Accounting Policies of Ecoboard Industries Ltd. Company

Mar 31, 2025

B Significant Accounting Policies:

a) Basis of preparation of financial statements:

These financial statements have been prepared
in accordance with IND-AS as notified under the
Companies (Indian Accounting Standards) Rules,
2015 read with Section 133 of the Companies Act,

2013 and Rule 7 of the Companies (Accounts) Rules,

2014 ("Indian GAAP").

Accounting policies have been consistently applied
except where a newly issued Accounting Standard
is initially adopted or a revision to an existing
Accounting Standard requires a change in the
accounting policy hitherto in use. The financial
statements have been prepared on accrual basis
under historical cost convention except for certain
assets and liabilities which have been measured at
fair value amount.

Company''s financial statements are presented
in Indian Rupees, and values are rounded to the
nearest lakh, except when otherwise indicated.

b) Summary of Significant accounting Policies

i) Use of estimates

The preparation of financial statements in
conformity with Ind-AS requires that the
management of the company make estimates
and assumptions that affect the reported
amounts of income and expenses of the period,
the reported balances of assets and liabilities
and the disclosures relating to contingent
liabilities as of the date of the financial
statements. The estimates and underlying
assumptions are reviewed on an on-going
basis. Revisions to accounting estimates
include useful lives of property, plant and
equipment, intangible assets, allowance for

doubtful debts/advances, future obligations
in respect of retirement benefit plans and fair
value measurement etc. Difference, if any,
between the actual results and estimates is
recognised in the period in which the results
are known.

ii) Property, Plant and Equipment''s (PPE)

Property, Plant and Equipment are stated at
cost, net of recoverable taxes, trade discount
and rebate less accumulated depreciation and
impairment losses, if any. Such cost includes
purchase price, borrowing cost and any other
cost directly attributable to bringing the assets
to its working conditions for its intended use,
net charges on foreign exchange contracts
and adjustments arising from exchange rate
variations attributable to the assets. In case of
land, the Company has availed fair value on the
date of transition to Ind-AS as deemed cost.
Subsequent costs are included in the asset''s
carrying amount or recognised as separate
asset, as appropriate, only when it is probable
that future economic benefits associated with
the item will flow to the entity and cost can be
measured reliably.

iii) Depreciation

Depreciation on Property, Plant and
Equipment is provided at the rates determined
in accordance with the provisions of the
Companies Act, 2013. Depreciation on tangible
assets is provided on the straight-line method
as prescribed in Schedule II to the Companies
Act, 2013 over the remaining useful life of
the assets.

iv) Lease

The Company evaluates if an arrangement
qualifies to be a lease as per the requirements
of Ind-AS 116. Identification of a lease requires
significant judgment. The Company uses
significant judgement in assessing the lease
term (including anticipated renewals) and
the applicable discount rate. The Company
determines the lease term as the non¬
cancellable period of a lease, together with
both periods covered by an option to extend
the lease if the Company is reasonably certain
to exercise that option; and periods covered
by an option to terminate the lease if the
Company is reasonably certain not to exercise
that option. In assessing whether the Company
is reasonably certain to exercise an option to
extend a lease, or not to exercise an option to
terminate a lease, it considers all relevant facts
and circumstances that create an economic

incentive for the Company to exercise the
option to extend the lease, or not to exercise
the option to terminate the lease. The Company
revises the lease term if there is a change in the
non-cancellable period of a lease. The discount
rate is generally based on the incremental
borrowing rate.

The right-to-use assets are measured at
cost less any accumulated depreciation and
accumulated impairment losses, if any and
are adjusted for any re-measurement of the
lease liability.

The right-to-use assets are depreciated
using the straight-line method from the
commencement date over the shorter of lease
term or useful life of the asset. Right-to-use
assets are tested for impairment whenever
there is any indication that their carrying
amounts may not be recoverable. Impairment
loss, if any, is recognised in the statement of
profit and loss.

The company recognises the amount of the
re-measurement of lease liability due to
modification as an adjustment to the value
of right-to-use asset and/or statement of
profit and loss depending upon the nature
of modification.

The Company has adopted Ind AS 116-Lease
with effect from 1^st April 2019. The adoption of
Ind AS 116 did not have any material impact on
the standalone results of the Company.

The Company has elected not to apply the
requirements of Ind-AS 116 to short-term
leases of all assets that have a lease term of
12 months or less and leases for which the
underlying asset is of low value. The lease
payments associated with these leases are
recognized as an expense in the statement of
profit and loss.

v) Finance Cost

Borrowing costs include exchange rate
difference arising from foreign currency
borrowings to the extent they are regarded as
an adjustment to the interest cost. Borrowing
costs that are directly attributable to the
acquisition or construction of qualifying assets
are capitalised as part of the cost of such assets.
A qualifying asset is one that necessarily takes
substantial period of time to get ready for its
intended use.

