financial covenants attached to the interest bearing loans and borrowings that define capital structure requirements. Breaches in meeting the financial covenants would permit the bank to levy penal interest as per terms of sanction. There have been no breaches in the financial covenants of any interest bearing loans and borrowings in the current year. No changes were made in the objectives, policies or processes for managing capital by the Company.

The fair value of the financial assets and financial liabilities included in the level 2 categories above have been determined in accordance with generally accepted pricing models based on a discounted cash flow analysis, with the most significant inputs being the discount rate that reflects the credit risk of counterparties. The most frequently applied valuation techniques include forward pricing and swap models, using present value calculations. The models incorporate various inputs including the credit quality of counterparties, foreign exchange spot and forward rates, yield curves of the respective currencies, currency basis spreads between the respective currencies, interest rate curves and forward rates curves of the underlying derivative.

57 As per para 4 of Ind AS 108 "Operating Segments”, if a single financial report contains both consolidated financial statements and the separate financial statements of the Parent Company, segment information may be presented on the basis of the consolidated financial statements. Thus, the information related to disclosure of operating segments required under Ind AS 108 "Operating Segments”, is given in Consolidated

Financial Statements.

58 (a) Defined Benefit Plan

The Company operates a defined benefit plan (the Gratuity plan) covering eligible employees, which provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee''s salary and the tenure of employment.

ix. Asset Liability Matching Strategies

The Company has funded benefit plan and have purchased insurance policy, which is basically a year-on-

year cash accumulation plan in which the interest rate is declared on yearly basis and is guaranteed for a period of one year. The insurance Company, as part of the policy rules, makes payment of all gratuity

outgoes happening during the year (subject to sufficiency of funds under the policy). The policy thus, mitigates the liquidity risk. However, being a cash accumulation plan, the duration of assets is shorter compared to the duration of liabilities. Thus, the Company is exposed to movement in interest rate, which can result in a increase in liability without corresponding increase in the funded asset wherever applicable.

x. Effect of Plan on Entity''s Future Cash Flows

a) Funding arrangements and Funding Policy

The Company have purchased an insurance policies to provide for payment of gratuity to the employees. Every year, the insurance company carries out a funding valuation based on the latest employee data provided by these Companies. Any deficit in the assets arising as a result of such

valuation is funded by these Companies.

b) Expected Contribution during the next annual reporting period

The best estimate of contribution during the next year is H9.55 Crores..

xi. The Company has defined benefit plans for Gratuity to eligible employees. The contributions for which are made to Life Insurance Corporation of India who invests the funds as per Insurance Regulatory Development Authority guidelines.

The discount rate is based on the prevailing market yields of Government of India securities as at the

balance sheet date for the estimated term of the obligations.

The expected contributions for Defined Benefit Plan for the next financial year will be in line with FY

2022-23.

The actuarial liability for compensated absences as at the year ended 31st March, 2023 is H47.64 Crores (As at 31st March, 2022 H45.06 Crores).

62 Du ring the financial year 2019-20, the erstwhile wholly owned subsidiary of the Company, Raipur Energen Limited (now amalgamated with the Company), had issued 4,15,86,207 nos. of 0.01% Compulsory Redeemable Preference shares (CRPS) of H100/- each amounting to H415.86 Crores. On account of amalgamation, the Company cancelled the CRPS and issued fresh CRPS on the same terms, The instrument is redeemable in 3 equal installments by 30th June, 2038. During the current year, dividend of H0.11 Crores for the period upto 31st March, 2022 has been paid. Further, the Board of Directors of the Company has proposed dividend of H0.04 Crores for the Financial Year 2022-23 which is subject to approval of the shareholders.

Considering CRPS as compound financial instrument, these are accounted for as liability of H71.37 Crores and other equity (under capital reserve) of H344.49 Crores on initial recognition. Interest on liability component is accounted for as interest expense, using the effective interest method.

63 Du ring the financial year 2021-22, the erstwhile wholly owned subsidiary of the Company, Adani Power (Mundra) Limited (now amalgamated with the Company), had issued 5,00,00,000 nos. of upto 5% Noncumulative Compulsory Redeemable Preference Shares ("NCRPS”) of H100 each amounting to H500 Crores and called H60 per share till the reporting date amounting to H300 Crores and balance to be called at discretion of the issuer. On account of amalgamation, the Company cancelled the NCRPS and issued fresh NCRPS on the same terms,

The instrument is redeemable at any time at the option of the Issuer but not later than 20 years from the date of issue. These NCRPS are separated into liability of H53.45 Crores and equity components of H246.55 Crores considering the instrument as compound financial instrument. Interest on liability component is recognised as interest expense using the effective interest method.

64 Amalgamation of Adani Power Maharashtra Limited (''APML''), Adani Power (Mundra) Limited (''APMuL''), Adani Power Rajasthan Limited (''APRL''), Udupi Power Corporation Limited (''''UPCL''), Raipur Energen Limited ('

---

Mar 31, 2022

i) Of the above shares 183,89,12,932 Equity shares (Previous year - 183,89,12,932 Equity shares) have been pledged by the Company as additional security for secured term loans availed by APML.

ii) Of the above shares 61,20,00,000 Equity shares (Previous year - 61,20,00,000 Equity shares) have been pledged by the Company as additional security for secured term loans availed by APRL.

iii) Of the above shares 98,64,43,300 Equity shares (Previous year - 98,64,43,300 Equity shares) have been pledged by the Company as additional security for secured term loans availed by UPCL.

iv) The entire investment held in Adani Power (Mundra) Limited are pledged by the Company as additional security in favour of lenders of APMuL.

v) Of the above shares 5,10,000 Equity shares (Previous year - 5,10,000 Equity shares) have been pledged by the Company as additional security for secured term loans availed by REGL.

vi) Of the above shares 291,35,08,481 Equity shares (Previous year - 291,35,08,481 Equity shares) have been pledged by the Company as additional security for secured term loans availed by REL.

vii) Of the above shares 243,64,99,994 Equity shares (Previous year - 238,24,99,994 Equity shares) have been pledged by the Company as additional security for secured term loans availed by AP(J)L.

viii) Of the above shares 5,10,000 Equity shares have been pledged by the Company as additional security for secured term loans availed by MEL.

ix) Terms of Conversion of Unsecured Perpetual Securities : The same are perpetual in nature with no maturity or redemption and are callable only at the option of the issuer. The distribution on the same is cumulative and at the discretion of the issuer at the rate of 10% p.a.

x) The Company has invested Nil (Previous year C 761.28 Crores) into equity share capital of its wholly owned

subsidiary, AP(J)L for capital expansion.

xi) The Company has invested C 1,243.56 Crores (Previous year C Nil) into Optionally Convertible Debentures ("OCDs”) of its wholly owned subsidiary, AP(J)L for the purpose of development of power plant. These OCDs shall be optionally converted into equity share capital at fair value at the discretion of issuer or will be redeemed in full or part after 31^st December, 2037. These OCDs have 0% coupon rate till the completion of construction period and thereafter 100 basis points less than interest rate payable to lenders. Out Of the above, 11,12,55,900 OCDs (Previous year - Nil) have been pledged by the Company as additional security for secured term loans availed by AP(J)L. The fair value as at 31^st March, 2022 is C 1,120.36 Crores.

xii) The Company has invested C 118.70 Crores into OCDs of its wholly owned subsidiary MEL. These OCDs shall be optionally converted into equity share capital at fair value at the discretion of issuer or will be redeemed in full on completion of 10 years from the date of allotment. The fair value value as at 31^st March, 2022 is

C 46.02 Crores.

xiii) During the year, the company has sold its entire investment in shares of KPGL to APDL.

i) For charge created on Trade Receivables, refer note 20.

ii) Credit concentration

As at 31^st March, 2022, out of the total trade receivables, 78.96% (Previous year - 99.90%) pertains to dues from State Electricity Distribution Company under Long Term Power Purchase Agreement ("PPA”), 20.73% (Previous year - Nil) pertains to dues against traded goods and 0.31% (Previous year - Nil) from related parties (Refer note 61).

iii) Expected Credit Loss (ECL)

The Company is having majority of receivables against power supply from State Electricity Distribution Company which is a Government undertaking.

The Company is generally regular in receiving its normal power sale and trading goods related dues from its customer. In case of power sale to discom, the company is entitled to receive interest as per the terms of agreement on delayed payment. Hence, they are secured from credit losses in the future.

iv) Also refer note 43 and 60.

v) The fair value of Trade receivables are not materially different from the carrying value presented.

i) For charges created on Bank balances (Other than cash and cash equivalents), refer note 20.

ii) The fair value of Bank balances (Other than Cash and Cash equivalents) are not materially different from the

carrying value presented.

b. Terms / rights attached to equity shares

(i) The Company has only one class of equity shares having par value of C 10 per share. Each holder of equity

shares is entitled to one vote per share.

(ii) In the event of liquidation of the Company the holders of the equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the share holders.

During the year, the Company has issued additional Unsecured Perpetual Securities ("Securities”) of C 600.00 Crores (Previous year C 400.00 Crores) to Adani (Infra) India Limited. These securities are perpetual in nature with no maturity or redemption and are callable only at the option of the Company. The distribution on Securities are cumulative at 9% to 11% p.a. and at the discretion of the Company. As these Securities are perpetual in nature and ranked senior only to the Equity Share Capital of the Company and the Company does not have any redemption obligation, these are considered to be in the nature of equity instruments.

Notes:

i) Capital Reserve of C 359.80 Crores was created due to amalgamation of Growmore Trade and Investment Private Limited with the Company in the financial year 2012-13. As per the order of the Hon''ble High Court

of Gujarat, the capital reserve created on amalgamation shall be treated as free reserve of the Company. Further, Capital reserve of C 106.00 Crores was created due to Scheme of Arrangement for the transfer of

Company''s 4620 MW thermal power undertaking at Mundra to APMuL from appointed date of 31^st March, 2017.

ii) Securities premium represents the premium received on issue of shares over and above the face value of equity shares. The reserve is available for utilisation in accordance with the provisions of the Companies

Act, 2013.

iii) General reserve of C 9.04 Crores was created in the FY 2015-16 due to merger of solar power undertaking acquired from Adani Enterprises Limited, as per the scheme of arrangement approved by order of the Hon''ble

High Court of Gujarat.

iv) Equity instruments through Other Comprehensive Income : The Company has elected to recognise changes in the fair value of certain investments in equity instruments in other comprehensive income. These changes in equity instruments are accumulated through Other Comprehensive Income within equity. The Company transfers amounts from this reserve to retained earnings when the relevant equity instruments are

derecognised.

v) Retained earnings represent the amount that can be distributed by the Company as dividend considering the requirements of the Companies Act, 2013. During the year, no dividends are distributed to the equity shareholders by the Company given the accumulated losses incurred by the Company.

1. The security details for the borrowing balances :

Rupee Term Loans from Banks aggregating to C 63.80 Crores (Previous year - C 124.29 Crores) are secured by first mortgage and charge on all present immovable and movable assets (including leasehold land) and to be secured on future assets of the Company''s 40MW solar power project situated near to Bhuj in Kutch

district of Gujarat on pari-passu basis.

2. Repayment schedule for the Secured borrowing balances:

a. The secured term loans from banks aggregating to C 63.80 Crores are repayable in one year in quarterly

instalments.

3. Repayment schedule for the Unsecured borrowing balances:

a. Unsecured loans from related parties of C 239.58 Crores (Previous year - C 856.11 Crores) are repayable on mutually agreed dates after a period of 24 months to 54 months till FY 2026-27.

b. Unsecured loans from others of C 150.04 Crores (Previous year - C 10.64 Crores) are repayable on mutually agreed dates within period of 24 months till FY 2023-24.

i) Out of above unused tax business losses of C 5,390.77 Crores will expire in AY 2025-26, C 336.98 Crores will expire in AY 2027-28, C 1,047.47 Crores will expire in AY 2028-29 and C 67.60 Crores will expire in AY 203031. Unabsorbed depreciation of C 7,356.44 Crores do not have expiry.

ii) No Deferred Tax Asset has been recognised on the above as there is no reasonable certainty that sufficient taxable profit will be available in the future years against which unutilised tax losses can be utilised by the Company.

i) Trade payables mainly include amount payable towards operation and maintenance and trading related vendors in whose case credit period allowed is less than 12 months.

ii) The fair value of Trade payables is not materially different from the carrying value presented.

i) Matters relating to Income Tax from AY 2010-11 to 2012-13, AY 2014-15, AY 2017-18, AY 2018-19 are being contested at various levels of Tax authorities.

ii) The Company has assessed that it is only possible, but not probable, that outflow of economic resources will

be required.

Commitments :

i) There are no outstanding capital commitments as at 31^st March, 2022 and 31^st March, 2021.

ii) The Company has given a commitment to lenders of REL that it will not transfer its 49% equity holding in REL except with the prior approval of lenders. The Company has similarly given a commitment to lenders of REGL and MEL that it will not transfer its 49% equity holding in REGL and MEL outside the Group, except with the

„ orior approval of lenders.

38 As at 31^st March, 2022, the Company is carrying investment of C 219.80 Crores, Unsecured Perpetual Securities of C 5,050.00 Crores and outstanding loans (including accrued interest) of C 3,989.04 Crores relating to its wholly owned subsidiary, Adani Power (Mundra) Limited ("APMuL") having power generation plants of 4620 MW. APMuL has reported net loss of C 335.93 Crores for the year ended 31^st March, 2022 (net loss of C 2,138.83 Crores for the year ended 31^st March, 2021) and has accumulated losses of C 14,689.89 Crores as at 31^st March, 2022, whereby the net worth of APMuL has been completely eroded. Further as at 31^st March, 2022, its current liabilities exceed current assets by C 1,339.07 Crores which include net payables of C 1,000.45 Crores to related parties.

Notwithstanding the above, as at reporting date, of the total available capacity of 4620 MW in APMuL, it has Power Purchase Agreement ("PPA”) / Supplementary Power Purchase Agreement ("SPPA”) (under Bid

1 and Bid 2) with Gujarat Urja Vikas Nigam Limited ("GUVNL”) of 1200 MW and 1234 MW, for which APMuL is allowed compensation for imported coal in terms of SPPA dated 5 ^th December, 2018. APMuL also has PPAs of 1424 MW with Uttar Haryana BijIi Vitran Nigam Limited and Dakshin Haryana BijIi Vitran Nigam Limited ("Haryana Discoms”) for which Central Electricity Regulatory Commission ("CERC”) and Appellate Tribunal for Electricity ("APTEL”) has allowed change in law claims towards shortage of coal under New Coal Distribution Policy ("NCDP”) for the power supplied. The residual capacity of APMuL is utilised to sell power on merchant basis. APMuL continues to supply power to GUVNL and Haryana Discoms, pending resolution of certain matters under dispute and the management is reasonably confident of realising all the receivables.

In order to settle the ongoing disputes with respect to Bid -1 and Bid-2, both APMuL and GUVNL signed a

Settlement Deed on 3^rd January 2022 and jointly approached the Hon''ble Supreme Court to place on record the Settlement Deed to resolve and withdraw all pending cases related to Bid 1 & Bid 2 PPA / SPPAs.

During the year, Hon''ble Supreme Court vide its order dated 8^th February, 2022, has disposed off curative petition filed by GUVNL for Bid 2 termination, taking on record Settlement Deed. Further, the CERC vide its order dated 21^st February, 2022 disposed off the pending matters related to Bid 2 compensation, unilateral deduction for Bid 1 PPA and recall of SPPA.

Further, both parties have agreed to amend the energy charge rate / formula for power sales under Bid 1 & Bid 2 SPPAs, with retrospective effect from 15^h October, 2018, which shall be determined by CERC and approved by Government of Gujarat. Accordingly, APMuL has entered into SPPA with GUVNL dated 30^th

March, 2022 for Bid 1 and Bid 2 PPA which is pending with CERC for approval.

The management expects that APMuL will sustain its operational performance from sale of power to

GUVNL, Haryana Discoms and on merchant basis.

The management has also made long term assessment of recoverable amount of APMuL''s power generation assets that has factored better operational parameters leading to better operational and financial performance of APMuL. The management believes that over foreseeable future, APMuL would be able to establish profitable operations and meet its liabilities as and when they fall due and Hence, no provision / adjustment is considered necessary to the carrying value of the said investments and loans (including accrued interest) aggregating to C 9,258.84 Crores as at 31^st March, 2022.

39 The Company has determined the recoverable amounts of the Power Plants over its useful life under Ind AS

36, Impairment of Assets based on the estimates relating to tariff, operational performance of the plants, life extension plans, inflation, terminal value etc. which are considered reasonable by the Management.

On a careful evaluation of the aforesaid factors, the Management of the Company has concluded that the recoverable values of the Power Plants is higher than their carrying amounts as at 31^st March, 2022. However, if these estimates and assumptions were to change in future, there could be corresponding

impact on the recoverable amounts of the Plants.

40 As at 31st March, 2022, the Company is carrying equity investment of C 4,205.92 Crores, Unsecured Perpetual Securities of C 750.00 Crores relating to its wholly owned subsidiary APML, equity investment of C 1,200 Crores and Unsecured Perpetual Securities of C 2,200 Crores relating to its wholly owned subsidiary APRL, equity investment of C 2,205.02 Crores relating to its wholly owned subsidiary UPCL, equity investment of C 358.58 Crores and outstanding loans of C 2,236.82 Crores relating to its wholly owned subsidiary REGL, equity investment of C 53.19 Crores and outstanding loans of C 848.13 Crores relating to its wholly owned subsidiary REL, equity investment of C 28.45 Crores, OCD investment of C 118.72 Crores and outstanding loans of C 600.57 Crores relating to its wholly owned subsidiary MEL.

APML and APRL own and operate 3300 MW and 1320 MW coal based power plants respectively with major capacities tied up under power purchase agreements ("PPAs”) for twenty five years with substantially fixed tariffs. The PPAs for these plants were made based on the commitments / understanding that domestic coal linkages would be available to meet the fuel requirements. However, adequate coal linkages could not be made available due to various reasons, including government policies, not attributable to the respective subsidiary companies.

In case of APRL, the Hon''ble Supreme Court vide its order dated 31^st August, 2020 upheld the allowance of tariff compensation, including carrying cost thereon, for the additional costs incurred by APRL due to shortfall in availability of domestic linkage coal under NCDP and SHAKTI policy.

In case of APML, in the matter of additional costs incurred by APML for 2500 MW power generation capacity due to shortfall in availability of domestic coal under New Coal Distribution Policy ("NCDP”) and Scheme of Harnessing and Allocating Koyala (Coal) Transparently in India ("SHAKTI”) policy of the government and

on account of non-availability of coal due to cancellation of Lohara coal block for APML''s 800 MW power generation capacity, MERC and APTEL has allowed compensation for change in law claims. However, Maharashtra State Electricity Distribution Company Limited ("MSEDCL”) has filed an appeal in Hon''ble Supreme Court against the APTEL order in both the matters.

UPCL owns and operates 1200 MW coal based power plants. UPCL sell the power generated mainly on Long term PPA and merchant basis. REL and REGL which were acquired during the year ended 31st March, 2020 owns and operates 1370 MW and 600 MW coal based power plants respectively. MEL which was acquired during the year ended 31st March, 2022 owns and operates 1200 MW coal based power plants. These Companies sell the power generated mainly on Medium term PPA, Short term PPA and merchant basis and management expects that these companies would be able to generate adequate cash flows from future operations to meet its financial commitment.

Based on above, the Management of the Company has concluded that over foreseeable future, these subsidiaries would continue profitable operations and hence, the carrying value of its investments and

loans are fully recoverable as at 31^st March, 2022.

42 Financial Risk Management Objective and Policies :

The Company''s risk management activities are subject to the management direction and control under the framework of Risk Management Policy as approved by the Board of Directors of the Company. The Management ensures appropriate risk governance framework for the Company through appropriate policies and procedures and the risks are identified, measured and managed in accordance with the Company''s policies and risk objectives,

In the ordinary course of business, the Company is exposed to Market risk, Credit risk and Liquidity risk.

(i) market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, foreign currency risk and commodity price risk.

a) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the part of Company''s debt obligations with floating interest rates.

The Company manages its interest rate risk by having a mixed portfolio of fixed and variable rate loans and borrowings.

The sensitivity analysis have been carried out based on the exposure to interest rates for instruments not hedged against interest rate fluctuation at the end of the reporting period. The said analysis has been carried out on the amount of floating rate borrowings outstanding at the end of the reporting period.

The year end balances are not necessarily representative of the average debt outstanding during the year. A 50 basis point increase or decrease represents managements assessment of the reasonably possible change in interest rates.

In case of fluctuation in interest rates by 50 basis points on the exposure on borrowings (having fluctuating rate) of C 63.80 Crores as on 31^st March, 2022 (Previous year - C 124.29 Crores) and if all other variables were held constant, the Company''s profit or loss for the year would increase or decrease as follows:

	For the year ended	For the year ended
	31st March, 2022	31st March, 2021
Impact on Profit or Loss before tax for the year	0.32	0.62
Impact on Equity	0.32	0.62

b) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the Company''s operating activities. The Company manages its foreign currency risk by hedging transactions that are expected to realise in future. The Company also enters into various foreign exchange contracts to mitigate the risk arising out of foreign exchange rate movement on foreign currency borrowings and trade payables.

Every one percentage point depreciation / appreciation in the exchange rate between the Indian rupee and U.S.dollar on the exposure of $ 0.40 million as on 31^st March, 2022 and $ 0.46 million as

on 31^st March, 2021, would have affected the Company''s profit or loss for the year as follows:

	Impact of change in USD to INR rate
	For the year ended 31st March, 2022	For the year ended 31st March, 2021
Impact on Profit or Loss before tax for the year	0.03	0.03
Impact on Equity	0.03	0.03

c) Commodity price risk

The Company is affected by the price volatility of commodities being traded. As it requires the ongoing purchase / sale of traded goods, the Company monitors its purchases and sales closely to optimise the price.

(ii) Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or

customer contract, leading to a financial loss.

The Company has majority of receivables from State Electricity Boards which are Government

undertakings and based on contractual rights have interest clause on delayed payments and against sale of traded goods with credit period of 30 to 45 days, hence they are secured from credit losses in

the future.

The Company has issued financial guarantees to banks on behalf of and in respect of loan facilities availed by its subsidiaries. In accordance with the policy of the Company, the Company has recognised

these financial guarantees as liability at fair value (Refer note 21 and 26). The value of financial guarantee contracts given by the Company as at 31^st March, 2022 is C 11,439.85 Crores (Previous year

C 9,174.17 Crores).

(iii) Liquidity risk

The Company monitors its risk of shortage of funds using cash flow forecasting models. These models consider the maturity of its financial investments, committed funding and projected cash flows from operations. The Company''s objective is to provide financial resources to meet its business objectives in a timely, cost effective and reliable manner and to manage its capital structure. A balance between continuity of funding and flexibility is maintained through continued support from lenders, trade creditors as well as subsidiaries/other related parties.

44 Capital management :

The Company''s objectives when managing capital is to safeguard continuity, maintain a strong credit rating and healthy capital ratios in order to support its business and provide adequate return to shareholders through continuing growth. The Company''s overall strategy remains unchanged from previous year.

The Company sets the amount of capital required on the basis of annual business and long-term operating plans which include capital and other strategic investments.

The funding requirements are met through a mixture of equity, perpetual debt, internal fund generation and other debts. The Company monitors capital and debt on the basis of the debt to equity ratio (Also refer note

62(ii)).

The Carrying amount of financial assets and financial liabilities measured at amortised cost in the financial statements are reasonable approximation of their fair value, since the Company does not anticipate that the carrying amount would be significantly different from the values that would

eventually be received or settled.

Upon the application of Ind AS 109 Financial Instruments'', the Company has chosen to designate Investment in CCPS as at FVTOCI.

Investments in subsidiaries are accounted at historical cost. Since these are scoped out of Ind AS 109

for the purposes of measurement, the same have not been disclosed above.

46 Level wise disclosure of fair value for financial instruments requiring fair value measurement/ disclosure :

As at 31^st March, 2022, the Company does not have any financial asset or liability measured at fair value, disclosure of fair value hierarchy and disclosure of category-wise assets and liabilities is not relevant. All

financial assets and liabilities of the Company have been valued at amortised cost and their values are not expected to be different than those presented in financial statements.

