SJVN Limited

Investor Meet Presentation

June 2016

SJVN – A Snapshot

• SJVN was incorporated as a JV between GoI and theGoHP with equity ratio 75:25.

• SJVN became a Schedule A PSU; designated as Mini-Ratna Category-I in May, 2008.

• Company got Listed on NSE and BSE in the month ofMay, 2010 consequent to disinvestment of 10.03%share in the company by GoI through a Public Offer.

• Presently, the Company has 3 operational Projects:-

1. Nathpa Jhakri Hydro Power Station – 1500 MW

2. Rampur Hydro Power Station - 412 MW

3. Khirvire wind project - 47.6 MW

• Another 12 Projects having combined capacity of4868 MW are in various stages of development.

• Lately, the Company has diversified into Thermal,Solar and Wind Power and envisions to develop itselfinto a fully diversified Power Sector Company.

• Stable revenue stream through long-term PPAs.

• Reputed for good Corporate Governance practicesand Environmental and Social responsibility

Project s under development

Operational

Under construction

Under development

Dhaulasidh

66 MW

Rampur

412 MW

Nathpa Jhakri

1,500 MWLuhri

698 MW

Jakhol Sankri

44 MW

Naitwar Mori

60 MW

Devsari

252 MW

Arun III, Nepal

900 MW

2

Kholongchhu

600 MW

Wangchhu

570 MW

Buxar TPP

1320 MW

Khirvire WPP

47.6 MW

Doimukh

53 MW

Solar Projects

(300+5) MW

Policy Thrust

Revised CERC Regulations• The new tariff regulations issued by CERC (2009-14) comprises a number of elements including the

concept of annual fixed charges, incentives and deviation settlement charges

• Guaranteed rate of return on equity of 16.5% with additional incentives for higher efficiencies

Provision for Mega Power Projects• Threshold limit to obtain hydro mega power project status is 500 MW for all states except Jammu &

Kashmir, Sikkim and the North Eastern States, where it is 350 MW

• Threshold limit to obtain thermal mega power project status is 1000 MW for all states exceptJammu & Kashmir, Sikkim and the North Eastern States, where it is 700 MW

• Ten year income tax holiday

• Duty-free import of capital equipment

Import Policy for Enhancing Hydropower Utilization• Utilize the hydro power potential of Bhutan, Nepal and Myanmar of about 140,000 MW

• Provide financial and technological assistance to these countries

Policy Thrust – Present Government

POWER SECTOR

The current Government has embarked upon a massive programme to provide 24x7 power across the country by 2019.

In the reform and restructuring front, various amendments are being brought in the Electricity Act and Tariff policy.

Comprehensive State-specific action plans for 24x7 power to all homes are being prepared in partnership with respective states, encompassing generation, transmission and distribution.

Capacity addition of 1,18,537 MW (including 88,537 MW conventional and 30,000 MW renewable) during the 12th Plan, i.e. by 2016-17.

RENEWABLE ENERGY

India is running the largest renewable capacity expansion programme in the world. The government is aiming toincrease share of clean energy through massive thrust in renewables.

The Government has up-scaled the target of renewable energy capacity to 175 GW by the year 2022 which includes100 GW from solar, 60 GW from wind, 10 GW from bio-power and 5 GW from small hydro-power.

Stepping up capacity target under the Jawaharlal Nehru National Solar Mission (JNNSM) by five times now India isaiming to generate reaching 1,00,000 MW solar power by by 2022. The target will principally comprise of 40 GWRooftop and 60 GW through Large and Medium Scale Grid Connected Solar Power Projects.

Amendments to the Electricity Act and Tariff Policy for strong enforcement of Renewable Purchase Obligation (RPO) andfor providing Renewable Generation Obligation (RGO);

Setting up of exclusive solar parks; development of power transmission network through Green Energy Corridor project;

Raising tax free solar bonds; providing long tenor loans;

Investment Highlights

SJVN Limited

Established Player in Hydro Electric Sector

Attractive Project Portfolio

Long Term PPAsExpansion Plans /

Diversification Initiatives

Strong Financial Performance

1

34

5 2

4

Performance Highlights

(FY ended 31st

March 2016)

Gross Generation (MU)

Annual Plant Availability Factor (%)

Project MOU Target(Excellent)

Achievement Excess of Target

NJHPS 6980.000 7313.784 +333.784

RHPS 1500.000 1983.398 +483.398

KWPS 40 48.946 +8.946

Plant MOU Target(Excellent)

