Adani Power Ltd (NSE: ADANIPOWER) Q3 2026 Earnings Call dated Jan. 29, 2026
Corporate Participants:
Dilip Jha — Chief Financial Officer
Analysts:
Unidentified Participant
Mohit Kumar — Analyst
Abhinav Nalawade — Analyst
Dhruv Muchhal — Analyst
Aniket Mittal — Analyst
Manish Somaiya — Analyst
Nikhil Abhyankar — Analyst
Ishan Verma — Analyst
Kalpit Sabha — Analyst
Sucrit Patil — Analyst
Presentation:
operator
Please wait while you are joined to the conference. The conference is now being recorded. It. Ladies and gentlemen, good day and welcome to Adani Power Limited Q3FY26 earnings conference call hosted by ICSS Securities Limited. As a reminder, all participant lines will be in the listen only mode. And there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star then zero on the Touchstone phone. I now hand the conference over to Mr. Mohit Kumar from ICICI Securities Limited. Thank you. And over to you, sir.
Mohit Kumar — Analyst
Yeah. Thank you. Ruthuja. Good evening. On behalf of ICICI Securities I would like to welcome you all to Q3FY26 earning score of Adani Power Limited. Today we have with us from the management Mr. Dilip Cha, CFO Mr. Nishit Dave Head Investor Relations. We’ll start the brief opening remarks which will be followed by Q and A. Over to you sir.
Dilip Jha — Chief Financial Officer
Hi. Thank you. Mohit. Good afternoon. Good afternoon everyone and thank you for joining the call. Our CEO Mr. F.D. kalia could not join us today due to some business exigency and we apologize for this. Now let me take you through our performance for the quarter of FY26 and nine months on operational operating environment. Let me brief you that power Demand in Quarter 3 FY26 was weaker than last year. As you know, this year monsoons started early in May and extended up to October. Temperatures were also cooler compared to last year. As a result, All India power demand was marginally lower at about 392 billion units.
This was broadly flat versus the same period last year. Higher renewable generation also impacted thermal demand. Together these factors led to lower margin markets. Market price. The average market clearing price in the day ahead market declined sharply year on year. Now an operational performance. Despite this environment, our operations remain resilient. Due to our few logistics cost advantages, long term tie ups and competitive merit order position in most PPAs. Our installed capacity stands at 18.15 GW as of 31st December 25th. This was higher than last year due to acquisition of Vidarbha plant. Power sales in Q3 FY26 were 23.6 billion units.
This was slightly higher than 23.3 billion units same period last year. This increase came despite a lower plant load factor of 62.6%. PLF declined from 63.9% last year due to weaker demand. Higher operating capacity help offset lower utilization. For the nine month period, power sales increased to 71.8 billion units. This was up from 69.5 billion units in nine months last year. The increase was driven by our capacity additions. One important development is that we have made the 600 megawatt Bhutiburi power plant fully operational now. When we acquired it in July 2025 it had been in a shutdown state for several years.
We have tied up its capacity in a five years EPA with Maharashtra Discom which is being supplied at full capacity now. On revenue performance, continuing Total revenue for Quarter 3 FY26 was 12,717 crores. This was slightly lower than Rupees 13,434 crores in the same period last year. The decline was mainly due to lower power selling rates. Merchant price was significantly lower year on year. Import coal prices were also lower because of which energy charges lower in some import coal linked PPAs. However we have been able to get higher realization due to short term bilateral tires.
Other income for quarter three of last year was higher mainly due to higher late payment surcharge income as compared to quarter three of this year. For the nine month period continuing revenue was 40,524 crore. This compares with 41,951 crore in nine months 25 higher volumes have largely offset the impact of lower it for nine month period. Fuel cost for quarter three FY26 was 9.7% lower in quarter three FY26 at rupees 6,800 crores as compared to 7,500 crore for quarter three of the same last year. This reflects the reduction in import coal prices. I explained you fuel cost was similarly lower by 5.4% between the two corresponding my nine month period ended 31st December.
Continuing operating expenses were higher by 14.8% at Rupees 1280 crore in Quarter 3 FY26 as compared to Rupees11.15 crore in Quarter 3 FY25 and this is largely due to the recently acquired assets being operational for the full period under consideration. Overwhelming expenses at various trends and higher outlay for CSR expenses spend EBITDA performance so despite lower revenue profitability remain strong. Continuing EBITDA for quarter three FY26 was 4,636 crore which was slightly lower than 4,786 crore in quarter three FY25. This decline reflects lower realization harbor and cost control and operating efficiency helped protect margin contribution from newly acquired assets.
Also supported EBITDA for the nine month period continuing EBITDA was 15,713 crore. This compares with 16,478 crore last year. Lower powering sale rate and higher CSR spend were partly offset by scale benefit on profit before tax and PhD front. Continuing profit before tax for quarter three FY26 was 2,800 crore. This was higher than 2659 crore in quarter three FY25. The improvement was driven by lower finance cost. This offsets the decline in EBITDA. Profit after tax for quarter three FY26 was 2488 crore. This compares with rupees 29 and 40 crore last year. Last year pack in quarter three was higher due to higher one time prior period income recognized in quarter three FY25 as compared to quarter three FY26.