The fair value for Level 3 instruments is valued using inputs based on information about market participants

assumptions and other data that are available.

A one percent point change in the unobservable input used in fair value of Level 3 asset do not have

significant impact in its value.

There have been no transfers between Level 1 and Level 2 during the year.

48 As per para 4 of Ind AS 108 "Operating Segments”, if a single financial report contains both consolidated financial statements and the separate financial statements of the Parent Company, segment information may be presented on the basis of the consolidated financial statements. Thus, the information related to disclosure of operating segments required under Ind AS 108 "Operating Segments”, is given in Consolidated

Financial Statements,

49 As per Ind AS - 19 "Employee Benefits", the disclosures are given below.

(a) (i) Defined Benefit Plan

The Company operates a defined benefit plan (the Gratuity plan) covering eligible employees, which provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee''s salary and the tenure of employment,

ix. Asset Liability Matching Strategies

The Company has funded benefit plan and has purchased insurance policy, which is basically a year-on-year cash accumulation plan in which the interest rate is declared on yearly basis and is guaranteed for a period of one year. The insurance company, as part of the policy rules, makes payment of all gratuity outgoes happening during the year (subject to sufficiency of funds under the policy). The policy, thus, mitigates the liquidity risk. However, being a cash accumulation plan, the duration of assets is shorter compared to the duration of liabilities. Thus, the Company is exposed to movement in interest rate (in particular, the significant fall in interest rates, which should result in a increase in liability without corresponding increase in the asset).

x. Effect of Plan on Entity''s Future Cash Flows

a) Funding arrangements and Funding Policy

The Company has purchased an insurance policy to provide for payment of gratuity to the employees. Every year, the insurance company carries out a funding valuation based on the latest employee data provided by the Company. Any deficit in the assets arising as a result of

such valuation is funded by the Company.

b) Expected Contribution during the next annual reporting period

The Company''s best estimate of Contribution during the next year is C Nil.

c) Maturity Profile of Defined Benefit Obligation

Weighted average duration (based on discounted cash flows) - 9 years.

xi. The Company has defined benefit plan for Gratuity to eligible employees, the contributions for which are made to Life Insurance Corporation of India who invests the funds as per Insurance Regulatory Development Authority guidelines.

The discount rate is based on the prevailing market yields of Government of India''s securities as at

the balance sheet date for the estimated term of the obligations.

52 The Company has reported losses of C 182.23 Crores and C 498.74 Crores for the year ended 31^st March, 2022 and 31^st March, 2021, respectively. The Company has 40 MW solar plant and it has continued to operate 12,450 MW Thermal Power Undertaking through its wholly owned subsidiaries, although the operational performance has got impacted due to fluctuations in international and domestic coal prices and pending matters relating to billable compensatory tariff / change in law claims on discoms for various additional cost components incurred during the earlier years which are likely to result in positive outcome, based on the favourable regulatory orders received in various cases. Further, as at 31^st March, 2022, its current liabilities exceed current assets by C 11,522.85 Crores, which includes net payable of C 11,797.57 Crores to related parties.

Notwithstanding the above, the financial statements of the Company have been prepared on a going concern basis as the management believes that in view of various favourable orders from regulatory authorities, over the foreseeable future the Company and its subsidiaries would be able to continue profitable operations and will meet its financial obligations in next twelve months based on continued support expected from various stakeholders including unconditional financial support from promoter group companies and availability of financing from lenders as may be required to sustain its operations on a going concern basis.

53 The Code on Social Security, 2020 (''Code'') relating to employee benefits during employment and postemployment benefits received Presidential assent in September 2020. The Code has been published in the Gazette of India. However, the date on which the Code will come into effect has not been notified and the final rules/interpretation have not yet been issued. The Company will assess the impact of the Code when it comes into effect and will record any related impact in the period the Code becomes effective.

54 The Company received deemed contribution from promoter group as detailed hereunder:

(a) During the financial year 2019-20, Adani Properties Private Limited ("APPL”), a promoter group entity, through a special purpose vehicle entity ("SPV”), had acquired economic and financial interest in another company owning certain land ("underlying assets”), which were under title disputes / litigation and also subject to significant third party claims, under Insolvency and Bankruptcy Code process. Subsequent to the acquisition, APPL infused further funds into the SPV to resolve the disputed claims on land encumbrances etc. The total investment by APPL and other parties aggregated to C 400.00 Crores via subscription towards CCPS.

On 18^th January, 2021, APPL and other parties sold the entire tranche of CCPS to the Company with economic interest in the underlying assets, at actual cost incurred by them. The Company later undertook a detailed exercise to assess the fair value of the CCPS based on value of the underlying assets and possible end use thereof. The difference between cost and fair value of C 994.47 Crores, was accounted as deemed equity contribution from the promoter group, recorded under Other Equity.

Subsequently, on 30^th March, 2021, the company sold the aforesaid CCPS to a promoter group company for agreed consideration of C 1,415.23 Crores, the proceeds whereof were realised fully before 31^st March, 2021.

The net gains on such sale of CCPS computed on arm''s length basis amounting to C 3.76 Crores was accounted as fair value gains under other comprehensive income in previous year.

(b) During the year ended 31^st March, 2021, the Company subscribed to 1,00,00,000 Nos. CCPS of

Shankheshwar Buildwell Private Limited (SBPL), a wholly owned subsidiary of APPL, at book value of C 10 each aggregating to C 10.00 Crores, to acquire interest in certain underlying land assets.

The Company recognized deemed equity contribution from the promoter group of C 778.46 Crores, being the difference between the purchase consideration of CCPS and fair value of the Company''s economic and financial interest in SBPL (underlying land assets held by SBPL) which was recorded in

Other Equity.

On 30^th March 2021, the company entered into agreement with a promoter group company for sale of the CCPS, at mutually agreed value of C 815.40 Crores. As per the terms of the agreement, the company received advance of C 733.86 Crores, and the said CCPS was classified as assets held for sale as at 31^st March, 2021, pending fulfilment of the conditions precedent by the Company.

During the current year, balance consideration of C 81.54 Crores has been received and the said CCPS have been transferred to the promoter group company. The gain on such sale of CCPS computed on arm''s length basis amounting to C 26.94 Crores has been accounted as fair value gains under other comprehensive income during the current year.

55 The Board of Directors of the Company at its meeting held on 22^nd March, 2022 approved the scheme of amalgamation of wholly owned subsidiaries of the Company, viz, Adani Power Maharashtra Limited, Adani Power Rajasthan Limited, Adani Power (Mundra) Limited, Udupi Power Corporation Limited, Raipur Energen Limited and Raigarh Energy Generation Limited with the Company, with appointed date of October 1, 2021, under section 230 to 232 and other applicable provisions of the Companies Act, 2013. The Scheme will be effective on receipt of regulatory approvals and on fulfilment of conditions precedent therein. Accordingly, impact of the said scheme has not been considered in the financial statements.

56 In the matter of acquisition of Essar Power MP Limited("EPMPL”) through Insolvency and Bankruptcy Code, National Company Law Tribunal ("NCLT”) has passed an order dated 1^st November, 2021 approving the resolution plan. The Company acquired control over EPMPL w.e.f. 16^th March 2022 on fulfilment of conditions precedent on infusion of agreed amount of equity capital of C 1 crores alongwith upfront payment of C 600 crores to the lenders. Subsequent to the acquisition, the name of EPMPL has been changed to Mahan Energen Limited ("MEL”). Further, transaction cost added to investment is C 1.69 Crores.

57 Based on the information available with the Company, there is no transaction with struck off companies

except as follows :

58 In order to support the operations, REGL and REL sought interest waiver on unsecured interest bearing inter corporate deposits for previous financial year from the Company for C 189.97 Crores and C 96.25 Crores

respectively. The Company accepted the request for interest waiver which was reflected as reversal under other income of previous year.

59 The board of directors and shareholders of the Company, in their meetings held on 22^nd June, 2020 and 23^rd July, 2020, respectively, have approved the delisting proposal as earlier received from Adani Properties Private Limited, a member of the promoter and the promoter group company. The Company is in process of taking necessary actions for voluntary desilting of its equity shares, in terms of and in compliance with the

applicable SEBI Regulations and other applicable laws. Towards this, the Company has made an application to the stock exchanges for their in-principle approval.

60 GUVNL vide its letter dated 21^st May, 2021 has raised certain claims on the Company for excess energy injected for the period 1^st April, 2017 to 31^st October, 2020 from the 40 MW solar power plant at Bitta in terms of the power purchase agreement and has withheld C 72.10 Crores against power supply dues in current year. The Company has denied contention of GUVNL and has filed a petition with Gujarat Electricity Regulatory Commission ("GERC”) in the matter and order is reserved by GERC. The Company expects favourable outcome in the matter.

i) Except for secured loan given to subsidiary of C 53.86 Crores, (Previous year C 57.72 Crores), the other balances outstanding are unsecured and will be settled in cash or kind.

ii) Accrued Interest for the year of C 466.43 Crores (Previous year - C 280.72 Crores) and C 333.94 Crores (Previous year - C 0.40 Crores) on borrowings and loans given respectively from / to related parties, have been converted to the borrowings and loan given balances as on reporting date as per the terms of Contract.

iii) Refer note 54 in respect of details of CCPS transactions with Promoter Group Companies.

iv) Refer note 5 in respect of details relating to security provided on behalf of subsidiaries of the Company.

63 No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other persons or entities, including foreign entities ("Intermediaries”) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries). Further, No funds have been received by the Company from any parties (Funding Parties) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the funding party or provide any guarantee, security or the like on behalf thereof.

64 According to the management''s evaluation of events subsequent to the balance sheet date, there were no significant adjusting events that occurred other than those disclosed / given effect to, in these financial

statements as of 5^th May, 2022.

---

Mar 31, 2021

i) Of the above shares 1,83,89,12,932 Equity shares (Previous year - 1,83,89,12,932 Equity shares)

have been pledged by the Company as additional security for secured term loans availed by Adani

Power Maharashtra Limited.

ii) Of the above shares 61,20,00,000 Equity shares (Previous year - 61,20,00,000 Equity shares)

have been pledged by the Company as additional security for secured term loans availed by Adani

Power Rajasthan Limited.

iii) Of the above shares 98,64,43,300 Equity shares (Previous year - 98,64,43,300 Equity shares)

have been pledged by the Company as additional security for secured term loans availed by Udupi

Power Corporation Limited.

iv) Of the above shares 5,10,000 Equity shares (Previous year - 5,10,000 Equity shares) have been

pledged by the Company as additional security for secured term loans availed by Raigarh Energy

Generation Limited.

v) Of the above shares 2,91,35,08,481 Equity shares (Previous year - 2,91,35,08,481 Equity shares)

have been pledged by the Company as additional security for secured term loans availed by Raipur

Energen Limited.

vi) Of the above shares 2,38,24,99,994 Equity shares (Previous year - 1,67,52,15,495 Equity shares) have

been pledged by the Company as additional security for secured term loans availed by Adani Power (Jharkhand) Limited. Additionally 5,40,00,000

Equity shares have been pledged by Company on 29^th April, 2021.

vii) The entire investment held in Adani Power (Mundra) Limited ("APMuL'') are pledged in favour of lenders

of APMuL.

viii) During the previous year, National Company Law Tribunal ("NCLT") vide its order dated 24^th June, 2019, approved the Company''s resolution plan in respect of corporate insolvency resolution process of Raigarh Energy Generation Limited ("REGL'') (Earlier known as Korba West Power Company Limited ("KWPCL'')). The Resolution Professional vide its letter dated 20^th July, 2019, handed over 100% control of REGL to the Company on fulfilment of conditions precedent as per the Resolution Plan and on payment of agreed consideration of H 1 Crore towards infusion / purchase of 100% equity. Accordingly, REGL become wholly owned subsidiary of the Company with effect from 20^th July, 2019.

ix) The Company through Share Purchase Agreements ("SPAs") dated 29^th June, 2019 with the owners and lenders of Raipur Energen Limited ("REL'') (Earlier known as GMR Chhattisgarh Energy Limited ("GCEL'')) acquired 100% equity stake in REL, which owns and operates a 1370 MW thermal power plant in state of Chhattisgarh. During the previous year, the Company acquired 100% control over REL w.e.f. 2^nd August, 2019 on fulfilment of conditions precedent as per SPAs (restructuring of REL loans to sustainable level), and on payment of agreed consideration of H 16 only towards purchase of equity. Accordingly, REL became 100% subsidiary of the Company with effect from 2^nd August, 2019.

x) Terms of Conversion of Unsecured Perpetual Securities ("Securities''): These Securities are perpetual in nature with no maturity or redemption

5 Non-current Investments (Contd.)

and are callable only at the option of the issuer. The distribution on these Securities are cumulative and at the discretion of the issuer at the rate of 10% p.a.

xi) During the year, the Company has invested H 761.28 Crores (Previous year H 435.17 Crores) into equity share capital of its wholly owned subsidiary, Adani Power (Jharkhand) Limited for capital expansion. and has converted loan of H Nil (Previous year -H 175.00 Crores) given to Adani Power (Jharkhand) Limited, into investment in its equity share capital.

xii) During the year, the Company has invested in Compulsorily Convertible Debentures ("CCDs”)

of Adani Power Dahej Limited, wholly owned subsidiary of the Company, for a consideration of H 198.15 Crores. These CCDs shall be mandatorily

converted into equity share capital at par in the ratio of 10 Equity shares for each CCPS after the

expiry of 10 years from the date of issuance.

xiii) Fair value of Financial guarantee obligation and ICD accounted as deemed investment.

i) For charge created on Trade Receivables, refer note 20.

ii) Credit concentration

As at 31^st March, 2021 , out of the total trade receivables, 99.90% (Previous year - 2.62%) pertains to dues from State Distribution Company under Long Term Power Purchase Agreement ("PPA”), Nil (Previous year - 39.43%) pertains to dues of traded goods and Nil (Previous year - 57.95%) from related parties.

iii) Expected Credit Loss (ECL)

The Company is having receivables against power supply from State Electricity Distribution Company which is a Government undertaking and against sale of trading goods with credit period of 30-45 days.

The Company is regularly receiving its normal power sale dues from its customer including Discoms and in case of delayed payment; the company is entitled to receive interest as per the terms of agreement. Hence, they are secured from credit losses in the future.

iv) The fair value of Trade receivables is not materially different from the carrying value presented.

b. Terms / rights attached to equity shares

(i) The Company has only one class of equity shares having par value of H 10 per share. Each holder of equity

shares is entitled to one vote per share.

(ii) In the event of liquidation of the Company the holders of the equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the share holders.

i) Capital Reserve includes H 359.80 Crores created due to amalgamation of Growmore Trade and Investment Private Limited with the Company in the financial year 2012-13 as per Section 391 to 394 of the Companies Act, 1956. As per the order of the Hon''ble High Court of Gujarat, the capital reserve created on amalgamation shall

be treated as free reserve of the Company.

ii) Securities premium represents the premium received on issue of shares over and above the face value of equity shares. The reserve is available for utilisation in accordance with the provisions of the Companies Act, 2013.

iii) General reserve of H 9.04 Crores was created in the FY 2015-16 due to merger of solar power undertaking acquired from Adani Enterprises Limited. As per the scheme of arrangement approved by order of the Hon''ble High Court of Gujarat, the difference between the value of assets acquired and the value of liabilities of the solar power undertaking transferred by Adani Enterprises Limited, has been treated as General Reserve of the

Company.

iv) Equity instruments through Other Comprehensive Income: The Company has elected to recognise changes in the fair value of certain investments in equity instruments in other comprehensive income. These changes in equity instruments are accumulated through Other Comprehensive Income within equity. The Company transfers amounts from this reserve to retained earnings when the relevant equity securities are derecognised.

v) Retained earnings represents the amount that can be distributed by the Company as dividends considering the requirements of the Companies Act, 2013. During the year, no dividends are distributed to the equity shareholders by the Company given the accumulated losses incurred by the Company.

1. The security details for the borrowing balances:

Rupee Term Loans from Banks aggregating to H 124.29 Crores (Previous year - H 191.21 Crores) are secured by first mortgage and charge on all present immovable and movable assets (including leasehold land) and to be secured on future assets of the Company''s 40MW solar power project situated near to Bhuj in Kutch district of

Gujarat on pari-passu basis.

2. Repayment schedule for the Secured borrowing balances:

a. The secured term loans from banks aggregating to H 124.29 Crores (Previous year - H 191.21 Crores) are repayable over a period of next 2 years in quarterly instalments for various loans from FY 2021-22 to FY

2022-23.

3. Repayment schedule for the Unsecured borrowing balances:

a. Unsecured loans from related parties of H 856.11 Crores (Previous year - H 1,152.77 Crores) are repayable on mutually agreed dates after a period of 36 months falling due in FY 2023-24.

b. Unsecured loans from others of H 10.64 Crores (Previous year - H 1,823.57 Crores) are repayable on mutually agreed dates within period of 24 months to 33 months from FY 2022-23 to FY 2023-24.

i) Matters relating to Income Tax from AY 2010-11 to 2012-13 and AY 2014-15 are being contested at various levels

of Tax authorities.

ii) The Company has assessed that it is only possible, but not probable, that outflow of economic resources will be

required.

Commitments:

i) There are no outstanding capital commitments as at 31^st March, 2021 and 31^st March, 2020.

ii) The Company has given a commitment to lenders of REL that it will not transfer its 49% equity holding in REL except with the prior approval of lenders. The Company has similarly given a commitment to lenders of REGL that it will not transfer its 49% equity holding in REGL outside the Adani Group except with the prior approval

of lenders.

39 As at 31^st March, 2021, the Company is carrying investment of H 219.80 Crores, Unsecured Perpetual Securities of H 5,050.00 Crores and outstanding loans (including accrued interest) of H 405.33 Crores relating to its wholly owned subsidiary, Adani Power (Mundra) Limited ("APMuL'') having power generation plants of 4620 MW, APMuL has reported net loss of H 2,138,83 Crores for the year ended 31^st March, 2021 (net loss of H 1,426.11 Crores for the year ended 31^st March, 2020), and has accumulated losses of H 14,353.96 Crores as at 31^st March, 2021, whereby net worth of APMuL has been completely eroded. Further as at 31^st March, 2021, its current liabilities exceed current assets by H 2,316.06 Crores which include net payables of H 1,400.23 Crores to related parties.

Notwithstanding the above, as at reporting date, of the total available capacity of 4620 MW in APMuL, it has Power Purchase Agreement ("PPA”) / Supplementary Power Purchase Agreement ("SPPA”) (under Bid 1)

with Gujarat Urja Vikas Nigam Limited ("GUVNL'') of 1200 MW, for which APMuL is allowed compensation for imported coal in terms of SPPA dated 5^th December, 2018. APMuL also has PPA of 1424 MW with Uttar Haryana BijIi Vitran Nigam Limited and Dakshin Haryana BijIi Vitran Nigam Limited ("Haryana Discoms") for which Central Electricity Regulatory Commission ("CERC”) has allowed change in law claims towards shortage of coal under New Coal Distribution Policy ("NCDP”) for the power supplied and residual capacity is utilised to sell the power on merchant basis after termination of 1234 MW of PPA/ SPPA (Bid 2) with GUVNL vide Hon''ble Supreme Court of India ("SC”) order dated 2^nd July, 2019 with retrospective effect from January, 2010. APMuL continues to supply power to GUVNL and Haryana Discoms, pending resolution of certain matters under dispute and the management is reasonably confident of realizing all the receivables. The management expects that APMuL will sustain its operational performance from sale of power to GUVNL, Haryana Discoms and on merchant basis along with expected significant compensation tariff on cancellation of Bid 2 PPA/ SPPA with GUVNL as detailed below based on the SC order.

APMuLs power purchase agreement of 1000 MW and SPPA of 234 MW (under Bid 2) with GUVNL got terminated vide order dated 2^nd July, 2019 of the Hon''ble Supreme Court of India ("SC”) in the matter of civil appeal dated 8^th November, 2011 with retrospective effect from respective date of PPAs . The SC has allowed APMuL to claim compensatory tariff towards cancellation of PPA since January 2010, in accordance with section 62 of the Electricity Act, 2003 and the CERC (Terms and Conditions of Tariff) Regulation 2009. APMuL has filed the petition on 2^nd September, 2019 with CERC for determination of compensatory tariff. The proceedings in the matter, are in progress and the compensation claim is not yet decided by the CERC. As at reporting date, APMuL and GUVNL have both filed petitions with CERC to settle claims and contractual arrangement in terms of Bid 1 and Bid 2 PPAs pursuant to the SC Order dated 2^nd July, 2019. APMuL has not recognised any compensatory tariff in the books as at reporting date, pending settlement of the matter with GUVNL.

The management has also made long term assessment of recoverable amount of APMuL''s power generation assets that has factored better operational parameters such as coal prices, borrowing cost, power tariff, leading to better operational and financial performance of APMuL. The management believes that over foreseeable future, APMuL would be able to establish profitable operations and meet its liabilities as and when they fall due and hence, no provision / adjustment is considered necessary to the carrying value of the said investments / loans (including accrued interest) aggregating to H 5,675.13 Crores as at 31^st March, 2021.

40 The Company has determined the recoverable amounts of the Power Plants over its useful life under Ind AS 36, Impairment of Assets based on the estimates relating to tariff, operational performance of the Plants, life extension plans, inflation, terminal value etc. which are considered reasonable by the Management.

On a careful evaluation of the aforesaid factors, the Management of the Company has concluded that the recoverable values of the Power Plants is higher than their carrying amounts as at 31^st March, 2021. However, if these estimates and assumptions were to change in future, there could be corresponding impact on the

recoverable amounts of the Plants.

41 Due to ongoing impact of COVID-19 globally and in India, the Company has assessed likely adverse impact on economic environment in general and financial risks on account of COVID-19. The Company and its subsidiaries (the "Group”) are in the business of generation of electricity which is an essential service as emphasised by the Ministry of Power, Government of India. The demand for power is continuously increasing with increase in economic activities in the Country, although demand may get impacted in short term due to lock downs in

various parts of the country. On long term basis, the Group does not anticipate any major challenge in operating the Group''s power plants at various locations and meeting its financial obligations. Basis above, the management has estimated its future cash flows for the Group which indicates no major impact in the operational and financial performance of the Group. The management will continuously monitor the performance of the Group and take appropriate remedial measures as needed to respond to the Covid related risks, if any.

42 As at 31^st March, 2021, the Company is carrying equity investment of H 4,205.92 Crores, Unsecured Perpetual Securities of H 750.00 Crores relating to its wholly owned subsidiary APML, equity investment of H 1,200 Crores and Unsecured Perpetual Securities of H 2,200 Crores relating to its wholly owned subsidiary APRL, equity investment of H 353.34 Crores and outstanding loans of H 2,047.77 Crores relating to its wholly owned subsidiary REGL and equity investment of H 53.19 Crores and outstanding loans of H 1,129.62 Crores relating to its wholly owned subsidiary REL.

APML and APRL own and operate 3300 MW and 1320 MW coal based power plants respectively with major capacities tied up under power purchase agreements ("PPAs”) for twenty five years with substantially fixed tariffs. The PPAs for these plants were made based on the commitments / understanding that domestic coal linkages would be available to meet the fuel requirements. However, adequate coal linkages could not be made available due to various reasons, including government policies, not attributable to the respective subsidiary companies. In response to the pleas to various regulatory authorities for compensating the losses due to above and orders passed thereof, the respective state electricity regulators have granted part relief on account of Change in Law. The Company''s management believes that APML and APRL, based on availability of linkage coal shall continue to supply power under the Long Term PPAs and will be eligible for relief on account of Change in Law / Force Majeure to compensate the operating losses for shortage of domestic coal. The SC in its order has upheld the APTEL''s order wherein directions were issued to Rajasthan Discoms to verify the claim documents submitted by APRL and make additional payments in terms of the judgement and order. The review petition filed by Rajasthan Discoms in the matter with the Hon''ble Supreme Court was rejected on 2^nd March, 2021. Considering that, Rajasthan Discoms are yet to verify the claim documents submitted by APRL for the quantification of the final amount of tariff compensation, APRL has not recognised any additional tariff compensation revenue, pending ascertainment of tariff compensation amount by Rajasthan Discoms, post verification of the claim and supporting documents submitted by APRL. As at reporting date, APRL has filed contempt petition with the Hon''ble Supreme Court against Rajasthan Discoms for non-compliance with the Hon''ble Supreme Court order dated 31^st August, 2020. As per the assessment by the Management, It is expected that equivalent amounts as recognised by APRL up to 31^st March, 2021 will be ultimately recovered. Having regard to above and the expectation that similar relief will continue to be available till existence of the aforesaid circumstances, the Management of the Company has concluded that no provision for impairment is considered necessary at this stage.

