g Provisions and Contingent liabilities
A provision is recognized if, as a result of a past event, the Company has a present legal or constructive obligation
that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the
obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects
current market assumptions of the time value of money and the risks specific to the liability. The unwinding of
discount is recognized as finance cost.
The amount recognized as a provision is the best estimate of the consideration required to settle the present
obligation at reporting date, taking into account the risks and uncertainties surrounding the obligation.
Contingent Assets are disclosed, when some or all of the economic benefits required to settle a provision are
expected to be recovered from a third party, the receivable is recognized as an asset if it is virtually certain that
reimbursement will be received and the amount of the receivable can be measured reliably.
A provision for onerous contract is measured at the present value of the lower of the expected cost of terminating
the contract and the expected net cost of continuing with the contract.
Contingent liabilities are possible obligations that arise from past events and whose existence will only be
confirmed by the occurrence or non-occurrence of one or more future events not wholly within the control of the
Company. Where it is not probable that an outflow of economic benefits will be required, or the amount cannot be
estimated reliably, the obligation is disclosed as a contingent liability, unless the probability of outflow of economic
benefits is remote.
h Employee Benefits Expense
On November 21, 2025, the Government of India notified the four Labour Codes - the Code on Wages, 2019, the
Industrial Relations Code, 2020, the Code on Social Security, 2020, and the Occupational Safety, Health and
Working Conditions Code, 2020 (collectively "new Labour Codes") - consolidating 29 existing labour laws. In
accordance with the new Labour Codes, the Company has currently estimated and accounted for the incremental
impact on retiral benefits under employee cost for the year ended March 31, 2026. The Company continues to
monitor developments on the Rules to be notified by regulatory authorities, including clarifications / additional
guidance from authorities and will continue to assess the accounting implications, basis such developments /
guidance
Short Term Employee Benefits : The undiscounted amount of short term employee benefits expected to be paid
in exchange for the services rendered by employees are recognised as an expense during the period when the
employees render the services.
Post-Employment Benefits :
Defined Contribution Plans - A defined contribution plan is a post-employment benefit plan under which the
Company pays specified contributions to a separate entity. The Company makes specified monthly contributions
towards Provident Fund. The Company’s contribution is recognised as an expense in the Statement of Profit and
Loss during the period in which the employee renders the related service.
Defined Benefit Plans - The Company pays gratuity to the employees whoever has completed five years of
service with the Company at the time of resignation / superannuation. The gratuity is paid @15 days salary for
every completed year of service as per the Payment of Gratuity Act 1972 or otherwise contractually agreed with
the employees.
The gratuity liability amount is contributed to the approved gratuity fund formed (LIC) exclusively for gratuity
payment to the employees. The gratuity fund has been approved by Income Tax authorities.
The liability in respect of gratuity and other post-employment benefits is calculated using the Projected Unit Credit
Method and spread over the period during which the benefit is expected to be derived from employees’ services.
Re-measurement of defined benefit plans in respect of post-employment are charged to the Other
Comprehensive Income,
i Tax Expenses
Income tax comprises current and deferred tax. It is recognised in profit or loss except to the extent that it relates
to a business combination or to an item recognised directly in equity or in other comprehensive income, in which
the current and the deferred tax is also recognised directly in equity or in other comprehensive income.
Current tax
Current tax is measured on the basis of estimated income and tax credits computed in accordance with the
provisions of the Income Tax Act, 1961. Management periodically evaluates positions taken in tax returns with
respect to situations in which applicable tax regulation is subject to interpretation. It establishes provisions where
appropriate on the basis of amounts expected to be paid to tax authorities
Current tax assets and current tax liabilities are offset only if there is a legally enforceable right to set off the
recognised amounts, and it is intended to realise the asset and settle the liability on a net basis or simultaneously.
Deferred tax
Deferred tax is recognised in respect of temporary differences between the carrying amounts of assets and
liabilities for financial reporting purposes and the corresponding amounts used for taxation purposes.Deferred tax
liability is generally recognised for all taxable temporary differences. Deferred tax asset (including in respect of
carried forward tax losses and tax credits) are recognised to the extent it is probable that the taxable profit will be
available against which deductible temporary differences can be utilised.
Deferred tax assets are recognised to the extent that it is probable that future taxable profits will be available
against which they can be used.