In quarter three FY25 prior period income was slightly higher at 1400 crore as compared to rupees 278 crore for quarter three this year. Similarly, total prior period income for nine months ended December 25th was 1353 crore as compared to rupees 24. 20 crore for the corresponding period of FY25. For the nine month period PAT was 8700 crores. This compares with 10,150 crore in nine months FY25. Now turning to the balance sheet, we continue to maintain strong liquidity with timely payments being received from all customers including Bangladesh. Total Debt as of 12-31-25 was rupees 45,331 crore.
Net debt stood at 38,679 crore debt increase from March 25 level. This was mainly due to bridge financing for capital expenditure. Importantly leverage remains comfortable. Strong cash generation supports ongoing expansion. Now let me brief you on PPA portfolio and visibility. Its key strength for us remain our contracted revenue profile. During the quarter we received a letter of award for a 3200 megawatt project in Assam. This project will be developed on greenfield basis under the DBF OO model. Fuel linkage will be arranged under Shakti policy. With these half of our upcoming capacity is already tied up under long term ppa.
We have now tied up existing operating capacities under long term and medium term PPAs with various state discoms. Out of our present operating fleet of 18.15 gigawatt we have almost tied up under PPA. 90%. B provides strong revenue visibility. It also reduces exposure to short term market volatility on capital raising and credit profile. Recently we further strengthened our funding profile. We raised rupees 7500 crore through AA rated non convertible debentures. The issuance was done in four trenches. 10 years range from 2 to 5 years and coupons rate range from 8 to 8.4%. We have been able to get investment from some of the largest mutual funds and commercial banks among others.
The fund will support capacity expansion and working capital. Our credit rating continue to be AA stable even with the new additions of debt. This reflect our strong business and financial position. Now on project execution front. Let me now update you know some of our project executions. We progressing well on the 23.7 gigawatt thermal expansion program. Mahan phase is about 80% complete. Rage 2 is around 44% complete. Rigor phase 2 is close to 38% complete. Currently construction at Korba phase 2 project has also resumed. These projects are scheduled to be commissioned in phases from FY27 onward.
Advanced equipment ordering and in house education provide us strong competitive advantages. We are looking at ongoing bids of 15 gigawatts to fill up the balanced 12 gigawatt capacity. We also expect the other states to come up with their long term PPA bids for thermal power soon. Now let me conclude with our business outlook. We expect the return on a strong power. We expect to return the strong power demand in the ensuring year as the best effect two years out. We are already witnessing good bilateral PPI demand with high tariff being tied up. However, we are focusing on capacity tie up under long term and medium term contracts to moderate exposure to rate volatility.
Our increasing share of contracted capacity provides stability to earnings as well as visibility to revenue and liquidity. Our upcoming capacity additions will drive earnings growth. It is worth repeating here that the new PPA generate EBITDA from plant availability. While fuel charges are a pass through. These new PPAs have much better higher capacity charges than our legacy PPAs. This will lead to much better per megawatt EBITDA in the coming years. In conclusion, our balance sheet is strong, liquidity is excellent and we are well positioned to fund growth. We remain confident in the long term power demand outlook for India.
Thank you for your time. We will now be happy to take your questions. Thank you.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press STAR and one on the Touchstone telephone. If you wish to remove yourself from the question queue, you may press STAR and two participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Abhinav Nalavede from ICIC Securities. Please go ahead yeah.
Abhinav Nalawade
Good evening sir. Thanks for the opportunity. My first question is for the Assam and Karnataka PPA what is the tariff? Fixed and variable charge. Also have we signed any extra 200 megawatt PPA with Assam?
Dilip Jha
So awesome. EPA for three 3200 megawatt. The the energy sizes is 6 rupees 30 pesos out of that capacity is 4 rupees 16. Or you are asking for Ripur.
Abhinav Nalawade
Karnataka PP right?
Dilip Jha
Yeah. So this is 5 rupees 78 passes per unit. And the fixed component will. Be 4 rupees 5 passing.
Abhinav Nalawade
Understood. My second question is on capex what is the capex incurred in 9 month FY26 we had estimated about 130 billion for the whole year. So where are we now? And also can you give exact timelines in terms of which quarter we can expect the upcoming three facilities Mahan, Raipur and Rigar to get commissioned.
Dilip Jha
So. We have spent capex in this year as on 31st. Just give me, just give me one minute. So on expense inside this year we have you know so invested the capex of near about you can say you know the 15,000 crore including advanced payment we have given to our you know the BTG supplier.
Abhinav Nalawade
Okay and in terms of timelines when can we expect the upcoming I mean if you can get specific in terms of quarter in which quarter we can expect.
Dilip Jha
So what you know so this is as per you know the scheduled target next year we are going to add, we have already scheduled for addition of Korba 660 into two this year. Next year we will add. And also you know so though this is the the schedule we are also putting all the best possible efforts also to you know so to complete man phase two as well.
Abhinav Nalawade
Man phase two as an Alexa.
Dilip Jha
Yeah yeah.
Abhinav Nalawade
And for the other plants you can expect commissioning six months after Mahan, you know one unit after the other. So by the middle of FY29 all these three projects would be completed.
Dilip Jha
So our all projects are going on as per you know the scheduled plan and next year we will be adding you know the code work and also you know we are putting efforts for Mahan and and then every single project. So you know so these are as per the scheduled timeline. We were confident that we will able to complete all the projects as per scheduled targeted timeline.