In addition to this, REL and REGL which were acquired during the previous year owns and operates 1370 MW and 600 MW coal based power plants respectively. These Companies sell the power generated mainly on Short term PPA and merchant basis and management expects that these companies would be able to generate adequate cash flows from future operations to meet its financial commitment.

43 The Company has not taken any derivatives to hedge its foreign currency exposures.

The details of foreign currency exposures not hedged by derivative instruments are as under:

The Company''s risk management activities are subject to the management direction and control under the framework of Risk Management Policy as approved by the Board of Directors of the Company. The Management ensures appropriate risk governance framework for the Company through appropriate policies and procedures and the risks are identified, measured and managed in accordance with the Company''s policies and risk objectives.

In the ordinary course of business, the Company is exposed to Market risk, Credit risk and Liquidity risk.

(i) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, foreign currency

risk and commodity price risk.

a) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the part of Company''s long-term debt obligations with floating interest rates.

The Company manages its interest rate risk by having a mixed portfolio of fixed and variable rate loans and borrowings.

The sensitivity analysis have been carried out based on the exposure to interest rates for instruments not hedged against interest rate fluctuation at the end of the reporting period. The said analysis has been carried out on the amount of floating rate long term liabilities outstanding at the end of the reporting period.

The year end balances are not necessarily representative of the average debt outstanding during the year. A 50 basis point increase or decrease represents management''s assessment of the reasonably possible change in interest rates.

In case of fluctuation in interest rates by 50 basis points on the exposure on long term borrowings (having fluctuating rate) of H 124.29 Crores as on 31^st March, 2021 (Previous year - H 191.21 Crores) and if all other variables were held constant, the Company''s profit or loss for the year would increase or decrease as follows:

b) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the Company''s operating activities. The Company manages its foreign currency risk by hedging transactions that are expected to realise in future. The Company manages its foreign currency risk by entering into derivative contracts for converting H loan into other foreign currency for taking advantage of lower cost of borrowing in stable currency environment. The Company also enters into various foreign exchange contracts to mitigate the risk arising out of foreign exchange rate movement on foreign currency borrowings and trade payables.

nil q 111 u y i il

44 Financial Risk Management Objective and Policies: (Contd.)

Every one percentage point depreciation / appreciation in the exchange rate between the Indian rupee and U.S.dollar on the exposure of $ 0.46 Million as on 31^st March, 2021 and $ 69.73 Million as on 31^st

March, 2020, would have affected the Company''s profit or loss for the year as follows:

c) Commodity price risk

The Company is affected by the price volatility of commodities being traded. As it requires the on-going purchase / sale of traded goods, the Company monitors its purchases and sales closely to optimise the price.

(ii) Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer

contract, leading to a financial loss.

The Company has majority of receivables from State Electricity Boards which are Government undertakings, hence they are secured from credit losses in the future.

The Company has issued financial guarantees to banks on behalf of and in respect of loan facilities availed by its subsidiaries. In accordance with the policy of the Company, the Company has recognised these financial guarantees as liability at fair value (Refer note 21 and 26). The value of financial guarantee contracts given by the Company as at 31^st March, 2021 is H 9,174.17 Crores (Previous year H 8,567.32 Crores).

(iii) Liquidity risk

The Company monitors its risk of shortage of funds using cash flow forecasting models. These models consider the maturity of its financial investments, committed funding and projected cash flows from operations. The Company''s objective is to provide financial resources to meet its business objectives in a timely, cost effective and reliable manner and to manage its capital structure. A balance between continuity of funding and flexibility is maintained through continued support from lenders, trade creditors as well as subsidiaries/other related parties.

Maturity profile of financial liabilities:

The table below provides details regarding the remaining contractual maturities of financial liabilities at the reporting date based on contractual undiscounted payments.

The Company''s objectives when managing capital is to safeguard continuity, maintain a strong credit rating and healthy capital ratios in order to support its business and provide adequate return to shareholders through continuing growth. The Company''s overall strategy remains unchanged from previous year.

The Company sets the amount of capital required on the basis of annual business and long-term operating plans which include capital and other strategic investments.

The funding requirements are met through a mixture of equity, perpetual debt, internal fund generation and other long term debt. The Company monitors capital and long term debt on the basis of the debt to equity ratio.

49 As per para 4 of Ind AS 108 "Operating Segments”, if a single financial report contains both consolidated

financial statements and the separate financial statements of the Parent Company, segment information may be presented on the basis of the consolidated financial statements. Thus, the information related to disclosure of operating segments required under Ind AS 108 "Operating Segments”, is given in Consolidated Financial

Statements.

50 As per Ind AS - 19 "Employee Benefits”, the disclosures are given below.

(a) (i) Defined Benefit Plan

The Company operates a defined benefit plan (the Gratuity plan) covering eligible employees, which provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee''s salary and the tenure of employment.

viii. Sensitivity Analysis

Significant actuarial assumptions for the determination of the defined benefit obligation are discount rate, expected salary increase and mortality. The sensitivity analysis below have been determined based on reasonably possible changes of the assumptions occurring at the end of the reporting period, while holding all other assumptions constant. The results of sensitivity analysis

is given below:

ix. Asset Liability Matching Strategies

The Company has funded benefit plan and has purchased insurance policy, which is basically a year-on-year cash accumulation plan in which the interest rate is declared on yearly basis and is guaranteed for a period of one year. The insurance company, as part of the policy rules, makes payment of all gratuity outgoes happening during the year (subject to sufficiency of funds under the policy). The policy, thus, mitigates the liquidity risk. However, being a cash accumulation plan, the duration of assets is shorter compared to the duration of liabilities. Thus, the Company is exposed to movement in interest rate (in particular, the significant fall in interest rates, which should result in a increase in liability without corresponding increase in the asset).

x. Effect of Plan on Entity''s Future Cash Flows

a) Funding arrangements and Funding Policy

The Company has purchased an insurance policy to provide for payment of gratuity to the employees. Every year, the insurance company carries out a funding valuation based on the latest employee data provided by the Company. Any deficit in the assets arising as a result of

such valuation is funded by the Company.

b) Expected Contribution during the next annual reporting period

The Company''s best estimate of Contribution during the next year is H Nil.

53 The Company has reported losses of H 498.74 Crores and H 1,340.56 Crores for the year ended 31^st March, 2021 and 31^st March, 2020, respectively. The Company has 40 MW solar plant and it has continued to operate 12,450 MW Thermal Power Undertaking through its wholly owned subsidiaries, although the operational performance has got impacted due to fluctuations in international and domestic coal prices and pending matters relating to billable compensatory tariff / change in law claims on discoms for various additional cost components incurred during the earlier years. Further, as at 31^st March, 2021, its current liabilities exceed current assets by H 6,052.24 Crores, which includes net payable of H 5,523.53 Crores for related parties.

Notwithstanding the above, the financial statements of the Company have been prepared on a going concern basis as the management believes that in view of various favourable orders from regulatory authorities, that over the foreseeable future the Company and its subsidiaries would be able to establish profitable operations and will meet its financial obligations in next twelve months based on continued support expected from various stakeholders including unconditional financial support from promoter group companies and availability of financing from lenders as may be required to sustain its operations on a going concern basis.

54 The Code on Social Security, 2020 (''Code'') relating to employee benefits during employment and postemployment benefits received Presidential assent in September, 2020. The Code has been published in the Gazette of India. However, the date on which the Code will come into effect has not been notified and the final rules/interpretation have not yet been issued. The Company will assess the impact of the Code when it comes into effect and will record any related impact in the period the Code becomes effective.

55 During the year ended 31^st March, 2021, the Company received deemed contribution from promoter group as

detailed hereunder:

(a) During the financial year 2019-20, Adani Properties Private Limited (“APPL”), a promoter group entity, through a special purpose vehicle entity ("SPV”), had acquired economic and financial interest in another company owning certain land ("underlying assets”), which were under title disputes / litigation and also subject to significant third party claims, under Insolvency and Bankruptcy Code process. Subsequent to the acquisition, APPL infused further funds into the SPV to resolve the disputed claims on land encumbrances etc. The total investment by APPL and other parties aggregated to H 400.00 Crores via subscription towards CCPS.

On 18^th January, 2021, APPL and other parties sold the entire tranche of CCPS to the Company with economic interest in the underlying assets, at actual cost incurred by them. The Company later undertook a detailed exercise to assess the fair value of the CCPS based on value of the underlying assets and possible end use thereof. The difference between cost and fair value of H 994.47 Crores, has been accounted as deemed equity contribution from the promoter group, recorded under Other Equity.

Subsequently, on 30^th March, 2021, the company sold the aforesaid CCPS to a promoter group company for agreed consideration of H 1,415.23 Crores, the proceeds whereof have been realised fully before 31^st March, 2021.

The net gains on such sale of CCPS computed on arm''s length basis amounting to H 3.76 Crores has been accounted as fair value gains under other comprehensive income.

(b) During the quarter ended 31^st March, 2021, the Company subscribed to 1,00,00,000 Nos. CCPS of

Shankheshwar Buildwell Private Limited (SBPL), a wholly owned subsidiary of APPL, at book value of H 10 each aggregating to H 10.00 Crores, to acquire interest in certain underlying land assets.

The Company has recognised deemed equity contribution from the promoter group of H 778.46 Crores, being the difference between the purchase consideration of CCPS and fair value of the Company''s economic and financial interest in SBPL (underlying land assets held by SBPL) which has been recorded in Other Equity.

On 30^th March 2021, the company has entered into agreement with a promoter group company for sale of the CCPS, at mutually agreed value of H 815.40 Crores. As per the terms of the agreement, the company has

received advance of H 733.86 Crores, and the said CCPS has been classified as assets held for sale as at 31^st March, 2021, pending fulfilment of the conditions precedent by the Company.

56 REGL and REL were acquired w.e.f. 20^th July, 2019 and 2^nd August, 2019 respectively by the Company. In order to support the operations, REGL and REL have sought interest waiver on unsecured interest bearing inter corporate deposits for current financial year from the Company for H 189.97 Crores and H 96.25 Crores

respectively, The Company has accepted the request for interest waiver which has been reflected as a reversal under other income.

57 The Company vide its letter dated 29^th May, 2020 has intimated BSE Limited and National Stock Exchange of India Limited (the "Stock Exchanges”) that it has received delisting proposal letter from APPL, a member of the Promoter and the Promoter group company, wherein APPL has expressed its intention, either by itself or together with other members of the Promoter group, to acquire all the equity shares of the Company held by the public shareholders of the Company, in terms of the applicable provisions of the Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009, as amended (the "SEBI Delisting Regulations”) and consequently, voluntarily delist the equity shares of the Company from the Stock Exchanges, in accordance with the SEBI Delisting Regulations.

Subsequently, the board of directors and shareholders of the Company have approved the Delisting proposal on 22^nd June, 2020 and 23^rd July, 2020, respectively. As at the reporting date, for voluntary delisting of Company''s equity shares, the Company is in process of taking necessary actions in terms of and in compliance with

the applicable SEBI Regulations and other applicable laws. Towards this, the Company has already made an application to the Stock Exchanges for their in-principle approval.

i) Except for secured loan given to subsidiary of H 57.72 Crores, (Previous year H 57.72 Crores), the other balances outstanding are unsecured and will be settled in cash or kind.

ii) Accrued Interest for the year of H 280.72 Crores (Previous year - H 302.83 Crores) and H 0.40 Crores (Previous year - H 467.11 Crores) on ICD taken and given respectively from / to related parties, have been converted to the

ICD balances as on reporting date as per the terms of Contract.

iii) Refer note 55 in respect of details of CCPS transactions with Promoter Group Companies.

59 According to the management''s evaluation of events subsequent to the balance sheet date, there were no significant adjusting events that occurred other than those disclosed/given effect to, in these financial

statements as of 6^th May, 2021.

---

Mar 31, 2019

1 Corporate information

The financial statements comprise financial statements of Adani Power Limited (the “Company” or “APL”) for the year ended 31st March, 2019. The Company is a public company domiciled in India and incorporated under the provisions of the Companies Act applicable in India. Its shares are listed on two recognized stock exchanges in India. The registered office of the Company is located at “Shikhar”, Near Adani House, Mithakhali Six Roads, Navrangpura, Ahmedabad - 380 009, Gujarat, India. The Company has installed capacity of 40 MW at Bitta village, Dist. Kutch, Gujarat to augment power supply in the state of Gujarat. The Company sells power generated from 40 MW solar power project under long term Power Purchase Agreement (PPAs).

The Company, together with its subsidiaries currently has multiple power projects located at various locations with a combined installed and commissioned capacity of 10480 MW. The Company sells power generated from these projects under a combination of long term Power Purchase Agreements and on merchant basis.

As at 31st March, 2019, S. B. Adani Family Trust (“SBAFT”) together with entities controlled by it has the ability to control the Company. The Company gets synergetic benefit of the integrated value chain of Adani group.

The financial statements were authorised for issue in accordance with a resolution of the directors on 29th May, 2019.

i) For charges created on the aforesaid assets, refer note 20 and 25.

ii) As at 1st April, 2017, numbers include amount towards tax and duty benefit in the nature of exemptions from Custom Duty, Excise Duty, Service Tax, VAT and CST on its project procurements with respect to its power plant located at Mundra, Gujarat. The said benefits were availed by virtue of SEZ approval granted to the Company in December 2006, in terms of the provisions of the Special Economic Zones Act, 2005 (hereinafter referred to as the ‘SEZ Act¹) and the Special Economic Zone Rules, 2006 which entitled the Company to procure goods and services without payment of taxes and duties as referred above.

Since, the procurement of goods and services during the project period were done by availing the exemption from payment of aforesaid taxes and duties, the amount capitalised for the said power plant as on the put to use date, is cost of property, plant and equipment (PPE) net off tax and duty benefit availed. In compliance with Ind AS 20 - “Government Grant”, the Company has opted to grossed up the value of its PPE bytheamount of tax and duty benefit availed by the Company after considering the same as government grant. The amount of said government grant (net off accumulated depreciation) as on the transition date has been added to the value of PPE with corresponding credit made to the deferred government grant.Theamountofgrantis depreciated as per useful life of PPE along with depreciation on PPE. The amount of deferred liability is amortised over the useful life of the PPE with credit to statement of profit and loss classified under the head “Other Income”.

iii) Cost of the Property, Plant and Equipment includes carrying value recognised as deemed cost as of 1st April, 2015, measured as per previous GAAP and cost of subsequent additions.

i) Of the above shares 183,89,12,932 Equity shares (165,57,44,119 Equity shares as at 31st March, 2018 and 1st April, 2017) have been pledged by the Company as additional security for secured term loans availed by Adani Power Maharashtra Limited.

ii) Of the above shares 61,20,00,000 Equity shares (61,20,00,000 Equity shares as at 31st March, 2018 and 1st April, 2017) have been pledged by the Company as additional security for secured term loans availed by Adani Power Rajasthan Limited.

iii) Of the above shares 98,64,43,300 Equity shares (98,64,43,300 Equity shares as at 31st March, 2018 and 1st April, 2017) have been pledged by the Company as additional security for secured term loans availed by Udupi Power Corporation Limited.

iv) For purchase / acquisition and sale of investment in Korba West Power Company Limited during the previous year, refer note 42.

v) The investment held in Adani Power (Mundra) Limited (“APMuL”) are pledged in favour of lenders of APMuL as at year end.

vi) During the current year, the Company has acquired 100% equity shares and Compulsorily Convertible Debentures of three Companies viz. Pench Thermal Energy (MP) Limited, Adani Power Dahej Limited and Kutchh Power Generation Limited for consideration of Rs. 323.83 crores as at 29th March, 2019. Hence these Companies became wholly owned subsidiaries of the Company. The Compulsory Convertible Debentures shall be mandatorily converted in to equity shares at par in the ratio of 10:1 at any time after the expiry of 5 years but before 20 years from the date of issue.

vii) Terms of Conversion of Unsecured Perpetual Securities (“Securities”): These Securities are perpetual in nature with no maturity or redemption and are callable only at the option of the issuer. The distribution on these Securities are cumulative and at the discretion of the issuer at the rate of 10% p.a.

viii) During the year, the Company has converted loan of Rs. 1,065.00 Crores given to Adani Power (Jharkhand) Limited, into investment in its equity share capital.

Notes :

i) For charge created on receivables, refer note 20 and 25.

ii) Credit concentration

As at 31st March 2019, out of the total trade receivables, 93.06% (As at 31st March, 2018 - 28.12% and as at 1st April, 2017 - 53.00%) pertains to dues from State Distribution Company under Long Term Power Purchase Agreement (“PPA”) and 6.94 % (As at 31st March. 2018 - 71.83% and as at 1st April, 2017 - 34.00%) from related parties for sale of coal / materials and remaining from others.

iii) Expected Credit Loss (ECL)

The Company is having majority of receivables against power supply from State Electricity Distribution Company which is a Government undertaking and from related parties.

The Company is regularly receiving its normal power sale dues from Discoms and in case of any disagreement / amount under dispute; the same is recognised on conservative basis which carries interest as per the terms of PPAs. Hence they are secured from credit losses in the future.

iv) The fair value of Trade receivables is not materially different from the carrying value presented.

Note :

i. For charges created on Cash and Cash Equivalents, refer note 20 and 25.

ii. As at 31st March, 2019, the Company has available ‘ Nil (As at 31st March, 2018 ‘ Nil and as at 1st April, 2017 Rs. 779.20 crores) of undrawn committed borrowing facilities.

Notes:

i) For charges created on Bank balances (Other than cash and cash equivalents), refer note 20 and 25.

ii) The fair value of Bank balances (Other than Cash and Cash equivalents) is not materially different from the carrying value presented.

i) The fair value of Other Current Financial Assets is not materially different from the carrying value presented.

ii) Includes options amounting to Rs.Nil (As at 31st March, 2018 - Rs. 0.83 crores and 1st April, 2017 - Rs.Nil) and Forward cover of Rs.Nil (As at 31st March, 2018 - Rs. 0.11 crores and as at 1st April, 2017 - Rs.Nil).

b. Terms / rights attached to equity shares

(i) The Company has only one class of equity shares having par value of Rs. 10 per share. Each holder of equity shares is entitled to one vote per share.

(ii) In the event of liquidation of the Company the holders of the equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the share holders.

Notes :

During the year, the Company has issued Unsecured Perpetual Securities (“Securities”) of Rs. 8,000.00 crores (net of redemption of Rs. 2,900.00 crores) to Adani Group Companies. These Securities are perpetual in nature with no maturity or redemption and are callable only at the option of the Company. The distributions on these Securities are cumulative at the rate of 10% p.a. and at the discretion of the Company, As these securities are perpetual in nature and ranked senior only to the Equity Share Capital of the Company and the Company does not have any redemption obligation, these are considered to be in the nature of equity instruments.

i) Capital Reserve of Rs. 359.80 crores was created due to amalgamation of Growmore Trade and Investment Private Limited with the Company in the financial year 2012-13 as per Section 391 to 394 of the Companies Act, 1956. As per the order of the Hon’ble High Court of Gujarat, the capital reserve created on amalgamation shall be treated as free reserve of the Company.

ii) Securities premium represents the premium received on issue of shares over and above the face value of equity shares. The reserve is available for utilisation in accordance with the provisions of the Companies Act, 2013.

iii) General reserve of Rs. 9.04 crores was created in the FY 2015-16 due to merger of solar power undertaking acquired from Adani Enterprises Limited. As per the scheme of arrangement approved by order of the Hon’ble High Court of Gujarat, the difference between the value of assets acquired and the value of liabilities of the solar power undertaking transferred by Adani Enterprises Limited, has been treated as General Reserve of the Company.

iv) Retained earnings represents the amount that can be distributed by the Company as dividends considering the requirements of the Companies Act, 2013. No dividends are distributed by the Company during the year.

Notes:

1. The security details for the borrowing balances :

a. Rupee Term Loans from Banks aggregating to Rs. 231.82 crores (As at 31st March, 2018 - Rs. 277.18 crores and as at 1st April, 2017 - Rs. 317.50 crores), Rupee Term Loans from Financial Institutions aggregating to Rs. Nil (As at 31st March, 2018 - Rs. Nil and as at 1st April, 2017 - Rs. 1,412.34 crores) and Foreign Currency Loans from Banks aggregating to Rs. Nil (As at 31st March, 2018 - Rs. Nil and as at 1st April, 2017 - Rs. 2,938.88 crores) are secured / to be secured by first charge on all immovable, movable assets and leasehold land of the Company on paripassu basis.

b. Rupee Term Loans from Banks and Trade credits aggregating to ‘ Nil (As at 31st March, 2018 - Rs. Nil and as at 1st April, 2017 - Rs. 9,762.18 crores) were further secured by pledge of Nil (As at 31st March, 2018 - Nil and as at 1st April, 2017 - 794,749,709) Equity Shares held by S. B. Adani Family Trust as First charge.

2. Repayment schedule for the borrowing balances:

a. The secured term loans from banks aggregating to Rs. 231.82 crores (As at 31st March, 2018 - Rs. 277.18 crores and as at 1st April, 2017 - Rs. 317.50 crores) are repayable over a period of next 4 years in quarterly to yearly basis (separate instalments for various loans) from FY 2019-20 to FY 2022-23.

b. Unsecured loans from related parties is of Rs. 3,768.79 crores (As at 31st March, 2018 - Rs. 551.37 crores and as at 1st April, 2017 - Rs. 680.36 crores) are repayable on mutually agreed dates after a period of 24 months to 60 months from FY 2021-22 to FY 2023-24.

c. Unsecured loans from others is of Rs. 5,126.13 crores (As at 31st March, 2018 - Rs. 1,460.86 crores and as at 1st April, 2017 - Rs. 49.70 crores) are repayable on mutually agreed dates within period of 12 months to 60 months from FY 2019-20 to FY 2023-24.

d. During the previous year, Pursuant to scheme of arrangement, the Company has transferred the Secured Term loan from Banks of Rs. 12,033.54 crores and Financial Institutions of Rs. 1,410.65 crores, Unsecured borrowing in nature of Debenture of Rs. 4,050.76 crores, Term loan from bank of Rs. 187.15 crores and Financial institutions of Rs. 497.53 crores to APMuL. (Refer note 53)

3. The amount disclosed in security details in note 1 above and repayment schedule in note 2 above are gross amount excluding adjustments towards upfront fees.

i) Out of above, unused tax losses of Rs. 5.808.60 crores will expire from AY 2021-22 to AY 2027-28. Unabsorbed depreciation of Rs. 7,532.27 crores do not have expiry.

ii) No Deferred Tax Asset has been recognised on the above unutilised tax losses and Unabsorbed depreciation as there is no reasonable certainty that sufficient taxable profit will be available in the future years against which they can be utilised by the Company.

Notes:

1. Trade Credits for working capital from banks of Rs. Nil (As at 31st March, 2018 - Rs. Nil and as at 1st April, 2017 - Rs. 2,728.48 crores) were secured by first mortgage and charge on respective immovable and movable assets of the Company.

2. Loans from Financial Institutions aggregating to Rs. Nil (As at 31st March, 2018 - Rs. Nil and as at 1st April, 2017 - Rs. 250.00 crores) were secured by second charge on all immovable and movable assets of the Company on paripassu basis & first charge by way of pledge of 49% paid up equity shares of Udupi Power Corporation Limited, Adani Power Rajasthan Limited and Adani Power Maharashtra Limited, respectively.

Notes:

i) Trade payables mainly include amount payable to coal suppliers and operation and maintenance vendors in whose case credit period allowed is less than 12 months. Company usually opens usance letter of credit in favour of the coal suppliers. Interest is charged by such suppliers for amount unpaid beyond the credit period. Since the average credit period is less than 12 months, the trade payable amount has been classified as current.

ii) The fair value of Trade payables is not materially different from the carrying value presented.

iii) Due to micro, small and medium enterprises

Under the Micro Small and Medium Enterprises Development Act, 2006, (MSMED) which came in to force from 2nd October, 2006, certain disclosures are required to be made relating to Micro, Small and Medium enterprises. On the basis of the information and records available with management, outstanding dues to the Micro and Small enterprise as defined in the MSMED Act, 2006 are disclosed as below.

