Good afternoon, everyone. On behalf of Elara Securities, we welcome you all for the Q3 FY26 conference call of NHPC. I take this opportunity to welcome the management of NHPC, represented by Mr. Bhupender Gupta, Chairman and Managing Director, Mr. Uttam Lal, Director (Personnel), Mr. Sanjay Kumar Singh, Director (Projects), Mr. Suprakash Adhikari, Director (Technical), Mr. Mahesh Kumar Sharma, Director (Finance). We will begin the call with a brief overview by the management, followed by a Q&A session. I will now hand over the call to Mr. Bhupender Gupta, sir, for his opening remarks. Over to you, sir.
Thank you, Rupesh. Am I audible? Yes, sir.
Yes, sir, you're audible.
So good afternoon, friends. NHPC board has an updated 9-month financial results for the period ended 31st December 2025 in its meeting held on 4th of February 2026, and the same has already been communicated to the exchanges. By now, I hope that you all would have got a chance to go through the quarterly and 9-monthly set of numbers. Firstly, I will touch upon major highlights of the financial results and the detailed growth plan of the company. Further detailed analysis of the result shall be shared by our Director of Finance, Shri Mahesh Kumar Sharma ji. Brief highlights are as follows: During 9 months, that is FY26, our power stations have achieved a generation of 25,849 million units against 22,397 million units generated in the corresponding period of the previous year, which is higher by about 15%.
And this is mainly due to commissioning of our Parvati-II Power Station, 800 MW, and subsequent increase in generation of Parvati-III Power Station, which is due to more water availability from the Parvati-II, and increase in power generation in some of the other power stations. Our plant availability factor for the nine months stands at 79.27%. And mainly, there is some 3% lower than this period, which is mainly due to the Dulhasti Power Station, Salal Power Station, and Chamera-I Power Station and Chamera-III Power Station because during the monsoon, we had to shut down, which was beyond our control. So that's why there is a decrease. But we are hopeful that we will recover this during the entire financial year. During the nine-month FY26, the company has earned revenue of INR 8,800 crore, against INR 8,033 crore. So there is an increase of 10%.
The company has earned PAT of INR 2,306 crore, as against INR 2,153 crore of the corresponding year, which is 7% higher. I'm very pleased and proud to share that we have commissioned 2 units of Subansiri Lower Project. I think all of you know that there is a 2,000-MW Subansiri Lower Project comprising of 8 units of 250 MW. So we have commissioned and declared the commercial operation of these 2 units. A third unit is expected any day now. Maybe within this week only, we may commission the third unit also. And the fourth unit, we will commission and declare the COD by the end of March 2026. Remaining 4 units, we are targeting to commission all by December 2026. So the project is almost in the final stages. And we have already spent around INR 2,569 crore against this revised cost of INR 27,949 crore.
NHPC has also fully commissioned our 300 MW Karnisar Solar Project under the CPSU Scheme in Bikaner. The project has become NHPC's largest operational solar power project as of now. This shows our commitment to what is the renewable energy expansion of the company to have aligned with the vision of our honorable Prime Minister, Shri Narendra Modi ji. In respect of the Dibang Multipurpose Project of 2,880 MW, we have already awarded all major contracts except one, which we will be awarding this month only. All the works are in full swing. We hope that whatever target we have fixed of 2032, we will do our best to make all the efforts to achieve that target of 2032 because this is a very, very good project for us because the levelized tariff of this project is 4.46 per unit.
We intend to complete as early as possible. Now, regarding Teesta-VI, which we took over from NCLT, this project is also going well. We have achieved 71% physical progress. The estimated cost of this project is INR 8,449 crore. Already, we have incurred expenditure of around INR 5,000 crore till December 25. This also, we are expediting the project. Though we are facing a very big geological issue in our headrace tunnel, and because of that, slightly slow progress is there. But we are going very, very methodical, also very careful because one small incident can delay the project for months together. But we are very much sure that we will achieve the targeted commissioning of 2029 in this project also. Then Rangit-IV, which is 120 MW, again in the state of Sikkim. Here, the progress is almost 95% as of now.