Abhinav Nalawade
My next question is on if you can give PLF revenue and EBITDA for Golda power plant.
Dilip Jha
Gorda power plant. Just give me one minute. The border quarter three revenue is 2,210 crore. Continuing EBITDA 1092 crore. And if you will ask for nine month, right. The revenue is 6,700 crore. And continuing EBITA is 3,247 crore.
Abhinav Nalawade
Okay, so my last question is given the witherb and Karnataka get operational, will the dependence on merchant reduce in coming quarters?
Dilip Jha
Yeah, so you might be witnessing you know our strategy. So if you’ll see that two years ago our open capacity, you know so and, and the PPA was 8020 which got reduced to 8416. Now this is 90 and 10. So you are very much mindful about you know the merchant tariffs and rate and what we have been standardized that we are minimizing. You know, so our, our portfolio and to, to open capacity and you know, so resulting into maximizing our, you know, so resulting into ensuring, ensuring you know the assured revenue EBITDA irrespective of market volatility.
So this is already at 10%, you know, so the open capacity.
Abhinav Nalawade
Thank you sir, that’s helpful. Thank you.
operator
Thank you. The next question is from the line of Dhruv Muchal from HDFC Asset Management. Please go ahead.
Dhruv Muchhal
Yes sir. Thank you so much. So just one question. If you can give the volume long term and merchant volumes for the quarter.
Dilip Jha
Yeah, just give me, you know, give me for a moment. The merchant volume for the quarter was 4.3 billion unit and for 9 months. This is 15.65 billion unit. 15 for 9 months and for, for 3. For quarter 3, this is 4.3 billion.
Dhruv Muchhal
4.3. That’s. That’s the only question. So thank you so much and all the best. Thank you.
Dilip Jha
Thank you.
operator
Thank you. The next question is from the line of Aniket Mittal from SBI Mutual fund. Please go ahead.
Aniket Mittal
Yes, thank you. So in your opening remarks you mentioned about the impact of merchant prices being significantly lower as well as imported coal price impacting the energy charges. Just to understand, could you quantify both of these on a YUI basis? Hello.
Dilip Jha
So are you able to hear us? Hello.
Aniket Mittal
Yeah, sorry, we were on mute. Just a second please.
Dilip Jha
I’m sorry. You know, it wasn’t mute. This might, this is, you know. Sorry I missed that. So merchant realization in terms of tariff, if you see for this quarter this is 4.4 rupees 37 paise. Right. As against that, if you see in the same period last year it was 4 rupees 56 pais. And if you will talk about 9 months, this 9 month, this year 9 months, 5 rupee 44 paise and it was 6 rupees 16 paise. So to I’m repeating it again for quarter on quarter basis per unit realization. This year for quarter three, four rupees thirty seven paise.
Same period, same quarter last year it was four rupees fifty six pais. For nine months it is five rupee forty four pais. You know, last year for nine months it was sixteen, six rupees sixteen pesos. But as I explained to you that we are mindful about this market volatility and we have what we have done, we have now around more than 90% capacity under PPA and only we have 10%, you know, so in open capacity and it is our strategy also over the period of time we are also trying to, you know, reduce this capacity, you know, so maybe by 3 to 4% over the period of time.
So over the period of 6, 7 years it is, it will further reduce from 10% to 3 to 4%.
Aniket Mittal
Understood. And on the imported coal price, what’s the, what’s the cost at which you have you know bought or incurred at a landed basis this quarter versus the same quarter last year.
Dilip Jha
So let me brief you about the indices this time. Quarter three, the indices, you know. So I’m talking about the HB index. It is 104 as in that the same, same quarter last year it was $123. So $123 versus $104. Right. And if you talk, you know on year and year basis this is against $138 to $108. So there is reduction of near about you know, the fifteen, sixteen dollar, you know, on per metric ton basis this resulted into you know, a little bit, you know, so in, in, you know, so because you know our revenue in some of the plants based on the imported phone. So we imported poll indices will reduce our revenue also will reduce.
Aniket Mittal
Yeah, I understand that. Just, just on the earlier question I missed the PLF number for God. If you could let me know for this quarter ver last year as well as you mentioned this year’s revenue ebitda, could you also let me know the same for the same quarter last year for Goddamn.
Dilip Jha
So the PLF for Jharkhand, for Goda this year is on quarter basis this is 68%. And same period last quarter last year it was 50, 50%. So if you’ll hear quarter three last year 50% PLF. This time it is 68% PLF. So there is increase in, you know, PLF in Gorda by 18%. So you know supply of units has also increased, you know so in comparison to last Year this year the supply has also increased in Japan.
Aniket Mittal
Right. In the revenue bidder number for last year, same quarter for good.
Dilip Jha
Last year. Give me some time. I have to check, you know. So this last year number is. I have to check. Just give me one minute. Yeah. So water 3 FY25 the revenue was 2132 crore and EBITDA was 1222 crore. And if you will ask for nine months, same period it was 6604 crore and EBITDA was 3989 crore. Now increase on the comparative basis. Right. So you know, for nine months this EBITDA is for this year 3,247 crore as against, you know, so the nine month last year 3,989 crore. So there is reduction of 700 crore.