The disclosure in respect of the amount payable to enterprises which qualify under the definition of micro and small enterprises, as defined under Micro, Small and Medium Enterprises Development Act, 2006 has been made based on the information received and available with the Company. On the basis of such information, no interest is payable to any micro, small and medium enterprises.

Note:

i) Interest income comprises of :

a) Interest income of Rs. 1,063.67 crores (Previous year - Rs. 290.95 crores) includes interest on fixed deposits with banks Rs. 20.20 crores (Previous Year - Rs. 16.22 crores), interest on loans and advances Rs. 1,043.47 crores (Previous Year - Rs. 274.73 crores); and

b) Interest income of Rs. 0.14 crores (Previous Year - Rs.Nil) on tax refunds.

ii) Miscellaneous income includes Rs.Nil (Previous Year - Rs. 0.40 crores) towards provision no longer required written back.

2. As at 31st March, 2019, the Company is carrying equity investment of Rs. 106.05 crores, Unsecured Perpetual Securities of Rs. 5,050.00 crores and outstanding loans of Rs. 6,415.02 crores relating to its wholly owned subsidiary APMuL. APMuL has reported loss of Rs. 1,046.71 crores for the year ended 31st March, 2019 and loss of Rs. 1,679.49 crores for the year ended 31st March, 2018, and has accumulated losses of Rs. 10,789.02 crores as at 31st March, 2019. Further, as at 31st March, 2019, its current liabilities exceed current assets by Rs. 3,347.56 crores, which includes net payables of Rs. 2,643.86 crores for related parties and the net worth of APMuL has been completely eroded based on the latest financial statements.

Notwithstanding the above, based on Hon. Supreme Court’s direction, the Gujarat Discom under the directive of Government of Gujarat has entered into Supplemental Power Purchase Agreements with APMuL w.e.f. 15th October, 2018, which have also been approved by CERC vide order dated 12th April, 2019. In addition to above, as per management’s long term assessment made, as regards recoverable amount of APMuLs power generation assets, it has also factored better operational parameters such as coal prices, borrowing cost, power tariff, leading to better operational and financial performance of APMuL. The management believes that over foreseeable future, APMuL would be able to establish profitable operations and meet its liabilities as and when they fall due and hence, no provision / adjustment is considered necessary to the carrying value of the said investments / loans aggregating to Rs. 11,571.07 crores as at 31st March, 2019.

3. The Company has determined the recoverable amounts of the Power Plants over its useful life under Ind AS 36, Impairment of Assets based on the estimates relating to tariff, operational performance of the Plants, life extension plans, inflation, terminal value etc. which are considered reasonable by the Management.

On a careful evaluation of the aforesaid factors, the Management of the Company has concluded that the recoverable amounts of the Power Plants is higher than their carrying amounts as at 31st March, 2019. However, if these estimates and assumptions were to change in future, there could be corresponding impact on the recoverable amounts of the Plants.

4. As at 31st March, 2019, the Company is carrying equity investment of Rs. 4,205.92 crores, Unsecured Perpetual Securities of Rs. 750.00 crores and outstanding loans of Rs. 1,768.66 crores relating to its wholly owned subsidiary APML and equity investment of Rs. 1,200 crores, Unsecured Perpetual Securities of Rs. 2,200 crores relating to its wholly owned subsidiary APRL.

APML and APRL own and operate 3300 MW and 1320 MW coal based power plants respectively with major capacities tied up under power purchase agreements (“PPAs”) for twenty five years with substantially fixed tariffs. The PPAs for these plants were made based on the commitments / understanding that domestic coal linkages would be available to meet the fuel requirements. However, adequate coal linkages could not be made available due to various reasons, including government policies, not attributable to the respective subsidiary companies. In response to the pleas to various regulatory authorities for compensating the losses due to above and orders passed thereof, the respective state electricity regulators have granted part relief during the current and previous year on account of Change in Law. The Company’s management believes that APML and APRL, based on availability of linkage coal shall continue to supply power under the Long Term PPAs and will be eligible for relief on account of Change in Law / Force Majeure to compensate the operating losses for shortage of domestic coal. Whilst the matter of APRL related to relief on account of Change in Law / Force Majeure is pending with APTEL and order is reserved, it is expected that equivalent amounts as recognised by APRL up to 31st March, 2019 will be ultimately recovered. As per the assessment by the Management, it would not be unreasonable to expect ultimate collection of an equivalent amount of relief. Having regard to above and the expectation that similar relief will continue to be available till existence of the aforesaid circumstances, the Management of the Company has concluded that no provision for impairment is considered necessary at this stage.

5. Pursuant to the execution of the share purchase agreement (“SPA”) dated 4th March, 2015 by the Company with the erstwhile owners of Korba West Power Company Limited (“KWPCL’), having operating capacity of 600 MW Thermal Power Project at Korba, Chhattisgarh, the Company had paid Rs. 775.00 crores by 17th March, 2015 to such owners towards 100% acquisition of shares in KWPCL and has further advanced, Rs. 1,976.77 crores to KWPCL over the years as inter corporate deposit and other advance till 31st March, 2019 (including Rs. 392.59 crores interest accrued thereon and subrogation of Rs. 194.23 crores). The closure of the acquisition of KWPCL as per SPA could not take place pending resolution of disputes in terms of the SPA, suspension of plant operations due to failure of generator leading to differences with original equipment supplier and finally, pending restructuring of loans by the lenders. On 22nd December, 2017, based on understanding reached with stakeholders and KWPCL lenders, the Company acquired 49% of the equity shares of KWPCL (with the lenders invoking pledge for the balance 51% equity shares) whereby KWPCL became Company’s associate entity and remained so till 17th January, 2018, when the Company entered into a separate SPA to sell / dispose-off, the acquired 49% equity shares to a third party for a consideration of Rs. 263.69 crores.

With effect from 26th July 2018, KWPCL is in the Corporate Insolvency Resolution Process (“CIRP”) under the provisions of the Insolvency and Bankruptcy Code, 2016 due to non-conclusion of restructuring of loans with the lenders and also it remained non-operational due to failure of generator, wherein the Company has been selected as a member of Committee of Creditors (“CoC”). Resolution Professional (“RP”) had issued Expression of Interest for buy out of KWPCL as a part of CIRP wherein Company had expressed interest to buy out KWPCL and submitted its resolution plan on 10th January, 2019. During the year, Company’s resolution plan has been approved by the required majority at CoC and consequently, RP has issued Letter of Intent (“LoI”) on 6th April, 2019, in favour of the Company. The Company expects favourable order of National Company Law Tribunal (“NCLT”) in the matter, thereby resulting in recommencement of operation of the 600 MW plant and in the process, enable the Company to realize the aforesaid amounts over the foreseeable future.

Pending CIRP of KWPCL with NCLT, the Company would continue to demand and expects to realise the value of advances given for acquisition of KWPCL and advance paid to KWPCL and outstanding sale proceeds of 49% stake in KWPCL aggregating to Rs. 2,751.77 crores and hence, no impairment / provision has been recorded in the books.

6. (i) Financial Risk Management Objective and Policies :

The Company’s risk management activities are subject to the management direction and control under the framework of Risk Management Policy as approved by the Board of Directors of the Company. The Management ensures appropriate risk governance framework for the Company through appropriate policies and procedures and the risks are identified, measured and managed in accordance with the Company’s policies and risk objectives.

In the ordinary course of business, the Company is exposed to Market risk, Credit risk and Liquidity risk.

Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, currency risk and commodity risk.

a) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company’s exposure to the risk of changes in market interest rates relates primarily to the Company’s long-term debt obligations with floating interest rates.

The Company manages its interest rate risk by having a mixed portfolio of fixed and variable rate loans and borrowings. To manage this, the Company enters into interest rate swaps, in which it agrees to exchange, at specified intervals, the difference between fixed and variable rate interest amounts calculated by reference to an agreed upon notional principal amount.

The sensitivity analysis have been carried out based on the exposure to interest rates for instruments not hedged against interest rate fluctuation at the end of the reporting period. The said analysis has been carried out on the amount of floating rate long term liabilities outstanding at the end of the reporting period. A 50 basis point increase or decrease represents management’s assessment of the reasonably possible change in interest rates.

In case of fluctuation in interest rates by 50 basis points on the exposure on Non Current borrowings (exposed to changes in rates) of Rs. 231.82 crores as on 31st March, 2019 and Rs. 277.18 crores as on 31st March, 2018 respectively and if all other variables were held constant, the Company’s profit or loss for the year would increase or decrease as follows:

b) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company’s exposure to the risk of changes in foreign exchange rates relates primarily to the Company’s operating activities. The Company manages its foreign currency risk by hedging transactions that are expected to realise in future. The Company manages its foreign currency risk by entering into currency swap for converting INR loan into other foreign currency for taking advantage of lower cost of borrowing in stable currency environment. The Company also enters into various foreign exchange contracts to mitigate the risk arising out of foreign exchange rate movement on foreign currency borrowings or trade payables.

c) Commodity price risk

The Company is affected by the price volatility of certain commodities. Its operating activities require the on-going purchase or continuous supply of coal. Therefore the Company monitors its purchases closely to optimise the price.

Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

The Company is having majority of receivables from State Electricity Boards which are Government undertakings or from related parties (Including subsidiaries) and hence they are secured from credit losses in the future.

Liquidity risk

The Company monitors its risk of shortage of funds using cash flow forecasting models. These models consider the maturity of its financial investments, committed funding and projected cash flows from operations. The Company’s objective is to provide financial resources to meet its business objectives in a timely, cost effective and reliable manner and to manage its capital structure. A balance between continuity of funding and flexibility is maintained through continued support from lenders, trade creditors as well as subsidiaries.

Maturity profile of financial liabilities :

The table below provides details regarding the remaining contractual maturities of financial liabilities at the reporting date based on contractual undiscounted payments.

(ii) Capital management :

The Company’s objectives when managing capital is to safeguard continuity, maintain a strong credit rating and healthy capital ratios in order to support its business and provide adequate return to shareholders through continuing growth. The Company’s overall strategy remains unchanged from previous year.

The Company sets the amount of capital required on the basis of annual business and long-term operating plans which include capital and other strategic investments.

The funding requirements are met through a mixture of equity, perpetual debt, internal fund generation and other long term borrowings. The Company’s policy is to use short-term and long-term borrowings to meet anticipated funding requirements. The Company monitors capital on the basis of the net debt to equity ratio.

7. The Company’s activities during the year mainly revolve around power generation and related activities. Considering the nature of Company’s business and operations, as well as based on reviews of operating results by the chief operating decision maker to make decisions about resource allocation and performance measurement, there is only one reportable segment in accordance with the requirements of Ind AS 108 ‘‘Operating Segments’ prescribed under Companies (Indian Accounting standards) Rules, 2015. The Company’s operations are mainly confined within India and as such there are no reportable geographical segments.

8. As per Ind AS - 19 “Employee Benefits”, the disclosures are given below.

(a) (i) Defined Benefit Plan

The Company operates a defined benefit plan (the Gratuity plan) covering eligible employees, which provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee’s salary and the tenure of employment.

ix. Asset Liability Matching Strategies

The Company has purchased insurance policy, which is basically a year-on-year cash accumulation plan in which the interest rate is declared on yearly basis and is guaranteed for a period of one year. The insurance company, as part of the policy rules, makes payment of all gratuity outgoes happening during the year (subject to sufficiency of funds under the policy). The policy, thus, mitigates the liquidity risk. However, being a cash accumulation plan, the duration of assets is shorter compared to the duration of liabilities. Thus, the Company is exposed to movement in interest rate (in particular, the significant fall in interest rates, which should result in a increase in liability without corresponding increase in the asset).

x. Effect of Plan on Entity’s Future Cash Flows

a) Funding arrangements and Funding Policy

The Company has purchased an insurance policy to provide for payment of gratuity to the employees. Every year, the insurance company carries out a funding valuation based on the latest employee data provided by the Company. Any deficit in the assets arising as a result of such valuation is funded by the Company.

b) Expected Contribution during the next annual reporting period

The Company’s best estimate of Contribution during the next year is Rs. Nil.

c) Maturity Profile of Defined Benefit Obligation Weighted average duration (based on discounted cash flows) - 8 years.

xi. The Company has defined benefit plan for Gratuity to eligible employees, the contributions for which are made to Life Insurance Corporation of India who invests the funds as per Insurance Regulatory Development Authority guidelines.

The discount rate is based on the prevailing market yield of Government of India’s securities as at the balance sheet date for the estimated term of the obligations.

(b) Defined Contribution Plan

Contribution to Defined Contribution Plans, recognised in Statement of Profit and Loss, for the year is as under :

9. Corporate Social Responsibility

As per Section 135 of the Companies Act, 2013, a corporate social responsibility (CSR) committee has been formed by the Company. The Company is not required to incur any CSR expense as per the requirement of Section 135 of Companies Act, 2013. However, it has incurred expenses of Rs. 0.06 Crores (Previous year - Rs. 0.01 Crores) on the activities which are specified in Schedule VII of the Companies Act, 2013.

10. The details of loans and advances of the Company outstanding at the end of the year, in terms of regulation 53 (F) read together with para A of Schedule V of SEBI (Listing Obligation and Disclosure Regulation, 2015).

11. Scheme of arrangement

During the previous year, The National Company Law Tribunal (‘NCLT’) had sanctioned the Scheme of Arrangement (Scheme) under section 230-232 of the Companies Act, 2013, for the demerger of the Company’s 4620 MW thermal power undertaking at Mundra (“Undertaking”) into its subsidiary, Adani Power (Mundra) Limited, on a slump exchange basis from an appointed date of 31st March, 2017. The Undertaking constitutes 4,620 MW thermal power plant (comprising of 9 units i.e. 4 units of 330 MW each and 5 units of 660 MW each) in multi product Special Economic Zone at Mundra and the allotted Jitpur Coal Block in Jharkhand for the end use of units 1 to 6 i.e. for Phase 1 and Phase 2 and Fuel Supply Agreement (‘FSA’) of 8.72 MMTPA for the end use of units 7, 8 and 9, i.e. Phase 3.

The said scheme has been sanctioned by NCLT through its order dated 3rd November, 2017 and accordingly the aforesaid scheme was made effective on 22nd December, 2017 with appointed date of 31st March, 2017, on receipt of all the requisite approvals.

Pursuant to the Scheme, the Company during the previous year has transferred the balances of assets, liabilities, components of reserves and surplus (including accumulated losses) pertaining to the Undertaking, at their respective book values to APMuL and the consideration for slump exchange amounting to Rs. 106 crores has been credited to Capital Reserve, which is not in accordance with the requirements of Ind AS although the same has been approved by NCLT.

Following is the summary of the net assets of the Undertaking as at the appointed date, 31st March, 2017, in terms of the Scheme of Arrangement:

The Company has changed its accounting policy for valuation of coal from Weighted Average Cost method to First In First Out (FIFO) method w.e.f 1st April, 2018. The effect of said change has been given retrospectively w.e.f 1st April, 2017 and accordingly figures of coal inventory and consumption for the year ended 31st March, 2018 has been restated.

12. Pursuant to the Scheme of Arrangement relating to Mundra Thermal Power Undertaking between the Company and APMuL, which came into effect from 22nd December, 2017, as stated in note 53, the Company continued to procure coal in terms of the Fuel Supply Agreements (“FSAs”) linked to Mundra Thermal Power Undertaking and transfer the same to Adani Power Maharashtra Limited (“APML”) and these transactions are being transferred to and recorded in Adani Power (Mundra) Limited from 1st April, 2017 till 31st March, 2019. These transactions have been appropriately entered and accounted in the books in accordance with the contractual arrangement as approved by the Board.

13. In compliance with Ind AS 20 on government grants and consequent to clarification published by the Institute of Chartered Accountant of India, the amount of amortisation of deferred liability have been reclassified from ‘other operating income’ to ‘other income’ for all reported periods. This reclassification has no impact on the retained earnings or the reported profit for the respective periods.

14. The Company has reported losses of Rs. 225.23 crores and Rs. 23.77 crores for the year ended 31st March, 2019 and 31st March, 2018, respectively. The Company has 40 MW solar plant and Group has continued to operate 10,480 MW Thermal Power Undertaking through its wholly owned subsidiaries, although its operational performance has got impacted due to fluctuations in international and domestic coal prices, billable compensatory tariff / change in law claims on discoms for various additional cost components incurred. Further, as at 31st March, 2019, its current liabilities exceed current assets by Rs. 3,204.64 crores, which includes net payable of Rs. 2,332.67 crores for related parties.

Notwithstanding the above, the financial statements of the Company have been prepared on a going concern basis as the management believes in view of the Supplemental Power Purchase Agreements with GUVNL for supply of 2434 MW capacity of power in case of APMuL, realisation of past dispute claims due to favourable order from regulatory authorities that over the foreseeable future in case of APMuL, APML, UPCL and APRL, the Company would be able to establish profitable operations in its subsidiaries and will meet its financial obligations in next twelve months based on continued support from various stakeholders including unconditional financial support from the Group and availability of financing from lenders as may be required to sustain its operations on a going concern basis.

15. Standard issued but not effective:

Ind AS 116 Leases was notified by MCA on 30th March 2019 and it replaces Ind AS 17 Leases, including appendices thereto. Ind AS 116 is effective for annual periods beginning on or after 1st April, 2019. Ind AS 116 sets out the principles for the recognition, measurement, presentation and disclosure of leases and requires lessees to account for all leases under a single on-balance sheet model similar to the accounting for finance leases under Ind AS 17. The standard includes two recognition exemptions for lessees - leases of ‘low-value’ assets (e.g., personal computers) and short-term leases (i.e., leases with a lease term of 12 months or less). At the commencement date of a lease, a lessee will recognise a liability to make lease payments (i.e., the lease liability) and an asset representing the right to use the underlying asset during the lease term (i.e., the right-of-use asset). Lessees will be required to separately recognise the interest expense on the lease liability and the depreciation expense on the right-of-use asset.

Lessees will be also required to remeasure the lease liability upon the occurrence of certain events (e.g., a change in the lease term, a change in future lease payments resulting from a change in an index or rate used to determine those payments). The lessee will generally recognise the amount of the re-measurement of the lease liability as an adjustment to the right-of-use asset.

Lessor accounting under Ind AS 116 is substantially unchanged from today’s accounting under Ind AS 17. Lessors will continue to classify all leases using the same classification principle as in Ind AS 17 and distinguish between two types of leases: operating and finance leases.

The Company intends to adopt these standards from 1st April, 2019, the Company is in the process of evaluating the requirements of the standard and its impact on its financial statements.

---

Mar 31, 2017

1. Significant accounting judgments, estimates and assumptions

The application of the Company''s accounting policies as described in Note 2, in the preparation of the Company''s financial statements requires management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the disclosure of contingent liabilities. The estimates and assumptions are based on historical experience and other factors that are considered to be relevant. The estimates and underlying assumptions are reviewed on an ongoing basis and any revisions thereto are recognized in the period in which they are revised or in the period of revision and future periods if the revision affects both the current and future periods. Actual results may differ from these estimates which could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities affected in future periods.

Estimates and assumptions

The estimates at 1^st April, 2015 and at 31^st March, 2016 are consistent with those made for the same dates in accordance with Indian GAAP (after adjustments to reflect any differences in accounting policies).

The estimates used by the Company to present these amounts in accordance with Ind AS reflect conditions at 1^st April, 2015, the date of transition to Ind AS and as of 31^st March, 2016.

Key Sources of estimation uncertainty :

The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are described below. Existing circumstances and assumptions about future developments may change due to market changes or circumstances arising that are beyond the control of the Company. Such changes are reflected in the assumptions when they occur.

i) Useful lives of property, plant and equipment

In case of the power plant assets, in whose case the life of the assets has been estimated at 25 years based on technical assessment, taking into account the nature of the assets, the estimated usage of the asset, the operating condition of the asset, anticipated technological changes, manufacturer warranties and maintenance support, depreciation on the same is provided based on the useful life of each such component based on technical assessment, if materially different from that of the main asset w.e.f. 1^st April 2015. Refer note 5.1 for details of value of power plant and its depreciation.

ii) Fair value measurement of financial instruments

In estimating the fair value of financial assets and financial liabilities, the Company uses market observable data to the extent available. Where such Level 1 inputs are not available, the Company establishes appropriate valuation techniques and inputs to the model. The inputs to these models are taken from observable markets where possible, but where this is not feasible, a degree of judgment is required in establishing fair values. Judgments’ include considerations of inputs such as liquidity risk, credit risk and volatility. Changes in assumptions about these factors could affect the reported fair value of financial instruments. Information about the valuation techniques and inputs used in determining the fair value of various assets and liabilities are disclosed in Note 47.

iii) Defined benefit plans (gratuity benefits)

The cost of the defined benefit gratuity plan and the present value of the gratuity obligation are determined using actuarial valuations. An actuarial valuation involves making various assumptions that may differ from actual developments in the future. These include the determination of the discount rate, future salary increases and mortality rates. Due to the complexities involved in the valuation and its long-term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting date. Information about the various estimates and assumptions made in determining the present value of defined benefit obligations are disclosed in Note 52.

iv) Impairment

Determining whether property, plant and equipment are impaired requires an estimation of the value in use of the relevant cash generating units. The value in use calculation is based on a Discounted Cash Flow model over the estimated useful life of the Power Plants. Further, the cash flow projections are based on estimates and assumptions relating to tariff, operational performance of the Plants, life extension plans, market prices of coal and other fuels, exchange variations, inflation, terminal value etc. which are considered reasonable by the Management.(refer note 40)

v) Investments made / Interoperate deposits ("ICDs") given to subsidiaries

In case of investments made and Intercorporate Deposits ("ICD") given by the company in its subsidiaries, the Management assesses whether there is any indication of impairment in the value of investments and ICDs. The carrying amount is compared with the present value of future net cash flow of the subsidiaries. (refer note 41).

vi) Taxes

Significant management judgment is required to determine the amount of deferred tax assets that can be recognized,

based upon the likely timing and the level of future taxable profits together with future tax planning strategies, including estimates of temporary differences reversing on account of available benefits from the Income Tax Act, 1961. Deferred tax assets recognized to the extent of the corresponding deferred tax liability. (refer note 24.1)

2. First-time adoption of Ind-AS

The Company has adopted Ind AS from 1^st April, 2016 and the date of transition to Ind AS is 1^st April, 2015. These being the first financial statements in compliance with Ind AS, the impact of transition has been accounted for in opening reserves and comparable periods have been restated in accordance with Ind AS 101 -“First-time Adoption of Indian Accounting Standards". The Company has presented a reconciliation of its equity under Previous GAAP to its equity under Ind AS as at 1^st April, 2015 and 31^st March, 2016 and of the total comprehensive income for the year ended 31^st March, 2016 as required by Ind AS 101.

Following are the applicable Ind AS 101 optional exemptions and mandatory exceptions applied in the transition from previous GAAP to Ind AS.

a Deemed cost of property, plant and equipment and intangible assets

The Company has elected to continue with the carrying value of all its property, plant and equipments and intangible assets recognized as of 1^st April, 2015 measured as per the previous GAAP and use that carrying value as its deemed cost on transition date.

b Deemed cost of investments

The Company has elected to continue with the carrying value of its investment in associate recognized as of 1^st April, 2015 measured as per the previous GAAP and use that carrying value as its deemed cost of transition date.

c Exchange differences on long term foreign currency borrowings

The Company has elected to continue the policy adopted for accounting for exchange differences arising from translation of long-term foreign currency monetary items outstanding and recognized in the financial statements for the period ending immediately before the beginning of the first Ind AS financial reporting period as per the previous GAAP.

d Determining whether an arrangement contains a lease

The Company has applied Appendix C of Ind AS 17 - “Determining whether an arrangement contains a Lease" to determine whether an arrangement existing at the transition date contains a lease on the basis of facts and circumstances existing as at that date.

e Derecognition of financial assets and financial liabilities

The Company has applied the derecognition requirements of financial assets and financial liabilities prospectively for transactions occurring on or after transition date.

f Classification and measurement of financial assets

The Company has assessed classification and measurement of financial assets on the basis of facts and circumstances that exist as on transition date.

g Impairment of financial assets

The Company has applied impairment requirements of Ind AS 109 retrospectively; however, as permitted by Ind AS 101,

it has used reasonable and supportable information that is available without undue cost or effort to determine the credit risk at the date that financial instruments were initially recognized in order to compare it with the credit risk at the transition date.

h Assessment of embedded derivatives

The Company has assessed whether an embedded derivative is required to be separated from the host contract and accounted for as a derivative on the basis of the conditions that existed at the later of the date it first became a party to the contract and the date when there has been a change in the terms of the contract that significantly modifies the cash flows that otherwise would be required under the contract.

i Business Combination prior to transition date

In the financial year 2012-13, Grow more Trade and Investment Pvt. Ltd. was amalgamated with the Company pursuant to order of Hon'' ble Gujarat High Court. Though the said transaction is in the nature of Business Combination, the Company has opted not to account for the said amalgamation as per Ind AS 103 “Business Combination", since the same is prior to transition date.

