Adani Green Energy Limited (NSE: ADANIGREEN) Q3 2026 Earnings Call dated Jan. 23, 2026
Corporate Participants:
Viral Raval — Investor Relations
Mohit Kumar — Investor Relations
Ashish Khanna — Chief Executive Officer
Raj Jain — Director
Analysts:
Unidentified Participant
Abhinav Nalawade — Analyst
Bhavik Shah — Analyst
Manish Somaiya — Analyst
Pradyumna Chaudhary — Analyst
Kalpit Sabhaya — Analyst
Surya Narayan Nayak — Analyst
Abena Bandoh — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to 3Q and 9 month FY26 earnings conference call of Adani Green Energy Limited hosted by ICICI Securities Limited. As a reminder, all participant line 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 your touchstone phone. I now hand the conference over to Mr. Mohit Kumar from ICICI Securities. Thank you. And over to you sir.
Mohit Kumar — Investor Relations
Thank you. Danish. Good evening. On behalf of ICICI Securities, I welcome you all to the Q3 and 9 month FY26 earnings conference call of Adani Kiniraji. We have with us senior management. On the call. We’ll start with a brief remark on the results followed by Q and A. I will now hand over the call to Viral Head Investor Relations for the introduction of the management and the opening remarks. Over to you Viral.
Viral Raval — Investor Relations
Thank you, Mohit. Good afternoon everyone. We are pleased to present the results for 9 months FY26. Welcome all the participants to our earnings call. I hope you would have had the chance to go through our earnings presentation. We have with us Mr. Ashish Khanna, the CEO of the company. We have Mr. Sourabh Shah, CFO Mr. Rajkumar Jain, head of Business Development. Without wasting any further time, I would like to now hand over the call. To Mr. Ashish Khanna for opening remarks which will be followed by Q and A.
Ashish Khanna — Chief Executive Officer
Thank you. Thanks Will. Thanks, Will. Good afternoon everyone. I am delighted to share Adani Green Energy’s robust operational and financial performance for the first nine months of fiscal year 2026. Underscoring our relentless growth trajectory and industry leadership, our energy sales surged by an impressive 37% year on year reaching 27.6 billion units. This robust growth is a direct result of significant greenfield capacity additions and strong plant performance. Our operational renewable energy capacity expanded by 48% year on year to 17.2 gigawatt, reinforcing our leadership as India’s largest and fastest growing pure play renewable energy company and putting us firmly on course to achieve 50 gigawatt target by 2030.
In calendar year 25, we added 5.6 gigawatt of greenfield capacity which represents nearly 14% of countrywide solar and wind capacity addition. Our landmark Kavra project, the world’s largest renewable energy installation, continues to advance at an accelerated pace. With an operational portfolio now standing at 7.7 gigawatt of solar, wind and hybrid assets, we are now on track for deployment of one of the world’s largest single location battery energy storage project in coming months. Our hydro pump storage project on Chitravati river in Andhra Pradesh is also on track. Our industry leading financial results further reflect our operational excellence.
Revenue from power Supply increased by 25% year on year to Rs.8,508 crore while EBITDA grew by 24% too. Rupees 7,921 crore, achieving an EBITDA margin of 91.5%. These results are powered by advanced technologies and digitized operations leveraging sophisticated data analytics, machine learning and artificial intelligence for real time monitoring enabling superior operational performance. Adani Green Energy’s commitment to sustainability and responsible business practices continues to be recognized globally. We have been named world’s number one green utility in the 2025 Global Top 100 Green Utilities ranking by Energy Intelligence. AGL is top sustainability performer in power generation sector for second consecutive year in NSE sustainability ratings.
As we look ahead, we remain steadfast in our commitment to India’s energy transition by enabling large scale adoption of affordable clean energy. Adani Green Energy is powering sustainable growth for India and the world. Thank you. You can now open the lines for questions and answers.
Questions and Answers:
operator
Thank you so much sir. Ladies and gentlemen, we’ll begin with the question and answer session now. Anyone who wishes to ask a question may press star and one on the Touchton telephone. If you wish to remove yourself from the question queue, you may press star and two participants are request to use handsets while asking a question. Ladies and gentlemen will wait for a moment while the question queue assembles. Our first question come from the line of Abhinav Nalavade from ICIC Securities. Please go ahead.
Abhinav Nalawade
Yeah. Good evening sir. Thanks for the opportunity. My first question is grid availability has been low since the last two quarters. How much of it has impacted generation for solar, wind and hybrid as well? What would have been the generation if say the availability was 100%?
Ashish Khanna
Well, it’s a good question. Yes, breed availability has been aiming has been impacting us not because of any other reasons but because of the schedules are not being met and there has been delays in a grid augmentation which is happening. We were expecting in the last quarter some 2 to 3 gigawatt of augmentation which has not taken place. However, having said that as we speak in this month itself we have been able to augment. There has been augmentation of one gigawatt which is helping us and there is no grid curtailment as well as Rajasthan is concerned on that account at Kavda the challenge remained.
