JSW Energy Ltd — Q4 FY26

JSW Energy Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=7gpvbpTRDZs Published: 2 days ago

0:00 Ladies and gentlemen, ki and welcome to JSW Energy Q4 FI26 postres earnings call 0:08 8 seconds hosted by PL Capital. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions 0:17 17 seconds after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star 10 on your touchstone 4. 0:28 28 seconds I now hand the conference over to Mr. 0:30 30 seconds Vishar Perial from PL Capital. Thank you and over to you Mr. Pelva. 0:37 37 seconds Yeah. Uh thanks Michelle. Uh good afternoon everyone. Uh so I'll welcome you all for the quarter 4 earnings call 0:44 44 seconds of GSW energy. Uh today uh we have leadership team of GSWGY with us. Uh led by Mr. Shahad Mahindra joint uh MD and 0:53 53 seconds CEO, Mr. Chandra Sikran Prabhakran CFO and Mr. Vikas Chadri head investor relation and erm uh I'd like to thank 1:02 1 minute, 2 seconds you uh to the management to giving uh for giving PL Capital the opportunity to host the call and now giving the speaker 1:09 1 minute, 9 seconds to Shahhat S for the brief uh uh from him and then we'll have a line open for Qi uh over to you sir. 1:17 1 minute, 17 seconds Thank you Vishal. Uh a very good afternoon to everyone and thank you all for joining us today. It is my pleasure to share the highlights of our 1:25 1 minute, 25 seconds performance for the quarter and the year gone by. FY26 has been an exciting year where we began to translate the bold 1:34 1 minute, 34 seconds ambitions of our strategy 3.0 into hard business outcomes. 1:39 1 minute, 39 seconds During financial year 2026, we increased our installed capacity by 2.6 gawatt to 1:46 1 minute, 46 seconds reach at 13.45 45 gawatt with generation growing uh commensurately by 58% 1:54 1 minute, 54 seconds yearonear. The company reported its highest ever annual AITA of 11,041 crores in financial year 26. 2:04 2 minutes, 4 seconds Before I delve into our performance, I would like to share some sector observations. 2:10 2 minutes, 10 seconds India's power sector continued its structural transformation in FY26. 2:15 2 minutes, 15 seconds Though demand dynamics were different from what we saw in recent years. 2:20 2 minutes, 20 seconds Total power demand for the country grew modestly at 0.9% in FY26. The most muted 2:27 2 minutes, 27 seconds growth in last 5 years driven by an extended monsoon season that weighed on consumption through the first half of the year. 2:36 2 minutes, 36 seconds However, from quarter 4 FY26 onwards, we saw a fair demand recovery with demand growth rebounding to 2.1% 2:45 2 minutes, 45 seconds in quarter 4. In FY27, so far year-to- date demand growth remains healthy at a growth of 4.6% yearonear. 2:56 2 minutes, 56 seconds Overall, the season softness that we have seen in the first half of FY26 does not in our view alter the medium-term structural demand story in any way. 3:07 3 minutes, 7 seconds India's growing industrialization, urbanization and rising per capita consumption continue to underpin a 5 to 6% caggr in power demand over long term. 3:19 3 minutes, 19 seconds Peak demand on 25th April 26 reached 256 gawatt and with the summer of 2026 now 3:26 3 minutes, 26 seconds commenced and expected to be severe. The system is positioning to handle a new peak of approximately 270 gawatt higher 3:34 3 minutes, 34 seconds than the 250 gawatt record seen in May 2024. 3:40 3 minutes, 40 seconds On the supply side, India added 64.9 gawatt of new capacity during the fiscal of which renewable energy accounted for 3:49 3 minutes, 49 seconds 50.9 gawatt translating to 78% of total capacity additions. Non- fossil sources 3:56 3 minutes, 56 seconds have crossed 50% of total installed capacity for the first time in FY26, a landmark moment for the sector. 4:05 4 minutes, 5 seconds The ongoing West Asia crisis has further reinforced the need of energy self-reliance for India. India's coal reserves insulators from crude 4:14 4 minutes, 14 seconds volatility an advantage the country is actively leveraging a structural shift toward induction 4:21 4 minutes, 21 seconds heating and EVs are expanding electricity demand while data centers are also expected to anchor the long-term offage in India. 4:31 4 minutes, 31 seconds The merchant market remained soft through most of uh FY2026 averaging approximately 3.86 rupees per 4:40 4 minutes, 40 seconds unit on exchanges reflecting muted demand. Despite this, in in line with 4:47 4 minutes, 47 seconds what we have maintained, our FY26 merchant realizations commanded more than 20% premium to average exchange 4:55 4 minutes, 55 seconds prices, which are driven primarily by strategically executed back-to-back short-term contracts. 5:02 5 minutes, 2 seconds We are already seeing tariffs form up in FY27 as summer cooling demand builds. As mentioned earlier, till date, the power demand is up by 4.6%. 5:14 5 minutes, 14 seconds Now coming to company performance, FY2026 has been defined by scale and integration. We have added 2.6 gawatt of 5:23 5 minutes, 23 seconds installed capacity during the year via via calibrated strategy of organic and inorganic route taking our total 5:31 5 minutes, 31 seconds operational base to 13.45 gawatt making us one of the largest diversified power generation companies in the country. 5:41 5 minutes, 41 seconds The additions span organic commissioning across wind 240 megawatt, solar 305 5:47 5 minutes, 47 seconds megawatt, hybrid 451 megawatt and hydro 240 megawatt assets 5:55 5 minutes, 55 seconds and the full integration of all the inorganic acquisitions was completed in FY25 and FY26. 6:02 6 minutes, 2 seconds The integration of O2 power, the 4.7 gawatt renewable energy platform that we acquired in April 2025 6:09 6 minutes, 9 seconds has progressed well. O2 O2 power's operating capacity has grown to approximately 2 gawatt at the close of 6:17 6 minutes, 17 seconds FY26 with active construction underway across the remaining portfolio. 6:23 6 minutes, 23 seconds Its assets its asset quality underpinned by diversified geography long-term TPA with credible counterparties supported 6:30 6 minutes, 30 seconds with 100% connectivity and majority of the land and rich tariffs has met our original underwriting assumptions. 6:39 6 minutes, 39 seconds Coming to the on KSK Mahani our 1800 megawatt operational capacity delivered robust performance during the year driven by synergies post acquisition. 6:50 6 minutes, 50 seconds We have been focused on implementing cost efficiencies and improving plant performance and I'm pleased to report that PLF has remained healthy through 6:59 6 minutes, 59 seconds FY26 and among the top 10 plants in the country in the first full operational year in our hands. The ramp up plan for 7:08 7 minutes, 8 seconds the rem remaining units of plant is progressing on schedule with water and rail arrangement firmly in place post our recent acquisition of KSK's water and rail SPD. 7:19 7 minutes, 19 seconds On the organic front, we commissioned 1.24 gawatt of new capacities during FY26. 7:26 7 minutes, 26 seconds Notably, the 240 megawatt Kahar hydroelectric plant which was commissioned in quarter 2 of FY26 is one of the fastest timelines for a for a 7:34 7 minutes, 34 seconds project of its scale. Further cementing our position as the largest private IP in hydro sector. We also acquired 150 7:43 7 minutes, 43 seconds megawatt TDong hydropower plant from StatCraft which is at an advanced stage of completion. I'm happy to tell that 50 7:52 7 minutes, 52 seconds megawatt of this has already been commissioned on 7th of May 26 and balance two units are expected to be 8:00 8 minutes commissioned within this quarter before June 26 which was the against the original plan of October 26. This timely 8:08 8 minutes, 8 seconds commissioning will help us catch the ongoing hydro season adding meaningfully to the top line and bottom line. 8:15 8 minutes, 15 seconds Alongside renewables, thermal power has regained its prominence as reliable base load and we made rapid strikes on this 8:23 8 minutes, 23 seconds front as well. During FY26, following the signing of 1,600 megawatt Salibonyi Pa in FY25, we secured an 8:32 8 minutes, 32 seconds additional 1,600 megawatt and signed the PPA for the same location, making Salonyi our largest single site asset at 3,200 megawatt. 