Transcript Slide 1

Bhilwara Energy Limited (BEL)
Corporate Profile
October 2014
LNJ Bhilwara Group - Parent
LNJ Bhilwara is a well-diversified and highly credible group from India with revenues in excess of US$1bn
Power
 278MW of operational hydro power portfolio
 First merchant power plant and independent
IPP with interstate electricity wheeling
arrangement
 Strategic partnership with AECOM, IFC and
Statkraft
 Sales: INR 5,753mn, EBITDA: INR 4,136mn,
Net Worth: INR 22,586mn for FY14
Textiles
 Largest producer and exporter of
polyester/viscose blended yarn
 Second highest spindle capacity in India
 Sales: INR 45,868 mn, EBITDA: INR
5,881mn, Net Worth: INR 7,493mn for
FY14
•
•
•
•
Graphite Electrodes
 World’s largest single site plant of
Graphite electrodes
 Over 200% expansion witnessed over the
last decade
 Sales: INR14,573mn, EBITDA: INR
1,213mn, Net Worth: INR 7,155 mn for
FY14
Information Technology & other
 Specialists in software development and
IT manpower outsourcing
 Amongst the top 10 healthcare BPOs in
India
 Sales: INR 570mn, EBITDA: INR 370mn,
Net Worth: INR 3660mn for FY14
Established in 1961 by Mr. L. N. Jhunjhunwala, the Group has grown into a conglomerate with a strong global
presence and turnover in excess of US$ 1bn
6 Group companies listed on the Stock Exchanges
Over 1,000,000 stakeholders in the Group
Production units & corporate offices spread across the country at 38 locations with over 26,000 strong workforce
Key Financials of LNJ Bhilwara Group
Turnover
Export Sales
20,000
28,642
27,101
24,630
5,000
2009-10 2010-11 2011-12 2012-13 2013-14
Net Worth
0
2009-10 2010-11 2011-12 2012-13 2013-14
Gross Fixed Assets
(INR mn)
(INR mn)
50,000
20,000
0
79,741
73,852
40,000
68,730
60,000
61,800
80,000
58,960
39,606
36,020
34,050
30,340
30,000
40,896
100,000
40,000
10,000
15,000
10,000
0
20,000
20,000
18,390
40,000
40,000
66,762
25,000
61,767
60,000
53,690
30,000
47,390
80,000
22,520
(INR mn)
(INR mn)
0
2009-10 2010-11 2011-12 2012-13 2013-14
2009-10 2010-11 2011-12 2012-13 2013-14
Executive Summary
Bhilwara Energy Ltd. (“BEL”) is India’s leading ‘Renewable Energy’ power company
–
Portfolio of Hydro and Wind energy assets with total rated capacity of 1592 MW
–
Execution track record of 2 hydro power plants aggregating to 278 MW and 3 wind power assets of 84 MW
–
Attractive return profile through an optimum mix of long-term PPAs and merchant power for its projects
–
Strategic partnerships with marquee investors such as Statkraft , AECOM (previously RSW Inc.) and IFC, Washington
–
Highly experienced management team in power sector and have previously worked with organisations such as NHPC,
NTPC, CWC, BHEL, Suzlon and Jaypee group
Robust pipeline of projects
–
Wind power asset (20 MW) under commissioning and more than 100 MWs are under evaluation
–
One hydro power project (50 MW) in Nepal is ready for immediate construction
–
1 hydro power asset (total 780 MW) under pre-construction
–
3 HEPs (total 430 MW) which are at development stage.
–
Building of a portfolio of wind power assets with an operating capacity of 200 MW over the next 3 years
Attractive industry dynamics
–
India is amongst the lowest per capita consumers of electricity across the world, which is expected to change over the
next few years
–
Significant capacity addition is required to reduce the peak power deficit of ~10 to14% in the country
–
Unlike thermal power plants, renewable energy assets have minimal cost of operations and provide sustainable cash flows
–
The Government of India has undertaken significant policy initiatives to increase private sector investment in the power
sector with specific focus on renewable energy through a number of fiscal incentives and supportive regulations
Value Proposition
Leading
renewable
energy company
in India
Strong execution
capabilities
 One of India’s leading diversified renewable energy company with portfolio of hydro and wind
power assets under various stages
 Marquee partners such as Statkraft, AECOM (previously RSW, Inc.) and IFC, Washington
 Company follows a strategy of assured off-take arrangements through long-term PPAs combined
with merchant power. The interplay minimizes cash-flow risk while retaining upside potential
 Company has successfully commissioned two HEPs with aggregate capacity of 278 MW and
commissioned three wind power asset of 84 MW.
 Malana HEP holds the distinction of first hydro IPP and first merchant power producer in the
country
 Company through its JV company, ICCS, has expertise in power project consultancy with
cumulative project experience of over 7000 MW in hydro, thermal projects
Robust pipeline
of projects
 Plans to install additional 200 MW of wind power assets over the next 3 years
 Hydro power projects with aggregate capacity of 830 MW to be installed during the course of next
6 years
 430 MW of hydro power projects are in the development stage
 Additional various hydro-electric projects are in planning stages
Highly credible
pedigree and
strict corporate
governance
standards
 Company is Group’s flagship entity which is a conglomerate with a strong global presence
 Group is one of India’s most credible & trusted business house with turnover in excess of US$1bn
 Company has a strong Board with eminent personalities and follows strong corporate governance
standards
 Experienced and qualified professional team with capabilities of executing complex projects in the
renewable energy segment
Company Overview
Brief Overview