Footnotes to the reconciliation of Total Equity as at 31^st March 2016 and 1^st April 2015 and Statement of Other

Comprehensive Income for year ended 31^st March, 2016 :

a) Remeasurement cost of net defined liability : Both under Indian GAAP and Ind AS, the Company recognized costs related to its post-employment defined benefit plan on an actuarial basis. Under Indian GAAP, the entire cost, including actuarial gains and losses, are charged to profit or loss. Under Ind AS, remeasurements [comprising of actuarial gains

and losses, the effect of the asset ceiling, excluding amounts included in net interest on the net defined benefit liability and the return on plan assets excluding amounts included in net interest on the net defined benefit liability] are recognized immediately in the balance sheet with a corresponding debit or credit to retained earnings through OCI.

b) Fair valuation for Financial Assets and Financial Liabilities :

i) The Company has valued certain financial assets and certain Financial Liabilities, at fair value. Impact of fair value changes as on date of transition, is recognized in opening reserves and changes thereafter are recognized in Statement of Profit and Loss Account.

ii) Borrowings (part of Financial Liabilities) : Under Indian GAAP, transaction costs incurred in connection with borrowings are amortized over the tenure of borrowings and charged to profit or loss for the period. Under Ind AS, transaction costs are included in the initial recognition amount of financial liability and charged to profit or loss using the effective interest method.

c) Major overhaul generally performed once in 5 years and expenditure thereon was charged to Statement of Profit and Loss has now been capitalized and depreciated.

d) The company has recognized deferred tax on other adjustments.

e) Statement of cash flows : The transition from Indian GAAP to Ind AS has not had a material impact on the statement of cash flows.

i. For charges created on the aforesaid assets, refer note 21.1 and 26.

ii. The Company has availed tax and duty benefit in the nature of exemptions from Custom Duty, Excise Duty, Service Tax, VAT and CST on its project procurements with respect to its power plant located at Mundra, Gujarat. The said benefits were availed by virtue of SEZ approval granted to the Company in December 2006, in terms of the provisions of the Special

Economic Zones Act, 2005 (hereinafter referred to as the ''SEZ Act'') and the Special Economic Zone Rules, 2006 which entitled the plant to procure goods and services without payment of taxes and duties as referred above.

Since, the procurement of goods and services during the project period were done by availing the exemption from payment of aforesaid taxes and duties, the amount capitalized for the said power plant as on the put to use date, is cost of property, plant and equipment (PPE) net off tax and duty benefit availed. In compliance with Ind AS 20 - "Government Grant",

the Company has grossed up the value of its PPE by the amount of tax and duty benefit availed by the Company is after

3. PROPERTY, PLANT AND EQUIPMENT AND CAPITAL WORK-IN-PROGRESS (contd.)

considering the same as government grant. The amount of said government grant (net off accumulated depreciation) as

on the transition date has been added to the value of PPE with corresponding credit to the deferred government grant. The amount of grant shall be depreciated as per useful life of PPE along with depreciation on PPE. The amount of deferred liability shall be amortised over the useful life of the PPE with credit to statement of profit and loss under the head “Other Operating Income".

The Company has recognized Government grant of RS,4,277.96 crores from the date of capitalization of plant. As on 1^st April, 2015, Plant and Equipment includes Government grant of RS,4,277.96 crores in Gross block and RS,513.95 crores in accumulated depreciation.

* Figures below RS,50,000 Notes:

i) Of the above shares 1,655,744,119 Equity shares (1,455,912,932 shares as at 31^st March, 2016 and 1,423,341,900 shares as at 1^st April, 2015) have been pledged by the Company as additional security for secured term loans availed by Adani Power

Maharashtra Limited.

ii) Of the above shares 612,000,000 Equity shares (612,000,000 shares as at 31^st March, 2016 and 612,000,000 shares as at 1^st April, 2015) have been pledged by the Company as additional security for secured term loans availed by Adani Power

Rajasthan Limited.

iii) Of the above shares 986,443,300 Equity shares (162,508,577 shares as at 31^st March, 2016 and Nil shares as at 1^st April, 2015) have been pledged by the Company as additional security for secured term loans availed by Udupi Power Corporation Limited.

4. Non Current Investments (contd.)

iv) Of the above preference shares Nil Preference shares (as at 31^st March, 2016 1,084,277,384 preference shares and as at 1^st April, 2015 - Nil) were pledged by the Company as additional security for secured term loans availed by Udupi Power Corporation Limited.

v) During the year, 1,723,152,448 Cumulative Compulsorily Convertible Preference Shares have been converted into equivalent number of equity shares of Udupi Power Corporation Limited ("UPCL") ranking pari passu in all respects with the existing equity shares of UPCL.

vi) During the previous year, the Company has completed the acquisition of Udupi Power Corporation Limited ("UPCL") at an aggregate cost of RS,2,256.03 Crores and consequently UPCL has become the wholly owned subsidiary of Adani Power Limited w.e.f. 20^th April, 2015.

Note:

The fair value of Other Non-current Financial Assets is not materially different from the carrying value presented.

i. For charge created on inventories, refer note 21.1 and 26.

ii. For fuel consumption refer statement of profit and loss account and for stores spares consumption refer Other Expense

note no 35.

Notes:

i) Trade receivables are interest bearing and are generally on terms of 1 to 60 days.

ii) For securities, refer note 21.1 and 26.

iii) Trade receivables includes unbilled receivables of RS,215.98 Crores (as at 31^st March, 2016 - RS,1,003.41 Crores and as at 1^st

April, 2015 - RS,2,015.76 Crores)

iv) Credit concentration

As at 31^st March 2017, of the total trade receivables 53% pertains to dues from State Distribution Companies under Long Term Power Purchase Agreements ("PPAs"), 34% from related parties and remaining from others.

v) Expected Credit Loss (ECL)

The Company is having majority of receivables from State Electricity Distribution Companies which are Government undertakings. The Company is regularly receiving its normal power sale dues from its customers including Discoms and in case of any disputed amount not being received; the same is recognized on conservative basis which carries interest as per the terms of agreements. Hence they are secured from credit losses in the future.

vi) The fair value of Trade receivables is not materially different from the carrying value presented.

i. The fair value of Other Current Financial Assets is not materially different from the carrying value presented except for Derivatives not designated as hedges (also refer note 47).

ii. Includes options amounting to RS,2.78 Crores as at 31^st March, 2016 and RS,4.79 Crores as at 1^st April, 2015.

b. Terms/rights attached to equity shares

The Company has only one class of equity shares having par value of H10 per share. Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the Company the holders of the equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the share holders.

c. Shares held by parent company

Out of equity shares issued by the Company, shares held by its parent company are as under :

f. During the year, the Company has issued and allotted 52.30 Crores warrants at a price of H32.54 per Warrant to promoter

group entities which have been converted into equivalent number of equity shares of H10 each at a premium of H22.54 per share on preferential basis under section 42 of the Companies Act, 2013 and other relevant SEBI Regulations. The proceeds received from above has been utilized for repayment of trade payables, loans and other general corporate purposes.

g. During the previous year, the Company had allotted 250,000,000 Equity Shares of RS,10 each with premium of RS,18 per share to Mr. Gautam S. Adani and Mr. Rajesh S. Adani (On behalf of S. B. Adani Family Trust) and 148,100,000 Equity Shares of H10 each with premium of H18 per share to Adani Properties Private Limited on preferential basis under section 42 of the Companies Act, 2013.

i) Capital Reserve of RS,359.80 Crores were created due to amalgamation of Grow more Trade and Investment Private Limited with the Company in the financial year 2012-13 as per Section 391 to 394 of the Companies Act, 1956. As per the order of the Hon''ble High Court of Gujarat, the Capital Reserve created on amalgamation shall be treated as free reserve of the Company.

ii) Securities premium reserve represents the premium received on issue of shares over and above the face value of equity shares. The reserve is available for utilization in accordance with the provisions of the Companies Act, 2013.

iii) During the previous year, General reserve of RS,9.04 Crores was created due to merger of solar power undertaking from

Adani Enterprise Limited. As per the scheme of arrangement approved by order of the Hon''ble High Court of Gujarat (refer note 44), the difference between the value of assets acquired and the value of liabilities of the power undertaking transferred by Adani Enterprise Limited, has been treated as General Reserve of the Company.

iv) Retained earnings represents the amount that can be distributed by the Company as dividends considering the requirements of the Companies'' Act, 2013. No dividends are distributed given the accumulated losses incurred by the Company.

Notes:

1. The security details for the balances as at 31^st March, 2017 :

a. Rupee Term Loans from Banks aggregating to RS,9,498.58 Crores (as at 31^st March, 2016 RS,7,696.88 Crores and as at 1^st April, 2015 RS,6,398.61 Crores), Rupee Term Loans from Financial Institutions aggregating to RS,1,412.34 Crores (as at 31^st March, 2016 RS,384.60 Crores and as at 1^st April, 2015 RS,502.50 Crores) and Foreign Currency Loans from Banks aggregating to RS,2,938.88 Crores (Previous Year RS,3,976.29 Crores and as at 1^st April, 2015 RS,5,618.43 Crores) are secured / to be secured by first charge on all immovable, movable assets and leasehold land (refer note 10 and 18) of the Company on paripassu basis. (also refer note 5.1 and 5.2).

b. Foreign Currency Loans from Banks aggregating to Nil (as at 31^st March, 2016 RS,457.16 Crores and as at 1^st April, 2015 RS,431.25 Crores) are secured / to be secured by first charge on receivables of the Company and second charge on all immovable and movable assets of the Company on paripassu basis. (also refer note refer note 5.1 and 5.2).

c. Rupee Term Loans from Banks and Trade credits aggregating to RS,9,762.18 Crores (as at 31^st March, 2016 RS,7,263.75 Crores and as at 1^st April, 2015 RS,7,172.05 Crores) are further secured / to be secured by pledge of 794,749,709 Equity Shares held by S.B. Adani Family Trust (as at 31^st March, 2016 - 693,444,326 Equity Shares held by S.B. Adani Family Trust and as at 1^st April, 2015 - 250,790,465 Equity Shares held by erstwhile parent company Adani Enterprises Limited) as First charge.

5. Repayment schedule for the balances as at 31^st March, 2017 :

a. The secured term loans from banks aggregating to RS,7,432.23 Crores (as at 31^st March, 2016 H6,018.85 Crores) are repayable over a period of next 9.5 years in 438 installments structured on quarterly to yearly basis.

b. The secured term loan from banks aggregating to RS,5,005.23 Crores (as at 31^st March, 2016 RS,6,111.44 Crores) and from

Financial Institutions aggregating to RS,1,412.34 Crores (as at 31^st March, 2016 RS,384.64 Crores) respectively are repayable over a period of next 16 years in 1,472 installments structured on quarterly basis.

c. Unsecured term loan from banks and Financial Institutions of RS,690.91 Crores (as at 31^st March, 2016 RS,787.96 Crores) is repayable over a period of next 3.5 years in 15 installments structured on quarterly to yearly basis.

d. Unsecured loan from related party of RS,680.36 Crores (as at 31^st March, 2016 RS,764.12 Crores) are repayable on mutually agreed dates after a period of 17 months from the balance sheet date.

e. Unsecured loan from otRs,ers RS,49.70 Crores (as at 31^st March, 2016 RS,291.50 Crores) are repayable on mutually agreed dates after a period of 5 months from the balance sheet date.

f. 9.00% Non Convertible debentures of RS,300 Crores (as at 31^st March, 2016 Nil ) are redeemable on due date after 13 months.

g. 9.07% Non Convertible debentures of RS,275 Crores (as at 31^st March, 2016 Nil ) are redeemable on due date after 13 months.

h. 10.30% Non Convertible debentures of RS,750 Crores (as at 31^st March, 2016 RS,750 Crores) are redeemable on due date after 25 months.

i. 10.50% Non Convertible debentures of RS,1,200 Crores (as at 31^st March, 2016 RS,1,200 Crores). RS,400 Crores are redeemable on due date after 19 months, RS,400 Crores are redeemable on due date after 22 months and RS,400 Crores are redeemable on due date after 25 months.

j. 10.50% Non Convertible debentures of RS,330 Crores (as at 31^st March, 2016 Nil ) are redeemable on due date after 33 months.

k. 10.70% Non Convertible debentures of RS,451 Crores (as at 31^st March, 2016 RS,500 Crores) are redeemable on due date after 24 months.

l. 10.48% Non Convertible debentures of RS,750 Crores (as at 31^st March, 2016 Nil). RS,400 Crores are redeemable on due date after 37 months, RS,350 Crores are redeemable on due date after 25 months. 3. For current maturities of long term borrowing refer note no. 28.

Note:

i. The fair value of Other Non-current Financial Liabilities is not materially different from the carrying value presented except for Derivatives not designated as hedges (also refer note 47).

ii. Includes options amounting to RS,13.67 Crores as at 31^st March, 2017 and Principal only swaps of RS,49.39 Crores as at 1^st April, 2015.

i) There are no Micro, Small and Medium Enterprises, to whom the Company owes dues (including interest on outstanding

dues) which are outstanding as at the Balance Sheet date. The above information has been determined to the extent such parties have been identified on the basis of information available with the Company. This has been relied upon by the auditors.

ii) Trade payable mainly includes amount payable to coal suppliers and operation and maintenance vendors in whose case credit period allowed is less than 12 months. Company usually opens usance letter of credit in favour of the coal suppliers.

Interest is charged by such suppliers for amount unpaid beyond the credit period. Since the average credit period is less than 12 months, the trade payable amount has been classified as current.

iii) The fair value of Trade payables is not materially different from the carrying value presented.

Notes:

i. These do not include any amounts due and outstanding to be credited to "Investors'' Education and Protection Fund".

ii. The fair value of Other Current Financial Liabilities is not materially different from the carrying value presented except for Derivatives not designated as hedges (also refer note 47).

iii. Includes options amounting to RS,152.04 Crores (as at 31^st March, 2016 - RS,63.57 Crores and as at 1^st April, 2015 - RS,22.69 Crores), forward covers amounting to RS,123.07 Crores (as at 31^st March, 2016 - RS,15.67 Crores and as at 1^st April, 2015 - RS,14.81 Crores) and principal only swaps of Nil (as at 31^st March, 2016 - RS,64.44 Crores and as at 1^st April, 2015 - RS,210.60 Crores).

Note:

i) Interest income comprises of :

a) Interest income of RS,586.45 Crores (previous year RS,471.35 Crores) on financial assets carried at amortized cost, which includes interest from fixed deposits with banks RS,16.41 Crores (Previous year RS,23.97 Crores), interest from loans and advances RS,568.35 Crores (Previous year RS,447.38 Crores) and interest on others RS,1.69 Crores (Previous year RS, Nil ); and

b) Interest income of RS,0.35 Crores (Previous year RS,1.87 Crores) on tax refunds.

ii) Miscellaneous income includes RS,76.23 Crores towards provision no longer required written back.

i) Pursuant to the Central Electricity Regulatory Commission ("CERC") order dated 21^st February, 2014, the Company had recognized revenue in the nature of Compensatory Tariff ("CT") of RS,3,938.65 crores up to 31^st December, 2016 in respect of a long term Power Purchase Agreement ("PPA") (Bid 2) of 1000 MW entered into with Gujarat Urja Vikas Nigam Limited ("GUVNL") and other long term PPAs of 1424 MW entered into with Haryana Utilities. In addition, the Company had also recognized CT of RS,426.19 crores up to 31^st December, 2016 in respect of another long term PPA (Bid 1) of 1000 MW entered into with GUVNL.

The said order was challenged in the Appellate Tribunal for Electricity ("APTEL"). The APTEL vide its order dated 7^th April, 2016, had set aside the aforementioned CERC order and had held that the promulgation of Indonesian regulation constitute Force Majeure event which was contested in the Hon’ble Supreme Court. The Hon’ble Supreme Court, vide its order dated 11^th April, 2017 has set aside the aforementioned APTEL order and has ruled that said event is neither Force Majeure nor Change in Law as per the terms of PPA and hence, does not entitle Company to CT. Consequently, the Company has derecognized its claim on account of CT of RS,4,364.84 crores recognized up to 31^st December, 2016, out of which, of H3,619.49 crores (recognized up to 31^st March, 2016) is shown as an exceptional item and RS,745.35 crores (recognized from 1^st April, 2016 to 31^st December, 2016) has been adjusted from the revenue from operations.

Further, the aforesaid order of the Hon''ble Supreme Court also held that the non-availability of domestic coal due to change in policy or Change in Law, in force in India, constitute Change in Law as per the terms of PPA. The Hon. Supreme Court directed the CERC to determine the relief under clause 13 of PPA. The Company has filed a petition with CERC to ascertain the relief that may be available to the Company,

ii) The Company had given advances to Brakel Kinnaur Power Private Limited ("Brakel") of RS,288.45 Crores which were, in turn, deposited by Brakel to Government of Himachal Pradesh ("the GoHP") in relation to 960 MW hydro power plant project ("the project"). The said advances has been written off due to delay in initiation of underlying project.

i) Matters relating to Income Tax from AY 2008-09 to 2012-13 is being contested at various levels of Tax authorities.

ii) Matter relating to Service Tax for FY 2008-09 is being contested at CESTAT.

iii) Matters relating to Central Sales Tax for FY 2010-11 and FY 2014-15 is being contested at various level of Indirect Tax authorities.

iv) Management is not expecting any future cash outflow with respect to above litigations.

6. For the financial year ended 31^st March, 2017, the Company has incurred a loss of RS,6,054.34 crores and as at the year end, current liabilities (including RS,7,234.06 Crores to related parties) exceed current assets by RS,12,688.48 Crores. The Company expects to meet its financial obligations based on continued support from lenders, trade creditors as well as subsidiaries as may be required to sustain its operations on a going concern basis.

7. The Company has determined the recoverable amounts of the Power Plants over its useful life under Ind AS 36, Impairment of Assets based on the estimates relating to tariff, operational performance of the Plants, life extension plans, market prices of coal and other fuels, exchange variations, inflation, terminal value etc. which are considered reasonable by the Management.

On a careful evaluation of the aforesaid factors, the Management of the Company has concluded that the Recoverable Amounts of the Power Plants are higher than their carrying amounts as at 31^st March, 2017.

8. The carrying amounts of long-term investments in equity shares of wholly owned subsidiary companies viz. Adani Power Maharashtra Limited ("APML''), Adani Power Rajasthan Limited ("APRL") are RS,4,205.92 Crores (as at 31^st March, 2016 -RS,4,205.92 Crores and as at 1^st April, 2015 - RS,4,205.92 Crores) and RS,1,200 Crores (as at 31^st March, 2016 - RS,1,200 Crores and as at 1^st April, 2015 - RS,1,200 Crores) respectively, and Long term loans (Refer Note 8) include loans given to APML and APRL of RS,2,999.00 Crores (as at 31^st March, 2016 - RS,2,964.26 Crores and as at 1^st April, 2015 - RS,2,560.94 Crores) and RS,1,722.42 Crores (as at 31^st March, 2016 - RS,1,682.95 Crores and as at 1^st April, 2015 - RS,1,626.44 Crores) respectively.

APML and APRL own and operate 3300 MW and 1320 MW coal based power plants respectively with capacities tied up under power purchase agreements ("PPAs") for twenty five years with substantially fixed tariffs. The PPAs for these plants were made based on the commitments / understanding that domestic coal linkages would be available to meet the fuel requirements. However, adequate coal linkages were not made available due to various reasons not attributable to the respective subsidiary companies. In response to pleas for compensating the losses due to above, the respective state electricity regulators have granted part relief on account of Change in Law / Force Majeure. The Company’s management believes that it is eligible and will get for the required coal linkages as it supplies power under the Long Term PPA and until then will be eligible for relief on account of Change in Law / Force Majeure to compensate the operating losses. Whilst the matters related to relief on account of Change in Law / Force Majeure are under litigation, it is expected that equivalent amounts as recognized by respective subsidiaries (RS,2,583.23 Crores by APML and RS,1,980.92 Crores by APRL up to 31^st March, 2017) will be ultimately recovered. As per the assessment by the Management, it would not be unreasonable to expect ultimate collection of an equivalent amount of relief, which is predicated on the legal advice that the Company has a good arguable case on merits, based on the principles set forth by the Hon. Supreme Court in order dated 11^th April, 2017, in the similar matter in case of the Company (refer note 36 (i)) . Having regard to above and the expectation that similar relief will continue to be available till existence of the aforesaid circumstances, the Management of the Company has concluded that no provision for impairment is considered necessary at this stage.

9. During the previous year, the Company has executed a Share Purchase Agreement for acquisition of 100% stake in Korba West Power Company Limited ("KWPCL") which owns a 600 MW Coal based thermal power plant in state of Chhattisgarh, with Avantha Power and Infrastructure Limited which is pending for necessary approvals and consents. As at 31^st March, 2017, the Company has paid advance consideration of RS,775 Crores (as at 31^st March, 2016 RS,775 Crores).

10. The Company had successfully secured a coal block at Jitpur in the state of Jharkhand and executed the coal mine development and production agreement with the Government of India in FY 2014-15. The company has already initiated the process for development of the said mine.

11. During the financial year 2014-15, the Board of Directors had approved a composite Scheme of Arrangement ("the Scheme") under section 391 and 394 of the Companies Act 1956, between Adani Enterprises Limited (the erstwhile holding Company) ("AEL"), Adani Ports and Special Economic Zone Limited ("APSEZ"), Adani Transmission Limited ("ATL") and Adani Mining Private Limited ("AMPL") and the Company, for the demerger of various businesses of AEL with an appointed date of 1^st April, 2015. During the financial year 2015-16, on receipt of approval by the Hon''ble High Court of Gujarat and on adherence to the other necessary compliances, the said scheme became effective.

As per the Scheme, Solar Power Undertaking of AEL has been merged into the Company along with its assets and liabilities from the appointed date of 1^st April, 2015. Pursuant to the merger of the Solar Power Undertaking of AEL into Company and based on fair valuation done, the Company has issued and allotted 63,916,831 new equity shares of H10 each to the equity shareholders of AEL in the ratio of 18,596 equity shares in Company for every 10,000 equity shares held by the equity shareholder in AEL. The equity shares held by AEL in the Company has been cancelled on approval of the said scheme by the Hon''ble High Court of Gujarat vide its order dated 7^th May, 2015.

12. (i) Financial Risk Management Objective and Policies :

The Company’s risk management activities are subject to the management direction and control under the framework of Risk Management Policy as approved by the Board of Directors of the Company. The Management ensures appropriate risk governance framework for the Company through appropriate policies and procedures and that risks are identified, measured and managed in accordance with the Company''s policies and risk objectives.

In the ordinary course of business, the Company is exposed to Market risk, Credit risk, and Liquidity risk.

Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, currency risk and commodity risk.

a) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the Company''s long-term debt obligations with floating interest rates.

The Company manages its interest rate risk by having a mixed portfolio of fixed and variable rate loans and borrowings.

To manage this, the Company enters into interest rate swaps, in which it agrees to exchange, at specified intervals, the difference between fixed and variable rate interest amounts calculated by reference to an agreed upon notional principal amount.