Achievement Excess of Target

NJHPS 97.000 104.679 +7.679

RHPS 97.000 99.592 +2.592

Performance Highlights

(FY ended 31st

March 2016)

Gross Energy Generation (in MUs) from variousoperational plants, during the year ended 31.03.2016was recorded as under:

Operational Plant Upto

31.03.2015

Upto

31.03.2016

Excess

Nathpa Jhakri Hydro Power Station6838.125 7313.784 +475.659

Rampur Hydro Power Station1257.520 1983.398 +725.878

Khirvire Wind Power Station40.488 48.946 +8.458

TOTAL 8136.133 9346.128 1209.995

MOU RATINGS

SJVN signs MOU with Min. of Power, Govt. of India before start ofevery Financial Year.

The targets are a mix of financial and non-financial parameters

The performance of the company is measured against the targetsdefined in the MOU on a 5 point scale ranging from Excellent toPoor.

MOU Rating for last 3 Years is as below:

FY Rating

2012-13 Excellent

2013-14 Excellent

2014-15 Excellent

Established Player in Hydro Electric Sector

NJHPS [1500 (6X250) MW] – Strong Operating History

Generation Chart(MU)

PAF Vs. NAPAF (in %)

• A 1,500 MW (6 x 250 MW) run-of-the-riverhydroelectric power station located on Sutlej riverin the Himalayan region

• NJHPS has an annual design energy generationcapacity of 6,612 MU in a 90% dependable yearwith 95% machine availability.

• For FY 2016, the gross energy generation was7314 MU as against the Design Energy of 6612MU which is second highest generation sincecommissioning of the Project.

• NJHPS has consistently achieved a highermonthly PAF than the NAPAF set by CERC, thusqualified the performance-based incentives.Under the new tariff regime, the NAPAF has beenset as 90% by the CERC.

• CERC, vide its order dated 20.06.2014, hasprovisionally approved the tariff for NJHPS for theperiod 2009-14 considering provisional capitalcost of Rs.8528.70 crore.

60146449 6609

7019 71407610

67787193

68387314

FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16

85 85 8582 82 82 82 82

90 90

92.4

96.7 96.198.6 98.3

104.262105.15 105.75105.504 104.7

75

80

85

90

95

100

105

110

FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16

NPAF Actual PAF

Established Player in Hydro Electric Sector

Rampur HPS [412 (6X68.67) MW]

• The 412 MW Rampur Project is located downstream of the NJHPS on the SutlejRiver, and is a tailrace arrangement which is expected to use the de-silted waterdischarged from the NJHPS

• Rampur HPS has declared under commercial Operation on 16.12.2014.

• Rampur HPS has an annual design energy generation capacity of 1878.08 MU in a90% dependable year with 95 % machine availability.

• The gross energy generation of Rampur HPS during FY 2015-16 was 1983 MUs.

• Rampur HPS has achieved a higher actual PAF than the NAPAF set by CERC forthe year 2014-15, thus qualifying for the performance-based incentives under thetariff regime. The NAPAF has been set as 82% by the CERC for the year 2014-15& 2015-16 and achievement for 2014-15 & 2015-16 was 95.485% and 99.592respectively.

• CERC, vide its order dated 27.01.2015, has provisionally determined the Capitalcost of Rampur HPS at Rs.3109.60 crore.

• Unit-5 and Unit-2 of Rampur HEP were awarded “Gold Plate” and “Silver Plate”respectively by MoP in the category of “Early completion of Hydro Projects” for theyear 2013-14.

Rampur HPS in pictures

Outfall Gate Machine Hall

Pot Head yard Power House11

Projects Portfolio

Khirvire Wind Power Project in Maharashtra - 47.6 MW

• Letter of Award (LoA) for the Khirvire Wind Power Project was issuedto M/s Gamezha Wind Turbines Pvt Limited, Chennai on 19.10.2012.The Contract Agreement for the project was signed on 14.12.2012.Project was commissioned on 20.05.2014.

• The Project started generation w.e.f. 20th January-2014 withcommissioning of first lot of 25 WEGs and attained full generationcapacity by commissioning the last 56th WEG on 20th May,2014.

• A total of 48.95 MUs of Energy has been generated in FY 2016-17 bythe Project upto 31.03.2016.

Projects Portfolio

Projects under development / implementation

State / Country

Estimated Installed Capacity

Status Update

Devsari HEP Uttarakhand

252 MW • Forest stage-I clearance recommended by FAC.Environment clearance recommended by EAC.Private land is being acquired. On 12th October 2015,

Supreme Court hasclarified that its earlierstay orders on ForestClearance (FC) &Environmental Clearance(EC) do not apply toprojects other than 24projects listed in theorder. The decision has apositive bearing onCompany’s Projects inUttarakhand.