8:43 8 minutes, 43 seconds On the first 1600 megawatt project construction has project construction has com commenced and equipment procurement is on schedule. 8:52 8 minutes, 52 seconds As we have informed in parallel, we have taken strategic strategic steps to derisk our thermal supply chain through 8:59 8 minutes, 59 seconds the strengthening of Toshiba GSW joint venture for turbine generators and the acquisition of GE power boiler business 9:08 9 minutes, 8 seconds with the latter transaction expected to be consumated within the next two quarters. 9:14 9 minutes, 14 seconds Turning to our under construction portfolio, JSW is energy is currently building 14 gawatt of generation projects. All of which are fully tied up 9:23 9 minutes, 23 seconds under long-term power purchase agreements. 9:26 9 minutes, 26 seconds This highquality fully contracted under construction book gives us a strong visibility into future EIA. 9:34 9 minutes, 34 seconds This fiscal year we are looking to add about 3 gawatt capacity and a capex spent of around 20,000 crores for the year 9:43 9 minutes, 43 seconds on our thermal optionality at KSK. We expect the first 600 megawatt to be 9:49 9 minutes, 49 seconds commissioned by uh by the quarter three of next fiscal. Beyond this we have a robust project pipeline of approximately 9:58 9 minutes, 58 seconds 4.6 gawatt where letters of intent have been secured. Our total logged in capacity now stands at 32.1 gawatt 10:07 10 minutes, 7 seconds placing us firmly on track to deliver the 30 gawatt target of generation by 2030 under strategy 3.0. 10:16 10 minutes, 16 seconds Coming to energy storage, we recognize the critical role it plays in integrating renewable energy and ensuring grid stability. 10:24 10 minutes, 24 seconds Our locked in storage capacity now stands at 29.6 gawatt hour of which 3.2 2 gawatt hour are in battery energy 10:32 10 minutes, 32 seconds storage and 26.4 GW are in reminer in the reminerative pump storage space. 10:41 10 minutes, 41 seconds Further our 5 gawatt hour battery assembly facility in Pune was commissioned in quarter 4 or of FY26 and 10:49 10 minutes, 49 seconds the commercial sales of the battery storage have already commenced. 10:53 10 minutes, 53 seconds This plan will position us to meet domestic content requirements for battery energy storage systems as and when mandated by the government of 11:02 11 minutes, 2 seconds India. Energy storage is fast becoming a mainstream infrastructure investment and we are well ahead of the market in building this capa capability. 11:12 11 minutes, 12 seconds Additionally, our wind blade manufacturing facility at Hal in Gujarat scheduled for commissioning in the first half of FY27 11:20 11 minutes, 20 seconds would provide advantage to us in terms of lower capital cost for wind projects due to savings in logistic cost and foreign exchange thereby strengthening our vertical integration. 11:32 11 minutes, 32 seconds Coming to the operational performance for the quarter, we have added organic renewable capacity of 118 megawatt during the quarter. Our net generation 11:40 11 minutes, 40 seconds for quarter 4 in FY26 rose by 48% yearonear to 11.7 billion units driven 11:49 11 minutes, 49 seconds by a 68% year-on-year increase in renewable energy generation on the back of capacity additions across wind, 11:57 11 minutes, 57 seconds solar, hydro and O2 power assets. Before I move to thermal, I would like to mention about the power curtailment. 12:04 12 minutes, 4 seconds regarding the power curtailment due to evacuation constraints. I would like to say that about 160 million units were 12:12 12 minutes, 12 seconds curtailed uh for us but a significant portion of of this 160 mus is under 12:19 12 minutes, 19 seconds permanent recovery uh so we are getting the tariff for the same thus not impacting our revenue. Only a small 12:27 12 minutes, 27 seconds portion of this curtailment has resulted in a revenue loss of around 16 crores during the quarter and approximately for 12:35 12 minutes, 35 seconds 50 crores during the year gone by. This curtailment however is expected to be over by July 26 with the expected commissioning of new evacuation line. 12:46 12 minutes, 46 seconds Thermal generation grew 43% yearonear to 8.8 8 billion units driven primarily by 12:54 12 minutes, 54 seconds robust uptake at our Mahanadi and Utkal plants. 12:58 12 minutes, 58 seconds Our KSK plants PLF for quarter 4 FY26 remained robust at 93%. 13:06 13 minutes, 6 seconds Further, our overall thermal portfolio maintained a health healthy PL of 78% for the quarter and 73% for the full 13:14 13 minutes, 14 seconds year. Compared to this country's average thermal PLX stood at 68.7% 13:21 13 minutes, 21 seconds during the quarter and 65.8% during the full year. 13:27 13 minutes, 27 seconds I would also like to address one operational for from the quarter uh this KSK Mahanadi experienced some PPA 13:34 13 minutes, 34 seconds backdowns attributable to a transient demand softness in the region. However, we successfully monetized the backdown 13:43 13 minutes, 43 seconds volumes through short-term market sales, mitigating any major revenue impact. 13:50 13 minutes, 50 seconds This has since normalized with the onset of summer and the consequent surge in demand. The KSK plant in fact registered 13:58 13 minutes, 58 seconds an impressive AITA of over 3,300 crores in FY26. 14:04 14 minutes, 4 seconds also driven by fuel cost reduction through optimizing sourcing of coal from nearby mines resulting in lower logistic 14:11 14 minutes, 11 seconds cost just like we did what we did for our Utkal plant as well. Further at Utkal both our units are fully 14:19 14 minutes, 19 seconds operational and the plant registered a PLF of 75% in quarter 4 of MI26. 14:26 14 minutes, 26 seconds Now driven by full tie up that we had done earlier our visionar plants PLF also stood robust at 79% in quarter 4 14:35 14 minutes, 35 seconds with open capacity now at about 5% of our total installed capacity and a 25 year 400 megawatt PPA for the UPKL plant 14:45 14 minutes, 45 seconds at 5 rupees 78 pesa per unit and another 2year PPA for 115 megawatt PPA with ASAN reform with effect from 1st April 2026. 14:57 14 minutes, 57 seconds The quality of our underlying EITA has improved substantially. 15:02 15 minutes, 2 seconds The predominant share of our remaining op open capacity is domestic coal waste with plants closer to the mine which 15:10 15 minutes, 10 seconds reduces sensitivity to global coal prices volatility and and keeps our merchant break even economics highly competitive. 15:19 15 minutes, 19 seconds Now coming to the outlook, FY2027 is expected to be a year of accelerated earnings delivery. 15:27 15 minutes, 27 seconds The sizable projects commissioned during FY26 will stabilize and contribute to fullear EITA driving a meaningful step up in our financial performance. 15:38 15 minutes, 38 seconds India's power demand recovery with the government projecting peak demand of 270 gawatt this summer and a medium-term 15:45 15 minutes, 45 seconds CAGGR of 5 to 6% provides a strong tailwind for our growing portfolio and remain fully on track towards our FY30 15:54 15 minutes, 54 seconds targets of 30 gawatt of generation capacity and 40 gawatt hour of energy storage. 16:00 16 minutes We remain committed to disciplined capital allocation. Every investment must meet our mid team return thresholds 16:08 16 minutes, 8 seconds and our balance sheet management continues to be guided by by our leverage guard rails. 16:15 16 minutes, 15 seconds While net debt has risen as expected during this phase of accelerated investment, the quality and our 16:22 16 minutes, 22 seconds contracts on our growing asset base means that pre-cash generation will improve progressively supporting 16:29 16 minutes, 29 seconds deleveraging on a path towards 2030. Our 2030 net debt to Abita target of approximately 5 to 5 and a half times. 