We were expecting it to be there in the last quarter that the augmentation will take place. However, as we see in the coming month itself and in this quarter we are expecting 2 to 3 gigawatt of augmentation from Kavda itself for evacuation of power. I think there would be further augmentation at the end of the march by another 1 gigawatt of the lines which we are closely monitoring as well as their schedules are concerned. Yes, because of the seasonality and certain row issues there has been delays in the last quarter by agencies who are executing this grid augmentation.
But we do expect things to improve in near future.
Abhinav Nalawade
Thank you sir, that was helpful. My second question is you’re selling about 46% on merchant. So how much of it was inform power and when can we expect that to be sold on bpa?
Ashish Khanna
Well on the merchant aspect I think there has been a. You see first of all let us appreciate the fact that the infam power on overall basis of returns is an add on to what our expectations on return are on day one. So by nature whatever we earn on it is in addition to what we have emphasized on the return parts. The second aspect is that yes, in the current and our strategy has been to maintain around 20% of merchant and then there is an infirm power which is getting, I think some of it and most of it is also being utilized whence the PPA are going to be operationalized in the current context it has started already coming in and we do expect in the coming year itself more than 1 to 2 gigawatt of it which is possible.
But having said that some of it we are also going to utilize. In. The coming year for our input power for our battery storage which we have already announced and that’s going to be a big take on that part too.
Abhinav Nalawade
Okay, got it. Final question will be as per looking at a current capacity of 17.2 we have what will be our run rate EBITDA.
Ashish Khanna
Right. Can you repeat?
Abhinav Nalawade
Yeah. As per our current capacity operational capacity of about 17.2 gigawatt what will be a run rate EBITDA.
Ashish Khanna
So for FY26 we are projecting a run rate EBITDA of 17,000 crore including other income of about thousand crore. On a. On a run rate EBITDA from our power supply revenue would be about 16,000.
Abhinav Nalawade
Understood. Thank you and all the best.
operator
Thank you. Vin. Our next question comes from the line of Bhaviksha from Invicta Capital LLP Please go ahead.
Bhavik Shah
Yeah, hello sir. So my first question is, I’m failing to understand like why is the revenue going down despite our capacities increasing? Like why? I’m thinking like as of September end we had 16.7 gigawatt which is operational. So ideally the entire thing should have been come into revenue in the December quarter. Right. So when I just divide the revenue with the operational capacity, it is less than 0.65 lakh per megawatt. So what am I missing here? Is there some one off or like there is something which is missing?
Ashish Khanna
You have observed it right there. I think it is not missing, it is the seasonality. So there are certain things which has not helped in the last quarter and this capacity has been augmented. Most important of it is the seasonality impact which is there as you would have otherwise also is aware of that the wind for that matter has been particularly low in this last quarter compared to whatever we have been considering as such. Coupled with it, the curtailment impact which we just shared across to an extent has also not helped the cause in overall per se.
And of course the market pricing for the merchant power has also been subdued in the last quarter. However, having said that, in this particular quarter, as this year has begun, we are looking at a better market pricing as well as the merchant power is concerned. And I think the curtailment I have already shared with you are also going to reduce substantially with this addition and augmentation of the grid. We do expect better things in this particular quarter. But your observation is very right. Because of these factors there has been a dip as well as the revenue realization is concerned.
Bhavik Shah
Right. So just can you also throw some light on the curtailment part, like why we didn’t have this issue in the last quarter and why is it coming up now in this quarter? So how much is the gap in terms of the evacuation which you are having and will it like in the next year continue to be there?
Ashish Khanna
You see, the curtailment was always there. It was not that there was no impact of the curtailment in the last quarter. One of the things which helped us in the last quarter is if you look around is that the wind has been a predominant source of our revenues, which has been much better, as you know, in that particular quarter. And wind generally comes on a timing where the curtailment is much less, it impacts solar to large extent than to the wind part of it. So it was not that the wind that the curtailment was not there in the last quarter, while in this particular quarter we have been Seeing that what was supposed to become in this particular quarter which we were expecting has been now delayed by two months and weeks for that matter.
And that is why we have seen a much adverse impact in this last quarter compared to a quarter before. And like I said, we are expecting relatively better as this quarter ends on the curtailment part.
Bhavik Shah
And so regarding our interest cost which are shorter, like how much of it is on account of say the currency depreciation which we are having and how much will be actual interest cost if that depreciation would not have been there.
Ashish Khanna
See we don’t have any impact of depreciation of rupee because we are fully hedged in terms of principal as well interest. So whatever is the mark to market that gets generated on interest rate or currency depreciation gets benefited out of the hedge premium hedge benefit that we get. So as such the interest, whatever the interest cost is mainly because of the capacity addition that has come up in the last quarter or in the last nine months. And that is the interest cost that we are paying. It is not there is no impact of rupee depreciation.
Bhavik Shah
Understood. And so do you have any guidance for the current year and the next year in terms of revenue and capex both.