We have completed all the electromechanical works. The only leftover works in this project is the HRT only, which is left out. Again, here, we were facing a very severe geological problem. So we have tackled that geological problem. Now, we have left with certain lining works, which is something some timeline is required, some minimum timeline for that. So we are hopeful that we will complete this project, commission all the 3 units by October or November 2026. So this again will add 120 MW to our NHPC kitty. Then coming back to Ratle Hydroelectric Project, this is 850 MW in the UT of J&K. Here, also, the work is progressing well. We have completed the excavation of the dam pit, which is a major milestone, actually, for any hydro project, which is the most critical one also.
We have started the concreting, in fact, of this dam recently where our honorable Power Minister, Shri Manohar Lal Khattar ji, visited that plant. So we started the concreting in his presence. And here, that overall physical progress we talk about, that is 26%. And this also, we are targeting to complete by November 28. And considering the present status of the project, we are 100% sure that we will not miss this deadline. Now, we have one subsidiary, as you all are aware of, that is Chenab Valley Power Projects Private Limited. So here also, again, we are constructing three projects in Chenab Basin in the UT of J&K. If we talk about the three projects, then the first one is Pakal Dul Hydroelectric Project, which is 1,000 MW. And here, the overall physical progress is around 77%.
We are targeting the commissioning of all the units by December 2026. Considering the present pace of the progress, we are 100% sure that we will achieve this. The second one is the 624 MW Kiru HE Project. Here again, the overall progress is around 77%. And this is also a very attractive tariff we have in this project, which is around INR 5.68 per unit. And again, in this project also, we are hopeful and very sure, in fact, I will say, that we will complete this project by December 2026. The third one under our subsidiary company is the 540 MW Kwar HE Project, again in the Chenab Basin. Here, the progress is around 27%. And the targeted date of completion for this project is March 2028.
The way our progress is, we are getting the progress every month; we are 100% sure that we will achieve this. Again, this is a very, very attractive tariff for this project that is around 4.44 per unit. We are just targeting to complete this as scheduled. Apart from this, NHPC has three, four new projects, which we are going to start very soon. One of them is Uri-I Stage-II Project, which is 240 MW. Then Dulhasti Stage-II, 260 MW. Then Sawalkot, 1,856 MW. Subansiri Upper, that is 1,605 MW. Etalin, which is the biggest hydro plant in India as of now, 3,097 MW. And Kamala, which are Kamala, 1,720 MW, which are at the different stage of clearances or under various stages of approvals. And I want to assure all of you that we are going to start these projects during 2026.
Some of them will be in the second quarter, first quarter of 2026-27. Some of them may be third and fourth, second and third quarter of 2026-27. So this is again 5 or 6 projects which we will be starting this year itself, total comprising of around 10,000 MW. Regarding 1,000 MW solar power projects, which were allocated to NHPC under the CPSU Scheme, we have already commissioned 300 MW, as shared earlier. Now, 1,000 MW sorry, 100 MW, Andhra Pradesh, and 600 MW in Gujarat are expected to be commissioned by June 2026 and December 2026, respectively. Then another project, 200 MW grid-connected solar power project in GSECL RE Park in Khavda. The work is progressing well. We are expected to complete this also again by March 2026 itself.
So with this, I think during this year only, we will be commissioning more than 1,000 MW of solar and adding this to our total capacity of the NHPC. NHPC is also exploring the possibility of a pumped storage plant in different states: Andhra Pradesh, Odisha, Madhya Pradesh, Chhattisgarh, Gujarat, Punjab, Rajasthan, and Maharashtra. And DPRs are under process. So some of the PSP, which seems to be very attractive, the DPRs are in some different stages as of now. And we are going to start at least the construction of at least two projects, which we are planning to start this year during this calendar year, I will say, not financial year. So that will be another thing, which will be around 2,000 MW+, comprising of two or three PSPs. So I think these are the highlights and the growth plan of the NHPC, which we are looking forward.
What I see, we have a very, very bright future considering the emphasis on the clean and RE power. Our plan also to expand our solar power business also. For that, we are in discussion with various stakeholders. We are hopeful that we will be coming out with more solar projects in the future in addition to the hydro and the pump storage, which I just discussed about. This is all from my side. Now, I request our Director of Finance, Shri Mahesh Kumar Sharma ji, to give the brief idea about our financial results, which all the investors must have already gone through. Thank you, everyone. Thank you so much.
Good afternoon, friends. I am going to share with you reasons for major variations in line items reported in the results for quarter and nine months ended 31st December 2025.