16:39 16 minutes, 39 seconds Finally and equally important on the people front, we are proud to retain our great place to work certification. A recognition that our culture and people 16:48 16 minutes, 48 seconds practices continue to keep pace with our growing scale. Also, we have been rated amongst top five 25 places in the manufacturing sector in the country. 16:59 16 minutes, 59 seconds Moving to our financial performance for the quarter details that most of you have had the opportunity to review ahead of this call. supported by our robust quarter fourth generation growth of 48%. 17:11 17 minutes, 11 seconds Our EITA during the quarter rose 72% year-on-year to 2,602 crores resulting in an all-time 17:20 17 minutes, 20 seconds high annual AITAR for the company during FY26. 17:24 17 minutes, 24 seconds On the bottom line, our profit after tax came in at 574 crores, up 38% yearonear 17:31 17 minutes, 31 seconds and PAT to shareholders stood at 372 crores. 17:36 17 minutes, 36 seconds As you may know, we have already serviced served a notice to exercise our call option in KSK Mahani to acquire the 17:44 17 minutes, 44 seconds balanced 26% estate. The minority outflow should materially reduce once we consumate the same. Further, our cash 17:52 17 minutes, 52 seconds profit to the shareholders for the quarter remains robust at 699 crores. 17:57 17 minutes, 57 seconds Our cash returns on net worth adjusted for our investment in JW steel shares remain strong at approximately 18%. 18:06 18 minutes, 6 seconds Revenue from the quarter 4 FY26 grew 39% yearonear to approximately 4,851 18:14 18 minutes, 14 seconds crores. A trajectory firmly anchored in the robust expansion of our generation capacity. 18:21 18 minutes, 21 seconds As our newer assets continue to be capitalized on the balance sheet, depreciation and interest costs have risen accordingly. Depreciation grew 18:30 18 minutes, 30 seconds almost 1.7 times during the quarter four on a year-on-year basis while interest costs increased approximately 2.4 times 18:38 18 minutes, 38 seconds both consistent with the scale of capital deployment underway on the leverage excluding capital work 18:45 18 minutes, 45 seconds in progress related debt. Our net debt to EITA stands at approximately 5.2 times well within our uh financial guard 18:53 18 minutes, 53 seconds rails. Our liquidity remains ample with cash and cash equivalents in excess of 10,000 crores. 19:00 19 minutes Out of the 3,000 cr preferential allotment that we have done recently, 1125 crores has been received in quarter 4. 19:10 19 minutes, 10 seconds On the cost of capital, consistent with our earlier guidance, our weighted average cost of debt declined by 19:17 19 minutes, 17 seconds approximately 67 basis points year on year to 8.36% as of March 26. 19:24 19 minutes, 24 seconds This reflects our healthy credit profile and the sustained confidence our lenders and rating agencies placed in us. 19:32 19 minutes, 32 seconds Finally on working capital total receivables as on March 31st stood at around 3,240 crores translating to 19:42 19 minutes, 42 seconds better days of 62 a sharp and meaningful improvement from 76 days in the corresponding quarter of the prior discuss. 19:51 19 minutes, 51 seconds This reflects both improved collection disciplines and the evolving counterparty port profile of our portfolio. 19:59 19 minutes, 59 seconds The central message is that significant capacity additions we have executed over the past several quarters are now are 20:06 20 minutes, 6 seconds now visibly converting into higher generation volumes and stronger cash flows. We expect this momentum to build 20:14 20 minutes, 14 seconds further through the remainder of the fiscal and into FY27. 20:19 20 minutes, 19 seconds Thank you. And that concludes my opening remarks and I'm now happy to open the floor for questions. Thank you. 20:25 20 minutes, 25 seconds Thank you very much sir. We will now begin the question and answer session. 20:30 20 minutes, 30 seconds Anyone who wishes to ask questions may please press star and one on the touchstone p. If you wish to withdraw yourself from the question, you may 20:39 20 minutes, 39 seconds press star and two. Participants are requested to use only handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question you assemble. 20:57 20 minutes, 57 seconds The first question is from the line of Mohit Kumar from ICICI securities. Please go ahead. 21:04 21 minutes, 4 seconds Yeah, good evening sir and thanks for the opportunity. My first question is sir I think what is the guidance for 21:12 21 minutes, 12 seconds asset commissioning for FI27 and FI28? I think mentioned to do three gig and FI27 21:19 21 minutes, 19 seconds is it possible to break down this between wind and solar and also give FI28 number possible? 21:26 21 minutes, 26 seconds You see the thing is FI27 as I have said that approximately uh close to about 3 gawatt of capacity additions will happen 21:34 21 minutes, 34 seconds which will be a mix of solar wind and hybrid projects. So uh the breakup between solar and wind depends on what 21:43 21 minutes, 43 seconds kind of project what kind of hybrid which is there. But as for the PPA terms uh we can say that but maybe you can say in terms of uh if I have to do a 21:52 21 minutes, 52 seconds percentage uh maybe uh out of 3 gawatt about close to about 35 to 40% will be rest all is solar. 22:04 22 minutes, 4 seconds My second question is has the amount to be paid for minority acquisition for KK manadi is it crystallized? If yes can you help help us with the amount? Yeah. 22:14 22 minutes, 14 seconds Is it prop? No, I think it's not at crystallized. Uh I think the process is currently on. We can't comment anything at this point in time. I think but it is kind of probably 22:22 22 minutes, 22 seconds by end of Q2 is what we'll have some number of. 22:26 22 minutes, 26 seconds Yes. Last question. How are you thinking about PPA for KSK Mahanadi? Uh the last is likely to remain under merchant. 22:35 22 minutes, 35 seconds Uh see the thing is that uh uh PPS definitely there are demands from different states which are there and the 22:42 22 minutes, 42 seconds discussions are on meeting with our timelines of commissioning of first unit and the balance two units the discussions are on various states want 22:50 22 minutes, 50 seconds the power so accordingly as in when the PPA time the requirement come we'll be definitely participating but however to 22:58 22 minutes, 58 seconds note that this being uh close to the mine and the low fuel cost also gives us 23:05 23 minutes, 5 seconds a leverage uh to the merchant also but in a longer term we will prefer to be uh we our strategy is to have a long-term PBA. 23:14 23 minutes, 14 seconds Understood. Thank you and all the best. Thank you. 23:19 23 minutes, 19 seconds Thank you. The next question is from the line of Sumit Kashor from Access Capital. Please go ahead. 23:27 23 minutes, 27 seconds Good evening. Uh thanks for the opportunity. Uh my first question is uh on the 3 gawatt that you're looking to 23:34 23 minutes, 34 seconds commission in renewable in FI27 what would be the broad phase out of commissioning of these capacities from 23:43 23 minutes, 43 seconds Q1 to Q4 if you could give us some sense you see uh the thing is that some of our projects which are at advanced stage of 23:51 23 minutes, 51 seconds commissioning so we uh of course giving exact number will be difficult but you can say that maybe it is uniformly only divided between H1 and H2. 