Bhilwara Energy is LNJ Bhilwara group’s flagship entity for the development and operation of renewable energy assets in India
and overseas
Company has successfully commissioned 2 run of the river Hydro Power Projects, 3 Wind Power Projects and has a robust
pipeline of renewable energy assets under various stages aggregating to 1,592MW
The company has strategic partnership with globally reputed companies and development funds such as Statkraft, AECOM(1)and
IFC (2) Washington
Shareholding Pattern
Project portfolio summary
14.34%
27.56%
Aggregate
Capacity
(MW)
Individual Promoters
Promoter Companies
Private Equity
No. of
projects
Type
Status
Hydro
Operational
2
278
Wind
Operational
3
84
Wind
Under
Commissioning
1
20
Hydro
Pre-construction
2
830
Hydro
Development
3
380
11
1,592
─ India Clean Energy: 7.21%
─ IFC(2): 5.04%
─ NYLIM/Jacob Ballas: 2.08%
58.10%
Historical Financials Snapshot
INR mn
Total Income
EBITDA
EBITDA margin
PAT
Net Worth
Mar-10
Aud
Mar-11
Aud
Mar-12
Aud
Mar-13
Aud
Mar-14
Aud
2,099
1,813
2,176
1,353
3,119
2,116
4,082
3,062
4,008
2,968
86%
62%
68%
75%
74%
981
-788
-368
-277
-674
9,882
11,340
10,916
10,654
10,780
Notes: (1) RSW Inc. was acquired by AECOM, world’s leading design and engineering company,
(2) International Finance Corporation
Total
Key Milestones
 20 MW wind project
commissioned in Jaisalmer,
Rajasthan
 192 MW AD Hydro becomes fully
operational
 Wind project in Satara, Maharashtra
commissioned
2013
2013
 192 MW Allain Duhangan (AD Hydro) HEP
commissioned in Jul 2010 Ist Phase.
 IFC and FE Clean Energy invested US$ 50mn
in BEL
2011
 Another 20
MW wind
project in
Bhendewade,
Maharashtra
2010
 JV with Statkraft Norfund Power
Invest AS (SN Power) Norway to
facilitate technical know-how
exchange
2007
2004
 86 MW Malana HEP
commissioned in a record time
of 30 months at a cost of INR
38.6mn/MW
2012
 Diversifying into wind energy
generation with a 49.5 MW wind
energy project in Satara,
Maharashtra
2003
2001
 First phase of Private Equity
investment In BEL worth INR 1,050mn
by Wachovia, NYLIM and Jacob Ballas
India
 IFC, Washington decided to do debt
financing and 12% equity
investment in 192 MW AD Hydro
HEP
Holding Structure
BEL Structure
S N Power
49%
51%
Malana 86 MW
IFC
12%
88%
AD Hydro 192 MW
AECOM
49%
51%
ICCS
100%
100%
Nyam Jang Chu 780 MW
BGEL 49.5 MW
100%
Bara Banghal 200 MW
Co-Investors/JV Partners
Operating projects
74%
26%
Chango Youngthang 180 MW
Balephi 50 MW
Likhu-IV 50 MW
100%
RSWM
100%
Triveni Group (Nepal) Nepalese Investor
20%
75%
5%
80%
20%
BEL 20MW
LNJ PV 20 MW
Pre-construction projects
Development stage projects
Marquee Investors
Date of Investment`
Investor(s)
Amount Invested (US$mn)
Stake Acquired
Project Level/
Holding Co Level
Mar 2007
IFC
15
12%
Project (A D Hydro)
Aug 2007
Jacob Ballas, NYLIM India,
Wachovia
24
8.5%
HoldCo Level
Jan 2010
IFC, FE Clean Energy
50
10.8%
HoldCo Level
Jul 2010
FE Clean Energy
(Buyout of Wachovia’s stake)
11
2.37%
HoldCo Level
Marquee International Partnerships
Statkraft
 Commercial investor and developer of hydro power projects, operating
exclusively in the emerging markets
 Entered the Indian power market in 2004 by acquiring 49% stake in Malana
Power Company Limited
 One of the very few foreign investor in hydro power in India with an objective
of becoming a significant IPP in the next few years
AECOM
IFC
 World’s leading hydropower engineering consulting company