For nine months, FY26, the company has earned revenue from operations of INR 8,800 crores as against INR 8,033 crore in the corresponding previous period, which is about 10% higher, that is, by INR 767 crores. The increase in revenue is mainly due to higher generation on account of commissioning of Parvati-II Power Station. During Q3, FY26, the company has earned revenue from operations of INR 2,221 crores as against INR 2,287 crore in the corresponding previous period, which is about 3% lower, that is, by INR 66 crores. The decrease in revenue is mainly due to decrease in sales pertaining to previous years on account of pay anomaly and interest on arbitration accounted in previous corresponding quarter to the extent of INR 500 crore approx.
Other income for nine months, FY26, is of the order of INR 766 crore in comparison to INR 1,024 crore during the corresponding previous period, which is about 25% lower, that is, by INR 258 crore. This is mainly due to decrease in realization of business interruption loss against insurance claim by INR 352 crore, mainly related to Teesta-V power stations. Current period nil and previous period INR 352 crore. Decrease in provision not required written back by INR 108 crore, mainly related to Bursar project.
This decrease is offset by increase in income from insurance claim by INR 251 crore, mainly in respect of Teesta-V power stations INR 132 crore and Parvati-II power stations INR 121 crore. Other income for Q3, FY26, is of the order of INR 272 crore in comparison to INR 330 crore during the corresponding previous period, which is about 18% lower, that is, by INR 58 crore.
This is mainly due to decrease in realization of business interruption loss against insurance claim by INR 160 crore, mainly related to Teesta-V power stations. Current period nil and previous period INR 160 crore, which is partly offset by increase in income from insurance claim by INR 124 crore, mainly in respect of Parvati-II power stations. During nine months, FY26, the employee cost has come down from INR 1,402 crores to INR 1,096 crore, means by INR 306 crore, which is mainly due to decrease in employee remuneration pay anomaly by INR 363 crore, which is offset by increase due to increment, D, and other factors. During Q3, FY26, the employee's cost has come down from INR 687 crore to INR 346 crore, means by INR 341 crore, which is mainly due to reasons I just mentioned.
During nine months, FY26, there has been decrease in the finance cost from INR 1,201 crore to INR 849 crore, means by INR 352 crore, which is mainly due to decrease in interest on arbitration and court cases by INR 894 crore, which is offset by increase in interest on bonds, term loans, etc., by INR 518 crore related to Parvati-II, Subansiri Lower, and Karnisar Solar Power Station charge to profit and loss account since their commissioning.
During Q3, FY26, there has been decrease in the finance cost from INR 649 crore to INR 310 crore, means by INR 339 crore, which is mainly due to decrease in interest on arbitration and court cases by INR 557 crore, which is offset by increase in interest on bonds, term loans, etc., by INR 175 crore, mainly related to Parvati-II, Subansiri Lower, and Karnisar Solar Power Station charge to profit and loss since their commissioning.
During nine months, FY26, the depreciation and amortization expenses have gone up from INR 878 crore to INR 1,334 crore, means by INR 456 crore, which is mainly due to depreciation and amortization in respect of power stations commissioned during financial year 2025-26. During Q3, FY26, the depreciation and amortization expenses have gone up from INR 297 crore to INR 457 crore, means by INR 160 crore, which is mainly due to depreciation and amortization in respect of power station commissioned during FY25-26. During nine months, FY26, other expenses have gone up from INR 1,499 crore to INR 2,946 crore, means by INR 1,447 crore. This is mainly due to the increase in general network access charges by INR 781 crore, increase in insurance expenses by INR 323 crore, and increase in R&M expenses by INR 71 crore, etc.
During Q3, FY26, other expenses have gone up from INR 481 crore to INR 1,537 crore, means by INR 1,056 crore, which is mainly due to the increase in GNA charges by INR 781 crore, increase in insurance expenses by INR 121 crore, and increase in R&M expenses by INR 28 crore. During nine months, FY26, tax expenses have gone up from INR 1,108 crore to INR 1,496 crore, means by INR 388 crore due to deferred tax adjustment and recognition of MAT credit. During Q3, FY26, tax expenses have gone up from INR 104 crore to INR 573 crore, means by INR 469 crore due to deferred tax adjustment and recognition of MAT credit.
During nine months, FY26, the incentives positions are as under: Secondary Energy for nine months, FY26, was 461 as against corresponding previous period, 422 crores. PAF-based Incentive: 52 during nine months, FY26, as against 52 same. This is flat. PAF-based incentives are flat.