24:02 24 minutes, 2 seconds Okay. So one and a half, one and a half roughly. Okay. Uh the second question is on capex. So when you said about 200 24:10 24 minutes, 10 seconds billion rupees of capex, I mean uh the free cash flow that you are generating right now uh or basically your less your 24:19 24 minutes, 19 seconds net interest cost in uh the tax adjustment that seems to be enough to take care of the equity requirement for 24:26 24 minutes, 26 seconds 20,000 crores of capex. So uh uh uh is there uh any thought process uh in terms 24:33 24 minutes, 33 seconds of raising uh uh equity funds beyond the infusions that are coming through preference shares and the warrant uh issuances to promoters. 24:43 24 minutes, 43 seconds Okay. Praat will speak. Yeah, I think uh yeah I think similar to what you understood is right now with the existing 20,000 uh the cash flows which 24:52 24 minutes, 52 seconds we'll generate and within the kind of uh the net debt to kind of net debt to tria uh I think within those ratios we will 25:00 25 minutes be able to easily manage this 20,000 crores which we talked about uh in case like we want to so we have this additional 1800 crores of uh which we can kind of avail at any point in time. 25:10 25 minutes, 10 seconds So if you're want to kind of kind of postpone or fast track this this we can we have this leverage to do it. 25:18 25 minutes, 18 seconds Okay. So just one last question uh trying to understand uh the broad uh 25:24 25 minutes, 24 seconds break up of this 20,000 cr capex because there is some allocation that should start happening to the salon project 25:33 25 minutes, 33 seconds something to the battery energy storage system uh uh project that you're commissioning the pump storage hydro. So 25:40 25 minutes, 40 seconds uh uh I mean just to understand because what what what kind of CWIP should we expect you know uh for the thermal 25:48 25 minutes, 48 seconds project pump storage hydro by the end of the financial year. 25:54 25 minutes, 54 seconds Uh you see uh when you talk of thermal definitely yes when salmon work has started and also the pumpur project for 26:01 26 minutes, 1 second which uh we have uh got the uh clearance from the environment and forest stage one clearance. Definitely some 26:09 26 minutes, 9 seconds investment will go in these projects but we have to remember that normally the year one of such projects doesn't entail 26:17 26 minutes, 17 seconds significantly large uh investments. It is only the order placement and some kind of civil work which starts. So it is a very small percentage of the 26:26 26 minutes, 26 seconds payment which flows and then gradually it increases. So it is not significant but if you have want a breakup it can be 26:33 26 minutes, 33 seconds maybe 16 20,000 crores. We have said you can say 4 to 5,000 crores for the these projects enabling projects which are uh 26:41 26 minutes, 41 seconds the thermal projects and the pumpy storage invest all will be in the wind and solar space and battery energy very clear just one bookkeeping question to 26:50 26 minutes, 50 seconds understand what was the CWIP for your projects at the end of FI uh 26 because 26:57 26 minutes, 57 seconds you're going to commission 3 gawatt what percentage of the investment has already happened just to understand 27:04 27 minutes, 4 seconds we A total of about 17,300 crores of CB out of which about close to 11,200 is 27:11 27 minutes, 11 seconds for Har and the balance is for the permanent members. 27:17 27 minutes, 17 seconds Very clear. Thank you and wish you all the best. Thank you. Thank you. 27:23 27 minutes, 23 seconds The next question is from the line of Kenan Jen from Aendas Park. Please go ahead. 27:30 27 minutes, 30 seconds Thank you. Uh thank you for the opportunity to be here sir. Uh sir to understand uh the 2.6 recall of capacity 27:37 27 minutes, 37 seconds addition how much of it is uh acquired from module and how much of it is organic. 27:44 27 minutes, 44 seconds So see uh out of this 2.6 gawatt it is 1.3 gawatt which was the acquired capacity and the rest all it is 50/50 27:54 27 minutes, 54 seconds that is acquired and the rest all is the green field capacity which we have commissioned. 27:59 27 minutes, 59 seconds Understood. Uh I I understand that uh there were challenges this year. So are you still seeing challenges to execute 28:06 28 minutes, 6 seconds or commission plans on time in for SI 27? 28:11 28 minutes, 11 seconds See the thing is uh we have been all uh reading and all knowing about one of the biggest challenge has been the project 28:19 28 minutes, 19 seconds readiness and the power evacuation the great curtailment the delays because 28:25 28 minutes, 25 seconds if we uh know that last year government of India had planned for uh the evacuation networks increase by 15,000 28:34 28 minutes, 34 seconds circuit kilometers against which uh the actual which happened was only 9,500 30 kilometers. So those challenges we see 28:43 28 minutes, 43 seconds that but otherwise we are insulated because the challenges are whether the land availability or whether the connectivity and we have that 100% of 28:52 28 minutes, 52 seconds that then only we start the work. So we don't see of course uh projects execution day-to-day issues of right 29:01 29 minutes, 1 second away and others is something which is part of the project which is planned and nothing unexpected. So we don't see any challenges and with large significant 29:10 29 minutes, 10 seconds portion of our capacity at advanced stage of commissioning uh we are confident at this time that definitely 3 gawatt of capacity addition will happen without any challenge. 29:21 29 minutes, 21 seconds Understood. Uh uh second question is uh are we seeing any increase in cost or supply chain disruptions due to the 29:28 29 minutes, 28 seconds relationship conflict and impact on our IRS? Is there any impact? 29:34 29 minutes, 34 seconds See uh one thing I have uh like here to say that if we talk of whatever the commodity cycle price increases we have 29:42 29 minutes, 42 seconds seen uh in general and the uh the currency impact on import related uh components for wind as I have maintained 29:50 29 minutes, 50 seconds earlier that we signed a fixed price uh contract for 2.4 4 gawatt of wind 29:58 29 minutes, 58 seconds turbine supplier from Sammy wind China which is fixed in terms of the pricing 30:06 30 minutes, 6 seconds and fixed in terms of the currency also which we did in uh in the in around April March April to 2024 we did that 30:15 30 minutes, 15 seconds sign that contract and that contract quantities have suppliers have recently started so we are insulated from that 30:22 30 minutes, 22 seconds for maybe next at least one and a half years on wind side there is no impact to earth. Uh of course minor impact on the 30:30 30 minutes, 30 seconds domestic purchases if the steel prices goes up the tower cost goes up uh because that is all steel but that is a 30:37 30 minutes, 37 seconds very cyclic uh industry steel. So we time our buying bulk mines accordingly when that is the best suited for us. So 30:46 30 minutes, 46 seconds we are uh largely not impacted even if there is a small impact with the commissioning of our blade plant 30:54 30 minutes, 54 seconds uh in India that will further help us because of the huge reduction in the logistic cost both in terms of the ocean 31:01 31 minutes, 1 second freight from China and also the local logistic cost. So all those things put together we remain insulated from any 31:09 31 minutes, 9 seconds cost impact for next one and a half to two years. on solar front with what we have been seeing the increase in solar 31:16 31 minutes, 16 seconds cell prices the currency impact because of the solar imports from uh the cell imports from China I like to say uh that 31:24 31 minutes, 24 seconds even if the uh ALM comes for solar cells also for all PPAs what we are executing 31:32 31 minutes, 32 seconds next two two and a half years is all before the date on which we are allowed uh as per the rule regulation rule that 31:41 31 minutes, 41 seconds import from China will continue. So to large extent we are insulated of course steel also is a cost some portion of the 31:48 31 minutes, 48 seconds cost on this. So the same as we are doing for wind tower steel purchase we are timing our purchase to have a 31:56 31 minutes, 56 seconds minimal impact on our solar projects and our benchmark return IRS or mine IRS that remains protected. 