Interest income earned on the temporary
investment of specific borrowing pending its
utilisation for qualifying assets is deducted from
the borrowing costs eligible for capitalisation.

All other borrowing costs are charged to the

statement of profit and loss for the period for

which they are incurred.

vi) Inventories

(a) Stocks of raw-materials, packing
materials, stores & spares are valued
at cost.

(b) Stock of work-in progress is valued
at cost.

(c) Finished goods are valued at lower of cost
and net realisable value after providing for
obsolescence, if any.

Cost of work-in-progress and finished
goods comprises of cost of purchase,
cost of conversion and other cost
including manufacturing overheads net
of recoverable taxes incurred in bringing
those goods to their respective present
location and conditions.

vii) Impairment

(i) Financial Assets

The Company assesses at each reporting
date as to whether a financial asset or a
group of financial assets is impaired. Ind-
AS 109 requires expected credit losses
to be measured through loss allowance.
In determining the ECL allowance for
doubtful trade receivables that are due,
the Company uses a practical provision
matrix that takes into account ageing
of receivable and historical credit loss
experience and is adjusted for forward
looking information. For all other
financial assets, expected credit losses
are measured at an amount equal to 12
month expected credit losses or at an
amount equal to the life time expected
credit losses if the credit risk on the
financial asset has increased significantly
since initial recognition.

(ii) Non-Financial Assets-Property, Plant and
Equipment and Intangible Assets

The Company assesses at each reporting
date as to whether there is any indication
that any Property, Plant and Equipment
and Intangible Asset or group of Assets,
called Cash Generating Units (CGU) may
be impaired. If any such indication exists,
the recoverable amount of asset of CGU
is estimated to determine the extent of
impairment, if any. When it is not possible
to estimate the recoverable amount of an

individual asset, the Company estimates
the recoverable amount of the CGU to
which the asset belongs.

An impairment loss is recognised in
the Statement of Profit and Loss to the
extent, asset''s carrying amount exceeds
its recoverable amount. The recoverable
amount is higher of an asset''s fair value
less cost of disposal and value-in-use.
Value-in-use is based on the estimated
cash flow, discounted to their present
value using pre-tax discount rate that
reflects current market assessments
of the time value of money and risk
specific to the asset. The impairment loss
recognised in prior accounting period is
reversed if there has been a change in the
estimate of recoverable amount.

viii) Employee Benefits Expenses

Short Term Employee Benefits

Employee benefits payable wholly within
twelve months of rendering of service are
classified as short-term employee benefits
and are recognised in the period in which the
employee renders the related service.

Post-Employment Benefits

Defined Contribution Plans
Contribution to Provident fund, which is defined
contribution plan, is recognised as an employee
benefit expense in the statement of profit and
loss in the period in which the contribution
is due.

Defined Benefit Plans

The liability in respect of gratuity and other
post-employment benefits is determined
on actuarial valuation using the projected
unit credit method, which recognises each
period of service as giving rise to additional
unit of employee benefit entitlement and
measures each unit separately to build up the
final obligation.

The Company presents the above liability/
(assets) as current and non-current in the
balance sheet as per actuarial valuation by the
independent actuary.

Re-measurements, comprising of actuarial
gains and losses, the effect of the assets
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 recognised immediately
in the balance sheet with corresponding debit
or credit to retained earnings through other
comprehensive income (OCI) in the period in
which they occur. Re-measurements are not
reclassified to the statement of profit and loss
in subsequent periods.

ix) Tax Expenses

The tax expense for the period comprises of
current tax and deferred income tax. Tax is
recognised in the statement of profit and loss,
except to the extent that it relates to items
recognised in the Other Comprehensive Income
or in equity, in which case, the tax is also
recognised in Other Comprehensive Income
or Equity.

i) Current tax

Current tax assets and liabilities are
measured at the amount expected to
be recovered from or paid to the Income
Tax authorities, based on tax rates and
laws that are enacted at the Balance
Sheet date.

ii) Deferred tax

Deferred tax is recognised on temporary
differences between the carrying amounts
of assets and liabilities in the Financial
Statements and the corresponding
tax bases used in the computation of
taxable profit.

Deferred tax liabilities and assets are
measured at the tax rates that are
expected to apply in the period in which
the liability is settled or the assets
realised, based on tax rates (and tax laws)
that have been enacted or substantively
enacted by the end of reporting period. The
carrying amount of deferred tax liabilities
and assets are reviewed at the end of each
reporting period. Deferred tax represents
the effect of temporary difference
between carrying amount of assets and
liabilities in the financial statement and
the corresponding tax base used in the
computation of taxable income. Deferred
tax liabilities are generally accounted
for all taxable temporary differences.
Deferred tax asset is recognised for all
deductible temporary differences, carry
forward of unused tax credits and unused
tax losses, to the extent that it is probable
that taxable profit will be available
against which such deductible temporary
differences can be utilised.

x) Foreign currency transactions and
balances

Transactions in foreign currency are recorded
at exchange rates prevailing at the date of
transaction. Exchange difference arising on
foreign exchange transactions settled during
the year are recognised in the statement of
profit and loss of the year.