Deviation Charges: INR 34 crore in nine months, FY26, as against INR 41 crore in nine months, FY25. So total: INR 547 crore as against INR 515 crore in the corresponding previous period. During Q3, FY26, the incentives positions are as under: Secondary Energy Q3, FY26, INR 230 crore as against INR 110 crore in the corresponding previous period. PAF-based Incentive: INR 39 crore in Q3, FY26, as against INR 35 crore in Q3, FY25.
Deviation Charges: INR 13 crore in Q3, FY26, as against INR 14 crore in Q3, FY25. So total during quarter Q3, FY26, as against 222 crores, INR 282 crore is the incentives as against INR 159 crore in the corresponding previous quarter. CapEx during nine months, FY26, is INR 8,844 crore as against INR 7,405 crore in the corresponding period of previous year on consolidated basis. This is all from my side. Now, the forum is open for Q&A. Thank you very much.
We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on the touch-tone 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, we will wait for a moment while the question queue assembles. The first question is from the line of Ragini Pande from Elara Capital. Please go ahead.
Yeah. Thank you for taking my question. So I just want to know your CapEx guidance for FY27 and 28, and if you can just repeat the CapEx that you have incurred for FY26.
CapEx for nine months, FY26, is INR 8,844 crore as against INR 7,405 crore in the corresponding period of previous year on consolidated basis.
Yeah.
Ragini, regarding.
Sir, you are not audible. Can you please unmute your line?
Yeah. Am I audible now?
Yes, sir. You are audible now.
Yeah. So I was just trying to answer the question raised by Ragini. The current CapEx plan for the current fiscal is INR 13,300 crore, and next year we are planning to spend INR 15,000 crore. Thereafter, on an average, our annual CapEx will be in the range of INR 12,000-INR 13,000 crore. Am I clear?
Yeah, yeah. Thank you, sir. Now, while you did tell about the project pipeline for future years, can you just tell the total capacity addition which you intend to do for FY27 and FY28, bifurcated between hydro and renewable, and for the current year as well? Just the total capacity addition number.
Yeah. So current year, we have already added 1,350 MW till December 2025. One more unit of Subansiri, 250 MW, we have added, and two more units are going to be added. So meaning thereby, by the end of March 2026, we are going to add additional capacity of 2,100 MW, right? And next year, our capacity addition will be 2,744 MW from hydro, I'm telling you.
Yeah. Okay. And on the renewables?
Renewable also, as CMD sir has shared with you, that currently our solar capacity under construction is 1,190 MW, and most of the solar capacity we are planning to add by the end of next financial year.
Yeah. Okay. Thank you. On the generation front, in Q3, FY26, I can see that the generation is increased by 23%. But for Q3, on the revenue, I can see a decline of 3%. So any reason for this deviation?
Yeah. So DF sir has already shared with you, while sharing the variance in the line item, that during Q3 of the corresponding period, we have one-off revenue to the extent of INR 500 crore on account of pay anomalies and interest on arbitration. So that has basically, if you exclude INR 500 crore from the previous year, then you will find that our generation is higher than the corresponding period.
Yeah. Okay. And sir, any under-recoveries you have currently?
No, no. Not at all. We are going fine with normative one.
Yeah. On the secondary energy front, I can see that the secondary energy incentive has almost doubled. Yeah, can you just throw some light on the reasons for this?
Yeah. This is due to better generation by our subsidiary, NHDC. So NHDC Design Energy has already been achieved. So incremental, whatever generation we are getting, we are accounting as secondary energy. So there is almost 123 kind of jump in our incentive number, quarterly number.
Yeah. Okay. Lastly, on the pumped storage projects front, so I just wanted to know what is the project pipeline like, and when can we see the construction begin, and when can we expect the first commissioning to take place? Also on the cost economics front, what kind of CapEx you foresee for these projects, and what is the realization or the revenue potential for these projects?
I think CMD sir may like to answer this question.
Yeah. Saroj, I will just let you. Ragini, actually, I told earlier also, most of the PSP projects are under DPR stage as of now. We are looking at, as you rightly said, we need to have viable projects only. So we are looking at viable projects. As per primary, whatever we have done the analysis based on PFR. The Omkareshwar PSP is there in MP, 640 MW. So this seems to be an attractive one. Then there is a Savitri PSP, Kalu PSP in Maharashtra, and one project in Odisha also, which is Masinta. This is 1,000 MW. So in total, if you see, so this capacity of these projects comes out to be around 5,500-6,000 MW.