32:05 32 minutes, 5 seconds Thanks for the update answer. Just the last question uh uh at the industry level is there any update on the unsigned PPAs at the country level are 32:13 32 minutes, 13 seconds things moving uh are things moving in that in that case? No, right now we are not seeing because there are enough PPAs 32:21 32 minutes, 21 seconds which are signed and which are to be executed for next two to three years time and with the uh evacuation challenges which are there which is are 32:30 32 minutes, 30 seconds going to ease out only by 2029 not before that we are not move seeing any significant movement on the signing 32:39 32 minutes, 39 seconds of the PPS for the unsigned capacity that rem status remains as it is what it was last time that we met. 32:45 32 minutes, 45 seconds Understood. Just the last if I could squeeze in uh what is the BASS packages right now and uh does it impact our project execution? Just the last one. 32:57 32 minutes, 57 seconds See uh see BSS uh can you repeat the question? 33:02 33 minutes, 2 seconds No BS pack price like the capex for a BSS project. Okay. See the thing is when we are uh insulating definitely we have 33:09 33 minutes, 9 seconds seen that there have been uh price uh increases which have happened but as I told you that we are we have been able 33:16 33 minutes, 16 seconds to optimize our cost by starting the assembly plant uh within our facilities under the GSW. So we whatever impact on 33:25 33 minutes, 25 seconds self act prices are we remain much more uh competitive as compared to the the 33:32 33 minutes, 32 seconds best impulse which are coming with our facility commissioned in quarter port. 33:37 33 minutes, 37 seconds Understood. What would be the track price right now sir? 33:40 33 minutes, 40 seconds It is varying again if you are at tier 1 tier two very difficult to give a number tier one tier 2 tier three suppliers or whether it is a three-ear warranty 33:48 33 minutes, 48 seconds whether it's a 5year warranty it depends. So very difficult to give a specific number. 33:56 33 minutes, 56 seconds Thank you. Thank you. I'll get back to you. 34:01 34 minutes, 1 second Thank you. The next question is from the line of Apurva Bahhatur from Capital. Please go ahead. 34:09 34 minutes, 9 seconds Hi. Hi sir. Thank you for the opportunity. Uh sir just uh uh sort of delving deeper into this uh uh 5 gawatt 34:17 34 minutes, 17 seconds hour best sellto pack assembly plant that we have operationalized. Uh can you provide some color on how are you 34:24 34 minutes, 24 seconds thinking about the uh the margin profile of this business? How much should be the revenue contribution that we start 34:31 34 minutes, 31 seconds building in our models? Uh and uh have you built any order book? 34:38 34 minutes, 38 seconds Yeah. See the thing is that this is in a ramp up stage and we'll be taking care of my own captive requirements as well 34:47 34 minutes, 47 seconds as because once the this capacity ramp up and stabilization takes its own time uh maybe going forward definitely the 34:55 34 minutes, 55 seconds in-house requirement as well as uh to the outside market. We will be uh definitely looking for outside market. 35:04 35 minutes, 4 seconds we have got some order but right now the testing of the products are going on and the necessary approvals which we expect very soon and then we'll be going into 35:11 35 minutes, 11 seconds the marketplace. So uh then only we will be in a position uh to come out with what is the revenue and the financial 35:19 35 minutes, 19 seconds numbers on this. Maybe next time we will definitely like to share on that. 35:25 35 minutes, 25 seconds Okay. Uh and sir where are we importing our shells from and which which manufacturer in China? 35:31 35 minutes, 31 seconds There are multiple there are multiple uh but definitely we are concentrating only on tier one uh uh suppliers uh 35:40 35 minutes, 40 seconds definitely and we will be voting uh from them. 35:45 35 minutes, 45 seconds Okay. Uh on on the renewable capacity addition target uh for FI28 uh if you can provide some guidance over there. 35:56 35 minutes, 56 seconds See as we have said that we have to reach 30 gawatt by by 30 and if we add maybe 3 gawatt this year uh so maybe 3 g 36:06 36 minutes, 6 seconds approximately from the front you can say maybe about three 3 and a half gawatt something is the number which definitely will continue to add 36:18 36 minutes, 18 seconds s we would expect a sharp uptake in capacity addition in 29 and 30 fi 21 fi 30 yes Because what will happen is 36:27 36 minutes, 27 seconds yeah yes beyond FY27 it is the thermal capacity also will contribute which is the KSK 1.8 8 gawatt 1800 and also by by 36:36 36 minutes, 36 seconds 30 partial capacity of salvi also commissioning is planned. So all those things put together thermal will also be a capacity which will be added in this. 36:48 36 minutes, 48 seconds Fair enough. Thank you so much sir. I'll get back in the queue. 36:55 36 minutes, 55 seconds Thank you. A reminder to all the participants that you may please press star and want to ask questions at this time. The next question is from the line of Anikit Mittal from SBI mutual fund. 37:07 37 minutes, 7 seconds Please go ahead. Thank you. I joined the call a bit late. 37:12 37 minutes, 12 seconds Um so apologies if any questions are repeated. Um but on Maitra um what's the reason for the increase in AIDA uh this quarter on a Y basis? 37:24 37 minutes, 24 seconds Yes. Yeah, actually there is a one of this quarter like you must also be read in that the Supreme Court gave an order 37:32 37 minutes, 32 seconds on the generation based incentive right and that is the pump to the the increase which you'll be able to see. 37:40 37 minutes, 40 seconds What is this number? 37:43 37 minutes, 43 seconds It is 50 pesa per unit uh is what the generation based incentive and it is in excess of 200 crores. 37:50 37 minutes, 50 seconds Yeah. 210 crores. Yeah. 37:53 37 minutes, 53 seconds So this is this is a one of this. So this includes certain past recoveries as well. 37:59 37 minutes, 59 seconds Yeah, that's it. Yes. Yes. And for for now going forward which was not being given uh every year we'll be getting the 38:06 38 minutes, 6 seconds generation based incentive uh based on this order which was not being given earlier. 38:12 38 minutes, 12 seconds about that about that. So for a commissioned um wind and solar portfolio which is almost 6 gawatt what would be 38:21 38 minutes, 21 seconds the annual steady state a bit just 38:38 38 minutes, 38 seconds see you can say that almost 75 lakh rupees megawatt is what you can as the study state data for full year capacity available. 38:51 38 minutes, 51 seconds And just to understand this case um you know if I recolct I think next year there there's supposed to be a slight drop off in the tariff at um at UPPCL. 39:02 39 minutes, 2 seconds So this year you have obviously done a fairly good amount of EIDA but how does that move heading into SI 27 and 28? 39:10 39 minutes, 10 seconds See uh we have to remember two things. 39:12 39 minutes, 12 seconds One is that uh in FY25 March when we acquired the full year AITA that plant made from the operations was around 2,650 crores. 