Ashish Khanna
So in terms of revenue and in terms of CapEx. So CapEx I’ll take first. So we are looking at capex which will be higher than what we have done this year or what we will be doing this year by the end. Of Q4. We are looking to grow the capacity by FY30, 250 gigawatt. So on that line the CapEx will be continue to be in the range which is we have said about 35 to 40,000 crores of capex that we will do for the next year and revenue as such our run rate EBITDA as I said would be in the range of 16,000 crores for power sale. And in terms of run rate EBITDA in terms of overall EBITDA would be 17,000 crore. So the revenue in that sense at 92% of EBITDA margin that we keep it will be in that same range of 1819,000 for this year as a run rate EBITDA but for actual number for next year would be in the.
So if you look at the actual revenue per se, it would be in the range of about 17 to 18,000 crores for next year.
Bhavik Shah
Understood. Thank you so much. All the best.
operator
Thank you. Our next question comes from the line of Manish Somaya from Cantor. Please go ahead.
Manish Somaiya
Hi everyone, this is Shweta here on behalf of Manish from Cantor. My first question is on revenue realization. We see in the presentation that grid availability is down again this quarter and we want to understand what are the factors that are impacting the the grid availability, especially for solar.
Ashish Khanna
Let me reiterate what I’ve said. You know, predominantly our expansion is coming at two places. If you look, one is Rajasthan, other is at both these places. There has been an impact on the grid availability per se for our new projects. As I said in Rajasthan we have been impacted. But however, in this particular month, 1000 megawatt has now been released and there is no curtailment on that. In Kavada the curtailment remains and we were expecting this 2 to 3 gigawatt which we are emphasizing now, to come in the last quarter itself. Now since there has been a delay as well as the grid enhancement is concerned, that is the impact which has taken place in the last quarter.
We also expect that additional 1 GW may be coming by the end of this quarter for evacuation from Khaba. So what in nutshell, what we were expecting of this 2 to 3 gigawatt in the last quarter is what is now being delayed and is now going to come in this particular quarter in the coming weeks.
Manish Somaiya
That’s very helpful. Another question on revenue was were there any meaningful changes in tariff mix for the quarter that impacted the revenue per unit of sales?
Ashish Khanna
No, I think the only thing there was no tariff mix per se. But since the merchant power pricing have been subdued in the last quarter, you would see that the revenue is not in line with what has been there in the past as such. But there is no change in the tariff mix per se. The merchant power tariffs have. The market has gone down in the last quarter. All of us have experienced.
Manish Somaiya
One more question on the profitability. We just wanted to understand the breakdown of the margin and also how should we think about steady state sort of operating and maintenance cost per megawatt, especially as the portfolio scales. This is the power supply margin.
Ashish Khanna
From the perspective of solar, the O and M cost that we take is about 3 and a half to 4 lakh rupees per megawatt. And in terms of wind it is six to six and a half lakhs per megawatt. But Shweta, let me add on this, you will appreciate a fact that as we are growing we have some assets which are of a very small in nature and obviously when you average it out, those assets have relatively higher maintenance cost. Now since we are expanding in areas like Havda and Rajasthan, which has a larger capacity, especially in Rajasthan, where we are growing 30 gigawatt at a single location. These costs on an overall basis are also going to reduce as and when we keep on growing our capacities in Kaba.
Manish Somaiya
Right. No. Thank you for the color and again, congrats on a great quarter. Thank you.
Ashish Khanna
Thank you.
operator
Thank you. Our next question comes from the line of Nikhil Naganya from Benston. Please go ahead.
Unidentified Participant
Thank you for taking my question. My first question is on wind. We understand the context on solar, but when we calculate wind PLFs, we see them down as well. Would you attribute that largely to wind speeds or again to grid curtailment?
Ashish Khanna
No, no, no. It’s absolutely wind speed, Nikhil, it is wind speed and that’s not only for us, but you can look around. The wind speed, particularly in region like Kavada, has been the sole factor for our lower PLF at Kava.
Unidentified Participant
Perfect. Appreciate the color. The second question I had is in. The H1 we have seen much, much better wind speeds than what we have experienced in the past. However, in the Q3 because of the seasonal change, we have seen a dip. We hope that things are going to recover on this, but our operational capabilities are the best as of now, we remain the best there. It’s only because of the wind speed which has impacted our plf or in our terms we call it cof. Perfect. The second question I had was these grid constraints are beyond the control commissioning of transmission lines. So do we see a risk that next year we would be able to do 5, 6 gigawatt again addition, or do you think that should not be a challenge?
Ashish Khanna
If you look at it, while I agree with you that grid curtailment is beyond our grid augmentation is not in our scope. We are very professional as well as bringing our power to the cooling stations, to the substations at the grid level. Having said that, the plans which we have seen of augmenting predominantly from Kavada, we do expect another 10 gigawatt to be added in the next year and that is a big plus. And while the expectations or the current forecasting is that it will be added by the end of this calendar year itself, but we are keeping a very close monitoring on it.
