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Tag: Adani Group

  • LIC Dismisses Washington Post Report Alleging $3.9 Billion Investment in Adani Group

    The Washington Post reported on 25 October that Indian officials allegedly droughted and approved a plan in May to redirect approximately $3.9 billion in investments from the state-owned insurer to Adani Group enterprises. The Life Insurance Corporation of India (LIC) refuted the claims.

    The claims were deemed “false” by LIC. In a statement, LIC said that the alleged remarks in the article seemed to have been made with the objective to “tarnish the reputation and image” of LIC and the solid financial sector foundations in India, as well as to “prejudice” the company’s established decision-making process.

    According to LIC’s official response, the Washington Post’s accusations that LIC’s investment selections are impacted by outside forces are untrue, unfounded, and far from accurate. The report claims that LIC has never created a plan or document that lays out a strategy for LIC to invest money in the Adani group of firms.

    Investment was Made as per Board Approved Policy: LIC

    The group stated that LIC independently makes investment decisions in accordance with board-approved regulations following thorough due diligence. Such judgements are not made by the Department of Financial Services or any other organisation.

    According to LIC, it has made sure that the “highest standards of due diligence” have been followed and that all of its investment decisions have been made in the best interests of all of its stakeholders by adhering to current policies, act provisions, and regulatory requirements. The $570 million LIC investment in Adani Ports & SEZ (APSEZ), which has the highest ‘AAA’ credit rating in India, was also highlighted in the report.

    The Adani Group was under investigation and dealing with a mountain of debt at the time in the United States. LIC also has a sizable amount of corporate debt and government bonds. It spreads risk through a broadly diversified portfolio.

    Less than 2% of LIC’s total debt is held by the Adani group, which is led by Gautam Adani, the second-richest man in India. Global confidence in the firm is shown in the recent investments made in Adani debt by international investors such as Germany’s second-biggest bank, DZ Bank, and Japan’s major banks, Mizuho and MUFG, as well as the US’s largest funds, BlackRock and Apollo.

    Response from Adani Group

    In reaction to the Washington Post article, the Adani Group stated that it vehemently denies any role in any purported government schemes to allocate LIC funding. The organisation also disclosed that LIC makes investments in a variety of corporate companies; therefore, it is false to imply that Adani receives preferential treatment. Additionally, LIC has profited from its investment in our portfolio. The business stated that “our growth predates PM Modi’s national leadership” and that claims of excessive political favour are baseless.

    Quick Shots

    •LIC
    rejects The Washington Post’s claim of a $3.9 billion investment plan for
    Adani Group.

    •Terms
    the allegations “false” and intended to “tarnish” its reputation and India’s
    financial system.

    •LIC
    asserts investment decisions are made independently, not influenced by any
    government department.

    •Adani Group denies any link to
    government plans involving LIC funds; says LIC invests across multiple
    companies.

  • SEBI Rejects Hindenburg Allegations, Clears Adani Group Companies of Wrongdoing

    The Securities and Exchange Board of India (SEBI), which oversees the Indian market, has rejected claims made by US short seller Hindenburg Research against Gautam Adani, the chairman of the Adani Group, and the group’s businesses, Adani Enterprises, Adani Ports, and Adani Power.

    The organisation was accused by Hindenburg Research in January 2023 of using three businesses—Adicorp Enterprises, Milestone Tradelinks, and Rehvar Infrastructure—to transfer funds between Adani group enterprises. In two judgements outlining its findings, SEBI stated that there were no infractions and pointed out that the transactions occurred during a period when dealings with unrelated parties did not count as related party dealings. Later, the definition was modified.

    According to a report by news agency PTI, SEBI halted all of its actions against the Adani Group, stating that all loans were paid back, the money was used for the authorised purposes, and there was no evidence of fraud or unfair trade practices.