So out of this, once the DPR is finalized, so we need to get approval of the centralized authority also on both the fronts, technical viability as well as technical feasibility as well as financial viability. So we are planning to start at least two projects of around 2,000 MW out of these four during this calendar year. And I'm 100% sure that whatever the projects we will start, those will be very attractive ones with generation cost of around maybe INR 4.5 per unit. And if I see this total cost including pumping, that will be around INR 7. And considering the requirement of the storage, which is mainly due to two sources only, either it's battery energy storage or second is the pumped storage plants only. So considering this addition of solar in the grid, we definitely require badly the storage power.
I think whatever we generate, I'm 100% sure, we will be very easily able to sell them with beneficiaries who have solar power in their portfolio.
Yeah. Thank you, sir. I'll get back in the queue.
Thank you. Participants may press star and one to ask a question. The next question is from the line of Murtuza Arsiwalla from Kotak Securities. Please go ahead.
Yeah. Hi, sir. Just want to check if Parvati-II was commissioned this year and Subansiri Lower a couple of units as well. Are we accounting for the revenues based on the revised costs, or there is some under-accounting of revenues till we get a formal order for the revised cost approval? So is there some under-recovery because of which we are not seeing the full benefits in the earnings? That's the first one. Second, during the quarter, there were certain transmission charges associated with Subansiri Lower which are recoverable, which were accounted. We want to know if that is for the entire 2,000 MW or it's only for the units which have been commissioned and so you would have more such sort of transmission charges which should come.
Yeah. So Mr. Murtuza, coming back to your first question regarding revenue recognition in Parvati 2, see, we have already filed tariff petition based on the revised cost of Parvati 2, INR 13,600 crore. And based on that, whatever estimated tariff we have in BCS, we have been accounting 80% of that as revenue in our Q1, Q2, and Q3 accounts, right? Now, for example, till December 2025, for nine months, we have already accounted INR 900 crore revenue from Parvati 2. So that is 80% of the estimated revenue. So if you gross up, you will arrive at INR 1,125 crore. So almost INR 225 crore has not been considered as revenue, and that will be accounted after the tariff notification by CERC. So that is the accounting treatment we are giving to Parvati 2 generation and revenue. Am I clear? Anything related to Parvati 2 once?
Absolutely. Absolutely. So should we just if we were to annualize that, Parvati, should it be like a INR 1,200 crore number, or given the seasonality in generation, that number would be sort of lower for the fourth quarter?
Yeah. Absolutely. So now we have already received the interim order for Parvati-II also. So we will continue to account 80% of the revenue till the final tariff notification by CERC in respect of Parvati-II. So that accounting treatment would be even continued in Q4 also, right?
Okay. Similar treatment in the case of Subansiri, could you give us what Subansiri would look like 80 versus 100?
Yeah. So same treatment, same policy in case of Subansiri Lower also. We will be filing tariff petition in respect of Subansiri Lower, likely to be in the first week of March 2026. And then 80% of the estimated revenue we will be accounting till the final notification by CERC. So same policy we will be taking in case of SLP also.
Would it be fair to say that because 20% is a fairly large amount set aside when one considers the equity contribution, that till you get the final order, while it's not a drag on earnings, it's not actually contributing to profit because 20% of revenue is where the profit of Parvati and Subansiri would lie?
In that sense, you are absolutely right because we will be taking 100% expenses and 80% of the revenue. So our profit will not be reflected in true manner. But fact remains that this is the practice because you cannot being conservative in accounting, we have been doing this I mean, we never take 100% of the revenue because CERC is the final authority. And once they notify the tariff for any project, then only we should consider 100% revenue for that.
Sure. Any visibility we have on when the final tariff order will be approved by CERC or because of the?
Yeah. For Parvati-II, we are expecting maybe 5-6 months.
Okay. And Subansiri?
Yeah. So Subansiri, we are going to file by first week of March. So interim tariff we'll be expecting very soon, within maybe two months, and then final tariff petition based on the final commissioning of the Subansiri.
Which will be when the last unit is commissioned, an annual filing the final tariff order. And then, depending on how much time the regulator takes, accordingly, you will get that entire recovery.