This is due to, you know, the reduction in the indices.
Aniket Mittal
So of that almost this quarter the reduction is close to 120 crores on a Y basis. Okay. The other part to understand was, you know, the two essentially large PPs that were in the work for Rajasthan, Uttarakhand, which we were expecting to come. I think there’s been some sort of, you know, news with respect to the regulator not approving the Rajasthan tender. Just your thoughts on that and going forward, when can we expect, you know, these tenders to.
Dilip Jha
Yeah. So you know, just to actually clarify about the regulator’s view, the regulator felt based on the submissions given that the full 3200 megawatt PPA may not be required at the same, you know, at altogether which was actually based on the resource adequacy plans that the regulator had seen which were submitted by the. This is based on the proceedings in the regulatory hearings. So the DISCOM has represented that they would like to revisit the assumptions and through their Excellency actually sort of support their case, emphasize their case that they require this sort of power, require, you know, 3,200 megawatts of EPA and the regulator has given them that permission to present their case again.
So I think that should take place in some time and we should see the PPA moving ahead after that case of Rajasthan. And so, you know, because the, the state DISCOM actually felt that the numbers considered by the CEA were a bit more conservative as compared to what the DISCOM itself saw in terms of the demand for power in case of Uttarakhand. Again the BIT documents have been released. I think that it’s going to take a little bit longer in Uttarakhand, but we should see the PPAs, the bids being submitted over the course of the next few months.
Aniket Mittal
Okay, just you know two more questions. One is I can see that the interest cost, you know has been declining fairly well. How is the average cost of borrowing now looking for us compared to let’s say one year back?
Dilip Jha
So if you see you know on the long term rate this is near about 8.5%. Right. So the PFC, the funding for Jharkhand, because Jharkhand is already merged with Adani Power and now Jharkhand is also being part of Adani standalone entity. This asset is also rated double A. So the interest cost has been also got reduced significantly. Apart from that our working capital rate is also near about 6, 6.5 to you know 6.8%. And and the non fund based, you know the rates are also very, very competitive. So in over if you see on overall basis, you know there is significant reduction in interest cost in comparison to.
In the last year.
Aniket Mittal
Okay. What would be the weighted average? Sir, right now.
Dilip Jha
Weighted average cost will be near. It will be less than 9% this year.
Aniket Mittal
Okay. On the merchant portfolio that’s remaining the remaining 10% of let’s say 18.1 which is about 1.8 gigawatt. Could you quantify that across plants like DB Merchant 1.8 million.
Dilip Jha
Yeah, just, just, just give me a moment. So we have readily available. So if you want to quantify it. For Kawai we have 50 megawatt. For our Udupi we have you know near about, you know they’re very insignificant to 7 to 10 megawatt. In Mundra we have 226 megawatt. Rygar we have near about 100 megawatt. In Raipur operating plant. This is near about, you know the 400 megawatt. In, in Mahan operating plant we have newer near about 600 megawatt and some small parts in some of the other plants. So making it total, you know, so 10% of overall complete.
Aniket Mittal
Understood. Those are my questions. Thank you.
Dilip Jha
Thank you.
operator
Thank you. Ladies and gentlemen. In order to ensure that the management is able to address questions from all participants we request you to please limit your questions to two per participant. If you have a follow up question, you may rejoin the queue. The next question is from the line of Manish Somaya from Kanter. Please go ahead.
Manish Somaiya
Good afternoon. Good evening. By the way, that’s not fair that I only get two questions and everybody else gets five. But that’s okay. I’m kidding by the way, but just a couple of questions. I guess I’ll limit it to two first is you talked about renewable capacity scaling which impacted merchant pricing. So how should we think about that as renewable capacity increases over the next few years? How should we think about the structural impact on thermal dispatch and merchant pricing?
Dilip Jha
Okay, so let me you know some brief you. We have 13.15 gigawatt of operating capacity and we have you know the plan for capacity expansion of another 23.8. You know so near about 24 gigawatts making it total 42 gigawatts over the period of next six, seven years. So anyway financial year 3132 from our and being the, you know the baseload power this is two part carry. One fixed capacity charges on the basis of availability of the plant and then energy charges out of operating capacity of 18 gigawatt. You know so this, this is again fixed capacity charges and energy charges fixed capacity capacity charges which is available of the plant where we are ensuring that our plant is available.
You know, so we are about 90% plus in terms of PLF. It is driven by the market. Right. When this depend upon the demand and supply if demand is high then the PLF will be high and subject to the merit order dispatch. So our revenues and EBITDA many EBITDA is coming out from the, you know the mainly from. From the capacity charges a basis available to the plant. Now coming to the addition of the plant 24 gigawatt. Our 100% EBITDA is driven by capacity charges only because fuels are 100% pass through. There will be no impact in terms of whether there is demand or not.
If plant is available we will raise our bill and our EBITDA will be ensured. So to sum it up your question. Answer to your question operating assets 18.15 then majority of the EBITDA is driven by capacity. Yes, there is some energy efficiency contributing to the energy charges but 24 gigawatt 100% EBITDA is driven by the capacity charges. That is why from our operating Asset we have 90% in the PPA and 10% open. We have, you know, mitigated the market volatility risk.
Manish Somaiya
And I believe. I think in the past. No, I was just going to say that I think in the. I think in the past you have said that the goal is to get the PPAs even higher.