    Gautam Adani Responds to the Development

    Gautam Adani stated in a post on September 18 that the SEBI’s conclusions confirmed the short seller’s unfounded allegations. In a post on X, he stated that following a thorough examination, SEBI has confirmed what the organisation had consistently said: that the Hindenburg allegations were unfounded.

    The Adani Group has always been known for its honesty and openness.The company is extremely sorry for the investors who lost money as a result of this dishonest and self-serving report. The country deserves an apology from those who propagate incorrect information.The Adani Group is steadfast in its dedication to nation-building, Indian institutions, and Indian citizens. Jayate Satyamev! JAI HIND!

    Former SEBI’s Executive Director Backs Adani Group

    Former SEBI executive director JN Gupta told NDTV that nearly everyone had progressively come to the conclusion that “the Adanis were not on the wrong side” in the years since the Hindenburg report was made public. According to Gupta, this order definitively establishes that the Hindenburg Report was untrue.

    This reveals two things: first, that SEBI’s system has to be improved because it has taken more than two years to reach this judgement, and second, that it believes a lot of things without supporting evidence. The report caused panic among retail investors, who liquidated their holdings and suffered losses.

    The short seller’s claims have been repeatedly denied by the Adani Group, whose founder, Nate Anderson, declared in January that it will be shut down. Gautam Adani has stressed the significance of “rising stronger after every fall” in his remarks regarding Hindenburg’s later impacted jobs.

    Quick
    Shots

    •SEBI says all loans were repaid,
    funds used legally, and no fraud or unfair trade practices occurred.

    •Hindenburg had accused Adani of fund
    transfers via Adicorp Enterprises, Milestone Tradelinks, and Rehvar
    Infrastructure.

    •SEBI noted transactions occurred
    before rules on related-party dealings were revised.

    •Adani says verdict proves allegations
    were baseless and seeks apology for investor losses.

  • Dreamfolks Services Suspends Domestic Airport Lounge Access, Warns of Material Business Impact

    One of the major companies in the airport services industry, Dreamfolks Services Limited, has announced a big operational shift that will likely have a big effect on its operations. With effect from September 16, 2025, the corporation has stopped providing its customers with domestic airport lounge services.

    Dreamfolks Services claimed that the termination of domestic airport lounge services will have a significant impact on its business operations in a regulatory filing to the BSE and NSE. This action is a response to the company’s August 29, 2025, revelation that such a change was previously being considered.

    Dreamfolks Services stressed that its other domestic services and worldwide lounge operations will continue to run normally in spite of this major shift. This implies that while reorganising its domestic products, the corporation is keeping some of its service portfolio.

    Dreamfolks Looking for Alternative Options

    Stakeholders have been reassured by the business that current client contracts are still in effect. Affected clients are currently being consulted by Dreamfolks in order to investigate alternate consumer value propositions. Despite the operational changes, the company’s proactive approach shows that it is committed to preserving its client relationships.

    In the regulatory filing, Dreamfolks Services’ Company Secretary and Compliance Officer, Harshit Gupta, said that the disclosure is being made for the sake of investor knowledge, governance, and transparency. The business has promised to keep the lines of communication open with its stakeholders and investors and to provide more updates as they become available.

    Reasons Behind the Dreamfolks Closure

    Access to domestic airport lounges in India has been the mainstay of DreamFolks’ operations, serving as the foundation for the company’s services. But when airport operators and service providers realised they could merely serve banks and card issuers directly—the same customers DreamFolks served as a middleman for—problems started to arise. More recently, DreamFolks’ contract was cancelled by Travel Food Services Ltd due to unsuccessful talks.

    Together, operators like Adani Airport Holdings, GMR Airports, and TFS oversee between 80 and 85% of foot traffic in airport lounges nationwide. DreamFolks lost its most important resource when it lost access to these operators. The company’s shares have fallen more than 65% year-to-date as a result of DreamFolks’ loss of its core business. Additionally, the stock has fallen 72% in a year.

    What Next for Dreamfolks?