The other fact and the factor which is going to help us is huge deployment of battery storage at Carda and this, you see that the power going as in solar power going as an input to this and then making us realize much better revenue from that stored power battery storage, as we have already declared by the end of this financial year we are going to commission India’s largest for that extent, world largest at a single location battery storage project. We also intend to enhance the capacities maybe more than two times of what we have currently in this financial year in the coming year.
So there is a great, there is a great arbitrage which is available with us for infusing this power, solar power co located with the battery storage and then taking full advantage of the peak power pricing from the storage price. So it is a win win from both sides and that will also help us to mitigate the risk of great curtailments.
Unidentified Participant
Perfect. The third question I had was specifically on a regulation. We saw CRC release a draft regulation on DSM mechanism tightening by your battery plans. Of course add or solve for that. Do you see that getting coming in in some. Some form or another tighter DSM norms for wind and solar.
Raj Jain
Yeah. So Nikhil, this is Raj. So I think yes there is an intention from CERC to make it tighter. Industry has made multiple representations that how it is not necessarily suitable for renewable sector where a lot of it is based on what weather is there or what God gives us. So similar thing which is there for thermal cannot be an ultimate goal for renewable. However, as you have pointed out for me as I am augmenting storage at these locations for me this is not a challenge. Rather it’s a business case for me for ensuring that I’m able to capitalize on it.
So we are not necessarily concerned about this particular regulation too much.
Ashish Khanna
Appreciate the color. One last question from my side. We see government come up with these norms of virtual PPAs. You guys are the largest land bank and grid connectivity. Do you plan to participate in those opportunities as well in the CNI space?
Raj Jain
Our options open Nikhil. But it all depends on the profitability on each and every aspect. When we go out for these ppa we keep our options open on all the opportunities which come.
Ashish Khanna
Those are the questions. Thanks for answering that.
operator
Thank you. Our next question come from the line of Mohit Kumar from ICIC Securities. Please go ahead.
Mohit Kumar
Yeah, thanks for the opportunity. So my first question is how much battery capacity you are putting up and what is the tentative timeline for setting it up.
Ashish Khanna
We have already shared across that in this particular financial year we are going to commission 3.3 gigawatt hours of capacity battery 3.5 to be precise. And like we said that we do expect and we are aiming to add more than twice of it in the coming year. As and when it is finalized we will share with you.
Mohit Kumar
Really continue to maintain this merchant capacity for the medium term. What you’re having right now, is that a fair assessment?
Raj Jain
Mohit? We obviously take a very opportunistic view on this. As Ashish has mentioned. This helps me in in my arbitrage opportunity on storage. This merchant capacity would be able to feed our storage plants in Kavera and I’ll be able to take the. Better. Pricing in the evening peak markets with this. So there is a significant flexibility. Obviously we always keep our options open to deploy this in PPAs where I’m able to make reasonable return and see this flexibility giving the highest shareholder value.
Ashish Khanna
And if Mohit, I can add on what Raj is saying, you will appreciate the fact that paramount importance for us is to go at a scale and build projects at a scale which are the least cost from all parameters. It gives us the flexibility as well as the advantage of extracting maximum returns from those assets. And as you know KAVDA is a, is a case where we are building things at a scale and then having built up things at a scale you have the option of co locating battery storage and other options too. So there is lots of options available with us provided the returns are more than the threshold which we have and which is also reflected from our results.
Mohit Kumar
Understood. My second question is Sir, I think of course you address the curtailment issue but again asking in a different way are you seeing any curtailment in existing long term gna? I’m believing that most of the curtailment is coming in temporary gna. Right. And is it possible to define the impact in terms of MU under long term GNEA under long term G.N.A.S and is there any compensation for this curtailment under the long term gna? That’s the question.
Ashish Khanna
There is. We are not experiencing any curtailment on a long term gna. So it is not right on me then to further dwell on that question. But we are not facing any challenges on the long term GM Understood sir.
Mohit Kumar
My last questions are of course the government has announced that there is a they are looking to cancel this 40 gigawatt of solar PPA. I do think that our exposure is very less but can you please quantify our exposure and has there been any discussion further and have you heard anything on that front? Yeah.
Ashish Khanna
So if you look at multiple exposure is not very high in the 42 and I do believe that with news about canceling the PPAs, let’s see where it happens. I think on one side we do believe that there would be by cancelling of these loas There would be connectivity released in the system but on the other side we all have bid with a certain return expectation and are committed for that price. While I leave it on to the judgment of those organizations which has signed the loas with us. But our overall exposure on, on the type of peak, on the type of alloys you are saying is very very small.
Mohit Kumar
Understood sir. Thank you and all the best. Thank you.
operator
Thank you Mohit. Our next question come from the line of Pradyumna Chaudhary from GM Financial Group Investments. Please go ahead.
Pradyumna Chaudhary
Yeah hi. Thank you for the opportunity. I just had a question regarding raw material cost. Now that we’re seeing the silver prices really going up so what could be the impact in terms of like if you could quantify how much silver contributes to our total cost and how do we really plan on hedging from the same in terms of where the tariff has already been fixed but the project is yet to be set up completely.