Naitwar Mori HEP

Uttarakhand

60 MW • Stage I Forest Clearnce has been accorded byMoEF&CC on 08.02.2016. EAC hasrecommended the project for EnvironmentClearance to MoEF&CC, formal clearance isawaited.

Jakhol SankriHEP

Uttarakhand

44 MW • The case for wild life clearance was consideredby standing committee of NBWL on26.02.2016. Clearance to be considered afterthe receipt of Eco-sensitive zone from Govt. ofUttarakhand.

Projects Portfolio

Projects under development / implementation

State / Country

Estimated Installed Capacity

Status

Luhri HEP HP 184 MW • 1st consultation meeting with CEA/CWC•MoEF&CC has approved TOR for Environment Impact Assessment.

Dhaulasidh HEP HP 66 MW •Revised PIB note submitted to Governmenet.A committee is being formed with GoHP to discuss the issues

regarding cost reduction to make available cheaper power.

Projects Portfolio

Projects under development / implementation

State / Country

Estimated Installed Capacity

Status

Doimukh HEP Arunachal

Pradesh

53MW • DPR under preparation

Buxar Thermal

Power Project

Bihar 1320 MW •Investment approval for pre-construction activities for an amount of 436.68 Cr accorded by MoP, GoI. Payment amounting to Rs.360.6 Crore towards land compensation has been released on 25.11.2015 to Bihar State Power Generation Company Limited (BSPGCL).

•Almost 90 % amount disbursed to land owners and taken possession of the land. Erection of Boundary Pillars in the acquired completed.

•MoU for coal linkage signed with MMTC Ltd on 24.02.16.

•DPR under preparation by NTPC.

Projects Portfolio

Projects under development / implementation

State / Country

Estimated Installed Capacity

Status

Kholongchhu HEP Bhutan 600 MW •Joint Venture Company of SJVN and Druk Green Power Company of Royal Govt of Bhutan formed as Kholongchu Hydro Energy Ltd. on 12.06.2015.

•Project roads under construction by Kholongchhu Hydro Energy Limited.

•Concession agreement under finalization. Wangchhu HEP Bhutan 570 MW •Share holder agreement under finalization. CEA has vetted the

cost of PIB note submitted to MoP on 01.09.2015.

Arun-3 HEP Nepal 900 MW •Draft PIB Note circulated for appraisal.

Projects Portfolio

Projects under development / implementation

State / Country

Estimated Installed Capacity

Status

Charnka Solar

Project

Gujrat 5 MW •EPC Contract amounting to Rs. 29.325 crore awarded to M/s Raya Power Experts on 29.10.2015.•Column casting work of isolator, LA & Circuit Breaker completed.•Bolt grouting on casted columns for mounting of structures in progress. •60% work of 66KV excavation completed.

Transmission Line

Project

India &

Nepal

400KV D/C •The work of India portion (CPTC) viz. Muzaffarpur – SursandPower Trasmission Line (86 kms) has been completed and test charged on 09.02.2016.•Further, Nepal portion (PTCN) viz Bhittamod – DhalkebarPower Transmission Line (42.229 kms) has also been completed and test charged on 17.02.2016.•The Power Transmission line has been declared commercial from 00:00 Hrs of 19.02.2016 and dedicated to nation jointly by Prime Ministers of India and Nepal on 20.02.2016.

Diversification -Alternative Energy

SJVN has diversified into various alternative energy projects, such as Wind Power and SolarEnergy Projects.

SJVN has given a Green Energy Commitment to develop 1000 MW of Solar PV project by2015-19 during RE- INVEST 2015.

SJVN is in process of setting up of a 5 MW Solar Power Project in Charanka, Gujarat which asof date is the largest solar park in India. The award for EPC work has already been placed on29.10.2015. The project is expected to be commissioned by end of June 2016.

A MoU was signed with SECI on 19.06.2015 for setting up of 500 MW grid connected solarpower projects.

A MoU was signed with Saurya Urja Company of Rajasthan Limited on 03.12.2015 forallocation of land for development of 300MW solar power generation capacity in the SolarParks at Bhadla-III, Jodhpur.

SJVN is further exploring business development opportunities in the field of Solar PowerDevelopment to fulfill its commitment of development of 1000 MW of Solar Power by theyear 2019.