Deferred tax assets recognised or unrecognised are reviewed at each reporting date and are recognised /
reduced to the extent that it is probable / no longer probable respectively that the related tax benefit will be
realised.
Deferred tax is measured at the tax rates that are expected to apply to the period when the asset is realised or the
liability is settled, based on the laws that have been enacted or substantively enacted by the reporting date.
The measurement of deferred tax reflects the tax consequences that would follow from the manner in which the
Company expects, at the reporting date, to recover or settle the carrying amount of its assets and liabilities
The Company offsets, the current tax assets and liabilities (on a year on year basis) and deferred tax assets and
liabilities, where it has a legally enforceable right and where it intends to settle such assets and liabilities on a net
basis.
j Foreign currencies transactions
Transactions in foreign currencies are initially recorded by the company at their functional currency spot rates at
the date of the transaction. Monetary assets and liabilities denominated in foreign currency are translated at the
functional currency spot rates of exchange at the reporting date. Exchange differences that arise on settlement of
monetary items or on reporting at each balance sheet date of the Company’s monetary items at the closing rates
are recognised as income or expenses in the period in which they arise. Non-monetary items which are carried at
historical cost denominated in a foreign currency are reported using the exchange rates at the date of transaction.
Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the
date when the fair value is determined.
k Revenue recognition
Revenue from contracts with customers is recognised when control of the goods or services are transferred to the
customer at an amount that reflects the consideration to which the Company expects to be entitled in exchange
forthose goods or services.
Revenue from sale of power is recognised net of cash discount over time for each unit of electricity delivered at
the contracted rate.
Income from Sale of Entitlements from Wind Power Project is accounted for as and when sold and collection is
certain.
The Company has adopted Ind AS 115 - 'Revenue from Contracts with Customers' with effect from 01.04.2018.
Revenue from the sale of goods in the course of ordinary activities is recognised at the 'transaction price' when
the goods are 'transferred' to the customer. The 'transaction price' is the amount of consideration to which the
Company expects to be entitled in exchange for transferring promised goods to a customer, excluding amounts
collected on behalf of third parties (for example, goods and service tax). The consideration promised in a contract
with a customer may include fixed amounts, variable amounts, or both. The goods are considered as 'transferred'
when the customer obtains control of those goods.
Interest Income - Interest income is recognised using Effective Interest Rate (EIR) method.
Income on Inter Corporate Deposits is accounted for on time accrual basis.
Dividend Income - Revenue is recognised when the Company’s right to receive the payment has been
established.
I Financial instruments
i) Financial Assets
a Recognition and measurement
All financial assets and liabilities are initially recognized at fair value. Transaction costs that are directly
attributable to the acquisition or issue of financial assets and financial liabilities, which are not at fair
value through profit or loss, are adjusted to the fair value on initial recognition. Purchase and sale of
financial assets are recognised using trade date accounting.
A Financial asset is measured at amortized cost if it is held with objective to hold the asset in order to
collect contractual cash flows as and when due.
A financial assets is measured at FVTOCI if it is held with an objective to achieve collecting
contractual cash flows as and when due and selling financial assets.
A financial assets which is not classified under any of the above categories are measured at FVTPL.
b Investment in Associates and Subsidiaries
The Company has accounted for its investments in associates and subsidiaries at cost,
c Other Equity Investments
All other equity investments and equity instruments held for trading are measured at fair value, with
value changes recognised in Statement of Profit and Loss, except for those equity investments for
which the Company has elected to present the value changes in ‘Other Comprehensive Income’,
d Impairment of financial assets
For trade receivables Company applies ‘simplified approach’ which requires expected lifetime losses
to be recognised from initial recognition of the receivables. The Company uses historical default rates
to determine impairment loss on the portfolio of trade receivables. At every reporting date these
historical default rates are reviewed and changes in the forward looking estimates are analysed,
e Derecognition
The Company derecognises a financial asset when the contractual rights to the cash flows from the
financial asset expire, or it transfers the right to receive the contractual cash flows in a transaction in
which substantially all of the risks and rewards of ownership of the financial assets are transferred or
in which the Company neither transfers nor retains substantially all of the risks and rewards of
ownership and does not retain control of the financial asset.
