Ladies and gentlemen, good day, and welcome to the Adani Green Energy Limited Q2 FY23 earnings conference call, hosted by DAM Capital Advisors Limited. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Mohit Kumar from DAM Capital. Thank you, and over to you, sir.
Thank you, Tanvi. On behalf of DAM Capital, we welcome everyone to Adani Green Energy Q2 FY23 earnings conference call. Let me introduce the participants from Adani Green on this call. We have Mr. Vneet S. Jaain, MD & CEO. Mr. Kaushal Shah, who has been the CFO at Adani Green for last 2 years and will now be taking up new responsibilities within the group. Mr. Phuntsok Wangyal, who is now going to take up the responsibilities as the new CFO at Adani Green. Also, we have Mr. Raj Kumar Jain, Head, Business Development, and Mr. Viral Raval, Lead Investor Relations. Let me hand over the call to Mr. Kaushal Shah for opening remarks, which will be followed by Q&A. Over to you, sir.
This is the operator here. Management members, we are not able to hear you. Please unmute your line.
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Yes, sir.
Yes.
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Good morning, everyone. Mohit, thank you for introducing. Primarily, the news you all are aware that we have Mr. Phuntsok Wangyal, very experienced guy in this sector. He was with the ENGIE India and has, you know, great experience on the various fronts. He will be taking over as the CFO of Adani Green, and I will be moving to some responsibility in the group. Thank you for joining this call, and warm welcome to all of you for this earnings call for the half year ended 30th September. We have already uploaded the earnings presentation on the website, and we hope that you would have sufficient time to go through the same. Let me walk through the, you know, the key highlights and the recent updates.
On a year-on-year basis, the operational capacity has increased by 24% to 6,702.4 MW in the first half of FY 2023. Over and above, there is a partially commissioned capacity of 948 MW. That in due course will be announced as a COD. AGEL has developed India's first and world's largest solar wind hybrid power cluster with a capacity of 990 MW in Rajasthan. Further commissioned the largest wind plant in Madhya Pradesh with a capacity of 325 MW. This hybrid project is, you know, we are the first in the country to do this and, we have completed in time.
I shall brief you on some of the important achievements on the ESG front before I take over the operational matters. AGEL has achieved Sustainalytics' ESG risk rating of low risk with a score of 14.6, which is the best among the key large global players, peers, and significantly better than the global industry average of 33.5. As we keep telling every time that the group is focusing both on the, you know, the environment, social and also on the best of the governance practices. This is one of the results of the same. AGEL has won CII's Climate Action Program CAP 2.0, which is commendation award. As you all are aware that all of our, you know, the operating plants are now already plastic free.
In line with our commitment of various things for, you know, to be plastic free by 2024, but we have started already achieving this in the current year. There is a set processes already there. Now, let me brief you about the operational and financial performance. Solar portfolio, as you are aware that improved by 110 basis points year-over-year to 24.3%. This is because of the integration of the high quality SB Energy portfolio, as well as high plant and more than 99%. Similarly, you know, green portfolio, this is, barring one-off issue we had. You know, there is a 41% wind CUF which was there.
This is again a great achievement as far as you know the CUF and the availability is concerned. This is the result of the you know continuous use of the new technology as we are implementing new projects. The newly commissioned hybrid projects which has deployed bifacial PV modules and horizontal single-axis tracking technologically to capture maximum energy. This has you know yielded almost 37% of you know the CUF. Now this is just in the beginning. We are just implementing in last three , four months. The grid availability always is 99%.
We keep continue telling that the focus is that, you know, all the projects are connected through the ENOC and we extensively use the AI and ML to improve our, you know, the availability and CUF both as the, you know, we can monitor online all the plants sitting here at the headquarters in Ahmedabad. Some of you when you visit Ahmedabad, you know, please let us know. We can show you live that this is an, you know, world-class facility which we have created here. Sale of energy has increased by 67% to 6,618 million units in this quarter. Then the revenue from the power supply has also increased by 45%. Cash profit has increased by 49% to almost close to INR 1,300 crores.