The sensitivity analysis have been carried out based on the exposure to interest rates for instruments not hedged against interest rate fluctuation at the end of the reporting period. The said analysis has been carried on the amount of floating rate long term liabilities outstanding at the end of the reporting period. A 50 basis point increase or decrease represents management''s assessment of the reasonably possible change in interest rates.

ix. Asset Liability Matching Strategies

The Company has purchased insurance policy, which is basically a year-on-year cash accumulation plan in which the interest rate is declared on yearly basis and is guaranteed for a period of one year. The insurance Company, as part of the policy rules, makes payment of all gratuity outgoes happening during the year (subject to sufficiency off funds under the policy). The policy, thus, mitigates the liquidity risk. However, being a cash accumulation plan, the duration of assets is shorter compared to the duration of liabilities. Thus, the Company is exposed to movement in interest rate (in particular, the significant fall in interest rates, which should result in a increase in liability without corresponding increase in the asset).

x. Effect of Plan on Entity''s Future Cash Flows

a) Funding arrangements and Funding Policy

The Company has purchased an insurance policy to provide for payment of gratuity to the employees. Every year, the insurance company carries out a funding valuation based on the latest employee data provided by the Company. Any deficit in the assets arising as a result of such valuation is funded by the Company.

b) Expected Contribution during the next annual reporting period

The Company''s best estimate of Contribution during the next year is RS,2.11 Crores.

xi. The Company has defined benefit plans for Gratuity to eligible employees, the contributions for which are made to Life Insurance Corporation of India who invests the funds as per Insurance Regulatory Development Authority guidelines.

The discount rate is based on the prevailing market yields of Government of India''s securities as at the balance sheet date for the estimated term of the obligations.

The expected contributions for Defined Benefit Plan for the next financial year will be in line with FY 2016-17.

The actuarial liability for compensated absences as at the year ended 31^st March, 2017 is RS,12.40 Crores (Previous Year

RS,11.68 Crores).

13. Corporate Social Responsibility

As per Section 135 of the Companies Act, 2013, a corporate social responsibility (CSR) committee has been formed by the Company. The Company is not required to incur any CSR expense as per requirement of Section 135 of Companies Act, 2013.

However for a noble cause, it has incurred expenses of RS,0.23 Crores (previous year RS,0.01 Crores) on the activities which are specified in Schedule VII of the Companies Act, 2013.

(a) Gross amount as per the limits of Section 135 of the Companies Act, 2013 : Nil

(b) Amount spent during the year on : RS,0.23 Crores (Previous year : RS,0.01 Crores)

14.Recent accounting pronouncements

Standards issued but not yet effective : In March 2017, the Ministry of Corporate Affairs issued the Companies (Indian Accounting Standards) (Amendments) Rules, 2017, notifying amendments to Ind AS 7, ''Statement of cash flows'' and Ind AS 102, ''Share-based payment.'' These amendments are in accordance with the recent amendments made by International Accounting Standards Board (IASB) to IAS 7, ''Statement of cash flows'' and IFRS 2, ''Share-based payment,'' respectively. The amendments are applicable to the Company from April 1, 2017. The management believes that the implication on financial statement of the above mentioned standard will not material.

15. Approval of financial statements

The financial statements were approved for issue by the board of directors on 27^th May, 2017.

---

Mar 31, 2015

Notes to Cash Flow Statement :

1. Reconciliation of Cash and cash equivalents with the Balance Sheet:

Cash and cash equivalents as per Balance Sheet (Refer Note 21)

2. Previous year's figures have been regrouped wherever necessary, to confirm to this year's classification.

3. The Cash Flow Statement has been prepared under the 'Indirect Method' set out in Accounting Standard 3 'Cash Flow Statement'.

4. The Cash Flow Statement reflects the combined cash flows pertaining to continuing and discontinuing operations.

See accompanying notes forming part of the financial statements.

Notes to financial statements for the year ended 31st March, 2015

1. Corporate information

Adani Power Limited ("the Company") is a public company domiciled in India and incorporated under the provisions of Companies Act, 1956. The Company together with its subsidiaries currently has three power projects with a combined installed & commissioned capacity of 9240 MW. The Company intends to sell the power generated from these projects under a combination of long term Power Purchase Agreements and on merchant basis. The Company gets synergetic benefit of the integrated value chain of Adani group.

a. Terms / rights attached to equity shares

The Company has only one class of equity shares having par value of Rs. 10 per share. Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the share holders.

b. During the previous year, Company had allotted 44,98,50,000 Equity Shares of Rs. 10 each with premium of Rs. 43.11 per share to Adani Enterprises Limited and 2,88,00,000 Equity Shares of Rs. 10 each with premium of Rs. 43.11 per share to Mr. Vinod S. Adani. Referred equity shares were issued on preferential basis under section 81(1A) of the Companies Act, 1956.

Note :

Capital Reserve of Rs. 359.80 Crores and debit balance of Rs. 0.02 Crores were created due to amalgamation of Growmore Trade and Investment Private Limited with the Company in the financial year 2012-13 as per Section 391 to 394 of the Companies Act, 1956. As per the order of the Hon'ble High Court of Gujarat, the Capital Reserve created on amalgamation shall be treated as free reserve of the Company.

1. The security details for the balances as at 31st March, 2015 :

a. Rupee Term Loans from Banks aggregating to Rs. 6,398.61 Crores (Previous Year Rs. 9,603.94 Crores), Rupee Term Loans from Financial Institutions Others aggregating to Rs. 502.50 Crores (Previous Year Rs. 662.50 Crores) and Foreign Currency Loans from Banks aggregating to Rs. 5,618.43 Crores (Previous Year Rs. 6,200.30 Crores) are secured / to be secured by first charge on all immovable and movable assets of the Company on pari passu basis.

b. Foreign Currency Loan from Banks aggregating to Rs. 431.25 Crores (Previous Year Rs. 482.33 Crores) are further secured / to be secured by first charge on receivables of the Company and second charge on all immovable and movable assets of the Company on pari passu basis.

c. Rupee Term Loan from Banks and Trade credits aggregating to Rs. 7,172.05 Crores (Previous Year Rs. 7,272.91 Crores) are further secured / to be secured by pledge of 250,790,465 Equity Shares (Previous Year 223,141,107 Equity Shares) of the Company held by the holding company, Adani Enterprises Limited as First charge.

2. Repayment schedule for the balances as at 31st March, 2015 :

a. The secured term loans from banks and from Financial Institutions aggregating to Rs. 6,099.99 Crores (Previous Year Rs. 11,047.09 Crores) and Rs. 90.00 Crores (Previous Year Rs. 200 Crores) respectively are repayable over a period of next 7 years in 155 instalments structured on quarterly to yearly basis.

b. The secured term loan from banks aggregating to Rs. 6,348.30 Crores (Previous Year Rs. 4,939.48 Crores) and from Financial Institutions aggregating to Rs. 412.50 Crores (Previous Year Rs. 462.50 Crores ) respectively are repayable over a period of next 11 years in 887 instalments structured on quarterly to half yearly basis.

c. The unsecured term loan from a bank aggregating to Rs. NIL (Previous Year Rs. 300 Crores) is repayable in quarterly instalments.

d. Unsecured term loan from Banks and Financial Institutions of Rs. 1,050 Crores (Previous Year Rs. 300 Crores) is repayable over a period of next 5 years in 35 instalments structured on quarterly to yearly basis.

e. Unsecured loan from related party of Rs. 4,339.07 Crores (Previous Year Rs. 3,190.46 Crores) are repayable on mutually agreed dates after a period of 15 months from the balance sheet date.

f. Unsecured loan from others Rs. 331.50 Crores (Previous Year Rs. NIL) are repayable on mutually agreed dates after a period of 14 months from the balance sheet date.

g. Trade Credits (not to be converted into term loans) aggregating to Rs. 3.43 Crores (Previous Year Rs. 124.71 Crores) are repayable on due dates and shown under current maturities of long term borrowings (Refer Note 11).

h. Trade Credits (not to be converted into term loans) aggregating to Rs. NIL (Previous Year Rs. 3.29 Crores) are repayable on due date / installment.

i. 10.95% Non Convertible debentures of Rs. 500 Crores (Previous Year Rs. NIL) are redeemable on due date after 36 months.

j. 10.85% Non Convertible debentures of Rs. 500 Crores (Previous Year Rs. NIL) are redeemable on due date after 36 months.

2. The Classification of loans between current liabilities and non-current liabilities continues based on repayment schedule under respective agreements unless loans have been recalled due to non-compliance of conditions under any of the loan agreements. This is in accordance with the guidance issued by the Institute of Chartered Accountants of India on Revised Schedule VI to the Companies Act, 1956, which holds good in absence of any change in this requirements under Companies Act, 2013.

The Company has recognised deferred tax assets on unabsorbed depreciation to the extent of the corresponding deferred tax liability on the difference between the book balance and the written down value of fixed assets under Income Tax.

1. Trade Credit for working capital from banks of Rs. 2,467.32 Crores (Previous Year Rs. 1,370.69 Crores) are secured / to be secured by first mortgage and charge on respective immovable and movable assets of the Company.

2. Cash Credit from banks of Rs. 60.00 Crores (Previous Year Rs. NIL) are secured / to be secured by first mortgage and charge on respective immovable and movable assets of the Company.

Note:

These do not include any amounts due and outstanding to be credited to "Investors' Education and Protection Fund".

Note 1 : Of the above shares 142,33,41,900 shares (Previous Year 87,31,01,400 shares) have been pledged by the Company as additional security for secured term loans availed by Adani Power Maharashtra Limited.

Note 2 : Of the above shares 61,20,00,000 shares (Previous Year 21,00,00,000 shares) have been pledged by the Company as additional security for secured term loans availed by Adani Power Rajasthan Limited. During the year the Company converted loan of Rs. 500 Crores into equity investment of 500,000,000 shares of Rs. 10 each.

As at As at Particulars 31st March, 2015 31st March, 2014 ( Rsin Crores) ( Rsin Crores)

3. Contingent liabilities and commitments (i) Contingent liabilities :

1. Undertaking issued by the Company to Gujarat Urja Vikas Nigam Limited (GUVNL) to repay the amount received from GUVNL towards sales made prior to Scheduled Commercial Operation Date if Hon'ble Supreme Court gives decision in favour of the GUVNL 135.20 135.20

2. Claims against the Company not acknowledged as debts in respect of:

a. Income Tax 12.90 2.81

b. Service Tax 5.11 5.11

c. Rajasthan Entry Tax - 6.25

d. Custom Duty 133.43 133.43

286.64 282.80

4. Operating lease

The Company has entered into operating lease arrangements for right to use office premises, land and employees' accommodations. The lease agreements are executed for a period ranging between 1 year to 9 years with a renewal clause and also provide for termination by either party by giving a prior notice.

5. The Government of India (GOI) has, vide its letter dated 19th December, 2006, granted approval to the Company's proposal for development, operation and maintenance of the sector specific Special Economic Zone(SEZ) for power over an area of 293-88-10 hectares of the Company's land at Village: Tundra & Siracha, Taluka Mundra, Gujarat. In view thereof, all the benefits available to SEZ developer under Special Economic Zones Act, 2005 and Special Economic Zones Rules, 2006 and amendment made there under are available to the Company.

6. The Company entered into an agreement (PPA) dated 2nd February, 2007 with Gujarat Urja Vikas Nigam Limited (GUVNL) for supply of Power on long term basis subject to certain conditions to be complied within stipulated time. Amongst others, one of the conditions was pertaining to tie- up of fuel supply based on coal to be provided by Gujarat Mineral Development Corporation (GMDC). This agreement did not materialize. Consequent to the same, the Company had terminated the PPA and offered to pay the liquidated damages. However, GUVNL has contested the termination and approached Gujarat Energy Regulatory Commission (GERC) to resolve the matter. GERC held that the agreement cannot be terminated. Against the decision of GERC, the Company filed an appeal before Appellate Tribunal for Electricity (APTEL). APTEL upheld the decision of GERC. The Company has submitted a review petition with APTEL against its decision and has also challenged the decision of APTEL before the Hon'ble Supreme Court of India. Pending the decisions of the review petition filed before APTEL as well as the appeal filed before the Hon'ble Supreme Court, the Company continues to fulfill its obligations under the said PPA.

7.(a) Board of Directors at their meetings held on 28th December, 2013, approved a Scheme of Arrangement ("Scheme") in nature of demerger, under Section 391 to 394 of the Companies Act, 1956. The Scheme with an appointed date of 31st March, 2014, which entails transfer of transmission line business of the Company and Adani Power Maharashtra Limited (wholly owned subsidiary of the Company) into Adani Transmission (India) Limited (wholly owned subsidiary of the Company), was effected during the year, based on attribution of assets and liabilities finally transferred, consequent to the receipt all necessary approvals.

In accordance with Accounting Standard 24, "Discontinuing Operations", the financial results of the transmission line business during the year until discontinuation are as under :

8.(b) Subsequently, by the approval of the Boards of Directors and Shareholders of the Company, divested 90.91% equity investment held by the Company in Adani Transmission (India) Limited (Subsidiary of the Company) to Adani Transmission Limited (Wholly Owned Subsidiary of Adani Enterprises Limited) at an aggregating value of Rs. 311.92 Crores determined on the basis of an independent valuation report. Adani Transmission (India) Limited ceased to be subsidiary of the Company w.e.f. 4th March, 2015.

9. As at 31st March, 2015, the current liabilities (including Rs. 3,746.33 Crores to related parties) exceeded the current assets by Rs. 7,831.77 Crores. The Company plans to meet the financial obligations for the ensusing financial year by using undrawn credit limits, rescheduling payments of dues to certain related parties, internal accruals, refinancing and elongating the repayment period of Rupee Term Loans from Banks and financial support from the holding company. Having regard to the above, the financial statements have been prepared by the Management of the Company on a going concern basis.

10. (a)The Company, under long term Power Purchase Agreements ("the PPAs"), has committed 712 MW capacity each with Uttar Haryana Bijli Vidyut Nigam Limited and Dakshin Haryana Bijli Vidyut Nigam Limited ("Haryana Discoms"), and 1000 MW with Gujarat Urja Vikas Nigam Limited ("GUVNL') in Mundra Plant with a substantially fixed tariff for twenty five years, in addition to 1000 MW to GUVNL under another long term power purchase agreement.

The Company had made an application on 5th July, 2012 under Section 79 of the Electricity Act, 2003 to the Central Electricity Regulatory Commission ("the CERC") for evolving a mechanism for regulating and revising the power tariff on account of frustration and/or occurrence of "Force Majeure" and/or "Change in Law" events under the PPAs with Haryana Discoms and with GUVNL Bid 2 ("the customers"), due to change in circumstances for the allotment of domestic coal by the Government of India and the enactment of new coal pricing regulations by Indonesian Government.

The CERC vide its order dated 2nd April, 2013 rejected the consideration of "Force Majeure" and "Change in Law" and constituted a committee to look into other matters raised in the appeal and give its recommendations. The CERC, after considering the recommendations of the committee, vide its order dated 21st February, 2014, concluded that the Company is entitled to a Compensatory Tariff ("the CT") from Scheduled Commercial Operation Dates (SCODs) of the plants, over and above the tariff agreed under the PPAs entered into with the customers for a limited period till the events which occasioned for such compensation exists.

The customers had filed appeals against the above orders with the Appellate Tribunal for Electricity ("the APTEL'). The Company had filed an appeal against the CERC order dated 2nd April, 2013 which was not admitted by the APTEL vide its order dated 31st October, 2014 citing delay in filing appeal.

The Company filed an appeal with the Supreme Court against the said APTEL order. The Supreme Court vide its order dated 31st March, 2015, had allowed the Company to argue on the grounds of "Force Majeure" and "Change in law" in respect of the above matters before the APTEL.

On 21st July, 2014, the APTEL passed an interim order allowing the CT to be paid effective from March, 2014 and staying payment of the CT of earlier periods pending disposal of the appeal. Subsequently, in response to an appeal filed with the Hon. Supreme Court by Haryana Discoms against the aforesaid interim order, the Supreme Court, vide its order dated 25th August, 2014, has, in view of a statement made by the Company's counsel that the Company would accept the payment in terms of the PPAs without prejudice to its claim since the compensatory tariff related issue is already being heard by the APTEL, rendered the previous orders of the CERC and the APTEL inoperative and directed the APTEL to dispose of the appeals expeditiously.

As per the assessment by the Management it would not be unreasonable to expect ultimate collection of the CT including for the past periods based on the legal advice that the Company continues to have a strong case. In view of the aforesaid, the Company has recognised revenue on account of the CT of Rs. 857.35 Crores for the year ended 31st March, 2015 and Rs. 1,843.12 Crores for the previous year. Congruently, the Management has considered cash inflows on account of the CT for determining the 'value in use' of the power plants in terms of Accounting Standard (AS) 28, Impairment of Assets and concluded that no provision for impairment is considered necessary at this stage.

(b)The Company has also filed a similar petition seeking additional tariff with the CERC under another long term Power Purchase Agreement with GUVNL for committed capacity aggregating to 1000 MW The Management of the Company expects a favourable order on similar lines as the aforesaid order dated 21st February, 2014 considering that the salient facts and circumstances are the same.

11. The Company has determined the recoverable amounts of the Power Plants under Accounting Standard (AS) 28, Impairment of Assets on the basis of their Value in Use by estimating the future cash inflows over the estimated useful life of the Power Plants. Further, the cash flow projections are based on estimates and assumptions relating to tariff, operational performance of the Plants, market prices of coal and other fuels, exchange variations, inflation, terminal value etc. which are considered reasonable by the Management.

On a careful evaluation of the aforesaid factors, the Management of the Company has concluded that the Recoverable Amounts of the Power Plants are higher than their carrying amounts as at 31st March, 2015. However, if these estimates and assumptions change in future, there could be a corresponding impact on the recoverable amounts of the Plants.

12. The carrying amounts of long-term investments in equity shares of wholly owned subsidiary companies viz. Adani Power Maharashtra Limited ("APML') and Adani Power Rajasthan Limited ("APRL') are Rs. 4205.92 Crores (Previous Year Rs. 4205.92 Crores) and Rs. 1200.00 Crores (Previous Year Rs. 700.00 Crores) respectively, as at 31st March, 2015. Long term loans and advances (Refer Note 16) include loans given to APML and APRL of Rs. 2560.94 Crores (Previous Year Rs. 2390.03 Crores) and Rs. 1626.44 Crores (Previous Year Rs. 1775.56 Crores) respectively, as at 31st March, 2015.

APML and APRL owns and operates 3300 MW and 1320 MW coal based power plants respectively with almost entire capacities tied up under power purchase agreements ("PPAs") for twenty five years with substantially fixed tariff. The PPAs for these plants were made based on the commitments/ understanding that domestic coal linkages would be available to meet the fuel requirements. However, adequate coal linkages were not made available due to various reasons not attributable to the Company. In response to the Company's plea for compensating the losses due to above, the respective state electricity regulators and CCEA have granted part relief in form of compensatory tariffs. The Company's management also expects that the required coal linkages will be made available on the mechanism being worked out by the Power Ministry and until then the Compensatory Tariffs would substantially compensate the operational losses. Considering these factors, the Management of the Company has concluded that diminution in value of the investments as at 31st March, 2015, is not other than temporary, and accordingly, provision for diminution in carrying values of aforesaid investments in terms of Accounting Standard (AS) 13, Accounting for Investments, or against the loans, is not required to be recognized.

13. The Company had, pursuant to a Memorandum of Understanding dated 1st December, 2006 ("the MOU") with Brakel Kinnaur Power Private Limited ("Brakel"), given interest free advances of Rs. 288.45 Crores to Brakel during earlier financial years which were, in turn, deposited by Brakel with the Government of Himachal Pradesh ("the GoHP") in relation to 960 MW hydro power plant project ("the project") awarded to it by the GoHP and an agreement was signed between GoHP and Brakel for execution of the project. As per the MOU, the Company was to become a co-venturer in the project at a later date. In 2009, Brakel had filed an application with the GoHP to seek approval to add the Company as a consortium partner, which was not responded by the GoHP. In view of various litigations related to the awarding of the project, Special Leave Petition ("SLP") was filed by Brakel and an Interim Application ("IA") was filed by the Company with Supreme Court to intervene.

In March 2014, the GoHP issued a show cause notice to Brakel for forfeiture of the aforesaid deposit for the losses caused to the GoHP due to non-compliance of the terms of the agreement. Brakel had since withdrawn the SLP and in turn the IA by Company stood withdrawn. In the meanwhile, Brakel had requested the GoHP to refund aforesaid deposit directly to the Company. Accordingly, the Company has been pursuing refund directly from GoHP. The GoHP has since acknowledged receipt of funds from the Company.

The Management of the Company is confident of recovery of the aforesaid amount based on the legal advice that the Company has a good case including its right to a legal remedy. Accordingly, no provision with respect to the said advance is considered necessary at this stage.

14. During the year, Company has entered into a definitive agreement with the owners of Udupi Power Corporation Limited ("UPCL') for acquiring their entire stake in UPCL from the said owners of UPCL. UPCL is located in the state of Karnataka and has operational thermal power generation capacity of 1200 MW with a captive jetty of 4 million tons per annum. As at 31st March, 2015, the Company has paid advance consideration of Rs. 742.00 Crores. Subsequent to the year end, on 20th April, 2015, on receipt of all consents and approvals, the Company has acquired 100% stake of UPCL.

15. During the year, the Company has executed a Share Purchase Agreement for acquisition of 100% stake in Korba West Power Company Ltd ("KWPCL') which owns a 600 MW Coal based thermal power plant in state of Chhattisgarh, with Avantha Power and Infrastructure Limited subject to necessary approvals and consents. As at 31st March, 2015, the Company has paid advance consideration of Rs. 979.61 Crores.

16. During the year, the Company participated in the e-auction of coal blocks conducted by the Nominated Authority of the Ministry of Coal, Government of India and has successfully secured the block at Jitpur in the state of Jharkhand. The vesting of the coal block is in process.

17. The Board of Directors at their meeting held on 30th January, 2015, had approved a composite Scheme of Arrangement ("Scheme") under section 391 and 394 of the Companies Act, 1956, between Adani Enterprises Limited, the holding Company ("AEL'), Adani Ports and Special Economic Zone Limited ("APSEZ"), Adani Transmission Limited ("ATL') and Adani Mining Private Limited ("AMPL') and the Company, for the demerger of various businesses of AEL and simplification of the group structure. As a result of this Scheme, Power Undertaking of AEL will be demerged into the Company alongwith its assets and liabilities from the appointed date of 1st April, 2015, subject to the necessary regulatory approvals and consents. Pursuant to the demerger of the Power Undertaking of AEL into Company and based on fair valuation done, the Company shall issue and allot new equity shares to the equity shareholders of AEL in the ratio of 18596 equity shares in Company for every 10000 equity shares held by the equity shareholder in AEL. The equity shares held by AEL in Company will be cancelled pursuant to the Scheme becoming effective. The Hon'ble High Court of Gujarat vide its order dated 7th May, 2015 has approved the Scheme.

18. The Company has taken various derivatives to hedge its loans. The outstanding position of derivative instruments are as under:

19. There are no Micro, Small and Medium Enterprises, to whom the Company owes dues, which are outstanding as at the Balance Sheet date. The above information has been determined to the extent such parties have been identified on the basis of information available with the Company. This has been relied upon by the auditors.

20. Pursuant to the Accounting Standard (AS-20) - Earnings per Share, the disclosure is as under:

21.The Company's activities during the year revolve around power generation. Considering the nature of Company's business and operations, there is only one reportable segments (business and/or geographical) in accordance with the requirements of Accounting Standard 17 - 'Segment Reporting', prescribed under Company (Accounts) Rules, 2014.

22.Interest income comprises of interest from fixed deposits with banks Rs. 29.84 Crores (Previous Year Rs. 71.92 Crores), interest from loans & advances Rs. 342.71 Crores (Previous Year Rs. 494.18 Crores), interest on tax refunds Rs. 0.57 Crores (Previous Year Rs. 4.41 Crores) and interest on other Rs. 0.80 Crores (Previous Year Rs. 1.40 Crores).

23. In the opinion of the management and to the best of their knowledge and belief, the value under the head of current assets are approximately of the value stated, if realised in ordinary course of business, unless stated otherwise. The provision for all the known liabilities is adequate and not in excess of amount considered reasonably necessary.

24. As per Accounting standard 15 "Employee Benefits", the disclosure as defined in the accounting standard are given below.

(a) Defined Benefit Plan

The Company operates a defined benefit plan (the Gratuity plan) covering eligible employees, which provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee's salary and the tenure of employment.

The status of gratuity plan as required under AS-15 (revised):

vii. The Company has defined benefit plans for Gratuity to eligible employees, the contributions for which are made to Life Insurance Corporation of India who invests the funds as per Insurance Regulatory Development Authority guidelines.