    Investors and market analysts will probably be closely monitoring Dreamfolks Services’ business model adaptation in order to evaluate the long-term effects of this strategic change. According to the company’s stated material impact, this adjustment may have a major influence on its financial performance in the upcoming quarters.

    For a thorough grasp of how this operational shift may impact the company’s market position and financial prospects, investors are keeping a close eye on any additional announcements made by the business.

    Quick
    Shots

    •Company warns of significant material
    impact on business operations.

    •Other domestic services and
    international lounge operations remain unaffected.

    •Disclosure made in regulatory filing
    to BSE and NSE for investor transparency.

    •Investors watching closely for
    financial impact in upcoming quarters.

  • Adani Group to Invest $3 Billion in 2,400 MW Power Plant in Bihar

    Adani Power said on 13 September that it will invest USD 3 billion (about INR 26,482 crore) to build a 2,400 MW ultra-supercritical power plant in Bihar. In a statement, the Adani Group firm said that it and Bihar State Power Generation Company Ltd (BSPGCL) had inked a 25-year Power Supply Agreement (PSA) for the supply of electricity from the project that would be built at Pirpainti in the state’s Bhagalpur district.

    On behalf of North Bihar Power Distribution Company Ltd. (NBPDCL) and South Bihar Power Distribution Company Ltd. (SBPDCL), BSPGCL granted Adani Power a Letter of Award in August, which was followed by the PPA. With the lowest delivery rate of INR 6.075 per kWh, Adani Power was able to secure the project.

    Adani’s 3 Billion Investment in Design, Build, Finance, Own, and Operate

    The firm stated that it intends to use the Design, Build, Finance, Own, and Operate (DBFOO) model to invest roughly USD 3 billion in the construction of the new plant (800 MW X 3) and its accompanying infrastructure. In 60 months, the business hopes to have the factory in operation.

    The power plant’s coal linkage has been assigned in accordance with the Government of India’s SHAKTI Policy. During construction, 10,000–12,000 people will be directly and indirectly employed by the project, and after it is operational, 3,000 people will be employed.

    Adani Power, the biggest private thermal power producer in India, is a division of the billionaire Gautam Adani-led conglomerate. It can generate 18,110 MW of thermal power when installed.

    Expansion of Adani Energy Solutions

    To expand its network, Adani Energy Solutions (AESL), which manages distribution, transmission, smart metering, and cooling, would invest more than $17 billion. By FY30, the corporation wants to have 30,000 km of transmission lines, up from 19,200 km in March 2025.

    By FY32, Adani Power plans to invest $22 billion to increase its capacity from 17.6 GW in FY25 to 41.9 GW. With facilities in Gujarat, Maharashtra, Karnataka, Rajasthan, Chhattisgarh, Madhya Pradesh, Jharkhand, and Tamil Nadu, in addition to a 40 MW solar unit in Gujarat, the firm is the biggest private generator of thermal electricity in the nation.

     India is one of the power markets with the greatest rate of growth in the world, according to the group, with installed capacity predicted to more than double to 1,000 GW by FY32 from 475 GW in FY25. Due to the demand from data centres, electric vehicles, urbanisation, and industrialisation, it predicted that there were over $500 billion in investment prospects in the area. With 172 GW of renewable capacity in FY25, the nation ranked fourth in the world.

    Quick
    Shots

    •$3 billion (INR 26,482 crore) under
    the DBFOO (Design, Build, Finance, Own, Operate) model.

    •25-year PSA signed with Bihar State
    Power Generation Company Ltd (BSPGCL).

    •Project awarded in Aug 2025 at lowest
    tariff of INR 6.075/kWh.

    •Plant to be operational in 60 months.

  • Adani Group to Invest $60 Billion in India’s Power Sector by FY32 to Boost Clean Energy Capacity

    By FY32, the Adani Group intends to invest $60 billion in transmission and distribution (T&D), power generation, and renewable energy. In a presentation to investors, the group laid out its intentions, estimating that more than $21 billion will be invested by FY30 to increase the capacity of renewable energy from 14.2 GW in FY25 to 50 GW by the end of the decade.