 Executed some of the largest hydro projects in the world in
countries such as Canada , Turkey , Argentina, China, India, Pakistan
and Peru
 Offers world-class services in the areas of civil, mechanical and
electrical engineering, hydrology, hydraulics, and structural and
geotechnical engineering
 Member of the World Bank Group
 Invested over US$5.35bn in 199 companies in India till date
 Already invested debt of about US$67mn and equity of about US$15mn (12%
stake) in AD Hydro project
 Made an equity investment of US$26 mn in BEL ( 5.25%)
 Invested Debt of US$ 20 mn in wind projects
Snapshot of projects
BEL has an attractive portfolio of projects at excellent locations with strong commercial dynamics
Project / Location
Capacity
(MW)
PLF (%)
BEL
ownership
Start Date / COD
License/BOOT
details
(years)
Malana HEP
(H.P)
86
45.1
51%
Operational
40
Project implemented 30 months ahead of schedule
First IPP in the hydro power sector
First merchant power producer in India
AD Hydro HEP
(H.P)
192
47.7
44.9%
Operational
40
IFC, Washington holds 12% equity in the project
Successful project execution in spite of challenging geological
terrain
Satara Wind
(Maharashtra)
49.5
24.8
100%
Operational
March, 2012
25
Wind assessment studies carried out by reputed international
consultants such as S Gurr and AWS Truepower. 30 MW registered
for GBI
20
20.00
74%
Jan’13/Mar’16
25
GL GH & WinDForce had carried out independent study. The
project is fully operational.
14
23.00
100%
14 MW op. Mar
2014
25
GL GH & WinDForce had carried out independent study. The
project is under execution.
50
50.9
75%
April’15 /
Apiri18
27
Favorable hydrology and easily accessible project site
One of the most advanced hydro projects in Nepal. Financial
Closer has completed.
780
49.3
100%
April ’16 /
April’21
40
Average gross generation potential over past 4 years is
significantly higher than approved design energy. Project site,
power house and barrage are located in well-accessible locations
Tender documents for packages under preparation.
Chango
Yaungthang
(H.P.)
180
47.3
100%
Apr’16 / Apr’21
40
DPR under review at CEA
Bara Banghal
Phase I (H.P.)
92 (Ph I)
50.4
51%
40
DPR under review at CEA
Balephi
(H.P.)
20
52.0
80%
27
Major approvals and fall-back PPA in place
Will be commenced after the completion of Likhu Project
Bara Banghal
Phase II (H.P.)
108 (Ph
II)
50.4
51%
40
Approval of the wildlife department awaited
Dangri Wind
(Rajasthan)
Bhendewade Wind
(Maharashtra)
Likhu IV
(Nepal)
Nyamjang Chhu
(Arunachal
Pradesh)
Apr’17 / Apr’21
(Phase I)
Apr’17/ Apr’20
Key Project Highlights
Bhilwara Energy Limited
Malana Power Corp.Ltd.(MPCL) – Project Overview
Project Type
Location
Installed Capacity
COD
Project Cost
Run-of-the-River HEP
Located on Malana river in Dist. Kullu of Himachal Pradesh, India
86 MW
July 2001
INR 3,320 mn
Debt-Equity Ratio
80:20 (2,650:670)
Power Evacuation
Through 132 KV DC transmission line, constructed and owned by MPCL
Off-take arrangement
100% merchant power sale agreement since inception
Past Operational Performance
Year ending March 31,
Total Generation (MUs)
Plant Load Factor (PLF)
Plant Availability
Avg. Tariff Realisation
Rs. per unit (INR)
PAT ( Rs. MN)
Net Worth (Rs. Mn.)
2009
360
47.80%
99.90%
2010
306
40.60%
99.92%
2011
334
44.30%
99.54%
2012
376
49.80%
99.92%
2013
333
44.21%
99.80%
6.41
1,274
7,673
6.63
989
8,662
5.47
433
9,095
3.73
246
9,341
3.62
157
9,495
Key Highlights