One of the important events which has happened in this quarter is, you know, Adani Green Energy has received the favorable order from APTEL for 288 MW of solar plants at Kamuthi. Now, you know, the tariff, which originally was INR 7.01, which they were giving us at INR 5.40 now INR 5.10. There is a difference of, you know, INR 568 crores, as a, you know, the past accrued income and then recurring we will be having INR 90 crores. Just for the knowledge, this is an upside we have not yet accounted in the books.
You know, DISCOM may go to the appeal, so as a conservative practice we have not accounted, but we are very confident that, you know, we will get the favorable orders even if they go on the next level. That's the things. Couple of questions which are normally coming is that, you know, since the hybrid projects were commissioned in a partial manner, we also have generated infirm power revenue of INR 1,312 crore in this first half. Now, this is not part of my P&L. Friends, cash flow is already available with us, but this will reduce my CapEx. That is the next update I want to give. Another important development is on the receivable front.
You know, during first half, we have received almost INR 700+ crore from Tamil Nadu and Telangana. You know, we are absolutely now more or less current on the receivable front. This has also improved the cash flow. The interest rate front also, you know, some of the questions are coming that what is the impact. Almost 76% of our portfolio is fixed currently. 11% of another portfolio, which is greenfield, where we have a 2-3-year cycle, where there is no impact and it will be fixed. Remaining 11% will be the, you know, the variable whereby, you know, the original rate was 8.5%, which is now 9%. On and on, you know, there is no material impact as far as the, you know, the increase in the interest environment.
This is all from my side. You know, I'm happy to take your questions. Phuntsok is also there with me on the call. You know, and Vneet-ji and Raj Kumar Jain are also there. Over to you.
Thank you. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, you may enter star and one to ask a question at this moment. We will wait for a moment while the question queue assembles. The first question is on the line of Lavina Quadros from Jefferies. Please go ahead.
To understand what the challenges are you seeing today in terms of your capacity ramp-up plans? I mean, I know you'll have enough land, but let's say, is it module acquisition strategy because your earnings growth rate depends on that. Just want to understand if there are any specific challenges you are facing today. Thanks.
I think there are some grid-related delays which we have seen, which has moved some of the CODs or commissioning by a few months or in some cases by a couple of quarters. Which has led to a different COD profile than what we had earlier estimated. That is where Mr. Kaushal Shah just indicated that we also have additional capacity which has been commissioned technically, but we are unable to do the COD. Some of this will fade away in terms of the COD capacities which we will achieve in the near term. That's one part of the growth profile which you see. Second, yes, the next level of capacities which we see would
More to come towards the mid- to end of next financial year in terms of our execution plan. You would see a significant ramp up at that point in time in our COD/commissioning of a lot of capacity. We are more or less, I would say very comfortable on our procurement strategy for solar modules, because we have a lot of PPAs where all of this is whatever duties are there, such as in general. The last 1.5-year increase in the module prices has not impacted us much because of our long-term strategy of procurement, so we are comfortable on that part.
It is largely, I would say, some quarter here and there, just because of the way transmission system builds up in India.
Okay. Mainly constrained by transmission versus any specific issues on the generation side, if I understand?
Yeah. You're right. In a nutshell, you would say, it is the transmission system availability, and within that also the completeness of the entire system which has impacted me announcing the CODs. Which has not impacted us in terms of revenue because that's, in that case, becomes an infirm revenue and goes in the project cost. No adverse impact for us. Yes, in terms of a headline number, yes, you are right that, we had to push certain capacity by a couple of quarters in terms of our legal CODs.
Understood. Lastly, this whole green energy open access, the revised norms that has come up, how are you all looking at it? You know, what is the way forward? Are states actually implementing it? Or what's the update there mainly? Thank you.