Monitory assets and liabilities denominated in
foreign currencies which are outstanding as at
reporting period are translated at the closing
exchange rates and the resultant exchange
differences are recognised in the statement of
profit and loss.

Non-monetary assets and liabilities
denominated in foreign currencies that are
measured in terms of historical cost are
translated using the exchange rate at the date
of transaction.

---

Mar 31, 2024

B Significant Accounting Policies:

a) Basis of preparation of financial statements: These financial statements have been prepared in accordance with IND-AS as notified under the Companies (Indian Accounting Standards) Rules, 2015 read with Section 133 of the Companies Act, 2013 and Rule 7 of the Companies (Accounts) Rules, 2014 ("Indian GAAP").

Accounting policies have been consistently applied except where a newly issued Accounting Standard is initially adopted or a revision to an existing Accounting Standard requires a change in the accounting policy hitherto in use. The financial statements have been prepared on accrual basis under historical cost convention except for certain assets and liabilities which have been measured at fair value amount.

Company''s financial statements are presented in Indian Rupees, and values are rounded to the nearest lakh, except when otherwise indicated.

b) Summary of Significant accounting Policies

i) Use of estimates

The preparation of financial statements in conformity with Ind-AS requires that the management of the company make estimates and assumptions that affect the reported amounts of income and expenses of the period, the reported balances of assets and liabilities and the disclosures relating to contingent liabilities as of the date of the financial statements. The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates include useful lives of property, plant and equipment, intangible assets, allowance for doubtful debts/advances, future obligations in respect of retirement benefit plans and fair value measurement etc. Difference, if any, between the actual results and estimates is recognised in the period in which the results are known.

ii) Property, Plant and Equipment''s (PPE)

Property, Plant and Equipment are stated at cost, net of recoverable taxes, trade discount and rebate less accumulated depreciation and impairment losses, if any. Such cost includes purchase price, borrowing cost and any other cost directly attributable to bringing the assets to its working conditions for its intended use, net charges on foreign exchange contracts and adjustments arising from exchange rate variations attributable to the assets. In case of land, the Company has availed fair value on the date of transition to Ind-AS as deemed cost. Subsequent costs are included in the asset''s carrying amount or recognised as separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the entity and cost can be measured reliably.

iii) Depreciation

Depreciation on Property, Plant and Equipment is provided at the rates determined in accordance with the provisions of the Companies Act, 2013. Depreciation on tangible assets is provided on the straight-line method as prescribed in Schedule II to the Companies Act, 2013 over the remaining useful life of the assets.

iv) Lease

The Company evaluates if an arrangement qualifies to be a lease as per the requirements of Ind-AS 116. Identification of a lease requires significant judgment. The Company uses significant judgement in assessing the lease term (including anticipated renewals) and the applicable discount rate. The Company determines the lease term as the non-cancellable period of a lease, together with both periods covered by an option to extend the lease if the Company is reasonably certain to exercise that option; and periods covered by an option to terminate the lease if the Company is reasonably certain not to exercise that option. In assessing whether the Company is reasonably certain to exercise an option to extend a lease, or not to exercise an option to terminate a lease, it considers all relevant facts and circumstances that create an economic incentive for the Company to exercise the option to extend the lease, or not to exercise the option to terminate the lease. The Company revises the lease term if there is a change in the non-cancellable period of a lease. The discount rate is generally based on the incremental borrowing rate.

The right-to-use assets are measured at cost less any accumulated depreciation and accumulated impairment losses, if any and are adjusted for any re-measurement of the lease liability.

The right-to-use assets are depreciated using the straight-line method from the commencement date over the shorter of lease term or useful life of the asset. Right-to-use assets are tested for impairment whenever there is any indication that their carrying amounts may not be recoverable. Impairment loss, if any, is recognised in the statement of profit and loss.

The company recognises the amount of the re-measurement of lease liability due to modification as an adjustment to the value of right-to-use asset and/or statement of profit and loss depending upon the nature of modification.

The Company has adopted Ind AS 116-Lease with effect from 1st April 2019. The adoption of Ind AS 116 did not have any material impact on the standalone results of the Company.

The Company has elected not to apply the requirements of Ind-AS 116 to short-term leases of all assets that have a lease term of 12 months or less and leases for which the underlying asset is of low value. The lease payments associated with these leases are recognized as an expense in the statement of profit and loss.

v) Finance Cost

Borrowing costs include exchange rate difference arising from foreign currency borrowings to the extent they are regarded as an adjustment to the interest cost. Borrowing costs that are directly attributable to the acquisition or construction of qualifying assets are capitalised as part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use.

Interest income earned on the temporary investment of specific borrowing pending its utilisation for qualifying assets is deducted from the borrowing costs eligible for capitalisation.