If the Company enters into transactions whereby it transfers assets recognised on its balance sheet
but retains either all or substantially all of the risks and rewards of the transferred assets, the
transferred assets are not derecognised.
ii) Financial liabilities
Recognition and measurement - All financial liabilities are recognized at fair value and in case of loans, net of
directly attributable cost. Fees of recurring nature are directly recognised in the Statement of Profit and Loss as
finance cost.
For trade and other payables maturing within one year from the balance sheet date, the carrying amounts
approximate fair value due to the short maturity of these instruments.
Derecognition
The Company derecognises a financial liability when its contractual obligations are discharged or cancelled or
expire.
The Company also derecognises a financial liability when its terms are modified and the cash flows under the
modified terms are substantially different. In this case, a new financial liability based on the modified terms is
recognised at fair value. The difference between the carrying amount of the financial liability extinguished and a
new financial liability with modified terms is recognised in the statement of profit and loss.
iii) Offsetting
Financial assets and financial liabilities are offset and the net amount presented in the balance sheet when, and
only when, the Company currently has a legally enforceable right to set off the amounts and it intends either to
settle them on a net basis or realise the asset and settle the liability simultaneously.
m Cash and Cash Equivalents
Cash and Cash Equivalents consist of cash on hand, cash at banks, demand deposits from banks and short term,
highly liquid instruments.
n Earnings per share
Basic earnings per share are calculated by dividing the net profit or loss for the year attributable to equity
shareholders by the weighted average number of equity shares outstanding during the period.
Diluted earnings per share are computed by dividing the profit after tax as adjusted for dividend, interest and other
charges to expense or income (net of any attributable taxes) relating to the dilutive potential equity shares, by the
weighted average number of equity shares considered for deriving basic earnings per share and the weighted
average number of equity shares which could have been issued on conversion of all dilutive potential equity
shares.
o Classification of current / non current assets and liabilities
All assets and liabilities are presented as current or non current as per the Company's normal operating cycle and
other criteria set out in Schedule III of the Companies Act,2013 and Ind AS 1 Presentation of financial
statements. Based on the nature of products and the time between the acquisition of assets for processing and
their realisation, the Company has ascertained its operating cycle as 12 months for the purpose of current / non
current classification of assets and liabilities,
p Measurement of fair values
A number of the Company’s accounting policies and disclosures require the measurement of fair values, for both
financial assets and liabilities.
The Company has an established control framework with respect to the measurement of fair values.
Fair values are categorised into different levels in a fair value hierarchy based on the inputs used in the valuation
techniques as follows.
Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2: inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either
directly (i.e. as prices) or indirectly (i.e. derived from prices).
Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs).
When measuring the fair value of an asset or a liability, the Company uses observable market data as far as
possible. If the inputs used to measure the fair value of an asset or a liability fall into different levels of the fair
value hierarchy, then the fair value measurement is categorised in its entirety in the same level of the fair value
hierarchy as the lowest level input that is significant to the entire measurement.
The Company recognises transfers between levels of the fair value hierarchy at the end of the reporting period
during which the change has occurred.
q Cash flow statement
Cash flows are reported using the indirect method, whereby profit for the period is adjusted for the effects of
transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments
and item of income or expenses associated with investing or financing cash flows. The cash flows from operating,
investing and financing activities of the Company are segregated. The company considers all highly liquid
investments that are readily convertible to known amounts of cash to be cash equivalents.
1.5 ACCOUNTING JUDGEMENTS AND ESTIMATION OF UNCERTAINTY
a Depreciation and useful lives of Property, Plant and Equipment
Property, plant and equipment are depreciated over their estimated useful lives, after taking into account
estimated residual value. Management reviews the estimated useful lives and residual values of the assets
annually in order to determine the amount of depreciation to be recorded during any reporting period. The useful
lives and residual values are based on the Company’s historical experience with similar assets. The depreciation
for future periods is revised if there are significant changes from previous estimates.
b Recoverability of trade receivable
Judgements are applied in assessing the recoverability of overdue trade receivables and determining whether a
provision against those receivables is required.
c Provisions
Provisions and liabilities are recognized in the period when it becomes probable that there will be a future outflow
of funds resulting from past operations or events and the amount of cash outflow can be reliably estimated. The
carrying amounts of provisions and liabilities are reviewed regularly and revised to take account of changing facts
and circumstances.
d Defined benefit obligations
The obligation arising from defined benefit plan is determined on the basis of actuarial assumptions. Key actuarial
assumptions include discount rate, trends in salary escalation, actuarial rates and life expectancy. The discount
rate is determined by reference to market yields at the end of the reporting period on government bonds. The
period to maturity of the underlying bonds correspond to the probable maturity of the post-employment benefit
obligations.