Not Available

The discount rate is based on the prevailing market yields of Government of India securities as at the balance sheet date for the estimated term of the obligations.

The expected contributions for Defined Benefit Plan for the next financial year will be in line with FY 2014-15.

The actuarial liability for compensated absences (Privilege Leave) as at the year ended 31st March, 2015 is Rs.17.41 Crores (Previous Year Rs. 9.20 Crores)

The actuarial liability for compensated absences (Sick Leave) as at the year ended 31st March, 2015 is Rs. 2.12 Crores (Previous Year Rs. 4.02 Crores)

(b) Defined Contribution Plan

Contribution to Defined Contribution Plans, recognised in Statement of Profit and Loss, for the year is as under:

25.The details of loans and advances of the Company outstanding at the end of the year as required by the amendment to the Clause 32 of the Listing Agreement vide SEBI circular No. 2/2003 of 10th January, 2003.

26.Related party transactions

a. List of related parties and relationship

Description of relationship Name of Related Parties

Ultimate Controlling Entity Shantilal Bhudhermal Adani Family Trust (SBAFT)

Holding Company Adani Enterprises Limited

Subsidiaries Adani Power Maharashtra Limited

Adani Power Rajasthan Limited

Adani Power (Karnataka) Limited (w.e.f. 16th February, 2015) Adani Transmission (India) Limited (up to 3rd March, 2015)

Adani Power Resources Limited

(Formerly known as Adani Transmission (Maharashtra) Limited)

Fellow subsidiaries Adani Power Dahej Limited

Adani Pench Power Limited

Kutchh Power Generation Limited

Maharashtra Eastern Grid Power Transmission Company Limited

Adani Hazira Port Private Limited

Adani Hospitals Mundra Private Limited

Adani Mining Private Limited

Adani Shipping Pte Limited

Adani Welspun Exploration Limited

Adani Infra (India) Limited

Adani Gas Limited

Chemoil Adani Private Limited

Adani Ports and Special Economic Zone Limited

MPSEZ Utilities Private Limited

Karnavati Aviation Private Limited

Adani Global Pte Limited

Adani Kandla Bulk Terminal Private Limited

Adani Transmission (India) Limited (w.e.f. 4th March, 2015)

Adani Transmission Limited

Entities on which one or more Key Adani Wilmar Limited Management Personnel ("KMP")have Adani Properties Private Limited a significant influence / controls Shanti Builders - Partnership firm

Adani Foundation Adani Advisory LLP

Key management personnel and their Mr. Gautam S. Adani, Chairman Relatives Mr. Rajesh S. Adani, Managing Director

Mr. Vneet S Jaain, Executive Director

Mr. Vinod S. Adani (Relative of Key management personnel)

(Figures below Rs. 50, 000 are denominated by :

The transactions with related parties during the year are shown net of taxes.

(Figures below Rs. 50, 000 are denominated by )

27. Previous year figures have been regrouped and rearranged wherever necessary to conform to this year's classification.

---

Mar 31, 2014

1. Corporate information

Adani Power Limited ("the Company") is a public company domiciled in India and incorporated under the provisions of Companies Act, 1956. The Company together with its subsidiaries currently has three power projects with a combined installed capacity of 9240 MW, out of which 8580 MW has been commissioned. The Company intends to sell the power generated from these projects under a combination of long term Power Purchase Agreements and on merchant basis. The Company gets synergetic benefit of the integrated value chain of Adani group.

As at As at Particulars 31st March 2014 31st March 2013

( Rs. in Crores) ( Rs. in Crores)

2. Contingent liabilities and commitments (to the extent not provided for) :

(i) Contingent liabilities :

1. Undertaking issued by the Company to Gujarat Urja Vikas Nigam Limited (GUVNL) to repay the amount received from GUVNL towards sales made prior to Scheduled Commercial Operation Date if Hon''ble Supreme Court gives decision in favour of the GUVNL. 135.20 -

2. Claims against the Company not acknowledged as debts in respect of:

a. Income Tax 2.81 2.81

b. Service Tax 5.11 5.11

c. Rajasthan Entry Tax 6.25 6.25

d. Custom Duty 133.43 133.43

282.80 147.60 (ii) Commitments :

Estimated amount of contracts remaining to be executed on capital account and not provided for 24.58 111.38

Equity Infusion in Subsidiaries - 215.22

24.58 326.60

3. Operating lease:

The Company has entered into operating lease arrangements for right to use office premises, land and employees'' accommodations. The lease agreements are executed for a period ranging between 1 year to 9 years with a renewal clause and also provide for termination by either party by giving a prior notice.

4 The Government of India (GOI) has, vide its letter dated 19th December 2006, granted approval to the Company''s proposal for development, operation and maintenance of the sector specific Special Economic Zone (SEZ) for power over an area of 293-88-10 hectares of the Company''s land at Village: Tunda & Siracha, Taluka Mundra, Gujarat. In view thereof, all the benefits available to SEZ developer under Special Economic Zones Act, 2005 and Special Economic Zones Rules, 2006 and amendment made there under are available to the Company.

5 Total number of electricity units sold during the year 27,125 MUs (Previous Year – 20,051 MUs)

6 The Company entered into an agreement (PPA) dated 2nd February, 2007 with Gujarat Urja Vikas Nigam Limited (GUVNL) for supply of Power on long term basis subject to certain conditions to be complied within stipulated time. Amongst others, one of the conditions was pertaining to tie- up of fuel supply based on coal to be provided by Gujarat Mineral Development Corporation (GMDC). This agreement did not materialize. Consequent to the same, the Company had terminated the PPA and offered to pay the liquidated damages. However, GUVNL has contested the termination and approached Gujarat Energy Regulatory Commission (GERC) to resolve the matter. GERC held that the agreement cannot be terminated. In response to the decision of GERC, the Company filed an appeal before Appellate Tribunal for Electricity (APTEL). APTEL upheld the decision of GERC. The Company has submitted a review petition with APTEL against its decision and has also challenged the decision of APTEL before the Hon''ble Supreme Court of India. Pending the decisions of the review petition filed before APTEL as well as the appeal filed before the Hon''ble Supreme Court, the Company continues to fulfill its obligations under the said PPA.

7 The Company has sold investments in the wholly owned subsidiaries Adani Pench Power Ltd, Kutchh Power Generation Ltd and Adani Power Dahej Ltd at a cost price of Rs. 0.05 crores each to its holding company Adani Enterprises Ltd on 28th September, 2013.

8 Board of Directors at their meetings held on 28th December, 2013 approved a Scheme of Arrangement ("Scheme") in nature of demerger, under Section 391 to 394 of the Companies Act, 1956. The Scheme with an appointed date of 31st March, 2014, subject to necessary approvals by the Hon''ble High Court of Gujarat & relevant statutory authorities, entails transfer of transmission line business of the Company and Adani Power Maharashtra Limited (wholly owned subsidiary of the Company) into Adani Transmission (India) Limited (Formerly known as Adani Transmission (Gujarat) Limited) (wholly owned subsidiary of the Company).

In accordance with Accounting Standard 24, "Discontinuing Operations", the financial results of the transmission line business during the year until discontinuation are as under :

9 As at 31st March, 2014, the current liabilities (including Rs. 4390.06 Crores to related parties) exceeded the current assets by Rs. 8656.17 Crores. The Company plans to meet the working capital requirement for the forthcoming year by using undrawn credit limits, rescheduling the payments to certain related parties, generating internal accruals from future tariff and receiving the continual financial support from the holding company. Having regard to the above, the financial statements have been prepared by the Management of the Company on a going concern basis.

10 The Company, under long term Power Purchase Agreements ("the PPAs"), has committed 712 MW capacity each with Uttar Haryana Bijli Vidyut Nigam Limited and Dakshin Haryana Bijli Vidyut Nigam Limited ("Haryana Discoms"), and 1000 MW with Gujarat Urja Vikas Nigam Limited ("GUVNL") in Mundra Plant with a substantially fixed tariff for twenty five years.

The Company had made an application on 5th July, 2012 under Section 79 of the Electricity Act, 2003 to the Central Electricity Regulatory Commission ("CERC") for evolving a mechanism for regulating and revising the power tariff on account of frustration and / or occurrence of "Force Majeure" and / or "Change in Law" events under the PPAs with Haryana Discoms and with GUVNL ("the customers"), due to the change in circumstances for the allotment of domestic coal by the Government of India and the enactment of new coal pricing regulations by Indonesian Government.

The CERC has, after considering the recommendations of a committee appointed for the purpose, vide its order dated 21st February, 2014, decided that the Company is entitled to the Compensatory Tariff from Scheduled Commercial Operation Date (SCOD), over and above the tariff agreed under the PPAs entered into with the customers for a limited period till the events which occasioned such compensation exists. The said order states that the Compensatory Tariff till 31st March, 2013 aggregating Rs. 829.75 Crores shall be paid by the customers in equal monthly installments over a period of not more than 36 months from the date of the order and the Compensatory Tariff for the period from 1st April, 2013 onwards shall be determined as per the formula prescribed in the said order. The amount of Compensatory Tariff from 1st April, 2013 to 31st March, 2014 shall be paid to the Company in equal monthly instalments over a period of not less than 12 months from the date of the order and the Compensatory Tariff for subsequent periods commencing from 1st April, 2014 shall be paid on a monthly basis based on claims submitted by the Company.

Subsequent to the above CERC order, the customers have filed appeals with the Appellate Tribunal for Electricity ("APTEL") challenging the CERC order and have also requested APTEL to grant a stay on the enforcement of the order. APTEL has sought replies from the Company and has set the next date of hearing on 22nd May, 2014. As of date, APTEL has neither granted the stay nor has passed an order setting aside the said CERC order.

The Management of the Company has been legally advised that the CERC order is enforceable as on date and is in operation and that the Company has a good arguable case in support of the CERC order with respect to the appeals filed by the customers against the said order with APTEL considering, inter alia, that:

a) Ld. Attorney General of India in his opinion dated 7th August, 2012 on the request of Forum of Regulators has opined that "regulate'' under Section 79(1)(b) can even take within its ambit regulation/revision in price of rate adopted in Section 63 of the Electricity Act, 2003.

b) The CERC has observed that under Section 79(1)(b) of the Electricity Act, 2003, CERC has the power to regulate the tariff of generating companies. Although the tariff of the PPAs are determined under Section 63 of the Electricity Act, 2003 (i.e. competitive bidding), it does not eclipse or take away the regulatory powers of CERC under Section 79(1)(b) and 79(1)(f), to be exercised on the basis of the principles envisaged in Section 61 of the Electricity Act, 2003.

In view of the above, and the assessment by the Management of the Company that it would not be unreasonable to expect ultimate collection of the amount involved as detailed below, the Management of the Company has recognized aggregate revenue of Rs. 1843.12 Crores comprising lump sum compensation of Rs. 829.75 Crores towards the Compensatory Tariff till 31st March 2013 and an amount of Rs. 1013.37 Crores being the Compensatory Tariff for the period from 1st April, 2013 to 31st March, 2014 as revenue from operations.

The Company has also filed a similar petition seeking additional tariff with the CERC under another long term Power Purchase Agreement with GUVNL for committed capacity aggregating to 1000 MW. The Management of the Company expects a favourable order on similar lines as the aforesaid order dated 21st February, 2014 considering that the salient facts and circumstances are the same.

11 The Company has determined the Recoverable Amounts of the Power Plants under Accounting Standard (AS) 28, Impairment of Assets on the basis of their Value in Use by estimating the future cash inflows over the estimated useful life of the Power Plants. Further, the cash flow projections are based on estimates and assumptions relating to tariff, operational performance of the Plants, market prices of coal and other fuels, exchange variations, inflation, terminal value etc. which are considered reasonable by the Management.

On a careful evaluation of the aforesaid factors, the Management of the Company has concluded that the Recoverable Amounts of the Power Plants are higher than their carrying amounts as at 31st March, 2014. However, if these estimates and assumptions change in future, there could be a corresponding impact on the Recoverable Amounts of the Plants.

12 In an earlier financial year, based on the Memorandum of Understanding ("MOU") signed between the Company and Brakel Kinnaur Power Private Limited ("Brakel"), the Company had given interest free advance aggregating Rs. 288 Crores which in turn was deposited by Brakel with Government of Himachal Pradesh (GoHP) in relation to 960 MW hydro power plant awarded to it by GoHP. As per the MOU, the Company was to become a co-venturer for the project at a later date. In 2009, Brakel had filed an application with GoHP to seek approval to add the Company as a consortium partner, which was not responded by GoHP.

In March 2014, GoHP issued a show cause notice to Brakel for forfeiture of the said deposit / advance amount of Rs. 281 Crores for the losses caused to GoHP due to non-compliance of the terms of the agreement. In the meanwhile, Brakel had conveyed it''s no objection to GoHP to grant the refund of the aforesaid deposit / advance directly to the Company. However, based on legal opinion obtained, the Management of the Company is confident of recovery of the aforesaid amount and, accordingly, no provision has been considered necessary at this stage.

13 There are no Micro, Small and Medium Enterprises, to whom the Company owes dues, which are outstanding as at the Balance Sheet date. The above information has been determined to the extent such parties have been identified on the basis of information available with the Company. This has been relied upon by the auditors.

14 The Company''s activities during the year revolve around power generation. Considering the nature of Company''s business and operations, there is no reportable segments (business and/or geographical) in accordance with the requirements of Accounting Standard 17 – ''Segment Reporting'', prescribed under Company (Accounting Standards) Rules, 2006.

15 Interest Income comprises of interest from fixed deposits with banks Rs. 71.92 Crores (Previous Year Rs. 136.70 Crores), Interest from loans and advances Rs. 494.18 Crores (Previous Year Rs. 368.07 Crores), interest on tax refunds Rs. 4.41 Crores (Previous Year Rs. NIL) and interest on others Rs. 1.40 Crores (Previous Year Rs. 1.19 Crores)

16 In the opinion of the management and to the best of their knowledge and belief, the value under the head of current assets are approximately of the value stated, if realised in ordinary course of business, unless stated otherwise. The provision for all the known liabilities is adequate and not in excess of amount considered reasonably necessary.

17 The Company operates a defined benefit plan (the Gratuity plan) covering eligible employees, which provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee''s salary and the tenure of employment.

i. The Company has defined benefit plans for Gratuity to eligible employees. The contributions for which are made to Life Insurance Corporation of India who invests the funds as per Insurance Regulatory Development Authority guidelines.

# Not Available

The discount rate is based on the prevailing market yields of Government of India securities as at the balance sheet date for the estimated term of the obligations.

The expected contributions for Defined Benefit Plan for the next financial year will be in line with FY 2013-14.

The actuarial liability for compensated absences (Privilege Leave) as at the year ended 31st March 2014 is Rs. 9.20 Crores (Previous Year Rs. 3.46 Crores).

The actuarial liability for compensated absences (Sick Leave) as at the year ended 31st March 2014 is Rs. 4.02 Crores (Previous Year Rs. NIL).

18 The details of loans and advances of the Company outstanding at the end of the year as required by the amendment to the clause 32 of the listing agreement vide SEBI circular No. 2/2003 of 10th January, 2003.

19 Related party transactions

a. List of related parties and relationship

(I) Related parties where control exist Subsidiaries and step down subsidiaries:

Adani Power Maharashtra Limited

Adani Power Rajasthan Limited

Adani Transmission (India) Ltd.(w.e.f. 2nd December, 2013)

(Formerly known as Adani Transmission (Gujarat) Limited)

Adani Transmission (Maharashtra) Limited

(w.e.f. 4th December, 2013)

Adani Power Dahej Limited (up to 27th September, 2013)

Adani Pench Power Limited (up to 27th September, 2013)

Kutchh Power Generation Ltd (up to 27th September, 2013)

(II) Other related parties

Holding Company Ultimate Controlling Entity Fellow subsidiaries

Adani Enterprises Limited

Shantilal Bhudhermal Adani Family Trust (SBAFT)

Adani Power Dahej Limited (w.e.f. 28th September, 2013)

Adani Pench Power Limited (w.e.f. 28th September, 2013)

Kutchh Power Generation Ltd (w.e.f. 28th September, 2013

Maharashtra Eastern Grid Power Transmission

Company Limited

Adani Hazira Port Pvt. Limited

Adani Mining Pvt. Limited

Adani Shipping Pte Limited

Adani Welspun Exploration Limited

Adani Infra (India) Limited

Adani Gas Limited

Chemoil Adani Private Limited

Adani Ports and Special Economic Zone Limited

(Formerly known as Mundra Port and Special Economic

Zone Limited)

MPSEZ Utilities Private Limited

Karnavati Aviation Private Limited

Adani Global Pte Limited

Adani Kandla Bulk Terminal Private Limited

Entities on which one or more Key Management Personnel have a significant influence / controls

Adani Wilmar Limited

Adani Properties Private Limited

Shanti Builders - Partnership firm

Adani Foundation

Adani Advisory LLP

Key management personnel and their Relatives

Mr. Gautam S. Adani, Chairman

Mr. Rajesh S. Adani, Managing Director

Mr. Vneet S Jaain, Executive Director

Mr. Vinod S. Adani (Relative of Key management personnel)

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Mar 31, 2013

1 Corporate information

Adani Power Limited (the Company) is a public company domiciled in India and incorporated under the provisions of Companies Act, 1956. The Company together with its subsidiaries currently has six power projects with a combined installed capacity of 16500 MW, out of which 5280 MW has been commissioned. The Company intends to sell the power generated from these projects under a combination of long term Power Purchase Agreements and on merchant basis. The Company gets synergetic benefit of the integrated value chain of Adani group.

During the year, the Company''s two Power Generating Units of 660 MW each (Previous Year - Total 1320 MW) commenced commercial operations resulting into total power generating capacity to 4620 MW and commissioned 500 KVA high voltage direct current transmission line with a capacity to wheel upto 2,500 MW of power, from Mundra, Gujarat to Mohindergarh, Haryana.

2 Operating lease:

The Company has entered into operating lease arrangements for right to use office premises, land and employees'' accommodations. The lease agreements are executed for a period ranging between 1 year to 14 years with a renewal clause and also provide for termination by either party by giving a prior notice.

3 The Government of India (GOI) has, vide its letter dated 19th December, 2006, granted approval to the Company''s proposal for development, operation and maintenance of the sector specific Special Economic Zone(SEZ) for power over an area of 293-88-10 hectares of the Company''s land at Village: Tunda & Siracha, Taluka Mundra, Gujarat. In view thereof, all the benefits available to SEZ developer under Special Economic Zones Act, 2005 and Special Economic Zones Rules, 2006 and amendment made there under are available to the Company.

4 Total number of electricity units sold during the year 20,051 MUs (Previous Year - 12,350 MUs)

5 The Company entered into an agreement (PPA) dated 2nd February, 2007 with Gujarat Urja Vikas Nigam Limited (GUVNL) for supply of Power on long term basis subject to certain conditions to be complied within stipulated time. Amongst others, one of the conditions was pertaining to tie- up of fuel supply based on coal to be provided by Gujarat Mineral Development Corporation (GMDC). This agreement did not materialize. Consequent to the same, the Company had terminated the PPA and offered to pay the liquidated damages. However, GUVNL has contested the termination and approached Gujarat Energy Regulatory Commission (GERC) to resolve the matter. GERC held that the agreement cannot be terminated. Against the decision of GERC, the Company filed an appeal before Appellate Tribunal for Electricity (APTEL). APTEL upheld the decision of GERC. The Company has submitted a review petition with APTEL against its decision and has also challenged the decision of APTEL before the Hon''ble Supreme Court of India. Pending the decisions of the review petition filed before APTEL as well as the appeal filed before the Hon''ble Supreme Court, and the matter being sub-judice, no effect has been given in these financial statements.

6 During the year, Company has sold investment in the wholly owned subsidiary Adani Shipping PTE Limited at a profit of Rs. 51.70 Crores. Investments in - Mundra Power SEZ Limited of Rs. 0.05 Crores, Adani Power PTE Limited of Rs. 0.01 Crores and Adani Power (Overseas) Limited of Rs. 0.05 Crores have been written off as these wholly owned subsidiaries have been wound-up during the year.

7 (a) The Company''s scheme of amalgamation (''the Scheme'') between the Company (Transferee Company) and Growmore Trade and Investment Private Limited (referred to as ''Transferor Company'') under section 391 to 394 of the Companies Act, 1956 has been sanctioned by the Hon''ble High Court of Gujarat vide its order dated 29th October, 2012. As per the Scheme, "the Appointed Date" is 1st April, 2011 and "the Effective Date" is 2nd November, 2012 (the date on which the order of Hon''ble High Court has been filed with the Registrar of Companies, Gujarat by the Company).

In terms of the Scheme, the Transferor Company has been merged with the Company, upon which the undertaking and the entire business, including all assets and liabilities of the Transferor Company with retrospective effect from the Appointed Date i.e. 1st April, 2011 stand transferred to and vested in the Transferee Company. The amalgamation has been accounted under the "pooling of interest method" laid down by Accounting Standard 14 (Accounting for amalgamations) prescribed under Companies (Accounting Standard) Rules, 2006 and the assets and liabilities transferred have been recorded at their book values. Accordingly, Growmore''s investment in the subsidiary of the Company - Adani Power Maharashtra Limited ("APML'') is considered as investment of the Company, resulting into APML becoming 100% subsidiary of the Company.

(b) Pursuant to the Scheme, in consideration of the transfer, the Company allotted 21,32,36,910 equity shares of Rs. 10 each to the shareholders of the Transferor Company in the ratio of 16,615 equity shares of the Transferee Company credited as fully paid up for every 10,000 equity shares fully paid up held by the shareholders of the Transferor Company.

(c) The expenses of the Transferor Company for the period from the Appointed Date i.e.1st April, 2011 to 2nd November, 2012 and thereafter, have been disclosed as expenses in the Statement of Profit and Loss of the Company.

(d) Details of assets and liabilities acquired on amalgamation and treatment of the difference between the net assets acquired and cost of investment by the Transferee Company in the Transferor Company together with the shares issued to its shareholders with effect from the Appointed Date are as under:

8 The Company has sent request letters for balance confirmations to the trade receivables, trade payables and loans and advances parties. These balances as stated in the balance sheet, are subject to adjustments of differences, if any, on receipt of such confirmations from the parties.

9 In the opinion of the management and to the best of their knowledge and belief, the value under the head of current assets are approximately of the value stated, if realized in ordinary course of business, unless stated otherwise. The provision for all the known liabilities is adequate and not in excess of amount considered reasonably necessary.

10 There are no Micro, Small and Medium Enterprises, to whom the Company owes dues, which are outstanding as at the Balance Sheet date. The above information has been determined to the extent such parties have been identified on the basis of information available with the Company. This has been relied upon by the auditors.

11 Pursuant to the Accounting Standard (AS- 20) - Earnings per Share, the disclosure is as under:.

12 The Company''s activities during the year revolve around power generation. Considering the nature of Company''s business and operations, there is no reportable segments (business and/or geographical) in accordance with the requirements of Accounting Standard 17 - ''Segment Reporting'', prescribed under Company (Accounting Standards) Rules, 2006.

13 The Company operates a defined benefit plan (the Gratuity plan) covering eligible employees, which provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee''s salary and the tenure of employment.

14 Related party transactions

a. List of related parties and relationship

(I) Related parties where control exist

Subsidiaries and step down subsidiaries:

Adani Power Maharashtra Limited

Adani Power Rajasthan Limited

Adani Power Dahej Limited

Adani Pench Power Limited

Adani Power (Overseas) Ltd., UAE (upto 30.12.2012)

Adani Power Pte Ltd (upto 05.12.2012)

Mundra Power SEZ Ltd. (upto 27.02.2013)

Kutchh Power Generation Limited

Adani Shipping Pte Limited (upto 18.10.2012)

Rahi Shipping Pte Limited (upto 18.10.2012)

Vanshi Shipping Pte Limited (upto 18.10.2012)

Aashna Maritime Inc. (upto 18.10.2012)

Aanya Maritime Inc. (upto 18.10.2012)

(II) Other related parties

Holding Company Adani Enterprises Limited

Fellow subsidiaries Adani Mining Pvt. Limited

Adani Welspun Exploration Limited

Adani Infra (India) Limited

Adani Gas Limited

Chemoil Adani Private Limited

Adani Ports and Special Economic Zone Limited

(Formerly known as Mundra Port and Special

Economic Zone Limited)

MPSEZ Utilities Private Limited Karnavati Aviation Private Limited Adani Global Pte Limited Adani Kandla Bulk Terminal Private Limited

Other parties which are significantly influenced by the Company (either individually or with other)

Adani Wilmar Limited

Adani Properties Private Limited

Adani Renewable Energy LLP (upto 08.01.2013)

Shanti Builders - Partnership firm

Adani Foundation

Adani Advisory LLP

Key management personnel Mr. Gautam S. Adani, Chairman

Mr. Rajesh S. Adani, Managing Director Mr. Ravi Sharma, Whole-time Director (Up to 13.05.2012) and Executive Director (from 14.05.2012 to 30.06.2012) Mr. Vneet S Jaain, Executive Director (w.e.f 14.05.2012) Relatives of above

15 Previous year figures have been regrouped and rearranged wherever necessary to conform to this year''s classification.