    Adani Green Energy (AGEL), its renewable energy division, manages utility-scale wind and solar projects and is building what it claims is the largest renewable park in the world in Gujarat’s Khavda.

    Transmission Expansion: 30,000 km by FY30

    To expand its network, Adani Energy Solutions (AESL), which manages distribution, transmission, smart metering, and cooling, would invest more than $17 billion. By FY30, the corporation wants to have 30,000 km of transmission lines, up from 19,200 km in March 2025.

    By FY32, Adani Power plans to invest $22 billion to increase its capacity from 17.6 GW in FY25 to 41.9 GW. With facilities in Gujarat, Maharashtra, Karnataka, Rajasthan, Chhattisgarh, Madhya Pradesh, Jharkhand, and Tamil Nadu, in addition to a 40 MW solar unit in Gujarat, the firm is the biggest private generator of thermal electricity in the nation.

    India is Emerging as Fastest Growing Power Market

    India is one of the power markets with the greatest rate of growth in the world, according to the group, with installed capacity predicted to more than double to 1,000 GW by FY32 from 475 GW in FY25. Due to the demand from data centres, electric vehicles, urbanisation, and industrialisation, it predicted that there were over $500 billion in investment prospects in the area. With 172 GW of renewable capacity in FY25, the nation ranked fourth in the world.

    By FY32, it might reach 571 GW, opening up prospects worth $300 billion. It is anticipated that solar power will grow quickly, adding more than 23 GW of capacity in FY25 alone. With an estimated increase in thermal power capacity from 247 GW in FY25 to 309 GW by FY32, an additional 80 GW of coal-based plants and $91 billion in investments will be needed.

    According to Adani Power, “Coal continues to be the foundation of India’s baseload power, providing a steady supply despite growing demand and renewable variability.” Transmission lines are anticipated to expand from 494,000 km in FY25 to 648,000 km by FY32, providing a $110 billion investment opportunity on the network side, the organisation stated.

    Quick
    Shots

    •Capacity to
    rise from 14.2 GW in FY25 → 50 GW by FY30; world’s largest renewable park
    being built at Khavda, Gujarat.

    •Adani Energy
    Solutions (AESL) to invest $17B; transmission lines to expand from 19,200 km
    (2025) → 30,000 km (2030).

    •Installed
    capacity expected to more than double from 475 GW (2025) → 1,000 GW (2032).

    •$500B+ Market opportunity is driven
    by data centres, EV adoption, urbanisation & industrialisation.

  • Adani Group in Pole Position to Acquire Jaiprakash Associates

    According to media sources, the Adani group has emerged as the front-runner to purchase Jaiprakash Associates Ltd (JAL), which is presently going through insolvency processes, with a bid of up to INR 12,500 crore.

    With no limitations attached, the company has offered an upfront payment of about INR 8,000 crore.

    However, if a legal issue pertaining to its JP’s sports city project is settled, Dalmia Group is anticipated to present a serious challenge to Adani Group and maybe outbid Adani’s offer. The Supreme Court of India is still considering the matter.

    CoC to Start Proceedings for Negotiation

    According to sources, the Committee of Creditors (CoC), under the direction of National Asset Reconstruction Company Ltd (NARCL), is ready to begin talks with resolution applicants for Jaiprakash Associates Limited (JAL) next week.

    This comes after NARCL purchased a sizable amount of JAL’s loans from a group that was initially led by the State Bank of India. Companies like the Adani Group, Dalmia Bharat Group, PNC Infrastructure, Vedanta, and Jindal Steel & Power are among those that have presented resolution plans.

    The cement and real estate holdings of JAL are of special importance to the Adani Group, which is well-known for its growth in the energy, infrastructure, and cement industries. This is in line with Adani’s plan to increase its presence in rapidly expanding sectors, especially in the cement sector.