Dilip Jha
Right.
Manish Somaiya
So maybe closer to 100%. Obviously it may not be possible to get to exactly 100% but close to it. Is that still the plan?
Dilip Jha
Yeah, so. So you know, so you have to see the base load and thermal capacity differently because this is part of resource adequacy irrespective of sources of, you know, the power. Now as you know. So every state has to demonstrate that they have proper resource. And to demonstrate proper resource they are, you know, you know, tying up all these PPAs. Now this, the base load which is mainly from the thermal, irrespective of, you know, the sourcing of power, this resource availability is there. And to ensure resource availability, every single state and disfarms, they are paying, you know, the capacity charges.
Now over and above this resource adequacy capacity charges. If any disk form will source from thermal, then the energy surges will be added, you know, the fuel charges, if it is from green, then green charges will be added. So the resource adequacy part for baseload capacity is constant irrespective of sourcing of power. And that is where the base load is, ensuring that our EBITDA is driven by availability of the plant, not on the basis of demand. Yeah Manish, just to sort of, you know, go back to that original question that you had related to the increasing penetration of renewables. So in the last quarter and also the year till date till December, what has actually happened is that because of the extended monsoons we have seen a good amount of increasing hydropower generation and the cooler temperatures etc have also taken the peak off a little bit. So you know, this is generally the time when thermal power comes in to supply more power. But this is where hydropower and to some extent the other sources of renewable power have also been able to meet the demand.
So if you look at the mix overall, the contribution of thermal energy in Q3FY26 fell to 73% from 76% earlier. And for the total renewable energy contribution which was around 20% earlier, that is both normal renewables plus large hydro, it has actually increased to around 24%. But that is actually a transient sort of a phenomenon. Of course as renewable energy capacity increases, we’ll start to see more and more power being supplied into the grid. But when it comes to merchant power, it would still have to contend with the inability to generate power on demand again for hydropower etc.
As the hydropower resources get used up, actually on a seasonal basis, the contribution comes down and we are starting to see that also in terms of the daily merchant price movements on a 15 minute to 15 minute basis, hour to our basis. So over a longer period of time, of course the edge will come up a little bit. But at the same time we also. Believe that peak demand will start to increase as more of household consumption of power increases and as also the industrialization related drivers of come into place. So we expect to see that sort of 388 to 400 gigawatt peak capacity, peak requirement by fiscal 32 which would mean that you know, there will still be good demand in the merchant market and for the coming year at least we are hoping to see better merchant prices as compared to the last year, the current year.
Manish Somaiya
Okay, that’s helpful. And then just to for my second question as obviously we’re sort of towards the end of January. Maybe if you can just give us a sense for how some of the operating metrics might be looking like on O and M availability, PLF and should we be aware of any exceptional items in this March quarter?
Dilip Jha
Yeah, we hope you know, if you see the, you know the demand for December and January this is already increased on year, on year basis. If you know, so this is the demand is higher by 1012 percent on month to month basis. What you are expecting that in quarter four the demand will definitely be higher than you know, the current quarter. And so when availability 90% is anyway is there. And we think that PLF will also be better than quarter three.
Manish Somaiya
So as we approach the hotter months Manish, typically we see the PLFs going. Up in the current year.
Dilip Jha
When it comes to availability, we have carried out regular scheduled maintenance. Both annual overhauls and capital overhauls are in large number of units and we expect to catch up with overall we are actually very much compliant with the normative capacity that you provide under pps. But for the full year we should be ending with more than 90% overall plant availability. Anyway, now that the you can say the overhauls have been completed also you also have to consider that we actually have acquired some of these plants that have been not been operated very well, not been maintained very well in the past.
So we have undertaken lots of, you can say, activities to improve their efficiency and uptime. It should start to show fruits going forward.
Manish Somaiya
Okay, thank you. Thank you so much.
Dilip Jha
Thank you.
operator
Thank you. The next question is from the line of Nikhil Abyankar from UTI Asset Management. Please go ahead.
Nikhil Abhyankar
Thank you. Sir, just got a couple of questions. Can you just repeat again the physical progress plant wise which you had mentioned in the opening remarks and also I think you mentioned that Korba is likely to get commissioned next year. I mean I, I believe that there is no PPA for Korba as of now. So what are the plans over there?
Dilip Jha
Sorry, can you repeat the first part of the question?
Nikhil Abhyankar
Again can you mention the physical progress plant wise which you mentioned?
Dilip Jha
Yeah, yeah, yeah sure. So Mahan, we have actually progressed nearly 80%. Phase two Rajpur phase two we are at around 44% and Rigat phase two around 38. So these two plants actually we started just around one one and a half years ago. And Mahan, we have started a little bit more than two years ago. We have actually achieved excellent progress when it comes to execution of these power plants. Corba Phase 2 as you would know we actually acquired this Phase 2 project in a defunct date and we have now revived the project. We have received the clearances etc also necessary for carrying out the activities and now we have started the work on this.
So this project should get commissioned somewhere around the middle, you know, the first unit somewhere around the middle of next year and the next second unit by the end of next year. And we are looking at various opportunities in the market for bidding for bps. This would be a plant capacity that would be ready immediately. While states might require power in the, let’s say five year time horizon. So depending on, depending on the opportunity we can sell power in the medium term market. We can also look at supplying power in the merchant market because actually this plant is located right in the middle of some very large mines.