The project was implemented ahead of schedule in 30 months against the envisaged schedule of 60 months

MPCL is the first Independent Power Producer (IPP) in the hydro-power sector, as well as the first merchant power producer in India

The plant has consistently recorded over 99% availability (PAF)

Running successfully for past 12 years
AD Hydro – Project Overview
Project Type
Run of River HEP
Location
Allain and Duhangan River; near Manali, Himachal Pradesh, India
Installed Capacity
192 MW
COD
July 2010 (First Phase) and March, 2012 (Second Phase)
Project Cost
INR 20,213 mn
Debt-Equity Ratio
72:28 (14,611:5,602). (Sub Debt 4,638)
Power Evacuation
A 220 KV, DC transmission line of approximately 175 km. length , from the
power plant to Nalagarh (Himachal Pradesh) substation of PGCIL to
evacuate power from power plant to the inter connection point
Off-take arrangement
100% Merchant Power Sale
Past Operational Performance
Year ending March 31,
Total Generation (MUs)
Plant Load Factor (PLF)
Plant Availability
Avg. Tariff Realisation
Rs. per unit (INR)
EBITA ( Rs. MN)
Net Worth (Rs. Mn.)
2011
145
N.A
N.A
2012
527
31.26%
99.50%
2013
681
40.50%
98.89%
N.A
N.A
8,845
3.97
1,267
8,597
3.67
1,962
8,339
Key Highlights

Successful project execution displayed Group’s expertise in delivering projects under arduous geological conditions

Dedicated transmission line of 175 kms developed under difficult conditions.
(1) Total generation subject to water flow from Allain side of the project only
(2) Duhangan side of the project was commissioned in Feb.2012 and hence water flow was available from Allain side of the project for power generation for major part of the year.
Nyamjang Chhu – Project Overview
Project particulars
S.No.
1
2
3
Particulars
Project Name
SPV
Project Type
4
Location
5
Ownership
6
8
9
Installed Capacity
Gross Energy Generation
Potential
Project Cost
Debt: Equity Ratio
10
Free Power
11
Current Stage
12
Capex So Far
13
Financial Closure
7
14
15
16
17
18
Project location
Details
Nyam Jang Chu HEP
NJC Hydro Power Ltd.
Run of River HEP
Along Nyam Jang Chu river
between Zimithang and Khangteng
in Tawang district, Arunachal
Pradesh
40 years BOOT arrangement
100% equity ownership with BEL
780(6x130)MW
3365.74 MU as approved by CEA
for 90% dependable year
INR 63,700mn (at 2011 level)
75:25
12% Free power to GoAP and 1%
free power for Local Area
development
Pre-construction stage
INR2000mn
(till March, 2014)
Complete financial closure
expected soon (90% tied up)
April 2017
Construction Start Date
Commercial Operation Date
March 2022
(COD)
Power Evacuation
PGCIL to provide grid connectivity
Arrangement
at bus bar
60% - PPA;
Power Sale Arrangement
40% - Merchant as of now
Power Purchase Agreement
Discussions with PTC India Ltd. for
long term PPA agreement with
West Bengal in final stages
Arunachal
Pradesh
Current Status

BEL and GoAP have entered into a Memorandum of Agreement (MoA) on May
28, 2009 for setting up of the NJCHEP. The project is awarded on BOOT basis
for a lease period of 40 years from the Commercial Operation Date (COD) of
the project

GoAP will get free power @ 12% of the power generated at the bus bar

All clearances including TEC from CEA and Environmental Clearances from
MoEF are in place.