    JAL Navigating Through Troubled Waters

    For JAL, which has been battling significant debt and operational challenges, the insolvency procedures mark an essential phase.

    It is anticipated that resolving the company’s insolvency will enable the restructuring and operational rebirth of the business while also offering much-needed relief to its creditors, particularly banks and financial institutions.

    The Allahabad High Court also decided in favour of the Yamuna Motorway Industrial Development Authority’s March 2025 decision to revoke a 1,000-hectare land allocation for JAL’s Sports City project near New Delhi.

     In the midst of its insolvency issues, this ruling deals the corporation yet another setback.

    JAL’s Sports City project

    In March of this year, the Allahabad High Court ruled that the Yamuna Expressway Industrial Development Authority (YEIDA) could annul the 1,000-hectare allocation to Jaiprakash Associates Ltd., allowing the agency to sign new leasing agreements with third-party developers for 11 Sports City projects.

    According to officials, 6,800 buyers from Sector 25 were participating in these 11 initiatives. They claimed that the HC’s ruling, which revoked any mention of JAL in earlier agreements, had made the execution of the new deeds obligatory.

    The developers, homeowners, and YEIDA will sign a new tripartite agreement in addition to these lease papers.

    On March 10, a division bench consisting of Justices Manoj Kumar Gupta and Kshitij Shailendra revoked the land allocation and upheld the interests of third-party developers (sub-lessees), but they also established a rigorous implementation schedule.

  • Green Milestone: Adani Deploys India’s 1st Hydrogen-Powered Mining Truck

    The first hydrogen-powered truck in India, which can transport 40 tonnes of freight over a 200-kilometer radius, was used for mining operations in Chhattisgarh, the Adani Group announced on 10 May.

    As part of its efforts to promote cleaner transportation, the group’s flagship company, Adani Enterprises, waved off hydrogen fuel cell trucks. In addition, the corporation stated in its official statement that the diesel trucks utilised in its logistics operations will eventually be replaced by these hydrogen-powered trucks.

    Adani is working with a major automaker and an Indian and foreign energy technology company to build vehicles that run on hydrogen fuel cell batteries for cargo transportation. With three hydrogen tanks and clever technology, each truck can transport up to 40 tonnes of cargo across a 200-kilometre distance.

    CM Vishnu Deo Sai Flagged Off the Truck

    In Raipur, Vishnu Deo Sai, the chief minister of Chhattisgarh, waved off the first truck. Coal will be transported to the state power plant via it from the Gare Pelma III Block. According to Sai, Chhattisgarh’s introduction of the nation’s first hydrogen-powered truck is a testament to the state’s dedication to sustainability.

    The state’s carbon footprint will be greatly reduced by such activities, which will also establish new industry standards. In addition to being at the forefront of supplying the nation’s electrical needs, Chhattisgarh sets the standard for sustainable operations. Adani Enterprises was chosen following a competitive bidding procedure to be the mine developer and operator for the Gare Pelma III block by the state-owned Chhattisgarh State Power Generation Company Limited.

    He continued by saying that the Adani Group’s commitment to decarbonisation and ethical mining is demonstrated by the plan for hydrogen-powered trucks. By using solar energy, digital projects, autonomous dozer push technology, and tree transplanters to move trees, the state government is building model mines with less environmental impact.

    According to Vinay Prakash, CEO of Natural Resources and Director of Adani Enterprises, the company wants to set new benchmarks for sustainable mining methods while ensuring that everyone has access to cheap, dependable electricity.

     Adani New Industries Limited (ANIL) and Adani Natural Resources (ANR) collaborated on the project. Adani Enterprises is the parent company of both organisations. ANR will purchase hydrogen cells from ANIL, a company that also produces wind turbines, solar modules, batteries, and green hydrogen.

    Hydrogen Most Environment Friendly Option

    The most prevalent element, hydrogen, emits no toxic gases. In terms of range and load capacity, hydrogen fuel cell vehicles are comparable to diesel trucks; however, they produce only warm air and water vapour with little noise. Because most mining equipment runs on diesel, using cleaner fuels will cut down on noise and pollutants.