So it’s got an excellent fuel cost advantage over there.
Nikhil Abhyankar
Understood. And so broadly, I mean in terms of the 24 gigawatt of under construction capacity, can you just break it down as to how much is likely to get commissioned say by FY28, FY30 and beyond broadly speaking next year around 2.9.
Dilip Jha
GW gets commissioned in fiscal 28, another 2.4 GW in fiscal 29, 2.4 GW in fiscal 30 we have 8 GW being commissioned altogether in fiscal 30 first we will have 5.6 GW and then 2.4 GW so the entire capacity, this is how it is actually expected to take place. You know, shape up. And the plants that we expect to get commissioned in fiscal 30 we have started work on some of these plants. We’ll progress ahead as and when we get the environmental clearances for the rest of the power plants. Everything else that is required for setting up these power plants is already with us.
Nikhil Abhyankar
And just a final one short question. This Uttarakhand PPA that we have signed for 400 odd megawatts I guess what is the tariff for that.
Dilip Jha
Sorry, medium company?
Nikhil Abhyankar
Okay, so it’s, you know, it’s tariff is 5 rupee 85 capacity would be. Yeah, this is 50. 50%. 50. 50%. 2.9. Yeah. Correct. Thank you. Thank you.
Dilip Jha
And all the. Well, thank you.
operator
Thank you. The next question is from the line of Nikhil Nania from Boston. Please go ahead.
Unidentified Participant
Hi. Thank you for taking my question. My first question is on the Bangladesh power plant. The quota power plant. I wanted to clarify now that coal exports are allowed from India. Are we allowed to use domestic coal for this plant? A and B There was some recent press article around the plant. So just wanted to make sure contractually there are no termination clauses that are there in the contract and that we are well protected.
Dilip Jha
So you know, let me you know appraise you about this plant which is situated in you know, the Boda district of Jharkhand, the northern Jharkhand you can say and dedicatedly supplying power to Bangladesh. You will appreciate that this plant we completed you know, in. In. In record time in a serial time and that too under Covid by connecting three countries. China, Bangladesh and India. We are supplying around in the 10% of Bangladesh total effective capacity. You know, the required and the zone where we are supplying this power. This is you know around around 20%. Also you will appreciate that we continued our supply when there was a huge turmoil.
There was a very hardship time over there. But you. We never ever, you know the stock, we continued our supplies. The receivable were all time high. But we continued our supply. Right now this is the plan, you know the dedicated supplying and earning around, you know so one billion forex dollar for the country. Now the supply is regular, the payment collection is regular. The relationship is very much, you know, the normal even in the difficult time. The August last year also their controller were engaged with us, our operational team and then you know, the power supplies but continue in the extreme difficult time.
Also we supported. We supply you know on as usual basis though, you know. So the relationship in terms of the supply, payment, everything you know is continued. It’s normal. But we are mindful. We are very much you know the mindful about the circumstances and environment over there and you guys also must be you know, some so. So there. There may be you know, some, some. Some sort of in. In. In. In the. In that country and. But we are mindful that the. The. The circumstances and environment and we are keeping watch on it. But our.
The operation supply and everything is on a continued. These are very temporary period and then these things will be over. Yeah.
Unidentified Participant
And related to this coal use actually Nikhil, in August 24 the government of India modified Its guidelines related to the export of power from India on a cross border basis. So that is to nearby countries. Right.
Dilip Jha
So what the amended policy says is actually that electricity of electricity that is generated from coal based power plants will be permitted only if this electricity is generated utilizing either imported coal or spot e auction coal or coal that is. Obtained from commercial miners or if the. Government allows any specific other use. So this was not permitted earlier. Later on they have eased this policy now that there is commercial commercially mined coal available in India. And now the Mining act actually allows bidders to bid for coal mines without specifying any end use. Which means that also in the open market previously it was only imported coal. But now domestically sourced coal as long as not the government control price coal as we you know that is not used, you can actually use domestically.
Unidentified Participant
Appreciate the detailed answer, very helpful and very clear. Second question I had was on this pipeline of 15 gigawatt of ongoing thermal tenders. Could you give some more color on that? I think the color of Rajasthan helped. Out of the 15 have any of them progressed to financial bid summation or are they still in the bid invitation stage only?
Dilip Jha
Yeah, as we understand Maharashtra financial bidding has been done. But the bidding process we I think it is still to be closed. The other in other cases I think we are at the pre qualification bids or you can say discussion on the bidding document stage.
Unidentified Participant
And no other state reconsidering like Rajasthan. At least that that’s come to your notice?
Dilip Jha
No, none. None at all. In case of Rajasthan it is primarily sort of as I said, you know, this is more about how the regulator sees what the CES worked out as part of the resource adequacy plan and what the DISCOM itself says about their future requirements. It is actually only about, you can say a small difference between the two. And the DISCOM has been permitted by the regulator to come and present its case again with all the supporting information.
Unidentified Participant
Okay, those were my questions. Thank you for answering them.
Dilip Jha
Thank you. Thank you.
operator
Thank you. The next question is from the line of Ishan Verma from Antic Stock Broking. Please go ahead.