Ashish Khanna
Prana, if you look at it I think there is always at the end of the day these are commodities which will keep on going up and down and when we make a business case we don’t take into consideration the lowest cost of commodities. We take a very conservative view on the cost of commodities. And if I now go deep into it the commodities which we are buying of course if you look at 60% of the solar capex on a project is the module price. We have the advantage in future to have our own module production.
So in some way we have mitigated the risk of a supply as well as the costing part of it. Similarly if you look at from a wind turbine majority of the cost comes from a wind turbine in case of wind projects and there too we have our group company manufacturing India’s largest 5.2 megawatt machines and even going for other types too. So to a large extent we have this price risk being mitigated in future. And like I share with you, when we make a business model we now go by the most aggressive pricing as well as the commodities are concerned so the returns expectation remains.
And let me also reassure to you that most of projects where we are going ahead we also tie up the things in well in advance so that the contracts are maintained and we have a certainty of the items which we need for those particular projects.
Pradyumna Chaudhary
Okay, can you just quantify silver Muslim, what percentage of total cost it contributes in a solar project for us?
Ashish Khanna
Can you just repeat your question? I missed you in between.
Pradyumna Chaudhary
How much contribution does silver have in our total cost in a solar project?
Ashish Khanna
So if you see on a largely basis the module is 55 plus minus 5% on the overall project and in a module my understanding is that it is between 15 to 22%. As well as the silver is concerned on overall basis it’s not going to make or break the life of the module part is concerned. But yes, these recent increases in the silver and otherwise do impact it on a short term basis. But these are commodities and whenever we make a business model, like I said, we are very sensitive about what can happen to the commodities rather than being very aggressive about it.
Pradyumna Chaudhary
So just to follow up here, usually what’s the target timeline for us like once we the timeline between the tariffs being decided and our equipments being ordered, like the cost for the equipments being decided usually what’s the time lag between these two things?
Ashish Khanna
Actually it’s. I’m not sure whether I have understood your question well, but let me reply you what I have understood in the process. If you see if we are adding 5.6 gigawatt in 12 months, we are virtually 450 to 500 megawatt has been added on it. So one of the advantage of having such an amazing speed and a scale of working is that you are impact that we are impacted less by the commodity variations. You know, if you are executing a project in 18 months, then the vagaries of commodities generally impact you a lot. Since we are very fast in our project execution and then more importantly after execution taking the revenues out from it so that our revenues come early.
That is not the case. So it’s my. I have understood your point of your question. In a manner that are we really adversely impacted in a project execution because of these commodities? Yes, we all are impacted. But since our project execution speed is phenomenally high and we don’t have a typical 18 months period for even 500 megawatt, we completed in a one month’s time on an average. If you see across the impact is much, much less.
Pradyumna Chaudhary
Actually my question was what’s the time that between when we decide when we are able to fix the tariffs for our project versus when the equipment cost, like when we place the order for those equipments, what’s the timeline between that? Because that would decide the kind of risk in terms of commodity price volatility we are exposed to. So that’s what I was trying to understand.
Ashish Khanna
The way we work is that whenever we have a project in place, first of all we are very clear that that project where is the land and where is the evacuation of the same. So Once we have those elements in place, then it is a matter of a project execution. Now if I tell you the project execution time philosophy is that the balance of systems, because look around, As I said, 55 to 60% is a module pricing. We complete the balance of the system very quickly. We import the or, we get the modules in place and with our high speed of execution then we do actually get the revenues out in the quickest time.
Like if you, if you ask me on an average, like I’m sharing with you, if we are executing 500 megawatt of commissioning, we are, we are deploying 500 megawatt of some modules in a month’s time on an average. If you see your 450 megawatt of module. So the time period is very short in this particular process. So it is very difficult to answer your question in a manner that if I go out to get land, if I then start the whole process and then go out for a transmission line and row issues, I have one period in place.
But since I already have KAVDA with us, where I have a land in place, I have an infrastructure in place, I can quickly add on to the transmission line. And only thing which matters is how quickly I can execute the project. Our timelines are very different.
Pradyumna Chaudhary
All right, understood. Thank you.
operator
Thank you. Our next question comes from the line of Anushapad there from Investec. Please go ahead.
Unidentified Participant
Thanks for the opportunity. So can you just quantify your merchant realization when it comes to both solar and wind for the quarter and comparable quarter for the previous year?
Ashish Khanna
During the current quarter our solar Merchant realization was 2.20 per unit. And for, and for the last quarter it was for Q325 it was 2.82 rupees per megawatt per unit. And for the wind it was around 3 and a half rupees for this quarter while it was 4.15 for last. And let us also add that there is a RAC on the top of it.
Unidentified Participant
Okay, fine. So that’s it from my side. Thank you.
operator
Thank you. Ladies and gentlemen. Anyone who wishes to ask a question, press star and one on the touch on telephone. Our next question come from the line of Kalpit Sabha from GYR Capital Advisors. Please go ahead.
Kalpit Sabhaya
Thank you for the opportunity. So my question is like how strategic will the battery and the pump storage be in the Adani Greens portfolio the next four to five years?
