Adani Power consolidates ₹19,700cr loans of 6 SPVs into single longterm debt
Adani Power on Thursday said it has consolidated standalone term loan facilities of its six Special Purpose Vehicles (SPVs) into a single longterm loan facility of ₹19,700 crore.
“Consequent to the enhancement in the credit rating of Adani Power to AA, which followed the amalgamation of its six Special Purpose Vehicles (“SPVs”) with itself, the company has consolidated the standalone term loan facilities of the SPVs into a single longterm Rupee term loan facility of ₹19,700 crore under a consortium financing arrangement comprising eight lenders,” the company said in a filing with the stock exchanges.
“The revised arrangement will allow the company to benefit from uniform terms and greater financial flexibility in addition to reducing the effective rate of interest,” it added.
PPA WITH RIL
In a separate filing, Adani Power said its subsidiary, Mahan Energen Ltd (MEL), has entered into a 20year longterm Power Purchase Agreement (PPA) with Reliance Industries (RIL) for 500 MW under the Captive User policy as defined under the Electricity Rules, 2005.
“One unit of 600 MW capacity of MEL’s Mahan thermal power plant, out of its aggregate operating and upcoming capacity of 2,800 MW, will be designated as the captive unit for this purpose. In order to avail the benefit of this policy, RIL has to hold a 26 per cent ownership stake in the captive unit in proportion to the total capacity of the power plant. It will accordingly invest in 5,00,00,000 equity shares of MEL, aggregating to ₹50 crore for the proportionate ownership stake,” the company stated.
“This development brings between two corporates an exclusive arrangement for 500 MW of power purchase by RIL on longterm basis. In this connection, APL, MEL, and RIL have signed an Investment Agreement on March 27,” it added.
The increase in the last five years was the highest in Maharashtra (44 per cent) where it grew from ₹206 a day in FY20 to ₹297 in FY25. In Tripura, it grew 26 per cent and in Kerala, it is 28 per cent, the lowest among the States.
In February, a Parliamentary Standing Committee recommended that the wages for MGNREGA labourers should be at par with agri wages and should be at least ₹375 per day. However, the new notification shows that every State’s daily wage remains lower than ₹375.
The highest wage is notified in Haryana, where a worker will now receive ₹374 a day, ₹1 less than the Parliamentary Committee recommendation. The Parliamentary Committee arrived at ₹375 a day, based on a 2019 report by a committee headed by Anoop Satpathy, then a Fellow (faculty) at the V V Giri National Labour Institute.
GAP TO BE BRIDGED
According to the latest notification, in FY25 NREGA labourers in just five States will receive a daily wage of more than ₹300. These are Karnataka (₹349), Kerala (₹346), Punjab (₹322) and Tamil Nadu (₹319). Odisha will also fall on this list since it is one of the three States to pay a wage topup to its workers. The amount was ₹115 per day in FY24. In eight States, the wage is less than ₹250 per day. The States that rank at the bottom of the list are Uttarakhand (₹237), Uttar Pradesh (₹237) and Tripura (₹242).
On average, the FY25 MGNREGA daily wages are ₹105 lower than the daily wage for agriculture labourers in FY23. It is lower than the agri wages in all major States, except Gujarat. In Gujarat, an MGNREGA worker gets ₹14 more than an agricultural labourer, according to the FY23 figures. This is because, in the State, agri labourers earned just ₹242 a day, one of the lowest in the country. The difference between both wages is the highest in Kerala, where an agriculture labourer earns ₹431 more. The latter earns the highest wage of ₹764.3 in the State.