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Mar 31, 2012

1 Corporate Information

Adani Power Limited (the Company) is a public company domiciled in India and incorporated under the provisions of Companies Act, 1956. The Company together with its subsidiaries currently has six power projects with a combined installed capacity of 16,500 MW, out of which 4,620 MW has been commissioned. The Company intends to sell the power generated from these projects under a combination of long term Power Purchase Agreements and on merchant basis. The Company gets synergetic benefit of the integrated value chain of Adani group.

During the year, the Company's two Power Generating Units of 660 MW each (Previous Year - total 1,320 MW) commenced commercial operations resulting into total power generating capacity to 3,300 MW.

a. Terms/rights attached to equity shares

The Company has only one class of equity shares having par value of Rs 10 per share. Each holder of equity shares is entitled to vote per share.

Notes:

1. The above secured borrowings are secured by:

a. The security details for the financial year 2011 - 2012

1. Rupee Term Loans from Banks aggregating to Rs 5,075.96 Crores and from Financial Institution Rs 370.00 Crores and Foreign Currency Loans aggregating to Rs 5,768.15 Crores and Bills Discounted under Letters of Credit from a bank of Rs 666.26 Crores are secured / to be secured by first mortgage and charge on all immovable and movable assets, both present and future of Phase I, II, III and Transmission Line Project on paripassu basis.

2. Rupee Term Loan from Banks aggregating to Rs 200.00 Crores and Foreign Currency Loan of Rs 460.41 Crores are secured /to be secured by first paripassu charge on revenue and receivable of Phase I, II, III and Transmission Line Project and second paripassu charge on other Project immovable and movable assets of Phase I, II, III and Transmission Line Project.

3. Bills Discounted under Letters of Credit from banks aggregating to Rs 5,686.84 Crores are secured by first mortgage and charge on all immovable and movable assets, both present and future of Phase IV, on paripassu basis.

4. The above Secured Loans are further secured by pledge of 32,67,86,777 Equity Shares of the Company through execution of Pledge Agreement with Adani Enterprise Limited as First charge for Secured Loans from banks aggregating to Rs 6,778.69 Crores.

5. Bills discounted under letters of credit from bank aggregating to Rs 0.94 Crores are secured by fixed deposit cash margin.

6. For current maturities of long-term borrowings, refer note 11 "Other Current Liabilities".

b. The security details for the financial year 2010 - 2011

1. Term Loans from banks aggregating to Rs 3,427.14 Crores and from financial institution Rs 460.00 Crores are secured/to be secured by first mortgage and charge on all immovable and movable assets, both present and future of Phase I and Phase II, on paripassu basis.

2. Bills Discounted under Letters of Credit from a bank of Rs 478.21 Crores is secured by first mortgage and charge on all immovable and movable assets, both present and future of Phase I and Phase II, on paripassu basis.

3. Terms loans from Banks aggregating to Rs 551.85 crores are secured/to be secured by first paripassu charge on revenue and receivables of Phase I and Phase II and second paripassu charge on other project immovable and movable assets of Phase I and Phase II.

4. Term Loans from banks aggregating to Rs 886.41 Crores and from financial institution Rs 296.16 Crores and Bills Discounted under Letters of Credit from banks aggregating to Rs 2,688.90 Crores are secured by first mortgage and charge on all immovable and movable assets, both present and future of Phase III, on paripassu basis.

5. Term Loans from banks aggregating to Rs 89.71 Crores (Subordinate Debt) are secured by second mortgage and charge on all immovable and movable assets, both present and future of Phase III, on paripassu basis.

6. Bills Discounted under Letters of Credit from a bank of Rs 179.70 Crores is to be secured by first mortgage and charge on all immovable and movable assets, both present and future of Phase III, on paripassu basis.

7. Bills Discounted under Letters of Credit from banks aggregating to Rs 4,765.27 Crores are secured by first mortgage and charge on all immovable and movable assets, both present and future of Phase IV, on paripassu basis.

8. Term Loans from banks aggregating to Rs 326.53 Crores (Subordinate Debt) are secured by second mortgage and charge on all immovable and movable assets, both present and future of Phase IV, on paripassu basis.

9. Term Loan from a bank of Rs 120.00 Crores and Bills Discounted under Letters of Credit from banks aggregating to Rs 761.45 Crores are secured by first charge by way of hypothecation on all movable assets, both present and future of Transmission Line Project.

10. The above Secured Loans are further secured by pledge of 32,67,86,777 Equity Shares of the Company through execution of Pledge Agreement with Adani Enterprises Limited as under.

a) First charge for Secured Loans from banks aggregating to Rs 8,636.74 Crores; and

b) Second charge for Secured Loans from banks aggregating to Rs 416.24 Crores.

2. Repayment schedule for the year 2011 - 2012

a. The term loans from bank and financial institutions aggregating to Rs 11,627.52 Crores are repayable in structured instalments ranging from quarterly to yearly.

b. The bills discounted under letters of credit (to be converted into term loans) aggregating to Rs 5,686.85 Crores are repayable in 40 quarterly instalments starting from August 2013.

c. The bills discounted under letters of credit (to be converted into term loans) aggregating to Rs 666.26 Crores are repayable in structured instalments ranging from quarterly to yearly.

d. The bills discounted under letters of credit aggregating to Rs 1,374.58 Crores are repayable upto three years.

3. Repayment schedule for the year 2010 - 2011

a. The term loans from bank and financial institutions aggregating to Rs 4,438.99 Crores are repayable in structured instalments ranging from quarterly to yearly.

b. The term loans from bank and financial institutions aggregating to Rs 1,272.28 Crores are repayable in Instalments payable starting from December 2011 ranging from Quarterly to Half Yearly.

c. The term loans from bank and financial institutions aggregating to Rs 326.53 Crores are repayable in 36 equal quarterly instalments starting from August 2014.

d. The bills discounted under letters of credit (to be converted into term loans) aggregating to Rs 2,688.90 Crores are repayable in 40 equal quarterly instalments starting from December 2011. (After Conversion into Term Loan).

e. The bills discounted under letters of credit (to be converted into term loans) aggregating to Rs 4,765.27 Crores are repayable in 40 quarterly instalments starting from August 2013. (After Conversion into Term Loan).

f. The bills discounted under letters of credit (to be converted into term loans) aggregating to Rs 761.45 Crores are repayable in 40 equal quarterly instalments starting from August 2012. (After Conversion into Term Loan).

g. The bills discounted under letters of credit aggregating to Rs 323.81 Crores are Repayable on maturity of bill upto Three years.

Note.

1. Refer note a and b in note 5 "Long term Borrowings" for details of securities.

2. Bills discounted under letters of credit from banks aggregating to Rs 925.07 Crores (as at 31st March, 2011 Rs Nil) are secured by Fixed Deposit Cash Margin.

3. Bills Discounted under Letters of Credit ( Working Capital Facilities ) from banks of Rs 1,300.15 Crores (as at 31st March, 2011 Rs 657.91 crores) are secured / to be secured by first mortgage and charge on all immovable and movable assets, both present and future of Phase I, II and III and Transmission Line Project, on paripassu basis.

Note:

1. For details of security of Current Maturities of Long term Borrowings refer note 1 a and 1 b in note 5 "Long-term Borrowings"

2. Bills discounted under letters of credit from banks aggregating to Rs 615.06 Crores (as at 31st March, 2011 Rs Nil) are secured by Fixed Deposit Cash Margin.

3. These do not include any amounts due and outstanding to be credited to "Investors' Education and Protection Fund".

As at As at 31st March, 2012 31st March, 2011 (Rs in Crores) (Rs in Crores)

2 Contingent liabilities not provided for in respect of:

Guarantees issued by the Company's bankers 1,007.07 694.54 on behalf of the Company

Letter of Credit facilities provided by banks 14.44 836.29 to the extent not utilised

Bonds submitted to Development Commissioner 3,758.00 3,860.94 on behalf of Government of India

Claims against the Company not acknowledged as debts in respect of:

1. Income Tax 2.81 0.46

2. Service Tax 9.37 -

3. Rajasthan Entry Tax 6.25 -

4,797.94 5,392.23

3 The Government of India (GOI) has, vide its letter dated 19th December, 2006, granted approval to the Company's proposal for development, operation and maintenance of the sector specific Special Economic Zone(SEZ) for power over an area of 293-88-10 hectares of the Company's land at Village: Tundra & Siracha, Taluka Mundra, Gujarat. In view thereof, all the benefits available to SEZ developer under Special Economic Zones Act, 2005 and Special Economic Zones Rules, 2006 and amendment made there under are available to the Company.

4 Total number of electricity units sold during the year 12,350 MUs (Previous Year - 6,769.40 MUs)

5 The Company entered into an agreement (PPA) dated 2nd February, 2007 with Gujarat Urja Vikas Nigam Limited (GUVNL) for supply of Power on long term basis subject to certain conditions to be complied within stipulated time. Amongst others, one of the conditions was pertaining to tie- up of fuel supply based on coal to be provided by Gujarat Mineral Development Corporation (GMDC). This agreement did not materialize. Consequent to the same, the Company had terminated the PPA and offered to pay the liquidated damages. However, GUVNL has contested the termination and approached Gujarat Energy Regulatory Commission (GERC) to resolve the matter. GERC held that the agreement cannot be terminated. Against the decision of GERC, the Company filed an appeal before Appellate Tribunal for Electricity (APTEL). APTEL upheld the decision of GERC. The company has submitted a review petition with APTEL against its decision and has also challenged the decision of APTEL before the Hon'ble Supreme Court of India. Pending the decisions of the review petition filed before APTEL as well as the appeal filed before the Hon'ble Supreme Court, and the matter being sub-judice, no effect has been given in these financial statements.

6 The remuneration paid to the Whole Time Director aggregating to Rs 4.36 Crores is in excess of the limits prescribed under the Companies Act, 1956 for which the Company is in the process of obtaining the Shareholders' approval and applying to the Central Government of India for obtaining requisite approvals.

7 The Company follows accounting policy of providing depreciation on its fixed assets on SLM basis. As regards the rates of depreciation, hitherto, the Company followed the higher of (i) rates as per Appendix III of the Regulations issued by the Central Electricity Regulatory Commission (CERC) dated 19th January, 2009 and (ii) rates prescribed under Schedule XIV to the Companies Act, 1956. In view of Notification No. 51/23/2011-CL-III dated 31st May, 2011 issued by Ministry of Corporate Affairs (MCA), effective from 1st April, 2011, the Company has changed its accounting policy as regards the rates of depreciation and has provided the same at the rates as per Appendix III of CERC (terms and conditions of Tariff) Regulations, 2009. Depreciation for the year is higher by Rs 4.10 Crores and Profit for the year is lower by that amount on account of such changes.

8 The Foreign Exchange Fluctuation Gain / (Loss) of Rs (142.13) Crores ( Previous Year - Rs 28.57 Crores) on outstanding creditors denominated in foreign currency relating to fuel has been adjusted in the fuel cost.

9 The Company has sent request letters for balance confirmations to the trade receivables, trade payables and loans and advances parties. These balances as stated in the balance sheet, are subject to adjustments of differences, if any, on receipt of such confirmations from the parties.

10 In the opinion of the management and to the best of their knowledge and belief, the value under the head of current assets are approximately of the value stated, if realized in ordinary course of business, unless stated otherwise. The provision for all the known liabilities is adequate and not in excess of amount considered reasonably necessary.

11 There are no Micro, Small and Medium Enterprises, to whom the Company owes dues, which are outstanding as at the Balance Sheet date. The above information has been determined to the extent such parties have been identified on the basis of information available with the Company. This has been relied upon by the auditors.

12 The Company's activities during the year revolve around setting up of its power project. Considering the nature of Company's business and operations, there is no reportable segments (business and/or geographical) in accordance with the requirements of Accounting Standard 17 - 'Segment Reporting', prescribed under Company (Accounting Standards) Rules, 2006.

13 The Company operates a defined benefit plan (the Gratuity plan) covering eligible employees, which provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee's salary and the tenure of employment.

The actuarial Liability for compensated absences as at the year ended 31st March, 2012 is Rs 2.48 Crores (As at 31st March, 2011 - Rs 1.85 Crores)

14 The Company prepares and presents its financial statement as per Schedule VI to the Companies Act, 1956, as applicable to it from time to time. In view of revision to the Schedule VI as per a notification issued during the year by the Central Government, the financial statements for the financial year ended 31st March, 2012 have been prepared as per the requirements of the Revised Schedule VI to the Companies Act, 1956. The previous year figures have been accordingly regrouped / re-classified to conform to the current year's classification.

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Mar 31, 2011

1. Contingent liabilities not provided for in respect of:

(Rs. in Crores)

particulars As at 31st As at 31st

March, 2011 March,2010

Guarantees issued by the Companys bankers on behalf of the Company 694.54 511.38

Letter of Credit facilities provided by banks 836.29 1,712.85

Bonds submitted to Development Commissioner on behalf of Government of 3,860.94 3,771.42 India

2. Capital Commitments not provided for are estimated at Rs. 4,507.27 Crores (31st March, 2010 – Rs. 7,302.69 Crores)

3. The Government of India (GOI) has, vide its letter dated 19th December, 2006, granted approval to the Companys proposal for development, operation and maintenance of the sector specifc Special Economic Zone (SEZ) for power over an area of 293-88-10 hectares of the Companys land at Village: Tunda & Siracha, Taluka Mundra, Gujarat. In view thereof, all the benefts available to SEZ developer under Special Economic Zones Act, 2005 and Special Economic Zones Rules, 2006 and amendment made there under are available to the Company.

4. The Government of India has levied Customs Duty of Rs. 100 per 1000 kwh on Electrical Energy removed from Special Economic Zone to Domestic Tariff Area vide notifcation dated 6th September, 2010. In accordance with the provisions of the Power Purchase Agreement (PPA), impact of any change in law which becomes effective subsequent to Bid Deadline is allowed to be recovered from the Procurer with approval of appropriate Regulatory Commission. The Company has already applied to Gujarat Electricity Regulatory Commission (GERC) for approval of necessary adjustment of tariff on account of levy of the said Custom Duty and the same is expected to be approved shortly. Accordingly, in view of the Companys entitlement to claim such revenue, as per the provisions of the PPA, the Company has recognized the revenue of Rs.42.75 Crores in the current year.

5. During the year, the Companys Power Generating Units of 1320 MW (Previous Year – 660 MW) commenced commercial operations resulting into total power generating capacity to 1980 MW.

6. Total number of electricity units sold during the year 6769.40 MUs (Previous Year – 1172.10 MUs)

7. There are no Micro, Small and Medium Enterprises, to whom the Company owes dues, which are outstanding as at the Balance Sheet date. The above information has been determined to the extent such parties have been identifed on the basis of information available with the Company. This has been relied upon by the auditors.

8. The Company entered into an agreement (PPA) dated 2nd February, 2007 with Gujarat Urja Vikas Nigam Limited (GUVNL) for supply of Power on long-term basis subject to certain conditions to be complied within stipulated time. Amongst others, one of the conditions was pertaining to tie-up of fuel supply based on coal to be provided by Gujarat Mineral Development Corporation (GMDC). This agreement did not materialize. Consequent to the same, the Company had terminated the PPA and has offered to pay the liquidated damages. However, GUVNL has contested the termination and approached Gujarat Energy Regulatory Commission (GERC) to resolve the matter. GERC held that the agreement cannot be terminated. Against the decision of GERC, the Company fled an appeal before Appellate Tribunal for Electricity (APTEL). Pending the matter before APTEL and being sub-judice, no effect has been given in these fnancial statements.

9. The Company is engaged in power generation and setting up of power project. These, in the context of Accounting Standard 17 on Segment Reporting, as specifed in the Companies (Accounting Standard) Rules, 2006, are considered to constitute one single primary segment. There is no reportable secondary segment i.e. geographical Segment.

10. The Company operates a defned beneft plan (the gratuity plan) covering eligible employees, which provides a lump sum payment to vested employees on retirement, death, incapacitation or termination of employment, of an amount based on the respective employees salary and the tenure of employment.

The Company has defned beneft plans for Gratuity to eligible employees. The contributions for which are made to Life Insurance Corporation of India who invests the funds as per Insurance Regulatory Development Authority guidelines.

11. Related party disclosures as required by Accounting Standard – 18 issued by the Institute of Chartered Accountants of India:- (a) List of Related Parties and Relationship (I) Related Parties where control exists

Subsidiaries/ Step down subsidiaries : Adani Power Maharashtra Ltd.

Adani Power Dahej Ltd.

Adani Power Rajasthan Ltd.

Adani Pench Power Ltd.

Adani Power (Overseas) Ltd.

Mundra Power SEZ Ltd.

Kutchh Power Generation Ltd.

Adani Shipping PTE Ltd.

Adani Power PTE Ltd.

Rahi Shipping PTE Ltd.

Vanshi Shipping PTE Ltd.

(II) Other related parties

(i) Holding Company : Adani Enterprises Ltd.

(ii) Fellow Subsidiaries : Adani Infrastructure and Developers Pvt. Ltd.

Adani Mundra SEZ Infrastructure Pvt. Ltd.

Adani Mining Pvt. Ltd.

Adani Gas Ltd.

Chemoil Adani Pvt. Ltd.

Adani Infra (India) Ltd.

Mundra Port & Special Economic Zone Ltd.

Karnavati Aviation Pvt. Ltd.

Adani Global PTE Ltd.

Adani Global FZE

(iii) Other Parties which are significantly influenced by the Company (either individually or with other)

: Adani Wilmar Ltd.

Adani Properties Pvt. Ltd. Adani Renewable Energy LLP Shanti Builders - Partnership Firm Adani Infrastructure Service Pvt. Ltd.

(III) Key Management Personnel

: Mr. Gautam S. Adani (Chairman)

Mr. Rajesh S. Adani (Managing Director)

Mr. Ameet H. Desai (Executive Director)

(upto 30th March, 2011)

Mr. Ravi Sharma (Whole-Time Director and CEO)

(from 8th February, 2011)

12. Previous year figures have been regrouped and rearranged wherever necessary to confirm to this years classification.

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Mar 31, 2010

1. Contingent liabilities not provided for in respect of:

Rs. in Lacs As at 31st As at 31st Particulars March, 2010 March,2009

Guarantees issued by the Companys bankers on behalf of the Company 51,137.52 41,380.00

Letter of Credit facilities provided by banks 171,285.43 61,795.24

Bonds submitted to Development Commissioner on behalf of Government of India 377,142.47 228,671.78

2. Capital Commitments not provided for are estimated at Rs.730,269.07 Lacs (31st March, 2009 - Rs. 1,249,087.25 Lacs)

3. The Government of India (GOI) has, vide its letter dated 19th December 2006, granted approval to the Companys proposal for development, operation and maintenance of the sector specific Special Economic Zone(SEZ) for power oyer an area of 293-88-10 hectares of the Companys land at Village: Tunda & Siracha, Taluka Mundra, Gujarat. Hence, all the benefits available to SEZ developer under Special Economic Zones Act, 2005 and Special Economic Zones Rules, 2006 and amendments made there under are available to the Company.

4. During the financial year, the Company has completed its Initial Public Offer (IPO) comprising of 301,652,031 equity shares at a price of Rs.100 per share aggregating to Rs.301,652.03 lacs. The share premium of Rs. 90 per share, amounting to Rs.271,486.83 lacs has been credited to Share Premium Account. The share issue expenses amounting to Rs.7,617.48 Lacs, after netting off tax of Rs. 2,071.35 Lacs have been adjusted to Share Premium Account.

5. During the year, the Companys power generating units (Unit 1 and Unit 2 each of 330 MW) of its phase I have commenced commercial operations effective from 1st October, 2009 and 17th March, 2010 respectively. Accordingly the current years figures in the Profit and Loss Accounts are not comparable with that of the previous year. Previous year figures in the Balance Sheet have been regrouped and rearranged, wherever necessary, to confirm to the current years classification.

6. The custom duty on Electrical energy removed from a Special Economic Zone to Domestic Tariff Area (DTA) and non-processing area of SEZ, has been levied in the Union Budget 2010-11 vide notification number-25/2010- Customs dated 27th February, 2010. The Company has challenged the constitutional validity and legality of the, said notification by filing Special Civil application in the High Court of Gujarat. The matter is being heard. However, the Company has till date deposited duty of Rs. 2,300 Lacs under protest and has included thesame in Schedule 13 of Loans and Advances.

7. Total number of electricity units sold during the year - 1172.10MUs (31st March, 2009- Nil)

8. There are no Micro, Small and Medium Enterprises, to whom the Company owes dues, which are outstanding as at the Balance Sheet date. The above information has been determined to the extent such parties have been identified on the basis of information available with the Company. This has been relied upon by the auditors.

9. The Company entered into an agreement (PPA) dated 2nd February, 2007 with Gujarat Urjja Vkas Mgam Limited (GUVNL) for supply of power on long term basis subject to certain conditions to be compfed within stipulated time. Amongst others, one of the conditions was pertaining to tie-up of fuel supply based on coal to be provided by Gujarat Mineral Development Corporation (GMDC). This arrangement did not materialize. Consequent to the same, the Company has terminated the PPA and has offered to pay the liquidated damages. However, GUVNL has contested the termination and approached Gujarat Energy Regulatory Commission (GERC) to resolve the matter. Pendtog the matter before GERC and being sub-judice, no effect has been given in these financial statements.

10. The Company is engaged in power generation and setting up of power project These, in the context of Accounting Standard 17 on Segment Reporting, as specified in the Companies (Accounting Standard) Rules, 2006, are considered to constitute one single primary segment. Further there is no reportable secondary segment i.e. geographical Segment.

11. Related party disclosures as required by Accounting Standard -18 issued by the Institute of Chartered Accountants of India:-

(a) List of Related Parties and Relationship (I) Related Parties where control exists:

Subsidiaries

Adani Power Maharashtra Ltd.

Adani Power Dahej Ltd.

Adani Power Rajasthan Ltd.

Adani Power (Overseas) Ltd.

Mundra Power SEZ Ltd.

Kutchh Power Generation Ltd. (w.e.f. 16.11.2009)

Adani Pench Power Ltd.

(Formerly known as Adani Power MP Ltd.) (w.e.f. 23.09.2009)

Adani Shipping PTE Ltd. (w.e.f. 03.09.2009)

Adani Power PTE Ltd. (w.e.f. 23.10.2009)

(II) Other related parties:

(i) Holding Company: Adani Enterprises Ltd.

(ii) Fellow Subsidiaries:

Adani Global FZE

Adani Energy Ltd.

Adani Mining Pvt. Ltd.

PT Adani Global

Adani Mundra SEZ Infrastructure PvLLtd.

Aloka Real Estate Pvt. Ltd.

Adani Welspun Exploration Ltd.

Adani Gas Ltd..

Adani Global PTE Ltd., Singapore.

Adani Infrastructure and Developers Pvt. Ltd.

(iii) Other parties which are significantly influenced by the company (either Individually or with other):

Adani Properties Pvt. Ltd.

Mundra Port and Special Economic Zone Ltd.

Adani Wilrhar Ltd.

Karnavati Aviation Pvt. Ltd.

Adani Infrastructure Services Pvt. Ltd.

Chemoil Adani Pvt. Ltd.

(III) Key Management Personnel:

Mr. Gautam S. Adani (Chairman) Mr. Rajesh S. Adani (Managing Director)

Mr. R. K .Gupta (Whole Time Director) upto 27.02.2010

Mr. Ameet H. Desai (Executive Director) w.e.f. 01.11.2009