39:23 39 minutes, 23 seconds Against that we have made almost in excess of 3,300 crores this year. Of course lot of efficiency improvements in 39:30 39 minutes, 30 seconds terms of the cost efficiencies improvement what we have done is one which will continue. Of course there will be some impact because of the 39:38 39 minutes, 38 seconds tariff reduction from UP but a part of this will be compensated by uh maybe two three steps what we have taken. uh one 39:47 39 minutes, 47 seconds is that after the acquisition of our the rail and uh water SPVS especially the rail one uh the efficiency improvements 39:54 39 minutes, 54 seconds and the cost reduction there also is going to contribute to and second is in terms of the fuel uh allocation 40:02 40 minutes, 2 seconds uh which we have optimized by sourcing majority of the fuel from the mine which are closest to our plant and uh 40:10 40 minutes, 10 seconds replacing the fuel which was coming off from far off places fuel logistic cost reduction is one of the main drivers efficiency 40:18 40 minutes, 18 seconds improvement during the last year but during the year we did lot of steps we took in terms of operations and maintenance cost reduction. So those 40:27 40 minutes, 27 seconds steps which have got were taken during the year will also give us full year benefit uh in the current year will help us uh to mitigate uh the uh reduction in 40:37 40 minutes, 37 seconds the margins because of the upppa. So but definitely it will continue to perform perform significantly better than what 40:44 40 minutes, 44 seconds it was in FY25 and if I have to add this is the cash if I have to add we've always said that please consider a steady state limit of 40:54 40 minutes, 54 seconds 2700. So the idea also is that please assume that a good year is what we are highlighting and the request for what we 41:02 41 minutes, 2 seconds are highlighting but consider viewing this uh following trajectory we said 41:07 41 minutes, 7 seconds that please assume 2700 as our base and with the steps we are taking we are confident that we will be delivering 41:17 41 minutes, 17 seconds better than the steady state aita what just said of 2700 crores we can say that is helpful um I I just had one last 41:25 41 minutes, 25 seconds question. So when I look at the standard entity, the overall debt over there is almost uh 15,000 K there. So a lot of 41:32 41 minutes, 32 seconds hold debt coming over there just to understand you know how this is how this is panning out from the maturity point. 41:39 41 minutes, 39 seconds Um what's the maturity profile over here? What's the average interest rates at the home level? 41:46 41 minutes, 46 seconds See at the call level. uh so basically out of this some of them are kind of uh the short-term which we'll kind of 41:54 41 minutes, 54 seconds because some of the acquisitions that we have done right in terms of the the KSK rail and all so these are kind of some of them are temporary uh the service so 42:02 42 minutes, 2 seconds once we take over these assets we'll kind of refinance it through uh the major entity or the actual entity which we do uh so in terms of you look at it 42:11 42 minutes, 11 seconds from an overall perspective I think all of them are close to more than kind of three years except for about close to 4,500 crores which is in the form of short. The others are all long-term. 42:22 42 minutes, 22 seconds And what will be the um average interest rate right now the local level for these for these debt? 42:29 42 minutes, 29 seconds We are at about close to 8 8.2 is what we'll have. Uh but as a whole consolidated we at about 8.3. 42:37 42 minutes, 37 seconds See Ali case to add to what uh we just said you know we would like to have a a 42:45 42 minutes, 45 seconds private finance based financing which which means that from maturity the majority as long as possible for borrowing now level like you mentioned 42:53 42 minutes, 53 seconds is obviously short tener and for us the overall cost of debt is about 8.36 43:00 43 minutes including working capital right so what we're saying is that obviously the short tener borrowings are there and they'll Obviously it's a lower cost but overall 43:09 43 minutes, 9 seconds if you look at the real estate trajectory it is come more. There's no one more question. Thank you. 43:18 43 minutes, 18 seconds Thank you. 43:20 43 minutes, 20 seconds The next question is from the line of Nikil Nana from Bernstein. Please go ahead. 43:27 43 minutes, 27 seconds Hi uh thanks thanks for taking my question. I had two questions. Uh number one uh was uh any plans to set up a merchant uh battery energy storage plant. 43:41 43 minutes, 41 seconds See uh right now we are in the process of uh executing the battery energy project for which we have signed the 43:48 43 minutes, 48 seconds PTA. uh but going forward wherever we have the solar capacity and keeping in mind how the evening uh peak demand uh 43:57 43 minutes, 57 seconds shapes up uh we will we definitely keep exploring uh but immediately in the current year if you ask we will be 44:06 44 minutes, 6 seconds focusing on our uh projects uh under the PTA but going forward we we will keep exploring that merchant option for 44:14 44 minutes, 14 seconds especially where we have the connectivity we have the solar plants coupling the same Connectivity for the evening peaks is one option which the team is working on. We keep evaluating. 44:26 44 minutes, 26 seconds Understood. Uh but what I understand from your peers is some of them are preponing the battery part of a PPA to use it in the merid in the enter till 44:34 44 minutes, 34 seconds the PPA starts. Uh would you have any such plans like that to prepone your battery before the solar? 44:41 44 minutes, 41 seconds See when I compare with what uh others are doing see uh we if you see that we don't have any merchant or open capacity 44:49 44 minutes, 49 seconds in our solar portfolio all is tied up whatever is commissioned and what we are doing is also and today we see that 44:56 44 minutes, 56 seconds there are curtailments happening or especially the capacities which are open untied merchant capacities in solar are 45:04 45 minutes, 4 seconds facing a very high curtailment is what we are seeing so that is where it's a cost as per 45:12 45 minutes, 12 seconds So putting a battery using that power where which is getting curtailed charging the battery and using the evening peak option is something maybe 45:20 45 minutes, 20 seconds others may be thinking on but I feel that this curtailment issue is a matter of 3 to four years whether for a long-term I can do the investment on the 45:29 45 minutes, 29 seconds basis of this principle somehow doesn't fall in our uh scheme of things uh because we look for at least a battery 45:36 45 minutes, 36 seconds life of 12 years and based on that if the returns are protected is a better option rather than going immediately 45:43 45 minutes, 43 seconds only temporarily for us. So for us it will be uh no because we don't have any open capacities in solar. So we are 45:51 45 minutes, 51 seconds evaluating by setting up charging the batteries by solar and evening peak once that model is financially definitely giving my benchmark returns then only we'll be moving ahead. 46:03 46 minutes, 3 seconds Understood. Appreciate your response. Uh the other question I had was on the DSM regulation. uh in case it is implemented 46:11 46 minutes, 11 seconds as per the CRC document says uh and given you have a good quantum of wind as well in your portfolio uh what is the 46:18 46 minutes, 18 seconds impact you envisage on your financials see with the this new DSM regulations we 46:26 46 minutes, 26 seconds expect a total impact which we have budgeted in our plan is between 1 and a half to 2%. 46:36 46 minutes, 36 seconds uh this one and a half to 2% of revenues of the renewable asset is yes yes yes which was not zero minded it 46:45 46 minutes, 45 seconds was not zero earlier also it will move up to 1.5 to 2%. 46:50 46 minutes, 50 seconds It used to be there today also but now it will be slightly more. 46:56 46 minutes, 56 seconds Oh god. And it would be fair to assume as that X factor in the DSM rule changes by 2030 this number goes up further. 47:03 47 minutes, 3 seconds See the thing is now when it is known that this is going to happen. Everyone now is going to be the designing the 47:13 47 minutes, 13 seconds project building the project the tariff biddings everything the discovery will be accordingly. 