Absolutely.
Okay. Any reason to believe, given that these projects are high tariff and substantially delayed, that the regulator may ask you to consider some concessions that, "Okay, instead of 80%, you account for 90% right now, and we'll give you some amount of a back-ended revenue and profile in these projects"?
Yeah. So 90% of the revenue is one way to consider it. As I told you, this Parvati 2 and Subansiri, both have taken exceptional time in commissioning. So 20-25 years kind of timeline has been there. So we are just taking conservative view. Let CERC decide the final tariff. And accordingly, that amount is going to our P&L sooner or later. So it is just timing difference, Murtuza ji.
Sure. Sure. And just on the second one, which is on that tariff charge related to Subansiri, which we saw, which is again a recoverable, just getting a sense that INR 800 crore number is for the entire 2,000 MW. So as more capacities get commissioned, you will recognize the remaining also?
Yeah. So this Power Grid had commissioned its two assets in March 2023 and March 2024, right? So from that date, whatever INR 781 crore has been calculated, that is up to December 2025. Now, in incremental order, we are going to add our unit one by one. So that amount would be decreasing. And I mean, by March, we are going to add four units. So that ATC will be on balance four units. So in decremental order, it would be coming. But 781 is not the final figure. Some amount will come from ATC in next financial year also, but not to that extent, frankly.
Sure. Sure. Thank you so much, sir. Thank you so much for the clarity on these two issues. Thank you.
Our pleasure.
Thank you. Participants may press star and one to ask a question. The next question is from the line of Prashant Kshirsagar from Unived Corporate Research Private Limited. Please go ahead.
Am I audible?
Yeah. Absolutely, sir. Go ahead.
Just wanted to ask about Subansiri Lower Project, hydroelectric project. What is the levelized tariff now finalized for?
Yeah. So considering INR 28,000 crore of CapEx, the levelized tariff is around INR 7.5.
INR 7.5. And will you be able to pass it on to the states or how? Because they will be slightly reluctant to accept the.
Yeah. Certainly, sir. Yeah. So.
Or you will be getting some concessions from the government in terms of period of the project or something of?
Prashant ji, you have been tracking NHPC for more than 20 years, and we are in regular touch. So you have seen what were the reasons for the delay in Subansiri Lower. Now, you have seen that all these delays were beyond the control of the management. And CERC is very much clear in their regulation that any cost overrun beyond the control of the management shall be part of the capital cost for tariff determination. So we are very much sure that whatever tariff and whatever cost we are going with to CERC, definitely, they will consider. Our Director of Finance also want to add something in this regard.
Yeah. As far as PPAs are concerned, all the PPAs are in place. So we don't find any problem because once CERC determines a tariff. So in that case, we will be getting all the tariff which has been determined by CERC. So we don't find any issue as of now as far as this tariff acceptance by the beneficiaries is concerned. But sir, do you think CERC will go for INR 7.5, or they will slightly give you some concessions and?
Yeah. I got your point. I got your point. CERC goes as per CERC regulations. In the regulations, it is clearly defined that whenever any expenditure has been incurred which is beyond the control of the company, in that case, it is allowed by the regulator. In this case, all the instances, as Mr. Saroj had explained, all the incidents are beyond the control of the company. In all probability, CERC is going to allow that. We are pretty much sure about it. That we have also filed the petition which we are going to file, we are going to put up these facts very strongly so that there are very less chances of any sort of disallowance of any sort of expenditure from CERC side. That we are confident about it, and we will take up the tariff petition very strongly.
Maybe CMD, sir, may like to add something on this.
Yeah. I think already Mr. Saroj and our Director of Finance explained the things regarding the tariff, high tariff. We all know that the reasons which were beyond the control of the management as well as the company for which the project almost stalled for 9 years. That fact is known to all the stakeholders, including CERC also. Already, as per the PPA, all the beneficiaries are honoring that. Considering the power for 25 years, 7.5 is not a very high tariff with the peaking power as well as the clean power. We had discussions internally as well as other stakeholders. We don't foresee any deduction from the CERC side on the cost which we have incurred or which we have projected in our petition.
Okay. So second question is on the Dibang Hydroelectric project. In the opening remarks, sir, you said that one contract is pending, one tender is pending. So it is regarding which contract because in the earlier conference call, they had said about the dam tender was pending. So can you help us with that?