All other borrowing costs are charged to the statement of profit and loss for the period for which they are incurred.

vi) Inventories

(a) Stocks of raw-materials, packing materials, stores & spares are valued at cost.

(b) Stock of work-in progress is valued at cost.

(c) Finished goods are valued at lower of cost and net realisable value after providing for obsolescence, if any.

Cost of work-in-progress and finished goods comprises of cost of purchase, cost of conversion and other cost including manufacturing overheads net of recoverable taxes incurred in bringing those goods to their respective present location and conditions.

vii) Impairment

(i) Financial Assets

The Company assesses at each reporting date as to whether a financial asset or a group of financial assets is impaired. Ind-AS 109 requires expected credit losses to be measured through loss allowance. In determining the ECL allowance for doubtful trade receivables that are due, the Company uses a practical provision matrix that takes into account ageing of receivable and historical credit loss experience and is adjusted for forward looking information. For all other financial assets, expected credit losses are measured at an amount equal to 12 month expected credit losses or at an amount equal to the life time expected credit losses if the credit risk on the financial asset has increased significantly since initial recognition.

(ii) Non-Financial Assets-Property, Plant and Equipment and Intangible Assets

The Company assesses at each reporting date as to whether there is any indication that any Property, Plant and Equipment and Intangible Asset or group of Assets, called Cash Generating Units (CGU) may be impaired. If any such indication exists, the recoverable amount of asset of CGU is estimated to determine the extent of impairment, if any. When it is not possible to estimate the recoverable amount of an individual asset, the Company estimates the recoverable amount of the CGU to which the asset belongs.

An impairment loss is recognised in the Statement of Profit and Loss to the extent, asset''s carrying amount exceeds its recoverable amount. The recoverable amount is higher of an asset''s fair value less cost of disposal and value-in-use. Value-in-use is based on the estimated cash flow, discounted to their present value using pre-tax discount rate that reflects current market assessments of the time value of money and risk specific to the asset. The impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

viii) Employee Benefits Expenses Short Term Employee Benefits

Employee benefits payable wholly within twelve months of rendering of service are classified as short-term employee benefits and are recognised in the period in which the employee renders the related service.

Post-Employment Benefits

Defined Contribution Plans

Contribution to Provident fund, which is defined contribution plan, is recognised as an employee benefit expense in the statement of profit and loss in the period in which the contribution is due.

Defined Benefit Plans

The liability in respect of gratuity and other post-employment benefits is determined on actuarial valuation using the projected unit credit method, which recognises each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation.

The Company presents the above liability/(assets) as current and non-current in the balance sheet as per actuarial valuation by the independent actuary.

Re-measurements, comprising of actuarial gains and losses, the effect of the assets 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 recognised immediately in the balance sheet with corresponding debit or credit to retained earnings through other comprehensive income (OCI) in the period in which they occur. Remeasurements are not reclassified to the statement of profit and loss in subsequent periods.

ix) Tax Expenses

The tax expense for the period comprises of current tax and deferred income tax. Tax is recognised in the statement of profit and loss, except to the extent that it relates to items recognised in the Other Comprehensive Income or in equity, in which case, the tax is also recognised in Other Comprehensive Income or Equity.

i) Current tax

Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the Income Tax authorities, based on tax rates and laws that are enacted at the Balance Sheet date.

ii) Deferred tax

Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the Financial Statements and the corresponding tax bases used in the computation of taxable profit.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liability is settled or the assets realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of reporting period. The carrying amount of deferred tax liabilities and assets are reviewed at the end of each reporting period. Deferred tax represents the effect of temporary difference between carrying amount of assets and liabilities in the financial statement and the corresponding tax base used in the computation of taxable income. Deferred tax liabilities are generally accounted for all taxable temporary differences. Deferred tax asset is recognised for all deductible temporary differences, carry forward of unused tax credits and unused tax losses, to the extent that it is probable that taxable profit will be available against which such deductible temporary differences can be utilised.

x) Foreign currency transactions and balances

Transactions in foreign currency are recorded at exchange rates prevailing at the date of transaction. Exchange difference arising on foreign exchange transactions settled during the year are recognised in the statement of profit and loss of the year.

Monitory assets and liabilities denominated in foreign currencies which are outstanding as at reporting period are translated at the closing exchange rates and the resultant exchange differences are recognised in the statement of profit and loss.

Non-monetary assets and liabilities denominated in foreign currencies that are measured in terms of historical cost are translated using the exchange rate at the date of transaction.