Ashish Khanna
Culp is very strategic. Very, very strategic. If that is what can satisfy you. We are going to deploy, operationalize and take Full advantage of it. We are also having the advantage of an input solar available with us at a at a time where we can co locate the batteries as well as the solar projects. The pump storage we have already announced we are on track and in this particular quarter two we have announced that our Chitravathi project is on track to come in the coming in this calendar year itself.
And the work among the other projects is also at a very big pace. We do believe that renewable power from a standalone solar is going to shift towards a point of RTC power where more and more organizations including the government will look towards a certainty of this power during the peak time or as a round the clock power. And our strategy towards investment and expertise in this particular way will be a differentiator between us and others in this industry. And of course as you know, we work at a scale which is unprecedented in this country for that matter.
Kalpit Sabhaya
Okay, okay. And as you mentioned that in the next year around we are planning to capex approximately 35 to 40,000 cr and approximately 16,000 cr will be our recurring earnings like EBITDA and all. So for the remaining balanced capex, how are we planning? Like are we going through debt raising or what are we planning?
Ashish Khanna
Right. Actually. See for us we are constantly into the debt raising for phase because of the under construction project that we. A lot of debt is already in the. It is already sanctioned for the next year spacing also because we continue to raise debt at a pace where for the next nine months to one year horizon the debt is already available with us for the next set of requirements. So from that aspect the sanctions of about nine months are already there in business.
Kalpit Sabhaya
Okay, okay, understood. And like currently we are already having the net debt of 76,000 cr and. And we had about nine months of area where we can fulfill our requirements leading to repayments and interest payment. Right. So what is the next expected peak of a debt? Net net debt level.
Ashish Khanna
From an operating debt to EBITDA run rate EBITDA we are at 4.6 and from overall debt to run rate EBITDA we are at about 5.6 levels. So we see that it is more or less in the same range that we will move along in the next set of two to three years till we reach the 50 gigawatt capacity.
Kalpit Sabhaya
Okay, okay, understood. That’s a lot. That’s. That’s from my side. Thank you.
operator
Thank you. Ladies and gentlemen. Anyone who wishes to ask a question may press star and one on the test on telephone. Our next question comes from the line of Surya Narayan Naik from Suniti Securities. Please go ahead.
Surya Narayan Nayak
Yeah, yeah. Thank you for giving opportunity. So you said that the before setting up its facilities you would look at the evacuation issues and, and you start the BOS activities very fast. So that is fine. So again you are saying that due to the grid availability issues the evacuation is not possible and curtailments are actually creating issues so far as revenue is concerned. So my understand where is the gap that is coming from that, that understanding of the facilities, of the evacuation and setting of the facilities. So what is lagging? Because ultimately it is creating space on the balance sheets so far as the net debt that is concerned.
The crater is mounting, number one. Number two is that what is the plan of battery storage in the car? I mean in terms of capacity of the solar to battery storage, in terms of banking of the power. And lastly in terms of epc, we have seen that recently your framework has changed and you have changed giving assignments to outsiders. So what is the intent that. To. Expedite the work and. Or let’s say or to reduce the cost.
Ashish Khanna
You will appreciate that. Can you be silent on that part, Surya? There’s a lot of background noise coming. Thank you so much. On the evacuation part, like we said that there is a gap and there is a delay which has impacted us. That is there. But you will also appreciate a fact that say the evacuation of 2 to 3 gigawatt which we were expecting in the last quarter, you know, you can’t build a 2 to 3 gigawatt on one day and the evacuation will come. So we have to time it up. We have to time it up on this factor.
You will appreciate the fact that what we are saying 2 to 3 gigawatt in Adani’s framework is virtually twice or more than twice by a normal or a top renewable company. So we do things at a scale and since we are talking in gigawatt terms and not in megawatt terms, we have to start the work well in advance and take advantage of that on the day the evacuation comes. We should be ready for it, you know, any three gigawatt, even with our best in the industry scale of 400 to 500 megawatt a month basically will take six to six months plus or seven months if we are timing it up after the evacuation has come.
So we have to time it up. And there will be always a challenge of on the day it comes how much we can evacuate and how much we cannot, which is work in progress. Second point, there is a quarter shift which we shared with you, which has definitely impacted us in this process. That has been an impact in the last quarter and we are not hiding it from anyone. It is an impact on us which we are not liking. But we are hoping that in the, in this particular quarter things will pan out as we are seeing.
Regarding your question on the battery storage, we have already said that 3.5 gigawatt hour of battery storage is what we are committed to commission in this particular in this coming quarter or in this financial year. And like we said, we are hoping while the numbers are still being worked out. But our expectation is that we will do more than twice of it in the coming months financial year as well as the battery storage is concerned. So in nutshell, this battery storage will act as absorbing the power which otherwise would have been curtailed on a short term basis.
Because on a long term we keep on mapping when and how the power is going to be evacuated. But there will be always a challenge on a short term basis. We cannot take that point away from the business we are in infrastructure. Regarding your question on epc, yes, we are best and we continue to remain the best. But we realize that for the scale at which we are going to go for we do need other epc, other contractors too, at a scale which can work with us. Frankly speaking, we don’t call them contractors, we call them partners.