Same tender is pending. But just want to share a good news. Today only, we discovered the—I mean, we opened the price bid, and we are going to award this contract within this month only. And with this, all the contracts will stand awarded. And I am hopeful that the way the project is progressing, so now there will not be no looking back. And the dam package was there which you are talking about. This was in the last call also. And the same was in this call also which I just told you. But today only, we opened. And during this month, we'll award that also.
This month, you'll be awarding that. Okay. Just for information, sir, how many players have bid for this dam or this thing?
Four bidders were there in this class.
Four players were there. Okay. And the third question is about the Etalin project.
Etalin?
Etalin, yeah, hydroelectric project. You have been assigned the project from SJVN by the government by the power ministry. So just wanted to ask you whether this project will come in your balance sheet or it will remain in the SJVN's balance sheet, or how does it, what is the understanding now?
No. Now, this will be in the balance sheet of NHPC only. This is due to some reasons, and so Minister of Power decided that considering the size of the project and also our presence in the Dibang Valley already because this is in the Dibang basin only, so they thought that, "Yes, we can handle this in a much better manner." So that was the only reason. So now, this will remain in the balance sheet of NHPC only.
In the balance sheet of the NHPC. And regarding the expenditure made by SJVN, you'll be reimbursing them, or is it like?
No, no. We will be reimbursing them based on their balance sheet because that's also, again, another PSU. And so we will be definitely reimbursing that amount, whatever they've incurred. And mainly, the expenditure which is on the plant is basically on the land procurement only. That's mainly this expenditure on this project as of now.
Okay. So the other questions are on the projects of Kamala and Subansiri Upper. The land acquisition has been done, or is it in the process now, or is it?
For this Kamala, we are in very advanced stages. Already, the property survey and everything has happened. Now, only the award has to come from the district administration. But due to some elections and panchayat election and all that, it got slightly delayed. But now, we are expecting this award anytime from Kamala, particularly, which we called Middle Subansiri also, this 720 MW. So 1,720 MW. Already, I just want to share with you that already, the PIB has also cleared this project. So I hope that by the end of March, we will be having all the clearances, including the land part also. And we will be awarding the contract in April or May and start the construction accordingly.
Okay. And so you expected to start in FY 2026, 2027 by NHPC?
Yeah. Yeah. Because after April, it can start anytime because we have only tendered out one package for Kamala also. And I told you PIB is already cleared. So some of our environment clearance, forest clearances, and the land acquisition, those are in the last stage of approval. So I am expecting that I will get all the approvals and clearances by the end of March. And from May onwards or maximum June, depending upon sometimes, tenders get delayed due to one or the other reason of the bidders. So if it doesn't happen, then I think we may conclude the tendering process of at least one package by April itself. So from May onwards, the project may start the construction may start in the project for Kamala. Subansiri Upper, you just talked about.
The Upper Subansiri, I think there may be a gap of around 4-5 months between the Middle Subansiri, Kamala, and Upper Subansiri. So there also, property survey is going on. And there also, we are in advanced stage of forest clearance also. And for EC, we may get EC also by April or May. So there will be a gap of 4-5 months between Middle Subansiri and Upper Subansiri for construction start.
For Etalin, when should one expect, FY 2027 or 2028?
Etalin will be, you can say, from July or August, we will start the construction.
From 26?
Because everything is in place. EC is in place. FC is in place. And land acquisition, almost 90% has been done. Only 10% remained. Now, only two, three days back, Honorable CM and along with his cabinet had a meeting there in Etalin. And so small, small issues which we are just facing at site, so those will be resolved very soon. And I am expecting that by June, we may start the construction of Etalin also by June or July.
June or July. Okay, sir. Okay. Last question is regarding the terrain. Sir, you have experienced geological issues and various issues in Lower Subansiri. So in case of Upper Subansiri and Middle Subansiri, that's Kamala, you expect that sort of hindrance to the project, or it will be smooth kind of thing?
No. No. Terrain is definitely very good there and better than, I will say, Lower Subansiri. So we don't expect much of an issue which we faced in Lower Subansiri because the geological conditions are much, much better in these projects, in fact, including your Etalin also.
Oh, so in the Dibang Valley also, you feel the terrain is much better than?