47:20 47 minutes, 20 seconds So that is definite but yes whatever the tariffs have already been discovered the projects being executed definitely this is going to impact but there are options 47:28 47 minutes, 28 seconds and tools available to minimize is one of the things which is which is being talked off is that at a particular substation grouping all the maybe other 47:38 47 minutes, 38 seconds producers who are in the same substation at a group level to see uh the to do the settlement rather than individually 47:45 47 minutes, 45 seconds because someone may be at a particular moment access Someone may be down. So it is more from the grid point of view this is being done grid stability. So we are 47:54 47 minutes, 54 seconds absolutely certain industry has made the representation at a group level this will be assessed not at an individual level is what we are confident of. 48:04 48 minutes, 4 seconds Got it. Appreciate your answers. Those are my questions. Thank you so much. That's it. Thank you. 48:10 48 minutes, 10 seconds Thank you. The next question is from the line of Abhishek Nigam from Motilal Oswal Financial Services. Please go ahead. 48:18 48 minutes, 18 seconds Yeah. Hi, thank you so much for the opportunity. So just two questions. Uh one these Andra based uh Andra generation based incentives is that 48:26 48 minutes, 26 seconds included in other income. So that's my first question. Yes. 48:30 48 minutes, 30 seconds Yeah. I think certain of it is part of revenue and certain of it is so I think you can say about 100 crores is one is 48:39 48 minutes, 39 seconds part of revenue the other 100 is part of the government. 48:42 48 minutes, 42 seconds Okay. Okay. So I think the increase in other income is because of I mean there is some other reason for that for that. Okay. Yeah. 48:48 48 minutes, 48 seconds So that is one and second on the deferred tax asset if you can you know give us some clarity. I think we've seen in in the past also one of the quarters 48:55 48 minutes, 55 seconds and in you know uh going forward also uh could there be more such tax creation tax creation. 49:02 49 minutes, 2 seconds Yeah I think the u the default tax effect is primarily on account of two things. One is that if you see that 49:10 49 minutes, 10 seconds utkal where actually we had a certain unabsorbed depreciation and business losses which were there. Now with the 49:17 49 minutes, 17 seconds PPA being signed uh for the entire capacity uh there is visibility in terms of recoverability of this tax losses and 49:24 49 minutes, 24 seconds that is why this year uh when we signed the PPA and we said that we'll be able to kind of uh recognize this defer tax. 49:32 49 minutes, 32 seconds So this is a one-off uh I think mostly both uh UTAL is the major one. The second one is in the KSK. The second one 49:40 49 minutes, 40 seconds is in terms of because currently with the new tax regime uh the new because everybody would kind of transition to the new tax regime. Uh the current tax 49:48 49 minutes, 48 seconds would be similar to what it was like 17 to 18% uh because you'll have to adjust 25% of the math credit available. So I 49:55 49 minutes, 55 seconds think going forward that will be the uh this one I think we'll be inching close to the effective tax rate of 23 24% going forward. 50:06 50 minutes, 6 seconds Okay. Okay. That's it for me. Thank you so much. 50:10 50 minutes, 10 seconds Thank you. The next question is from the N of Satik Jan from Ambit Capital. Please go ahead. 50:17 50 minutes, 17 seconds Hi thank you. The first question is on um the commissioning we talked about 3 gawatt this year. How much uh would be 50:25 50 minutes, 25 seconds CTU? How much would be STU? And generally are you seeing um maybe faster commissioning for STU versus CTU and do 50:32 50 minutes, 32 seconds you expect some any changes there this year? 50:37 50 minutes, 37 seconds You see whatever we are commissioning it's a mix again of CTU and STU and also the CNI customers also and under the 50:44 50 minutes, 44 seconds group captive. So uh connectivity is available for whatever we are 3 gawatt we are planning whether it is STU or 50:53 50 minutes, 53 seconds CTU. So it doesn't make any difference whether it is ST or SPU which one had happened earlier and as I said that this 51:01 51 minutes, 1 second time as compared to the previous year in H1 we'll be seeing almost close to 50% of the capacity coming up uh which means 51:09 51 minutes, 9 seconds that the project is at an advanced stage connectivity is available. So we don't see uh this doesn't make any difference 51:16 51 minutes, 16 seconds whether it is a CPU and SPU it's a mix of CPU and SPU projects 51:21 51 minutes, 21 seconds and also as I told you look captive also and I think secondly just um on the 51:30 51 minutes, 30 seconds return profile for REI I'm sorry if I missed it uh what kind of containment do you build in the projects when you bid 51:39 51 minutes, 39 seconds for a project for long term and when you mentioned DSM Just clarifying you mentioned about 2% revenue rate is that 51:46 51 minutes, 46 seconds um u fact x is equal to zero and assuming um is it assuming group um u 51:54 51 minutes, 54 seconds grouping at the substation or is it without grouping at the substation one thing is containment I would just 52:03 52 minutes, 3 seconds like to burkate into two one is that a significant portion of our capacity is under group captive which is upgrade so 52:11 52 minutes, 11 seconds I'm insulated from the curtailment in on those capacities which are uh almost a gawatt of capacity which is operational 52:19 52 minutes, 19 seconds and further we are going to add in the current year also and next two years 3 years uh we'll be continuing to add 52:26 52 minutes, 26 seconds upgrade uh group captive uh capacities so there we are insulated from this uh 52:33 52 minutes, 33 seconds DSM uh regulations uh in addition to that uh next expect 52:42 52 minutes, 42 seconds to consider the question when you look at when you calculate DS 52:49 52 minutes, 49 seconds yes when you said yeah yeah do 2 and a half% of revenue is 52:57 52 minutes, 57 seconds that um when you consider x is equal to zero and assuming grouping or if this is without grouping at the substitution 53:04 53 minutes, 4 seconds so the here sorry I I agree Um you know uh what he was saying is that is the 53:11 53 minutes, 11 seconds worst case scenario that he is seeing considering the what has been announced as of now if there is grouping obviously everyone benefits and we benefit out of 53:20 53 minutes, 20 seconds it and what we see is not as two two and a half what we said it is one and a half to two is what I said and also it is not 53:27 53 minutes, 27 seconds zero days that we don't have to make it from 0 to 1 and a2 there is some which is there also it has become stricter now 53:35 53 minutes, 35 seconds so it is without grouping is what I have After that we expect that things can improve but with the grouping this will reduce. 53:43 53 minutes, 43 seconds Fair enough. Just one more if I can please on pump storage you mentioned 2030 for one and 2031 for another. Do you expect groundbreaking 53:51 53 minutes, 51 seconds this year um and then what is the typical construction timeline you're looking at for these PSP projects? 53:58 53 minutes, 58 seconds See normally for pump storage projects uh we see that from the uh zero day maybe 36 months and as I told uh maybe 54:07 54 minutes, 7 seconds in my opening bar we have got the forest stage one clearance just uh 2 days back and uh work in the non-forest area has 54:15 54 minutes, 15 seconds already started the contracts have been awarded the electromechanical ordering has already been placed so we are confident that that will be in time this 54:22 54 minutes, 22 seconds will be 36 months you can see okay thank you so Thank you 54:31 54 minutes, 31 seconds ladies and gentlemen. Due to portity of time we would request all the participants to kindly limit their questions to only one. We'll take the 54:39 54 minutes, 39 seconds next question from the line of Mohit Pandai from city. Please go ahead. 