Ishan Verma
Hi sir. Most of my questions have been answered. Thank you.
operator
Thank you. The next question is from the line of Shidam Kapoor from Jefferies. Please go ahead.
Unidentified Participant
Hi sir. Thanks for the opportunity. Just had a bookkeeping question on your open versus PPA tied up capacity. So if your presentation mentions and you mentioned on call it 90% though in your presentation we see that 5 and a half percent is yet to be operationalized. Is that 5 and a half a part of that 90 which means currently 84.5% of the operational capacity has operational PPAs. Is that understanding? Correct?
Dilip Jha
So altogether out of the total 100% capacity that we have, so some of these PPAs are being operationalized as we go along. But on an average basis you can consider that 90% of the capacity is tied up and ready to supply power under the long term pps, some of the additional capacity will start over the next few months and then this could increase to around 93%.
Unidentified Participant
Understood. Okay. So that this 5.5 is not, is part of that. Maybe some of it is part of that 10% which is not tied up yet and eventually will get operationalized. Just to just double check.
Dilip Jha
Correct, correct.
Unidentified Participant
Got it. So similarly on that 370 megawatt PPA that’s been tied up with Uttarakhand, did that happen, you know, at the beginning of the quarter? Did you see get the full impact of that during this quarter or is this going to be operationalized, you know, after the quarter? Could you give some timeline on that?
Dilip Jha
Just a second. Uttarakhand ppa.
Unidentified Participant
Yes.
Dilip Jha
So these, these PPAs that we are talking about primarily that are not yet operationalized, they are PPAs that are with our group companies where you’ll actually start to see them getting operationalized. PPA will start supplying it from next month onwards.
Unidentified Participant
Got it. From next month. Okay. And just lastly on the employee costs this quarter, so you know it was about 216 crores but in your notes you mentioned that 56 crores is from increase in provisions regarding new labor codes. Just want to understand whether that is a part of this 2016 and how much of that is a one time increase and how much is going to be recurring from that?
Dilip Jha
Yeah, yeah, it’s part of the P and L. It’s actually charged to the P and L and it’s actually part of the regular number. So we have not set it out as a one time prior period item. The amount is around 56 crores.
Unidentified Participant
Got it. So this 216 crore which includes this 56 and it will be, it’s a recurring item. This is not a one one off expense that we should.
Dilip Jha
No, no, no, no, no, no. So we have not categorized it as a one time expense when we are talking about continuing revenues and expenses. But otherwise that 56 crore charge is a one time charge.
Unidentified Participant
Okay. So excluding that your you know, staff cost would be about 159, 160 crores which shows a 25% decline year on year. So what would you know Excluding that amount, what was dry? What has driven this, you know, decline in employee cost here on here because 3Q25 I see is about 211 crores. Was any one off in that as well or. No?
Dilip Jha
No, there is no one off over there. But some of the employees have shifted to other parts of the organization. So that actually accounts for this reduction.
Unidentified Participant
Okay. So this 150, 160 crores is what we should take as the base going forward for subsequent quarters as well. Right.
Dilip Jha
See the organization is also growing so I can’t actually put a number to this aspect but generally it would be in that ballpark you can say.
Unidentified Participant
Got it, got it. Understood. Thank you so much.
operator
Thank you. The next question is from the line of Kalpit Sabha from GYR Capital Advisors. Please go ahead.
Kalpit Sabha
Okay, thank you. Thank you very much for taking my question. My question is like for 3200 megawatt Assam Greenfield Project what is the estimated capex per megawatt and what will be the equity and debt mix for your plan for the expansion? We are planning.
Dilip Jha
Yeah. So we are not going for any project wise financial closure in Adani Power, you know. So if you’ll see our performance from operating assets the EBITDA containing EBITDA is you know on the very good and it show up FFO on yearly basis from our, you know the operating assets is also you know very good. So near about 20,000 crore FFO and majority of our capex you know we are funding from our internal accruals. So there is no project specific funding we are doing now in terms of you know the the capex cost is concerned this for Assam it will be near about you know the 10 crore per megawatt basis.
Kalpit Sabha
Okay. Okay, understood.
Dilip Jha
Yeah.
Kalpit Sabha
And sir regarding not not it is presented in the results that God power plants it is mentioned that the significant amount from the Bangladesh bodies in the nine months that we have received some recovered significant amount. So could you please, could you please quantify the current outstanding receivable from Bangladesh board as on the 31st of December?
Dilip Jha
Yeah. So what I explained to you is that the borrowing from Bangladesh is regular. Right. And and even we are getting you know so on. So the the sub. You know so let understand the Bangladesh supplies regular billing is regular payment, you know so you are getting on regular basis. So if you see on, you know so the dues are near about equal to you know so one month it’s not due. So there are about two months due is there you know so for Bangladesh concerned we are getting payment Regularly from Bangladesh. So it’s a regular deal.
Kalpit Sabha
Okay, understood. And sir, another question is like regarding the unsecured perpetual securities. A company has paid around 3,000 crore in the first nine months. And what is the outstanding balance of the securities? And how is. How are we planning to fully extinguish this? Are we planning to extinguish this by the end of the this finance till here?
Dilip Jha
Yeah. So we have paid entire amount. So if you. You know. So ask what is outstanding. As of now there is no outstanding at all. So you can say the nil. No outstanding.