    Additionally, it will lessen India’s carbon footprint and oil imports. According to the statement, Adani Natural Resources is the first company in Asia to implement Dozer Push Semi-Autonomous Technology, which will increase sustainability and safety. Coal, minerals, and metals are produced and processed by ANR for use by businesses and end consumers.

     Its varied business portfolio includes liquified petroleum gas, rock phosphate, iron ore, copper, aluminium, minerals, bunkering, and integrated resources management.

  • Sebi Accuses Adani’s Nephew of Insider Trading

    According to a document seen by a media house, India’s markets regulator has accused Pranav Adani, the nephew of the billionaire founder and a director of many Adani Group firms, of sharing price-sensitive information and violating laws meant to stop insider trading.

    According to a report, the Securities and Exchange Board of India (Sebi) last year sent a notice to Gautam Adani’s nephew Pranav Adani, accusing him of informing his brother-in-law about Adani Green’s 2021 acquisition of SoftBank-backed SB Energy Holdings prior to the deal’s announcement.

    Pranav Adani acknowledged that “he has not violated any securities law” and that he was looking to resolve the charges “to put an end to the matter, without admission or denial of the allegations”. A media report further claims that settlement terms were being considered.

    Adani Group on the Firing Line

    The Adani group’s most recent hurdle is the scrutiny. Gautam Adani and two Adani Green officials were accused by US authorities last year of allegedly deceiving US investors and paying bribes to obtain contracts for Indian power delivery.

    The group has referred to the accusations as “baseless” and refuted them. According to the SEBI document, which revealed call logs and trading patterns were examined during the investigation, Pranav Adani broke insider trading regulations in 2021 by providing his brother-in-law Kunal Shah with UPSI (unpublished price sensitive information) about the SB Energy acquisition.

     The paper further stated that Kunal Shah and his brother Nrupal Shah made “ill-gotten gains” of 9 million rupees ($108,000) through their trading in Adani Green shares. The Shah brothers claimed in a statement issued by their legal practice that neither malicious intent nor knowledge of any unpublished price-sensitive information was involved in the trades.

    According to the statement, the relevant information was already widely accessible and in the public domain.

    Adani Group-SB energy Largest Acquisition in Renewable Energy Sector

    The largest acquisition in India’s renewable energy industry to date was Adani Green’s purchase of SB Energy on May 17, 2021, for an enterprise value of $3.5 billion.

    According to SEBI, Pranav Adani learnt about the upcoming acquisition two to three days before the deal was concluded on May 16, 2021. SEBI had suggested that Kunal and Nrupal Shah also reach a settlement, but the brothers decided to fight the accusations because they felt the conditions were too harsh.

    Following the conclusion of SEBI’s ongoing assessment of its settlement process, Pranav Adani’s settlement plea will be considered.

  • Adani Group Paused $10 Billion Chip Deal Talks with Tower Semiconductor

    Adani Group, a ports-to-power conglomerate led by Gautam Adani, has apparently halted talks for a $10 billion semiconductor collaboration with Tower Semiconductor of Israel. The move came after an internal assessment that found the idea currently lacked strategic and commercial feasibility, according to a media report.

    Adani Group’s intention to establish an INR 83,947 Cr ($10 Bn) semiconductor manufacturing factory with Israel’s Tower Semiconductor was authorised by Maharashtra’s cabinet in September of last year.

    This move supported India’s goal of becoming a worldwide centre for chip manufacture and was anticipated to generate 5,000 jobs. In phase 1, the semiconductor plant will be able to produce 40,000 wafers per month; after phase 2, this capacity will rise to 80,000 wafers per month.

    Why the Deal was Paused?

    The Adani Group had previously said that the project was being considered. But after the most recent evaluation, the business withdrew its statement, citing concerns about demand, particularly in India. The report went on to say that the choice was more strategic in nature.