Will go develop these projects with us as partners and take it forward. We have a roadmap of 30 gigawatt in the next four years per se. And I think it is important that we take advantage of all the best resources which are available in this country to build these projects. Ultimately by 2030 we are going to be 50 gigawatt and we need all of the best resources which are available in the country to help and support us on that particular cause. While we remain steadfast and our performance till date has shown that it is not because of any other reasons but to augment what we can do to enhance our capacity addition, building.
Surya Narayan Nayak
So storage facilities, will it be designed for two hours or four hours?
Ashish Khanna
It is, you know, you have to appreciate the fact that it is. It is not a design criteria per se, but yes, we are conscious of the fact that it can be extended from that standpoint. Even if you have three hours, you can evacuate the power to two hours or four hours depending on that particular frame. But two to three hours is what is the generic pair and you can extend it.
Surya Narayan Nayak
So you are saying irrespective of the evacuation, evacuation challenges, the setting of the installations of solar will continue.
Ashish Khanna
We are saying that evacuation is a challenge on a short term basis. We are timing it up so that we install our solar project in in line with what is coming on a long term basis. However, to mitigate the risk on a short term basis battery storage will come very handy in mitigating those risks. I hope I’m clear on our statement on this account. Okay.
Surya Narayan Nayak
And secondly sir, finally you said roughly 11% of the project cost is impacted by or that is silver related and which has seen a very tremendous rise of rate. So my question is that whether some of the power, some of these IPPs which were stocked and where the discoms were not showing interest due to the subdued tariff. So will it show some kind of spike in interest? Because the then the, the cost of projects will also go up. So as the tariff may also have some sort of upward trajectory movement maybe in short term. So will it spike interest and it will, it will remove the even.
Ashish Khanna
It will impact the margin tariff in our case. So I think if there is a shortage of power it will improve the. Merchant tariff in our case for sure. Having said that I think we have to look for when you are signing up 25 year PPA it has to be win win for both the parties. I don’t think so that discom are just holding it up because of the pricing part. There was a challenge with that and again this 42 gigawatt was bid without any backup as well as the off takers are concerned and I think that’s a challenge in the whole system. You first bid the project, you get a price and then you go to the off taker for that particular price. A silver pricing which is a critical component in a module to change the whole dynamics.
I’m not very sure that’s the right way to put it across.
Surya Narayan Nayak
Thank you sir.
operator
Thank you. Ladies and gentlemen, anyone who wishes to ask a question may press star and 1. Our next question comes from the line of Abena from ICS securities. Please go ahead.
Abena Bandoh
Yeah, thanks again for the opportunity for just a final question on overall industry. I mean we’re seeing a slowdown this year compared to the past two years in terms of tendering. What are your views on you know tendering within renewables for the next couple of years?
Ashish Khanna
Talking from our standpoint or from an industry overall. Overall industry standpoint, I think in the. Industry there has been a realization that like has been said in this call itself that there are 42 gigawatt of I would say alloys but not translated into PPAs and PSAs. So I think There is a backlog out there. I do believe that it is not a matter of one particular way. When we talk of renewable we should look holistically taking into consideration the storage, taking into consideration wind, taking into consideration solar, which can be utilized for input to storage, whether it is pump storage or it is battery storage. And I think it is important that we look at the whole thing very holistically.
I also do believe that there could be some, I would say rather than the central grid to be utilized, the state grid can be utilized and tenders can come from a state too where they have connectivities on the STU level which can be connected and which will not be impacted on that space. I think there are many aspects which are very dynamic in nature today as well as LCAM is concerned, which is going to come up as well as this untied capacity is concerned as well as new evacuation capacities are concerned. And in any case there are commodity pricing which is going to impact the tariff per se on a short term basis.
But when you look at renewable per se, I would suggest that we should look into holistic manner on a long term basis for a solution which is good for the buyer as well as for the seller. In this particular case developer as well as the procurer. And I think a stage has come where the peak power tenders, the RTC tenders are going. We will see more of them rather than a pure play solar tenders per se.
Abena Bandoh
Thanks. Thanks for that color. Thank you.
operator
Thank you. Our next question come from the line of Pradiman Chaudhary from JM Financial Group Investment. Please go ahead.
Pradyumna Chaudhary
Yeah, thank you for the follow up, sir. Sorry, just beating around my previous question a little more. So if like you spoke about there being a 12 months timeline between a project being executed being actually commercialized. So. And silver prices during this time have actually gone 3x. And again silver for our projects is around 1011 of the total cost. So what does it really do to our IRRs of these projects? Right? These are anyway 15, 16% IRR projects. So how do we really deal with it? Is there a way to. Is there a way to pass on these prices? Because otherwise the IRR really takes a hit, right? A 3x increase in a commodity contributing 10% of the cost increases our total project cost by quite a bit.