Final forest clearance & Consent to Establish from State Govt are under
progress.

NOC for 80% of land already obtained

The Project including barrage is accessible through black top road.

Project involves simple 11 m high barrage components 28 km long HRT and
an underground power house.

HRT shall have 8 adits and the critical reach from one face is around 2 km.

All pre-construction investigations and detailed surveys complete.

Work on 2 small hydro project totaling to 10 MW for meeting construction
power requirement are in progress. Civil works for 7.5 MW project are almost
80% complete.

Tender Documents for all civil packages and main E&M package ready.
Likhu IV – Project Overview
Project Particulars
Project location
S.No.
Particulars
Details
1
2
3
Project Name
SPV
Project Type
Likhu IV HEP
Green Ventures Pvt. Ltd. (GVPL)
Run of River HEP
4
Location
Along Likhu river, ~150km from Kathmandu
5
Ownership
6
Installed Capacity
Gross Energy
Generation Potential
7
8
9
10
11
12
13
14
15
BOOT arrangement with NEA
upto (11 March 2042)
50 MW with 15% overload capacity
293 MU (~66.82% PLF)
2% of gross generation to NEA for the first 15
years and 10% of gross generation thereafter
Project Cost
INR 6,102 mn
Debt: Equity Ratio
70:30
Current Stage
Pre-construction stage
Capex So Far
INR 730mn (till March, 2014)
Completed for 120 MW, the revalidation is in
Financial Closure
progress for 50 MW
Construction Start Date
April -16
Commercial Operation
March -20
Date (COD)
Free Power
16
Power Evacuation
25 km long, double circuit
17
Power Sale
Arrangement
Fixed PPA
Power Purchase
Agreement
PPA with NEA @5.995 US cent per unit, with
an annual escalation of 3.0% p.a. upto 11
times
18
Shareholding pattern

Triveni Group is a diversified business conglomerate
based out of Nepal with interests in:
–
–
–
–
Impex and Trading
Manufacturing of vegetable oils, yarn and cement
Real estate development and tea gardening
Banking and Insurance
Chango Yangthang – 180 MW
Chango Yangthang Hydroelectric Project is contemplated as a run of the river scheme
utilizing the water of Spiti, a tributary of Satluj located near Chango in Spiti Valley,
Distt. Kinnaur of Himachal Pradesh, India
Project Status
Dam Site

Letter of Allotment for 140 MW Chango Yangthang HEP received from Govt. of
Himachal Pradesh (GoHP) in 2007

Pre implementation agreement signed with GoHP on April 28,2008.

DPR stands examined by CEA and approved in the concurrence meeting held on 30
01 2104. Final TEC letter is awaited.

Implementation agreement signed on November 4, 2011 followed by signing of
Supplementary IA on March 28, 2014 for enhanced capacity of 180 MW
Power Evacuation arrangement

The 220KV switch yard of Chango Yangthang HEP is located near Leo village.

It is proposed to inject the power generated at Chango Yangthang HEP into 220 KV
pooling substation at village Ka-Dogri.

220 KV D/C line from Ka-Dogri to 220 KV/400 KV Jangi Pooling Station will wheel the
power pooled at Ka-Dogri

Power off-take arrangement

The project is being developed as a merchant power plant - Proposes to sell its power
mainly to consumers in the Northern Region through short-term PPAs
Power House

Free power royalty will be given to GoHP @ 12% of its generation for the first 12
years from COD, 18% for the next 18 years and 30% for the balance 10 years
Hydrology

Annual PLF of the plant is around ~ 47.3%
Bara Bangahal HEP – 200 MW
Bara Bangahal Hydroelectric project is contemplated as run-of-the-river scheme to
utilise water of Ravi river. The Project is located in Chamba / Kangra Districts of
Himachal Pradesh. The Project is being developed by Malana Power Company Ltd
Project Status
Underground Powerhouse

Letter of Allotment received from Govt. of HP in 2007

Pre implementation agreement signed with GoHP on April 28, 2008

Due to part of the project located in Dhauladhar Wild Life Sanctuary, the Project is
approved to be developed in two stages.