    After evaluating it, Adani made the decision to wait, even if it is possible that this will restart at a later date. Without providing specifics, another story stated that the group was dissatisfied with the amount of money Tower was willing to contribute to the relationship.

     According to the article, Adani wanted Tower to have more financial stake in the contract, even though Tower was supposed to contribute technological expertise.

    Chipmaking Sector in India

    As of now, India lacks a functional chip manufacturing facility. In July 2023, a $19.5 billion joint venture between Taiwan’s Foxconn and Indian company Vedanta collapsed due to delays in incentive clearances and project prices, which New Delhi had questioned.

    The most well-known projects now in progress are a $2.7 billion chip packaging unit by U.S.-based Micron and an $11 billion chipmaking and additional chip testing plant by the Tata Group.

    According to a UBS estimate this month, the United States and China together account for 54% of the world’s semiconductor end demand. This year, India will have a 6.5% share.

    Set Back for Modi Government

    To increase chipmaking in India, the western state of Maharashtra announced in September of last year that Adani Group and Tower had been approved to establish a plant that would produce 80,000 wafers each month.

    Their production partnership was expected to create about 5,000 jobs. The agreement, which signalled the Adani Group’s entry into the semiconductor sector, is probably going to be a significant blow to Prime Minister Narendra Modi’s “Make in India” initiative.

    The India Electronics and Semiconductor Association (IESA) forecasts that the country’s semiconductor market will reach $103.4 billion by 2030, up from $52 billion in 2024.

    According to the report, demand from key industries such as consumer electronics, automotive, aerospace, military, information technology (IT), telecommunications, and mobile phones is driving the increase.

  • Business of Smart Metres to Increase Adani Energy’s EBITDA

    According to American rating agency Fitch, following the company, Adani Energy Solutions (AESL) would increase its earnings before interest, depreciation, and amortisation (EBITDA) with the support of the smart metering sector. The corporation can better manage retail distribution by using smart meters to track and forecast power usage patterns across microgeographies. With 23 million meters, AESL holds a 17% market share in the segment. Cash generation, according to Fitch, begins when 25,000 metres, or 5% of the contracted metre capacity, are placed, whichever comes first. Although direct debit services for customer bill payments to distribution utilities help the collection of dues, it said that its cash flow is vulnerable to India’s poor state-owned power distribution organisations. By 2030, the government wants to have 250 million smart meters. With an order book of 23 million through February 2025, AESL has emerged as a major player in this initiative thanks to its experience running Mumbai Discom, according to Elara Capital, a global financial markets firm.

    AESL’s Plans to Enhance its Revenue Stream

    An initial capital investment of approximately INR 5,800 is required for the installation of each meter. The company is expected to make about INR 12,000 per metre throughout the course of the 90-month arrangement. According to Elara, the corporation plans to maintain an EBITDA margin of 85% in this vertical. The goal for FY25 and FY26 is 10 million meters, of which 7 million come from existing contracts. The remaining amount comes from fresh agreements. This is because AESL is currently working on smart metering projects totalling roughly 23 million meters, or about `27,200 crore (in value).

    Tata Power Also Joining the Competition

    Smart meters are also being implemented by Tata Power. Recently, Tata Power Delhi Distribution adopted a Universal Network Interface Card (NIC) with Bluetooth-enabled communication in collaboration with Probus Smart Things to advance smart metering technology. According to a recent report by CareEdge Ratings, power distribution firms (discoms) may deploy smart meters nationwide and earn an extra INR 4 lakh crore over the next seven years. By January 2025, there were about 20 million smart meters in the nation. However, CareEdge Ratings predicted that by March 2026, smart meter installations would only reach 25% of the 250 million meters that the government had set as its goal. The rating agency stated that a substantial expenditure of INR 1.25 lakh crore, consisting of INR 95,000 crore in debt and a 25% equity contribution, is necessary to meet the ambitious goal of installing 250 million smart meters.