Yeah, sure. It's a very good initiative by government of India, and it is something which was required for achieving the next level of growth in the green energy adoption by the country. Opening that for the private sector really helps. You would see that a lot of new plants would be set up at the centralized ISTS-based plants, and those in turn to this green energy open access would supply to the consumers. Now, states would adopt it because it has come in very recently, two or three months. We have seen some of the states are adopting it. Even today, there is no restrictions per se for doing catering to a demand of up to one megawatt plus. Until then, there is no regulatory restrictions. We can straightaway go into it.
Some of the procedural things are being done, developed, like the portals are being created and all of that is happening. This will help significantly in decarbonizing the industry. We see elevated inquiries from our industry partners to make them green. We are also looking at multiple opportunities within our own ecosystem to make that green. This is a very welcome step towards growing India's green footprint.
Thank you.
Thank you. Participants, if you wish to ask any questions, please enter star and one on your touchtone telephone now. The next question is from the line of Nikhil Priyankar from DAM Capital. Please go ahead.
Thanks a lot. Thanks for the opportunity. Recently, APTEL passed a judgment that you'll be able to charge INR 7.01 as tariff. You have also booked a gain of INR 5.7. Is there any interest component on it? When do we expect that you'll start booking the revenue?
Yes, you're right that APTEL has given the judgment in our favor, rightly so. As a conservative policy, we have not yet recognized any revenues or incomes unless and until we see finality. In this case, we are expecting that since the amount is large enough for the DISCOM, they are planning to go to the Supreme Court on appeal, but we don't see a merit in that case. We believe that there will be an early disposition of the same in the Supreme Court. Once that happens.
Interest.
Once that happens, we'll be able to recognize revenue along with the interest, because the interest is due as per the PPA to us. That will come to us.
Understood, sir. This INR 7.01 tariff will be applicable to the entire power plant, right?
Yes. Yes. The entire 648 MW will now move to 7.01. There were already more than 300+ megawatt, which was already at 7.01. This takes the balance also to 7.01.
Understood. Has the Tamil Nadu government opted for liquidity scheme and has our receivables reduced because of it?
No, they have not opted for the, you know, the receivable scheme. Sorry, they have opted for the scheme. If you see in our case also, we got, you know, a lot of, you know, the revenue and the liquidity, you know, has come to us also. In a nutshell, yes, they have opted for this.
Okay. We have been a beneficiary as well.
Yes. The good part is that we could receive a significant amount of our receivables liquidated even prior to adoption of this scheme. The amount going into this scheme are lower in our case, and within that also they have adopted the scheme. For us, it has become a really good scheme that they have done this.
Okay, sir. A last question I have. Our wind portfolio, the PLF for the wind portfolio has reduced substantially in this quarter as compared to YOY, and a similar trend has been observed in certain other companies as well. Can we just say that the wind season hasn't been that good?
You know, in our case, one specific case was there, which was 150 MW of our capacity was down because of certain events, and which led to our machines not running for that 150 MW. If we take out that, the wind season has been significantly better than the last year. And this has been on improving trend, and those are also reflected in our pictures. If you, the initial part of our brief mentioned that, we have been able to achieve 41% CUF excluding this particular event. This 150 MW we have resolved substantially and there are still some issues, but we are working to fix that.
Understood, sir. That's all from my side. Thanks a lot and all the best.
Thank you. Participants, if you wish to ask questions, please enter star and one. The next question is from the line of Apoorva Bahadur from Investec. Please go ahead.
Hi. Thank you for the opportunity. I wanted to understand with you on this C&I opportunity. Now, do you intend to serve this out of Adani Green, or will it be housed in ANIL, which is more for industrial decarbonization?
Yeah. See, the generating arm for this particular piece of the energy transition is AGEL. Anything which comes in this space would be within AGEL. ANIL is largely focusing on green hydrogen and the ecosystem around it.
Okay. The bank business opens up basically. Have we done any tie-ups as of now in this space?
We are working extensively on that. There are a few things which are on the verge of closure, so we will probably make declarations as the event comes.