54:45 54 minutes, 45 seconds Yeah good evening sir. Uh is it possible to give u any color on our merch realizations uh in April and May so far? 54:53 54 minutes, 53 seconds Yeah. 54:55 54 minutes, 55 seconds See uh as we have been saying that normally in the merchant when we sell the our open capacity we normally are uh 55:05 55 minutes, 5 seconds it is through bilateral contacts contracts and I can say whatever merchant tariffs are being discovered in the market we will definitely maintain 55:13 55 minutes, 13 seconds at least minimum 20% premium and we are continuing with that what we have demonstrated last year also overall discovered price we are more than five 55:22 55 minutes, 22 seconds 20% uh uh premium We are we are continuing to sell even in the current quarter. 55:30 55 minutes, 30 seconds Okay sir. Sir and uh are there any risks to the performance of a highle portfolio due to possible alino? 55:40 55 minutes, 40 seconds Uh no we don't see that reason uh is that if you see when the temperature increases right now when we have been 55:48 55 minutes, 48 seconds seeing onset of summers and the temperature increasing we are seeing because snow melting was slightly lower 55:55 55 minutes, 55 seconds last year but now with the good snow melting the river flow is better and uh 56:01 56 minutes, 1 second with the power what is required even if there is in past also data clearly shows 56:08 56 minutes, 8 seconds that even if there is a uh 6 7% 8% uh below normal monsoons the water flow 56:15 56 minutes, 15 seconds required to run at full capacity and to go as per the design energy is sufficient. So we have reviewed and we have evaluated this and we are 56:23 56 minutes, 23 seconds absolutely certain that we don't see any significant impact on our hydro operations because of this better impact. 56:31 56 minutes, 31 seconds So just to add there are there are broadly two ways one is obviously snow melt the other is rainfall. So like s 56:39 56 minutes, 39 seconds that last time the rainfall was there this time there will be flow if there is like you said going to be higher read 56:46 56 minutes, 46 seconds therefore uh for run of the river it's not a concern and this we highlighted earlier as well and we reiterate the same 56:55 56 minutes, 55 seconds understood sir thank you so much and wish you all the thank you the next question is from the line of Atul Tari from JP Morgan please 57:04 57 minutes, 4 seconds go ahead. Yeah. Uh sir uh will it be possible to uh at least qualitatively share how much was of KSK's 930 odd 57:13 57 minutes, 13 seconds crupies of VA was due to merchant in the quarter 57:21 57 minutes, 21 seconds merchant what you'll see we will maybe we'll divide and we'll come back my IR team will definitely get back to you and we'll give you the number. 57:33 57 minutes, 33 seconds Okay. And sir, broadly speaking, I mean obviously uh your u has been held by uh deferred tax creation. 57:40 57 minutes, 40 seconds I'm sorry to interrupt you Mr. Tari. I would request you to kindly limit to only one question please. There are those who are waiting for this. Thank you so much sir. 57:50 57 minutes, 50 seconds We'll take the next question from Rajesh Majunar from 361 capital. Please go ahead. 57:56 57 minutes, 56 seconds Yes sir. Thanks for the opportunity. uh sir uh you are talking about additions of roughly 2.53 gawatt peranom as I understand and if you see that pipeline 58:05 58 minutes, 5 seconds for next year FI27 it consists of other than group captive juvl then two or 58:11 58 minutes, 11 seconds three branches of Sheeki and uh I think uh SJVN if I'm not mistaken do you see any kind of delays in these projects any 58:20 58 minutes, 20 seconds of these which can happen or with the install capacity is like for falling short of our targets and see as well. 58:29 58 minutes, 29 seconds Yes. 58:30 58 minutes, 30 seconds Yeah. See the thing is uh what you have pointed out is very very correct. We definitely see the delay in this because 58:37 58 minutes, 37 seconds we have deliberately delayed the execution and investment in the these projects because the availability of the 58:44 58 minutes, 44 seconds allotted connectivity is getting delayed. So we are aligning our investment and commissioning with 58:52 58 minutes, 52 seconds the with the commissioning of the evacuation. We don't want to invest uh make the asset ready and then wait that 59:00 59 minutes I'm not able to commission because of this curtailment issues and the connectivity issues. So we are particular we are insulated from any 59:08 59 minutes, 8 seconds kind of penalties or anything because of the delays. So we we are absolutely certain yes. So I mean I missed out 59:16 59 minutes, 16 seconds probably earlier. Did you reduce your uh earlier increase of 2.5 to 3 GP or you still maintain that based on these orders that we have which is a lot sticky. It's you know heavy. 59:30 59 minutes, 30 seconds Can you repeat the question? 59:31 59 minutes, 31 seconds I said the the addition for this year is about 3 gawatt which include a substantial amount of seci orders. Do you see any delay in this kind of 59:39 59 minutes, 39 seconds addition for fi27 which will get postponed to next year? 59:43 59 minutes, 43 seconds No, no, we don't see at all. Uh, no. As I said earlier also, we are absolutely certain because the challenges for which 59:50 59 minutes, 50 seconds the projects are getting have been getting delayed are not there in terms of connectivity, in terms of land availability, in terms of execution, the 59:58 59 minutes, 58 seconds various stages the projects are. So, we are certain that the current three in the current year we absolutely certain that this will be there. 1:00:07 1 hour, 7 seconds Okay. Just just one followup question, sir. Uh, sir, I'm sorry to interrupt you. I'm so sorry to interrupt you. There are others who are Thank you so much sir. 1:00:16 1 hour, 16 seconds We'll take the next question from Nikil from UTI mutual fund. Please go ahead. Yeah. Uh so just uh just one question. 1:00:25 1 hour, 25 seconds So what has been the impact of curtailment on our appetitar if you can quantify that in terms of uh rupees cross or 1:00:33 1 hour, 33 seconds yeah as I told in my opening remarks also uh during the quarter as I told you the curtailment uh was not significant 1:00:42 1 hour, 42 seconds because a portion of the curtailment was under permanent grid network access connectivity so I my plant was available 1:00:50 1 hour, 50 seconds the power was offered but couldn't flow so I have been getting the the uh tariff for that some portion which was under 1:00:58 1 hour, 58 seconds temporary grid network access because of the delay in the connectivity permanent connectivity execution. So we have about there has been a loss of around 15 1:01:07 1 hour, 1 minute, 7 seconds crores uh during the quarter and full year approximately 50 crores uh the impact and it is in two of our assets in 1:01:16 1 hour, 1 minute, 16 seconds the state of Rajasthan and where the this evacuation capacity is getting commissioned uh maybe sometime in July. 1:01:23 1 hour, 1 minute, 23 seconds So we expect after this this will not be there. Sure. Thank you. 1:01:28 1 hour, 1 minute, 28 seconds Thank you ladies and gentlemen. That was the last question for today. I now hand the conference over to the management for closing comments. Thank you and over. 1:01:38 1 hour, 1 minute, 38 seconds Yeah. Uh before I close maybe uh Abdul from JP Morgan asked for what was the merchant EITA on Mahanadi. Uh during the 1:01:48 1 hour, 1 minute, 48 seconds quarter the AIA from the merchant sale was 203 crores. I just wanted to give that number. 1:01:54 1 hour, 1 minute, 54 seconds Okay, thank you. So, right, Chel, thank you everyone and thanks for being with us. Uh, and uh 1:02:01 1 hour, 2 minutes, 1 second maybe we hope to meet you all uh very soon again. Thank you. 1:02:09 1 hour, 2 minutes, 9 seconds Thank you members of the management on behalf of PL Capital that concludes this conference. We thank you for joining us and you may now disconnect your lines. 1:02:17 1 hour, 2 minutes, 17 seconds Thank you.