Dibang is much better. Now, I just want to tell you, in the powerhouse which is underground cavern, basically, so we are progressing very well. We are in a very advanced stage of excavation, which is the major critical component of any hydroproject. Also, the diversion tunnel portion, there are six diversion tunnels, and we are almost at the far end of completing those diversion tunnels. So it shows itself that, yes, the geology is much, much better. Now, the dam package will also be awarded. So once we start that, then definitely, we'll come to the exact geology of the dam. But as per our investigation and geological surveys, the geology is very good in that area. We don't foresee any issue or any delays because of these accounts. So any surprise, you can understand that any geological surprise, we can never avoid.
As per our investigation, we don't foresee much surprises in that area.
Sorry to interrupt you, Prashant Sir. May we request you that you return to the queue? The next question is from the line of Rupesh Sankhe from Elara Capital. Please go ahead.
Yeah. Sir, do you have adjusted PAT number for Q3? Was Q3 not here?
Yeah. Rupesh, while arriving at adjusted PAT, you have to add just INR 116 crore loss given by Parvati-II too. So whatever reported number PAT of Q3 is there, just you add INR 116 crore, you will arrive at adjusted PAT because there is no exceptional or one-off item in this quarter.
Okay. The second question is, sir, as a nodal agency, we have many projects in the solar space where PPA and PSA have to be signed. Can you throw some light on that? What is the progress there?
Maybe CMD, sir, may like to answer this question?
Sorry. Sorry. Can you just repeat your question?
Yes. As a nodal agency, we have many projects on the solar side where PPA and PSA have to be signed. So how is the progress there?
Regarding this, REIA, I think, Renewable Energy.
Yeah. Yeah. Absolutely.
You are talking about. So in that case, you know that the demand has slightly dried down in the RE sector across India, in fact. All the areas are trying their best to do the PPAs. But recently, we got a very good response for about 2, 3 recently awarded this Renewable Energy contracts, which is mainly FDRE. And wind also, we are getting a very good response. We got amended our 1,200 MW from Punjab. So we got almost 15 bidders in that. And I think but as you know that, we have almost bid out around 20,000 MW. And out of that, we have done the PPA only for 6,000 as of now. So recently, all the RE developers have, I think, 2 or 3 rounds of meetings with MNRE, Minister of Power. Then one meeting was chaired by Honorable Power Minister as well as Honorable MNRE Minister.
They have told their issues with that forum. And some of them are definitely resolvable. And they were sure to come out positively that how we expedite the PPAs or PSAs to be signed as early as possible. But yes, definitely, now, ultimately, this has to be signed by the ultimate user or beneficiary. Those are the distribution companies. So there is some mismatch of adequacy plan as well as the demand as well as the power which is available as of now. And second, 2, 3 things are there. Major hindrance for all this delay in PPA, one is the connectivity issue because connectivities which are now available are coming 29-30. So DISCOMs are slightly hesitant to sign the PPA when the power will be available after 2, 3 years. And there is the source of power.
Now, DISCOMs are now planning that they will not sign the PPA for standalone solar. And they want that solar with the battery or some other alternative like solar plus wind plus battery because they want now 24-hour supply, round-the-clock supply, RTC, or they want assured peak. So because of this now change in requirement, some of the PPAs are definitely getting stuck up. But I'm still hopeful that in the next 2-3 months, we may sign PPA of around 2,000-3,000 2,000 MW-3,000 MW also.
Yeah. Yeah. Thank you, sir.
Thank you, ladies and gentlemen. That was the last question for the day. Now, I would like to hand over the conference to the management for closing comments.
CMD, sir, over to you, sir.
Yeah. So I think we really had a very good conversation with our friends. And I really appreciate the queries which they have raised because whenever we have this conversation, we learn a lot from our stakeholder. And we learn a lot that, yes, what are the shortcomings we have and how to fulfill those shortcomings. So I really thank Elara Capital as well as all these queriers who have joined through this call. I really thank all of you. And I assure everyone that NHPC has a bright future in terms of this in terms of completion of the projects which are under construction, in terms of expansion, the new projects which are coming up, whether these are in hydro sector, whether these are in pumped storage sector, whether these are in RE sector.
We are trying to see how we can have some inorganic or organic growth, whatever possible. So that also, we are working upon. I assure everyone that our results of this entire 12 months will be very, very good. We will have a much better year this year. Thank you so much.
Finish.
On behalf of Elara Capital, that concludes this conference. Thank you for joining us. You may now disconnect your lines.