Fair enough. Next question is on our pumped hydro foray. We have signed a couple of MOUs, I think over the last few quarters. Wanted to check if we have sort of finalized the business plans over there, what type of CapEx and the timelines.
Yes, you're right. We have been looking at this particular space very vigorously, and because we believe this is an important space from the perspective of energy transition in the country and as more and more renewables are integrated. We have signed MOUs. We are working on finalizing the investment plans around those MOUs and would be kick-starting the execution. The moment we reach toward that stage, we would obviously make relevant announcements.
Fair enough. Sir, next question is on this green bond framework, which was recently notified by the government. Do you foresee this having any material impact in the cost of debt for green projects generally across India and specifically for AGEL?
As you are aware that, you know, most of the new institutions and there is a specific fund dedicated on this particular green bond. We see that, you know, the cost of borrowing will have a saving of at least 75-100 basis points.
That's quite significant.
Yeah.
That will be completely passed through to the players.
Correct.
Sir, any idea on the tenure of these bonds? For how long a duration will they be issued?
Typically, you know, this can be in the range of around 7-10 years.
Okay. The onus of refinancing for this lies on the government?
Yes.
Very interesting. Sir, lastly, I think we have seen your carbon credit income growing over the last few quarters. I believe the company is also sort of setting up some sort of a fund or exchange on exploring the business further. If you can throw some light on your plans over here, and where do you see this revenue on a fully built-out portfolio, built-out basis say 20 GW?
Yeah, sure. This has emerged as one of the key contributors to our revenue in the recent past. As you would understand, this is something which is more a global phenomenon, where a lot of players globally are looking for offset credits, and that's where this has happened. This is becoming a key focus area for us. We believe that, based on various assumptions you take, we can probably have on a fully built-out basis close to $50 million-$60 million of revenue every year. As you would expect that this is based on multiple assumptions, and these assumptions have moved in multiple directions in the last few years.
No, I get your point. Sir, one last question, if I may, and this is on the revenue from sale of infirm power, right? We have been, I mean, commendably, able to sell some power at least till the transmission systems are not ready and the plant is not fully commissioned. Just wanted to understand how we are doing this as in, because a lot of our competitors actually struggle in securing open access for transmission.
Especially for plants which have not been commissioned yet. What does Adani Green as an institution, as a practice does differently to ensure that its infirm power gets absorbed by the grid?
Yeah, sure. I'm unable to talk about the competition, but at the same time, we monitor the open access elements which are relevant for evacuation of our power and ensure that our plants are not stranded, even if some of the elements are not yet there. If there are five elements, four elements are there, or three elements are there, we are able to evacuate. We plan our projects accordingly and able to take this this benefit in our in our company, which I'm not sure why the competition is not able to proceed. Yes, we have been able to ensure that we don't have stranded plants at the same time gain money.
Great. Thank you so much. All the very best.
Thank you. Participants, if you wish to ask any questions, please enter star and one on your touchtone telephone. The next question is from the line of Nikhil Nigania from AllianceBernstein. Please go ahead.
Yes, thank you for taking my question. My first question is on the 150-MW asset, which was stranded this quarter. I also wanted to understand it has been classified as a force majeure. Would the lost revenue recover from the discounts?
Force majeure does not entitle the recovery from discom. It is something whereby our performance is excused under the contract. That's the construct of force majeure in India, and so is the case in this PPA. Yes, it is a one-time loss for us to be very clear. Obviously we have some contractual recourse, but that if whenever it comes, we are pursuing that. If at all we can recover from vendors, that's what we will see, but not with the counterparty. That's what it is.
Understood. My second question was on the capacity guidance. The operational capacity has risen this quarter. The guidance given the previous call was 9 GW, close to 9 GW operating capacity by the end of the financial year. Given the slowdown, which was highlighted in the call earlier and even in terms of cash flows, we can see, you know, CapEx cash flows are lower than last year. Does the guidance still hold of the 9 GW operating capacity by the end of the financial year?