Ashish Khanna
Let me not. I don’t know why you think we are. We are not answering it very clearly. Let me answer it very clearly and if you’re not clear to say it, rather than a subsequent question what we are, what we have said we, when we bid the project always take into consideration the vagaries of commodities. We have bid these projects long time back, not at the current stage itself, at any stage. We have a clarity on what can go with the commodity because it remains a commodity. To the extent we can hedge it is one matter.
But we take that into consideration on our return expectation. That is why you will appreciate a fact that whenever you see the tenders being bid and all those factors, you will not find us at a certain level which people question as well as the tariffs are concerned. So we are very, very conservative in our costing. We are very focused on our return expectation. And when we bid the project, that is the time we are going to buy that particular element. Now, today, well the silver has gone up, but in the past the silver was not that up.
And in future too there is no guarantee that silver will remain at this particular level which will further impact the module pricing at the time when. Again I am saying at the time when we are buying it, we look at it. But at the time when we are bidding we are overtly conservative on our commodity pricing, particularly in this field because there are. These are primarily commodities per se at a higher rate. Yes, ideologically the returns should be impacted. But since we are conservative on that particular cost, it is still a very different, very different.
And a decent level of returns with this project gives to us.
Pradyumna Chaudhary
So my like, I understand that we’ll be conservative in the pricing but at the same time we wouldn’t have accounted for a 3x increase in silver Right. During this period. So like no one would have. Right. So there how are we really. And my senses modules are amongst the last equipments to be ordered. Like just before the project is being completed is when modules are really ordered. Right. So then how do we really account for. Yeah, such projects?
Ashish Khanna
On one part I will also ask Raj to further help you. Somehow I think I’m not getting that clear to you. The fact remains that if you are in the industry then around four years back there are certain module pricing sometime back. If you look at the sell price at that particular time or the module prices a year and a half back was even less than the sell pricing which was quoted few years back. You, you do take advantage of those situations too. When the prices go dramatically down. However, like I said, these are projects where you make profits at a particular time. When the commodity goes up, there is always a dent on the return. However, if you are conservative at that particular time, you make a better returns.
And if you are conservative at the time of bidding per se and your return expectations are higher than the normal. You also make a decent return on that too from an industry standpoint. Raj, you like to add on to this.
Raj Jain
I think Ashish, you have been very clear and again just to bring it to the light, the recent module prices which you saw in the last year were the lowest in the history of module pricing. And obviously in case of our portfolio we have almost all our bids which are at a price where we have factored in much higher volume prices as well as built in relevant risk framework where we had discounted them with those potential vagaries in the various factors whether it is modules or other considerations. So yes, obviously if the module prices go up it will increase the cost for the developers, including for us.
But it is a question whether you have factored it. If people have gone very aggressive based on yesterday, last year prices and they have won something, they may face certain issues but that is not the case with the running green.
Pradyumna Chaudhary
Understood. And my last question is what are the like if you could just tell us how much increase in module prices are you seeing currently on a yoy basis compared to same time last year? What were the prices then and what are the prices now that you are seeing?
Raj Jain
Yeah, it’s around 10% which we are seeing. I think you have to appreciate the fact do you have a, you know, long term relationship with the supplier, at what scale one is buying? What is the relationship with those particular suppliers which you have, which country you are buying from? What are the capacities which are available there at that particular time? So it’s not an Apple to Apple comparison per se. There are things which changes across. We have been seeing an increase in the recent past of around 10% but at the end of the day they are commodities, they can go up and down in that manner. Some people are even reporting slightly more, but that’s up to the individual company, when and how they buy it.
operator
Thank you ladies and gentlemen. Due to the interest of the time that was the last question for today, I would like to hand the conference over to management for the closing comments. Thank you. And over to you sir.
Ashish Khanna
I really appreciate all those who have participated in the call and are being closely monitoring our organization. I think it is the most exciting times for us. There have been challenges which we openly and transparently have been sharing with you with respect to the transmission line constraints, the augmentation which was expected to come on that delay. There has been some subdued market pricing as well as the solar price is concerned and of course the weather has not helped us. But these are very seasonal in nature and I think on the overall industry part we have to give it a longer time frame than a quarter on that.
The fact remains that our EBITDA margin and our cost remain the EBITDA margin remain the highest in the industry and the cost remains lowest. Our expansion is going on. We are very excited about our storage solutions which we are adding at a great scale, which I said is further going to de risk some of the challenges which we have been facing with respect to pricing as well as with respect to evacuation constraint. It’s a very exciting time for us. Q4 we are very excited to further add up and then reach the commitment of an expansion in this particular year which we have already committed.
We are very excited to reach that. And of course Sardani Green will remain as number one renewable company in this country from all aspects. Thank you once again for joining this call and of course organizing it.
Viral Raval
Thank you very much, ICICI securities for helping organize the call and thank you all the investors and analysts for joining this call. Please feel free to reach out to us for any further questions. Thank you.
operator
Thank you so much, sir. Ladies and gentlemen, on behalf of ICIC Securities Ltd. That concludes this conference, thank you for joining us and you may now disconnect your lines.