---

Mar 31, 2016

1. Significant Accounting Policies :

i) Basis of preparation of financial statements: The financial statements are prepared under the historical cost convention on the accrual basis of accounting, unless otherwise stated, in accordance with the generally accepted accounting principles in India, the provisions of the Companies Act 2013 and the applicable accounting standards.

ii) Use of estimates: The preparation of financial statements requires estimates and assumptions. Differences between the estimates and actual results are recognized in the period in which the same are known.

iii) Fixed assets: Fixed assets are capitalized inclusive of legal and/or installation expenses. Pre-operative expenses (including interest charges) up to the date of start of commercial production are capitalized over the items of fixed assets.

iv) Depreciation: Depreciation on fixed assets is provided at the rates detetermined in accordance with the provisions of the Companies Act, 2013. Depreciation on tangible assets is provided on the straight line method as prescribed in Schedule II to the Companies Act, 2013 over the remaining useful life of the assets.

v) Impairment of assets : An impairment loss is recognized whenever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of the net selling price and value in use.

vi) Inventories valuation:

(a) Stocks of raw-materials, packing materials, stores & spares are valued at cost.

(b) Stock of work-in progress is valued at cost.

(c) Finished goods are valued at lower of cost and net realizable value.

vii) Foreign exchange transactions: Foreign exchange transactions are recorded at the exchange rate prevailing on the date of transaction. Exchange differences in respect of foreign currency transactions are dealt with in the profit & loss account, except in respect of capital assets. All foreign currency assets & liabilities, if any, as at the Balance Sheet date are restated at the applicable exchange rates prevailing on that date.

viii) Sales & contract receipt:

a) Revenue from contracts for supply/commissioning of Bio-gas plants and equipments is recognized by adding the aggregate cost and proportionate margin using the percentage completion method. Percentage of completion is determined as a proportion of cost incurred-to-date to the total estimated contract cost.

b) Sales include products consumed internally for manufacture of capital assets, adjusted on cost basis, but exclude inter-unit transfers on revenue account.

ix) Insurance claims: Insurance claims for loss of assets or goods are accounted at the time of lodging of the claim with the insurer at the cost of assets/ goods lost. Any shortfall in the claim recovery is accounted for at the time of final settlement of the claim.

x) Excise duty and Cenvat credits: Sales and purchases (including those of capital goods) are stated inclusive of excise duty.

xi) Value Added Tax (VAT) and input credits: Sales are stated exclusive of VAT. Purchases (including those of capital goods) are stated inclusive of VAT except to the extent such input tax is eligible for set-off. Reduction in set-off, if any, under the provisions of VAT laws is debited to VAT paid account.

xii) Expenditures are shown net of recoveries.

xiii) Retirement benefits:

(a) Contributions to provident fund, family pension fund are made to Government Provident fund authorities and are recognized as expense in the year they are incurred.

(b) Provision for leave encashment is made on the basis of actuarial valuation made at the end of each year/period.

(c) Provision for gratuity liability is made on the basis of actuarial valuation made at the end of each year/ period

(d) For superannuation benefit, the Company makes defined contributions as per company’s policy and recognizes such contributions as expense in the year they are incurred.

Rights, preferences and restrictions attached to shares

The Company has only one class of Equity shares. Each Share has a paid up value of Rs.10/-. Every shareholder is entitled to one vote per share. Each share is entitled to dividend at the rate as may be declared by the Board and approved by the shareholders at the Annual General Meeting.

---

Mar 31, 2015

I) Basis of preparation of financial statements :The financial statements are prepared under the historical cost convention on the accrual basis of accounting, unless otherwise stated, in accordance with the generally accepted accounting principles in India, the provisions of the Companies Act 2013 and the applicable accounting standards.

ii) Use of estimates :The preparation of financial statements requires estimates and assumptions. Differences between the estimates and actual results are recognized in the period in which the same are known.

iii) Fixed assets : Fixed assets are capitalised inclusive of legal and/or installation expenses. Pre-operative expenses (including interest charges) upto the date of start of commercial production are capitalised over the items of fixed assets.

iv) Depreciation : Depreciation on fixed assets is provided at the rates detetermined in accordance with the provisions of the Companies Act, 2013. Depreciation on tangible assets is provided on the straight line method as prescribed in Schedule II to the Companies Act, 2013 over the remaining useful life of the assets.

v) Impairment of assets : An impairment loss is recognized whenever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of the net selling price and value in use.

vi) Inventories valuation:

(a) Stocks of raw-materials, packing materials, stores & spares are valued at cost.

(b) Stock of work-in progress is valued at cost.