I think, you know, last time also we have said in the call very clearly that it will be in the range of 8.3-8.5, depending on, you know, as highlighted in the earlier remarks, that you know, availability of the transmission line, other stuffs. Maybe legal COD may not be there, but we are expecting that the year-end should be in the range of around 8,300-8,500.
Got it. Thank you. My other question was on the dollar bond. As we can see for many years, including competition as well as for Adani Green, the dollar bond yields have shot up recently, especially the old 2024 bonds of Adani Green are at yield. They have crossed more than 20% and now back in the mid-teens. Two of the bonds are maturing in 2024. What are the plans to refinance them at this point, given the dollar yields are so high, so the bond market might be shut from that perspective?
It's a good question. First of all, let me just tell you that, as per our internal FCFE working and other stuff, even if in a worst scenario, you know, if we are not able to refinance because of the increased rate scenario, you know, we will be able to repay out of our own balance lying with the company. There is no issue or discussion on that. The second thing, what we have done, if you recollect that in airport also when the yield was around 9%, we could close in the private market at 6%. You know, we have enough and more bandwidth available to make sure that the refinance is fully available to us.
In a worst scenario, the FCFE component and the other stuff which we are planning, you know, we will be able to do that. Then the backup plan also that if you look at AGEL RG1, we have recently did this, you know, only INR 700 crore, which is close to $100 million from the domestic banks. Similarly, we will be able to do it. Our idea is to align with the life of the assets. That's where our first preference will be to go for the dollar bond. Having said that option is not available, then we will access the domestic market whereby 3- to 5-year, you know, the funding is easily available. That's not a challenge.
Understood, sir. Just one follow-up question on that. To reach the pipeline of 20 GW, do we see the existing balance sheet plus interest cash flows from operating assets sufficient to meet without need for raising further equity?
Yes. Currently, you know, if you look at as we have a plan that, you know, every year we will be having roughly 4 GW, 3.5-4 GW, which we are going to add, will generate enough free cash flow for us to, you know, to fund the entire thing. We don't see the immediate or any requirement of the, you know, the equity issuance. You know, we already did one tranche with the IHC in April, whereby we already raised $500 million. As of now, based on our current internal estimates, we don't see this requirement coming up.
That's helpful, sir. Also, one last question from my side then. The market for utilities in general and renewables specifically, it's not favorable in the sense that interest rates have risen, dollar has strengthened, project costs have gone up, whereas the tariff is locked in the pipeline PPAs. The returns for projects, especially the big manufacturing linked PPA, what is the impact which you're foreseeing in your equity IRR for the project when you bid versus now, when you look to execute that project?
Yeah, sure. That's a very valid question and important question to answer. You know, that's where the discipline comes into the picture. We never bid based on an aggressive market. When there were certain money which was available at a low cost post-COVID liquidity boost, we never used those assumptions when we bid for it. We look at our own long-term interest rate trends, and based on that we do the bidding. We have been able to tackle that question very well in our portfolio. Even today, from the interest rate perspective, we have very healthy IRR. At the same time, to augment that returns, we have been extensively using the
LCs.
LCs to further reduce the short-term cost of capital. That again, we are doing. That's on the interest part. On the rupee part and the currency part, what has further helped us, say specifically in the case of manufacturing tender, which we did two years back or two and a half years back, the technological advantages which we have been able tO tap, which is today the bifacial modules, today the horizontal single axis trackers, the watt peaks going higher significantly. All of that has been able to significantly offset certain cost increases which you have seen on the finance side, on the rupee, dollar and some of these things.
Obviously, you know very well that any kind of a GST or BCD which has increased after that, those are already a pass-through. We have not seen any kind of a meaningful deterioration in our equity IRRs than what we envisaged when we looked at that investment decision. Obviously, we are going ahead with all those project implementations. You would see some of the manufacturing linked projects getting commissioned in the next financial year.
Got it, Kaushal. Thanks for answering my question.
Thank you. Participants, if you have any questions, please enter star and one. The next question is from the line of Chaitra from DAM Capital. Please go ahead.
