India: NPA fears in renewable energy sector

Last Modified: Wed Mar 04 2020 21:05:13 GMT+0530 (India Standard Time)
  • $3.22 billion
    FDI inflows that came in to fund renewable energy projects over the last four years. This came alongside domestic investment leveraged mostly by bank funding.
  • 0
    Number of NPAs in the wind sector and solar sector. However there are concerns that this could change, the concerns stem from mounting payment dues of renewable energy generators, primarily as distribution companies (discoms) of states such as Andhra Pradesh, Tamil Nadu and Telangana have been falling back on payments for electricity contracted.
  • Rs 9,403 crore
    Dues as of end Nov 2019, with Andhra Pradesh, Tamil Nadu, Telangana, Karnataka and Rajasthan together contributing over 85% of the total, according to data compiled by the Central Electricity Authority.
  • 15
    Number of discoms have fallen back on payment obligations against electricity supplied by solar and wind energy developers. 2 state-owned discoms of Andhra Pradesh moving to reopen contracts signed with wind generators earlier this year, a step that threatened to impact at least 40 of India’s biggest RE developers. According to analysts, firms with a higher proportion of assets exposed to states like Andhra Pradesh are under greater stress.
  • Rs. 35,000 crore
    The exposure of banks in renewable projects in Andhra Pradesh. The full payouts in Andhra Pradesh are still not comingresulting in some renewable players who are certainly facing cash flow challenges.