(c) Finished goods are valued at lower of cost and net realisable value.

vii) Foreign exchange transactions: Foreign exchange transactions are recorded at the exchange rate prevailing on the date of transaction. Exchange differences in respect of foreign currency transactions are dealt with in the profit & loss account, except in respect of capital assets. All foreign currency assets & liabilities, if any, as at the Balance Sheet date are restated at the applicable exchange rates prevailing on that date.

viii) Sales & contract receipt:

a) Revenue from contracts for supply/commissioning of Bio-gas plants and equipments is recognized by adding the aggregate cost and proportionate margin using the percentage completion method. Percentage of completion is determined as a proportion of cost incurred-to-date to the total estimated contract cost.

b) Sales include products consumed internally for manufacture of capital assets, adjusted on cost basis, but exclude inter-unit transfers on revenue account.

ix) Insurance claims: Insurance claims for loss of assets or goods are accounted at the time of lodging of the claim with the insurer at the cost of assets/ goods lost. Any shortfall in the claim recovery is accounted for at the time of final settlement of the claim.

x) Excise duty and Cenvat credits: Sales and purchases (including those of capital goods) are stated inclusive of excise duty.

xi) Value Added Tax (VAT) and input credits: Sales are stated exclusive of VAT. Purchases (including those of capital goods) are stated inclusive of VAT except to the extent such input tax is eligible for set-off. Reduction in set- off, if any, under the provisions of VAT laws is debited to VAT paid account.

xii) Expenditures are shown net of recoveries.

xiii) Retirement benefits:

(a) Contributions to provident fund, family pension fund are made to Government Provident fund authorities and are recognized as expense in the year they are incurred.

(b) Provision for leave encashment is made on the basis of actuarial valuation made at the end of each year/ period.

(c) Provision for gratuity liability is made on the basis of actuarial valuation made at the end of each year/period

(d) For superannuation benefit, the Company makes defined contributions as per company's policy and recognizes such contributions as expense in the year they are incurred.

---

Mar 31, 2014

I) Basis of preparation of financial statements : The financial statements are prepared under the historical cost convention on the accrual basis of accounting, unless otherwise stated, in accordance with the generally accepted accounting principles in India, the provisions of the Companies Act 1956 and the applicable accounting standards.

ii) Use of estimates : The preparation of financial statements requires estimates and assumptions. Differences between the estimates and actual results are recognized in the period in which the same are known.

iii) Fixed assets : Fixed assets are capitalised inclusive of legal and/or installation expenses. Preoperative expenses (including interest charges) upto the date of start of commercial production are capitalised over the items of fixed assets.

iv) Depreciation : Depreciation on fixed assets is provided on straight line basis at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956. Depreciation on additions is provided on pro-rata basis for the period for which the assets are put to use. Assets costing less than Rs.5000/- are fully depreciated in the year of purchase. Lease-hold land is not amortised.

v) Impairment of assets : An impairment loss is recognized whenever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of the net selling price and value in use.

vi) Inventories valuation :

(a) Stocks of raw-materials, packing materials, stores & spares are valued at cost.

(b) Stock of work-in progress is valued at cost.

(c) Finished goods are valued at lower of cost and net realisable value.

vii) Foreign exchange transactions : Foreign exchange transactions are recorded at the exchange rate prevailing on the date of transaction. All exchange differences in respect of foreign currency transactions are dealt with in the profit & loss account. All foreign currency assets & liabilities, if any, as at the Balance Sheet date are restated at the applicable exchange rates prevailing on that date.

viii) Sales & contract receipt:

a) Revenue from contracts for supply/commissioning of Bio-gas plants and equipments is recognized by adding the aggregate cost and proportionate margin using the percentage completion method. Percentage of completion is determined as a proportion of cost incurred-to-date to the total estimated contract cost.

b) Sales include products consumed internally for manufacture of capital assets, adjusted on cost basis, but exclude inter-unit transfers on revenue account.

ix) Insurance claims : Insurance claims for loss of assets or goods are accounted at the time of lodging of the claim with the insurer at the cost of assets/ goods lost. Any shortfall in the claim recovery is accounted for at the time of final settlement of the claim.

x) Excise duty and Cenvat credits : Sales and purchases (including those of capital goods) are stated inclusive of excise duty.

xi) Value Added Tax (VAT) and input credits : Sales are stated exclusive of VAT. Purchases (including those of capital goods) are stated inclusive of VAT except to the extent such input tax is eligible for set-off. Reduction in set-off, if any, under the provisions of VAT laws is debited to VAT paid account.

xii) Expenditures are shown net of recoveries.

xiii) Retirement benefits :

(a) Contributions to provident fund, family pension fund are made to Government Provident fund authorities and are recognized as expense in the year they are incurred.

(b) Provision for leave encashment is made on the basis of actuarial valuation made at the end of each year/period.

(c) Provision for gratuity liability is made on the basis of actuarial valuation made at the end of each year/period.

(d) For superannuation benefit, the Company makes defined contributions as per company''s policy and recognizes such contributions as expense in the year they are incurred.