1.6 STANDARDS ISSUED BUT NOT YET EFFECTIVE
Recent Indian Accounting Standard (Ind AS) pronouncements which are not yet effective Ministry of Corporate Affairs
("MCA") notifies new standards or amendments to the existing standards under Companies (Indian Accounting
Standards) Rules as issued from time to time. For the year ended March 31, 2026, MCA has not notified any new
standards or amendments to the existing standards applicable to the Company.
NOTE [10.2]
Terms / Rights attached to Equity Shares
a) The Company has only one class of shares having a par value of Rs.10/- per share. Each
holder of equity shares is entitled to one vote per share.
b) In the event of liquidation of the company, the holders of equity shares will be entitled to
receive the remaining assets of the company, after distribution of all preferential amounts.The
distribution will be in proportion to the number of equity shares held by the shareholders.
c) The company has not issued any bonus shares or bought back the equity shares nor issued
shares for consideration other than cash in the last 5 years immediately preceding the reporting
date.
Furthermore, in presenting the above sensitivity analysis, the present value of the defined benefit
obligation has been calculated using the projected unit credit method at the end of the reporting
period, which is the same method as applied in calculating the defined benefit obligation as
recognised in the balance sheet.
There was no change in the methods and assumptions used in preparing the sensitivity analysis
from prior year
Note No : 22.2 - Defined Contribution Plan
The company’s provident fund schemes which are administered through Government of India are
defined contribution plan. The company’s contribution paid / payable under the scheme is
recognised as expense in the statement of profit and loss during the year in which the employee
renders the related services. There are no other obligations other than the contribution payable to
the respective fund.
The amount recognised as an expense and included in the note “Employee benefits -
Contribution to Provident and otherfunds”of the Statement of Profit and Loss is Rs 3.98 Lac (Prev
Year - Rs 5.88 Lac).
Note**
1 Non Current Investment includes Quoted and Unquoted Equity Instruments.
The financial instruments are categorised into various levels based on the inputs used to arrive at fair value of measurements as described
below:
Level 1 : Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments, traded bonds
and mutual funds that have quoted price. The fair value of all equity instruments (inlcuding bonds) which are traded in the stock exchanges is
valued using the closing price as at the reporting period.
Level 2 : The fair value of financial instruments that are not traded in an active market (for example, traded bonds, over-the-counter derivates) is
determined using valuation techniques which maximise the use ofobservable market data and rely as little as possible on entity-specific
estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in Level 2.
Level 3 : If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for
unlisted equity securities, contingent consideration and indemnification asset included in Level 3.
c Financial risk management
The Company has exposure to the following risks arising from financial instruments:
Ý Credit risk;
Ý Liquidity risk; and
Ý Market risk
i Risk management framework
The Company's Board of Directors has overall responsibility for the establishment and oversight of the Company's risk management
framework.
The Company's risk management policies are established to identify and analyse the risks faced by the Company, to set appropriate risk
limits and controls and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect
changes in market conditions and the Company's activities. The Company, through its training and management standards and procedures,
aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.
The audit committee oversees how management monitors compliance with the company's risk management policies and procedures, and
reviews the adequacy of the risk management framework in relation to the risks faced by the Company. The audit committee is assisted in its
oversight role by internal audit. Internal audit undertakes both regular and ad hoc reviews of risk management controls and procedures, the
results of which are reported to the audit committee.
ii Credit risk
Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual
obligations, and arises principally from the Company's receivables from customers and investments in debt securities.
The carrying amount of following financial assets represents the maximum credit exposure:
Trade and other receivables
Trade Receivables of the Company mainly consist of receivables from the state utilities and other parties. In respect of receivable from the
state utilities, all written off amounts during the past years and current year were pertaining to specific disputes and not related to credit risk.
Hence, in the opinion of the management there is no credit loss on receivable from the state utilities.