Hi. Am I audible?
Yes, sir
Okay. My first question is, what is the current run rate EBITDA for our portfolio? The second question is, how is the bidding pipeline looking at this point in time, and has there been a slowdown in the bidding?
You know, the run rate EBITDA for the current operational portfolio will be in the range of around INR 7,000 crore. That is my run rate EBITDA. If you look at my net debt to EBITDA, that again is a big thing which you know all of you should know that there is always a question which is coming up. With the new thing which has come up as equity from the IHC, this has, as on September as we see, come down to 5.83, which was 6.53 in March. You know, the cash is also available with us, sufficient in the business.
From that perspective, we are very much covered within the range of 6.5, which is the, you know, the covenant prescribed by the rating agency. Which is actually 7.5, but we are currently for September it is 5.83. Year-end we are expecting that, you know, it will be around 6.25.
Yeah. On the second question of the bidding pipeline, there has been some lag just because obviously the tariffs in the market has gone up a bit than what it was in past. There has been some lag or I would say slowdown in the bidding. At the same time, this is something which happens where some policy transition happens. In case of post-April, there has been a policy transition with respect to imposition of BCD and also the macroeconomic fundamentals in with respect to USD-INR as well as interest rates has also reduced some interest from the bidders as well as the tariffs going higher has reduced some demand from the DISCOM. That has reflected into the bids. But I think it is.
We have seen that cycle multiple times in last 7-8 years since the time bidding has started in the renewable space. We should see a transition back to normalcy after some time, once the psychological question of tariffs going higher actually gets resolved in the mind of consumers or the cost goes down. It is expected that potentially the solar module prices should start tapering now onwards.
Okay. Thank you.
Thank you. The next question is from the line of Bharani Vijayakumar from Spark Capital. Please go ahead.
Yeah. My first question is, what is the rate at which we are selling this infirm power? Is it in the short-term market in the exchanges that we are selling this?
It depends within the framework within which we get this opportunity. In some cases, it gets sold to the same counterparties which are my PPA counterparties. In some cases, it could be in exchange. It depends on the particular perspective. I think in terms of an average rate, you can send a question, and I think the team can respond back to you. This is how it is.
That normally is at the spot rate available at that particular point of time. We don't have that upfront available. Amount we have already shared with you.
Okay. Understood. Second question is there any policy level help or from the government specifically for the solar projects in terms of extending the commissioning dates, et cetera, being thought about at the government level?
There are multiple considerations, and you saw an article coming in the recent news media where the minister, the Honorable Minister has quoted that they are looking for some kind of a consideration. We have not yet seen any kind of a official notification or something. Obviously, based on that article, you can say that there is some consideration of extending things just because of some of the recent harshness you have seen being seen by the developers.
Understood. Those are my questions. Thank you.
Thank you.
Yes. Thank you.
The next question is from the line of Apoorva Bahadur from Investec. Please go ahead.
Thank you for the opportunity again. Very curious about your module sourcing strategy. How do you approach this? How do you plan for this for sourcing modules? Is it based on the projects that you have already won or do you have like a long-term running commitment?
We have tie-ups with today the largest producer of solar modules in the world. Those are relationships which we cherish just because we have built those relationships over a period of time. There is a highest most connect available there. With that thing, we are able to have long-term contracts where we get the most favorable rates in the market from them and the best technology which they would be doing. That we ensure. Now, in terms of your question around what do we do for as sourcing, obviously, we do not necessarily buy modules where we don't have the clarity of the PPAs or the revenue offtake on time.
We do things where we know that what all projects which we are going to do over the next two years. Within that, we can tell you that we plan for five years in advance in our business planning, and we exactly know what all projects will come in the next two years. With some months here and there, but we are very much clear on what is happening. That gives us significant advantage in terms of our discussions with the vendors, which are our preferred vendors.