---

Mar 31, 2013

I) Basis of preparation of financial statements : The financial statements are prepared under the historical cost convention on the accrual basis of accounting, unless otherwise stated, in accordance with the Generally Accepted Accounting Principles in India, the provisions of the Companies Act 1956 and the applicable Accounting standards.

ii) Use of estimates : The preparation of financial statements requires estimates and assumptions. Differences between the estimates and actual results are recognized in the period in which the same are known.

iii) Fixed assets : Fixed assets are capitalised inclusive of legal and/or installation expenses. Preoperative expenses (including interest charges) upto the date of start of commercial production are capitalised over the items of fixed assets.

iv) Depreciation : Depreciation on fixed assets is provided on straight line basis at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956. Depreciation on additions is provided on pro-rata basis for the period for which the assets are put to use. Assets costing less than Rs.5000/- are fully depreciated in the year of purchase. Lease-hold land is not amortised.

v) Impairment of assets : An impairment loss is recognized whenever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of the net selling price and value in use.

vi) Inventories valuation :

(a) Stocks of raw-materials, packing materials, stores & spares are valued at cost.

(b) Stock of work-in progress is valued at cost.

(c) Finished goods are valued at lower of cost and net realisable value.

vii) Foreign exchange transactions : Foreign exchange transactions are recorded at the exchange rate prevailing on the date of transaction. All exchange differences in respect of foreign currency transactions are dealt with in the profit & loss account. All foreign currency assets & liabilities, if any, as at the Balance Sheet date are restated at the applicable exchange rates prevailing on that date.

viii) Sales & contract receipt :

a) Revenue from contracts for supply/commissioning of Bio-gas plants and equipments is recognized by adding the aggregate cost and proportionate margin using the percentage completion method. Percentage of completion is determined as a proportion of cost incurred-to-date to the total estimated contract cost.

b) Sales include products consumed internally for manufacture of capital assets, adjusted on cost basis, but exclude inter-unit transfers on revenue account.

ix) Insurance claims : Insurance claims for loss of assets or goods are accounted at the time of lodging of the claim with the insurer at the cost of assets/ goods lost. Any shortfall in the claim recovery is accounted for at the time of final settlement of the claim.

x) Excise duty and Cenvat credits : Sales and purchases (including those of capital goods) are stated inclusive of excise duty.

xi) Value Added Tax (VAT) and input credits: Sales are stated exclusive of VAT. Purchases (including those of capital goods) are stated inclusive of VAT except to the extent such input tax is eligible for set-off. Reduction in set-off, if any, under the provisions of VAT laws is debited to VAT paid account.

xii) Expenditures are shown net of recoveries.

xiii) Retirement benefits :

(a) Contributions to provident fund, family pension fund are made to Government Provident fund authorities and are recognized as expense in the year they are incurred.

(b) Provision for leave encashment is made on the basis of actuarial valuation made at the end of each year/period.

(c) Provision for gratuity liability is made on the basis of actuarial valuation made at the end of each year/period.

(d) For superannuation benefit, the Company makes defined contributions as per company''s policy and recognizes such contributions as expense in the year they are incurred.

---

Mar 31, 2012

I) Basis of preparation of financial statements :

The financial statements are prepared under the historical cost convention on the accrual basis of accounting, unless otherwise stated, in accordance with the generally accepted accounting principles in India, the provisions of the Companies Act 1956 and the applicable accounting standards. During the year ended 31st March 2012, the revised Schedule VI notified under the Companies Act 1956 became applicable to the company for preparation and presentation of the Financial Statements. The revised Schedule VI does not impact recognition and measurement principles followed in the preparation of the Financial Statements. However, it prescribes significant changes in presentation and disclosures of information in the Financial Statements. Previous year figures have been reclassified accordingly.

II) Use of Estimates :

The preparation of financial statements requires estimates and assumptions. Differences between the estimates and actual results are recognized in the period in which the same are known.

III) Fixed Assets :

Fixed assets are capitalised inclusive of legal and/or installation expenses. Preoperative expenses (including interest charges) upto the date of start of commercial production are capitalised over the items of fixed assets.

IV) Depreciation :

Depreciation on fixed assets is provided on straight line basis at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956. Depreciation on additions is provided on pro-rata basis for the period for which the assets are put to use. Assets costing less than Rs. 5000/- are fully depreciated in the year of purchase. Lease-hold land is not amortised.

V) Impairment of Assets :

An impairment loss is recognized whenever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of the net selling price and value in use.

VI) Inventory valuation:

a) Stocks of raw-materials, packing materials, stores & spares are valued at cost.

b) Stock of work-in progress is valued at cost.

c) Finished goods are valued at lower of cost and net realisable value.

VII) Foreign exchange transactions : Foreign exchange transactions are recorded at the exchange rate prevailing on the date of transaction. All exchange differences in respect of foreign currency transactions are dealt with in the profit & loss account. All foreign currency assets & liabilities, if any, as at the Balance Sheet date are restated at the applicable exchange rates prevailing on that date.

VIII) Sales & contract receipt :

a) Revenue from contracts for supply/commissioning of Bio-gas plants and equipments is recognized by adding the aggregate cost and proportionate margin using the percentage completion method. Percentage of completion is determined as a proportion of cost incurred-to-date to the total estimated contract cost.

b) Sales include products consumed internally for manufacture of capital assets, adjusted on cost basis, but exclude inter-unit transfers on revenue account.