In respect of Other Receivables, there is no past history of credit loss from these parties, hence there is no expected credit loss on such
receivables
iii Liquidity risk
Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are
settled by delivering cash or another financial asset. The Company's approach to managing liquidity is to ensure, as far as possible, that it
will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring
unacceptable losses or risking damage to the Company's reputation.
A decrease of 50 basis points in interest rates at the reporting date would have had equal but opposite effect on the amounts shown above,
on the basis that all other variable remain constant.
d Price Risk
The Company investment in equity instruments in Subsidiaries and Associates are stated at cost and not required to be remeasured. Neither
Profit or Loss nor Equity will be affected by the equity price risk of those instruments.
Further the Company investment in equity instruments carried at fair value through Other Comprehensive Income are subject to price risk
which may not effect the total comprehensive income of the Company
To manage its price risk, the Company diversify its portfolio. Diversification of the portfolio is done based on internal review and limits
decided by the management from time to time.
36 Valuation
a The Fair Value of investment in Quoted Equity Shares is measured at quoted price.
b The Fair Value of investment of unquoted equity shares in other than Associate and Subsidiary is determined by valuing such investee
companies at their respective fair values by considering in each of such investee companies, the value of immovable properties considered by
revenue authorities for determining the stamp duty amount, the quoted equity shares at their quoted price, and for unquoted equity shares by
adopting the method of determination as above i.e. finding the fair value of such unquoted entities and other assets and liabilities at their carrying
costs.
37 Segment Information
The Primary Business activity of the Company is that of Generation of Power from Renewable Sources and hence there being only one reportable
segment, segment reporting has not been furnished.
38 Capital management
The company manages its capital to ensure that it will be able to continue as going concern while maximising the return to stakeholders through the
optimisation of the debt and equity balance.
The capital structure of the company consists of net debt (borrowings as detailed in notes No. 12 & 16 offset by cash and cash equivalents) and
equity of the Company (comprising issued capital, reserves and retained earnings as detailed in notes 10 and 11).
The company is not subject to any externally imposed capital requirements.
39 These financial statements are approved for issue by the Board of Directors of the Company on 28.05.26
40 Commission of Rs. 15.60 lakhs has been paid to Managing Director in FY 2025-26, based on profits for FY 2024-25 as approved by the Board in FY
2024-25 Accounts adoption meeting. Since it pertains to the financial year 2024-25 and no provision for such commission was made in the financial
statements for FY 2024-25, the same has been given effect to in Financial Statements of FY 2024-25 in the current year, as a prior period item, by
restatement of Employee benefit expenses, current liabilities and reserves.
41 a The company has taken land and premises on cancellable and non-cancellable operating leases. Non-cancellable leases of the Company are
pertaining to leasehold lands for its windmills. These agreements contain a lease term for a period 10 years. In such lease agreements, there are
no terms for purchase option or any restriction such as those concerning dividend and additional debts. Lease agreements of the Company do
not contain any variable lease payment or any residual value guarantees. The Company has not entered into any sublease agreement in respect
of these leases.
During the year the Company has adopted Ind AS 116. Accordingly, the Company has recognised a Right of Use asset in respect of each
identified asset under leases agreements (other than short term lease of 12 months or less and lease of low value assets) and corresponding
lease liability being the present value of lease payments during the lease term.
Refer note 2 for details of Right of use assets and Refer note 1.4 (b) for accounting policy and transition effects of first time of IndAS 116
v The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as
income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of
the Income TaxAct, 1961
vi The Company does not have any immovable property (other than properties where the Company is the lessee and the lease agreements are
duly executed in favour of the lessee) whose title deeds are not held in the name of the Company.
vii The Company has not made any Loans or Advances in the nature of loans that are granted to promoters, directors, KMPs and the related
parties (as defined under Companies Act, 2013,) either severally or jointly with any other person, that
a repayable on demand or
b without specifying any terms or period of repayment
43 The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies) including foreign entities (Intermediaries) with the
understanding that the intermidiary Shall:
a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of Company (Ultimate
beneficiaries) or
b) provide and guarantee, security or the like to or on behalf of the Ultimate beneficiaries
The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether
recorded in writing or otherwise) that the Company shall:
a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of Company (Ultimate
beneficiaries) or
b) provide and guarantee, security or the like to or on behalf of the Ultimate beneficiaries
44 Previous year figures have been regrouped and / or reclassified wherever necessary.
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