Stage I 92MW (Outside the Sanctuary area) : DPR under preparation for submission
to CEA and HP government

Stage II 108 MW : Approval of the National Board of Wildlife under process.
Power Evacuation arrangement

As per the power evacuation plan proposed by CEA and HP Govt, apprx.18 km long
transmission line is proposed from switchyard of Bara Bangahal HEP to substation
of downstream Bajoli Holi HEP

Combined power from BBHEP, Bajoli Holi and Kuther HEPs will be fed to pooling
station near village Khadamukh through a 35 km long 220 KV transmission line
Power off-take arrangement

The project is being developed as a merchant power plant - Proposes to sell its
power mainly to consumers in the Northern Region through short-term PPAs

Free power royalty will be given to GoHP @ 12% of its generation for the first 12
years from COD, 18% for the next 18 years and 30% for the balance 10 years
Hydrology

Annual PLF of the plant is around 50.1%
Satara – 50 MW Wind Power Project
Capacity Phasing
Overview
Location
Vill. Kukudwad, Dist.Satara, MH
Details
30MW
4.5MW
6MW
6MW
3MW
Land
22.8 hectares
COD
Mar’12
May’12
Sep’12
Aug’13
Sep’13
Supplier & EPC Contractor
ReGen Powertech Pvt. Ltd.
PPA Tariff (Rs./kwh)
5.37
5.67
5.67
5.81
5.81
O & M Contractor
ReGen Powertech Pvt. Ltd.
GBI Registration
49.5 (33x1.5) MW
PPA
a
a
a
a
a
a
a
a
a
Project Capacity
Wind Turbine Generator
Vensys V-77 (1.50MW)
Project Cost
Rs 3,191 mn (Rs 64.46 mn/MW)
Debt: Equity Ratio
70:30
Current Status
Commissioned (49.5MW)
Lenders
IREDA and IFC
Construction Start Date
Financials
Rs. Mn
%
Equity
569
18%
Nov-11
CCDs*
388
12%
EPC Contract
LSTK signed with Regen Powertech
Term Loan
2,234
70%
Power Evacuation
With Regen
Total Means of Finance
3,191
CDM Status
Registered with UNFCCC and CERs
generated since Oct’ 12
Financials (Rs. Mn)
FY13
FY12
Power Purchase Agreement
13 Year fixed tariff PPA with MSEDCL
Revenues from Operations
300.2
0.7
Other Income
73.9
-
Total Revenues
371.8
0.7
Expenses
24.1
1.3
EBITDA
350.0
-0.6
Depreciation
174.8
3.4
Finance Cost
150.2
1.0
PBT
25.0
-5.0
PAT
25.0
-5.0
Wind Resource Assessment Studies
Means of Finance
Dangri – 20 MW Wind Power Project
Project Data
Overview
Location
Dangri; Dist. Jaisalmer, Rajasthan
Land
10 hectares
Supplier & EPC Contractor
INOX Wind and Group Cos.
O & M Contractor
Project Cost
Rs 58.5mn/MW
PLF YTD-FY14
~ 18 %** (As of Oct 31, 2013)
INOX Wind Infrastructure
Gen. YTD- FY14
~ 18.5 MUs
Project Capacity
20.0 (10x2.0) MW
Tariff (Rs/unit)
5.75- fixed for 20 years
Wind Turbine Generator
Inox WT2000DF (2.0 MW)
GBI Availability
No – As the power is not sold to DISCOM
Project Cost
Rs 1,173 mn
Debt: Equity Ratio
72:28
CDM Status
Validation under process
Current Status
Commissioned –Mar 31, 2013
Lenders
Yes Bank (Rs 432.9mn) and IFC (Rs
409.5mn)
Construction Start Date
Dec 12
EPC Contract
Signed in Dec’ 12
Equity
10.0
1%
Power Evacuation
With INOX
CCDs*
317.6
27%
Power Purchase Agreement
20 Year PA with RSWM Ltd, under
Group Captive Scheme
Term Loan
842.4
72%
Financials
Means of Finance
Total Means of Finance
Rs. Mn
%
1,170.0
Wind Resource Assessment Studies
Shareholding Pattern - Equity
Rs. Mn
%
Bhilwara Energy Limited
7.4
74%
RSWM Limited
2.6
26%
Total - Equity
10.0
*CCD’s carry a coupon of 14% payable semi-annually and have
tenure of 15 years, subscribed by RSWM Limited.
Bhendwade – 14 MW Wind Power Project
Project Data
Overview
Project Cost
Rs 65.7 mn / MW
COD
14 MW March 2014,
Tariff (Rs/unit)