IX) Insurance claims : Insurance claims for loss of assets or goods are accounted at the time of lodging of the claim with the insurer at the cost of assets/ goods lost. Any shortfall in the claim recovery is accounted for at the time of final settlement of the claim.

X) Excise duty and Cenvat credits : Sales and purchases (including those of capital goods) are stated inclusive of excise duty.

XI) Value Added Tax (VAT) and input credits : Sales are stated exclusive of VAT. Purchases (including those of capital goods) are stated inclusive of VAT except to the extent such input tax is eligible for set-off. Reduction in set-off, if any, under the provisions of VAT laws is debited to VAT paid account.

XII) Expenditures are shown net of recoveries.

XIII) Retirement benefits:

(a) Contributions to provident fund, family pension fund are made to Government Provident fund authorities and are recognized as expense in the year they are incurred.

(b) Provision for leave encashment is made on the basis of actuarial valuation made at the end of each year/period.

(c) Provision for gratuity liability is made on the basis of actuarial valuation made at the end of each year/period.

(d) For superannuation benefit, the Company makes defined contributions as per company's policy and recognizes such contributions as expense in the year they are incurred.

Rights, preferences and restrictions attached to shares

The Company has only one class of Equity shares. Each Share has a paid up value of Rs.10/-. Every shareholder is entitled to one vote per share. Each share is entitled to dividend at the rate as may be declared by the Board and approved by the shareholders at the Annual General Meeting.

Vehicle loan from bank is repayable by way of 36 equated monthly instalments ending July 2014. No repayment date is stipulated for Directors' deposits. However it is agreed by the Directors that the deposits shall not be repayable before 1st April 2013.

---

Mar 31, 2010

I) Basis of preparation of financial statements : The financial statements are prepared under the historical cost convention on the accrual basis of accounting, unless otherwise stated, in accordance with the generally accepted accounting principles in India, the provisions of the Companies Act 1956 and the applicable accounting standards.

II) Use of Estimates : The preparation of financial statements requires estimates and assumptions. Differences between the estimates and actual results are recognized in the period in which the same are known.

III) Fixed Assets : Fixed assets are capitalised inclusive of legal and/or installation expenses. Preoperative expenses (including interest charges) upto the date of start of commercial production are capitalised over the items of fixed assets.

IV) Depreciation : Depreciation on fixed assets is provided on straight line basis at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956. Depreciation on additions is provided on pro-rata basis for the period for which the assets are put to use. Assets costing less than Rs.5000/- are fully depreciated in the year of purchase. Lease-hold land is not amortised.

V) Impairment of Assets : An impairment loss is recognized whenever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of the net selling price and value in use.

VI) Inventory valuation:

a) Stocks of raw-materials, packing materials, stores & spares are valued at cost

b) Stock of work-in progress is valued at cost

c) Finished goods are valued at lower of cost and net realisable value.

VII) Foreign exchange transactions: Foreign exchange transactions are recorded at the exchange rate prevailing on the date of transaction. All exchange differences in respect of foreign currency transactions are dealt with in the profit & loss account. All foreign currency assets & liabilities, if any, as at the Balance Sheet date are restated at the applicable exchange rates prevailing on that date.

VIII) Sales & contract receipt:

a) Revenue from contracts for supply/commissioning of Bio-gas plants and equipments is recognized by adding the aggregate cost and proportionate margin using the percentage completion method. Percentage of completion is determined as a proportion of cost incurred-to-date to the total estimated contract cost.

b) Sales include products consumed internally for manufacture of capital assets, adjusted on cost basis, but exclude inter-unit transfers on revenue account.

IX) Insurance claims: Insurance claims for loss of assets or goods are accounted at the time of lodging of the claim with the insurer at the cost of assets/ goods lost. Any shortfall in the claim recovery is accounted for at the time of final settlement of the claim.

X) Excise duty and Cenvat credits: Sales and purchases (other than those of capital goods) are stated inclusive of excise duty. Cenvat credits are accounted as other income. Cenvat credits relating to capital goods are reduced from the value of the capital goods.

XI) Value Added Tax (VAT) and input credits: Sales are stated exclusive of VAT. Purchases (including those of capital goods) are stated inclusive of VAT except to the extent such input tax is eligible for set-off. Reduction in set-off, if any, under the provisions of VAT laws is debited to VAT paid account.

XII) Expenditures are shown net of recoveries.

XIII) Retirement benefits:

(a) Contributions to provident fund, family pension fund are made to Government Provident fund authorities and are recognized as expense in the year they are incurred.

(b) Provision for leave encashment is made on the basis of actuarial valuation made at the end of each year/period.

(c) Provision for gratuity liability is made on the basis of actuarial valuation made at the end of each year/period

(d) For superannuation benefit, the Company makes defined contributions as per companys policy and recognizes such contributions as expense in the year they are incurred.