Kalpit Sabha
Okay. Understood sir. Understood. That’s all Sir. All other questions were covered up by previous Q and A. Thank you.
Dilip Jha
Thank. Thank. Thank you sir.
operator
Thank you. Ladies and gentlemen, we would request that you please limit your question to one per participant. The next question is from the line of Sukrit Patil from Eyesight Fintrade Private Limited. Please go ahead.
Sucrit Patil
Good evening to the team. I have a forward looking question. With power demand remaining strong and thermal generation continuing to play a critical role in grid stability how is Adani Power thinking about optimizing its operating portfolio between contracted and merchant exposure? In this context how do you prioritize sourcing tactics, plant efficiency improvements and long term capacity utilization to ensure sustainable returns across different demand and pricing? Thank you.
Dilip Jha
Yeah, thanks Sukrit. Actually if you followed the discussion. See we have 18 gigawatts capacity now. We are adding another 24 gigawatts now for the new capacities that we are setting up. Actually the we intend to tie up the entire capacity in long term PPS and the existing capacity on also has 90 tie up in long term PPS. So we actually are reducing our merchant exposure going forward. Now if you look at the overall the structure of the new PPAs in this case now the PPA the entire game has become keeping generation capacity available to help integrate more renewable power into the grid and to continue to supply baseload power.
So the the PPS now will act. Or you can say the power plants. Will now act more as increasingly as we go along they will start to act more as balancing power plants. And therefore the focus would be on keeping the plant uptime as high as possible rather than actually trying to maximize the PLF out of them. But that said actually these power plants that we are setting up are the state of art in technology with very good levels of thermal efficiency which means that they utilize lesser amount of coal to generate a unit of power up to around 5 to 10% advantage over the older technology power plants.
And they would be able to do it at a lower cost as well because most of these power plants are located very close to the coal sources. So the loading of logistics cost on the coal price would also be lesser. So to the extent that the cost economics allow in terms of how the overall energy mix works out, actually they will continue to see a high level of utilization. And as we are using the latest technology which is also technically technologically more advanced, we actually also have the ability to control finer aspects of the power plant’s operations more granularly.
We are employing technology to improve the predictability of plant operations and to carry out the preventive maintenance, etc. So as an organization we are very much involved and invested in utilizing the latest available technologies to improve power plant efficiency.
Sucrit Patil
Thank you. I’ll just one question for Mr. Jha. Can I ask my question please? Yeah, please. Very shortly. Thank you. Thank you. Thank you. Constant volatility in the fuel, fuel cost and the constant regulatory compliances which will also keep on changing from time to time. Just want to understand what is your vision on approaching margin visibility and cash. Flow. Across the board. Additionally, can you just shed some light on the capital allocation and balance sheet priority as the company balances debt, maintaining capex and potential growth. Just want to understand your view on this. Thank you.
Dilip Jha
Yeah, so as you know, so as we are briefing that you know, so our overall Capex plan over the period of you know, 6, 7 years to add 24 gigawatt is near about you know, 2 trillion. So in dollar term we can say, you know that 22 billion US dollars so 2 lakhs from capex program we have in power that we are going to incur over the period of five, six years. Now the funding arrangement majored with the funding arrangement we will do from our internal accruals. So we have you know operating assets of 18.15 gigawatt.
From that on yearly basis we are you know generating an EBITDA of you know, so we are about 22,000 crore and FFO 20,000 crore. So in the same period of time, so over the period of 5, 6 years we are generating from our operating assets only 1.4 trillion, so 1.4 lakhs crore. So there is a gap of 60,000 crore and this entry gap is you know, so we are, you know, so funding from a mix from the domestic capital market as well as you know from the domestic bank and this recent, you know, NCD issue of 7,500 crores maybe another one of the example the, the investor confidence and part of our, you know the planned program to mitigate this, this interim gap.
Now if you see this time presently our operating capacity 18.15 we are adding, you know, 24 gigawatt. Our capacity will be 42 gigawatt. On an average basis our EBITDA is 22000 crore. Our FFO is 20,000 crore. It will feed by, you know the 3132 where we will, we will add our entire capacity by that point of time our EBITDA and cash flow, we will have sufficient cash flow we can pay our entire debt. And even after paying entire debt we will have significant amount of cash flow in hand. So we are not going for any project wise funding.
We are funding our entire capex majority from our internal accruals and the GAAP interim we will be funding from domestic capital market as well as domestic the banks. So Sukriti, thank you. I hope that answer, you know explained these matters to you well and we would now like to close the call.
operator
Sure sir. In regards if you have any closing remarks please go ahead.
Dilip Jha
Yeah, thank you very much for your kind time and attention. And the Adani power is you know from operating assets revenue is visible, liquidity is very clear. And then the growth plan is you know, the sufficiently funded by ensured liquidity from our operating assets. And we are very much confident that in the plant way we will add our capacity and also we will move from 18.15 gigawatt capacity to 42 gigawatt capacity, you know by 31 and 32. And so for return on assets we will, you know it will be one of the best in industry.
Thank you. Thank you very much.
operator
Thank you ladies and gentlemen, on behalf of ICICI Securities Ltd. That concludes this conference. Thank you for joining us. And you may now disconnect your lines. It.