5.81- fixed for 13 years
INOX Wind Infrastructure
GBI Registration
Eligible
Project Capacity
14.0 (7x2.0) MW
PPA Execution Status
Will be after commissioning
Wind Turbine Generator
Inox WT2000DF (2.0 MW)
High Wind Season
May - September
Means of Finance
Rs. Mn
%
Project Cost
INR 924.50 mn
Equity
235.42
25%
Debt: Equity Ratio
75:25
Term Loan
689.08
75%
Current Status
14 MW March 2014
Total Means of Finance
924.50
100%
Lenders
IREDA
Power Evacuation
At 33/132 kV Shirla s/s
Power Purchase Agreement
13 Year PPA MSEDCL @Rs.5.81
Location
Bhendwade, Maharashtra
Supplier & EPC Contractor
INOX Wind Ltd
O & M Contractor
Wind Resource Assessment Studies
Financials
BG WIND POWER – 20 MW
Project Data
Overview
Location
Dangri; Dist. Jaisalmer, Rajasthan
Land
10 hectares (Revenue)
Supplier & EPC Contractor INOX Wind and Group Cos.
Project Cost
INR 66.7 mn/MW
Tariff (Rs/unit)
5.78- fixed for 25 years
GBI Availability
Yes @ INR 0.50/ kWh. Max INR 10 Mn/ MW
O & M Contractor
INOX Wind Infrastructure
Project Capacity
20.0 (10x2.0) MW
Wind Turbine Generator
Inox WT2000DF (2.0 MW)
25.0%
Debt: Equity Ratio
75:25
22.5%
Wind Resource Assessment Studies
27.5%
25.5%
24.8%
24.1%
22.7%
22.6%
22.5%
21.1%
20.6%
20.1%
Current Status
WIP ; SCOD - Mar 31, 2015
Lenders
Aditya Birla Finance Ltd (INR 1000
Mn)
20.0%
17.5%
15.0%
GL GH
P50
Construction Start Date
WINDFORCE
P75 P90
Average
15-Dec-2014
Financials
EPC Contract
Signed in Nov’14
Power Evacuation
With INOX at 220 KV Akal SS
To be signed with Rajasthan State
Power Purchase Agreement DISCOM for 25 Year under FiT
Scheme from COD
Means of Finance
Equity
Rs. Mn
%
333
25%
Term Loan
1000
75%
Total Means of Finance
1333
100%
Strong Platform & Robust Strategy
Company has developed a well-rounded sound strategy to benefit from immense potential presented
by the sector, the results of the strategy are already reflecting in the initial projects
Drivers / Strategy
Platform
Geographic diversification
Outcomes
Higher than Normal PLF
 Preferred project size 20-40 MW , across 10-12 locations
 Projected PLFs of 23%+ (P:75) for all projects
 Enables tapping high tariff states, high PLF sub-projects
 Exceeding the expected PLF in the first two
projects
 Helps diversifying the SEB, wind profile risk
Vendor
Execution Excellence
 Different vendors for the 2 projects, no preferred vendor
status
 Reduction in project timelines through
superior project selection
 High bargaining power on pricing, contracting, others
 High quality execution – strong negotiation &
contracting skills
Robust sale strategy
 Flexibility for FIT, APPC + REC, captive (Group & 3rd Party)
 One of the most experienced groups in merchant power
Technology
 Best-in-class turbine technologies from various vendors
300 MW Base Portfolio
+
~50 MW / Annum over
time by internal accruals
Strong IRRs
 Equity IRRs > 18%
 Commands one of the lowest cost of capital
 Proven ability to raise long term low cost debt
 Targeting larger size machines with high PLF potential
Financing
 One of the strongest financing profile
 Higher leverage than market at relatively lower cost of debt
Strong Management
 Combined experience of over 50 years in wind sector
 Strong financial engineering acumen with the team
Strong Revenue + Cashflow
 Average PPA price > Rs. 5.75/ kwh,
combined with other benefits
 Strong WC Mgmt, Minimal impact of SEB
financial health
Bhilwara Energy Limited (BEL)
THANK YOU
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