The pricing, how often is it reset? Now, why I'm asking is this, there's a possibility that the solar module prices might correct in near future. I mean, a linked question to that would also be where do you see the module prices, say, six months and a year from now?
To answer that, I can tell you that we get one of the best pricing in the market. That I can assure you, and that has been the case in the last 5-6 years. Even in the worst of the times when the markets were moving up very rapidly, we have been able to get the best prices. Even when the prices were falling, we were able to get one of the best prices in the industry. That we have ensured based on our relationship with some of these players. Module prices going forward, it is anyone's guess. As of now, market is expecting a meaningful correction. You can see PV InfoLink forecast or some other forecasts which are available. Some of these forecasts are talking about 10%-15% correction sometime next year.
Let us see how it plays out.
Fair enough. Thank you so much.
Thank you. The next question is from the line of Dharum Vora from HDFC Mutual Fund. Please go ahead.
Yeah. Thank you so much. The carbon credit revenue of INR 149 crores, is it fair to assume this would include the accumulated carbon credits, or this is particularly for this quarter's generation?
It doesn't work that way. There is something called a crediting period, which we exercise for various projects once we have some accumulation. Since it is more a regular phenomenon and it goes from one project to another project to another project, the crediting wheel is more or less regular. It is difficult to say quarter on quarter we will have the same number, but we will be able to have a pretty steady run rate over a years period. Crediting happens for a particular project for a year's worth of generation. Since we have so many projects, we do some kind of a spread of that over the year so that we do not necessarily see ups and downs too much.
Again, let's not see it on a quarter-on-quarter basis because it is not, it does not run that way.
Okay. Just to get some sense, the absolute numbers will not make sense, but on a per unit basis, is there any benchmark that one can look at when one is looking at the carbon credit income? Because you said this is rolling, this will not flow quarter and quarter, but on an annual basis, probably that will come through.
The market has been very volatile. We have seen in the last 15 months, I would say, or 16 months, the numbers ranging from $4 to as high as $8, going back to $5.5 or something of that range.
Our average.
Our average has been above five. In terms of math, whatever I generate multiplied by 0.93 divided by 1,000 is one carbon credit.
Generation into 0.93 divided by 1,000 is one carbon credit, which is effective for you. The average, at least in the past, was about $5.
Yeah. See, again, even this 0.93 moves, it is not constant project on project, but yeah, on an average 0.93, 0.935 is what you use.
All right. That's helpful. Sure, sir. The second question was the EBITDA run rate that you mentioned was INR 7,000 crore. That is for the projects which is for the 6,724 MW project which is already commissioned. Does it also include the 900-odd which is partially almost commissioned?
No, no. This is legal COD, which we have already announced, 6,724. Then we have another 948 is partially commissioned. For us, we are already at 7,672 MW.
Got it. When you say INR 7,000 crores of EBITDA run rate, that is for, including the projects which are partially commissioned.
Yes.
Got it. Sure. The last thing is in your PPT on slide number 19, you give the operational debt, the gross debt for operational projects. Just wanted a clarity. Does this debt also include the acquisition debt that you would have paid, say for example, for SoftBank, you might have paid some premium. Does it include even that or that's part of the other part, other portion?
No, no, that premium or whatever we have, the acquisition cost has a different treatment. Here, whatever is the date of the operational assets which we acquired will be part of these numbers.
The debt specific to that projects are included in the operational project.
Correct.
Perfect. Sure, sir. That makes sense. Thank you so much, sir, and all the best. Thanks.
Thank you.
Thank you.
As there are no further questions, I would now like to hand the conference over to management for closing comments.
Thank you so much, on behalf of Adani team, you know, thank you for patiently hearing. If you have any further questions, you know, you can contact Phuntsok now, to me as well, I'm with the group only, and then to Viral, which is leading our investor relation efforts. Welcome and thanks to everyone. Be safe. Take care.
Thank you.
Thank you.
Thank you.
Thank you. On behalf of DAM Capital Advisors Limited, that concludes this conference. Thank you for joining us and bye-bye.