Transmission Business

• Cross Border Power Transmission Co. Ltd

• For exchange of electricity between Nepal and India, a 400 kV D/C transmission line ofapproximately 145 km in length, running from Dhalkebar (in Nepal) to Muzaffarpur (inIndia), to be initially charged at 220 kV, and associated bay extension work atMuzaffarpur and Dhalkebar substations, hereinafter referred to as Transmission LineProject (TLP) shall be implemented under JV among IL&FS, PGCIL.SJVN & NEA..

• Equity pattern is as given below:

IL&FS 38%

PGCIL 26%

SJVN 26%

NEA 10%

• A dedicated Arun-III-Dhalkebar- Muzaffarpur 400KV D/C Transmission Line , total length-310km planned to evacuate the power from Arun-III HEP has been successfullycompleted by SJVN.

Project Advisory & Consultancy

SJVN has unique distinction of implementing the hydro projects of any magnitude from

concept to commissioning in particular, in the fragile Himalayan Geology.

The experience of constructing gigantic 1500 MW NJHPS project has given an edge to the

SJVN’s expertise in designing any type of projects which involve tunnels stabilization of soil

and rock, diversion of rivers, stabilizing the rock mass using cable anchors, construction of

shafts, large underground caverns etc.

To take leverage of this expertise SJVN has started consultancy services for all those who are

in need of expertise services in the above fields. SJVN has rendered consultancy services to

KRCL for design works of tunnels, tunnel portals, slope stabilization of portals and station

yards, and other specific problems at different KRCL sites.

The HVOF (High Velocity Oxy Fuel) coating facility established and successfully operated at

1500 MW NJHPS has been widely appreciated in the Hydro Power Sector. SJVN endeavors

that all projects/organizations facing similar silt erosion problems could benefit from by the

experience and expertise gained by the Company.

Long Term PPAs for NJHPS

• For the regulation period 2009-14 the CERC allowed RoE for NJHPS as 15.5% from April 1st, 2009 to December 31st , 2012and 16.5% from January 1st, 2013 to March 31st, 2014.

• Under the new tariff regime for the period 2014-19 the guaranteed RoE is 16.5% from April 1st, 2014 to March 31st , 2019.

List of PPAs entered into -

Party State Commencement Year

Duration (years)

Allocation (%)2

MWs

Punjab State Electricity Board Punjab Oct-02 35 10.13 152

Haryana Vidyut Prasaran Nigam Limited Haryana Jan-03 35 4.27 64

Chandigarh Administration, Engineering Dept. Chandigarh Dec-02 35 0.53 8

Government of Himachal Pradesh HP Oct-05 35 36.47 547

Himachal Pradesh State Electricity Board HP Mar-03 40

Delhi Transco Limited Delhi Mar-03 35 9.47 142

Power Development Department of J&K J&K May -04 5 7.00 105

May -09 5

May -14 5

Rajasthan Rajya Vidyut Prasaran Nigam Limited Rajasthan Feb-03 35 7.47 112

Uttar Pradesh Power Corporation UP May 04 5 14.73 221

May-09 30

Uttarakhand Power Corporation Limited Uttarakhand Dec-05 35 - -

Unallocated 9.93 149

Long Term PPAs for RHPS

Under the new tariff regime the guaranteed RoE is 16.5% from April 1st, 2014 to March 31st , 2019.

List of PPAs entered into -

Party State Commencement Year

Duration (years)

Allocation (%)2

MWs

Punjab State Electricity Board Punjab May-14 35 5.62 23.16

Haryana Vidyut Prasaran Nigam Limited Haryana Aug-14 35 4.15 17.11

Chandigarh Administration, Engineering Dept. Chandigarh Dec-14 35 - -

Government of Himachal Pradesh HP June - 2015 35 41.91 172.66

Himachal Pradesh State Electricity Board HP May-14 35

Power Development Department of J&K J&K Feb-14 35 7.12 29.35

Rajasthan Rajya Vidyut Prasaran Nigam Limited Rajasthan Feb-14 35 7.72 31.81

Uttar Pradesh Power Corporation UP Feb-14 35 13.76 56.68

Uttarakhand Power Corporation Limited Uttarakhand Jan-14 35 10.58 43.59

Unallocated 9.14 37.64

1682.10 1873.58

2817.53 2495.81

234.52237.14

443.57268

0.00

500.00

1000.00

1500.00

2000.00

2500.00

3000.00

3500.00

FY13 FY14 FY15 FY16

Total Revenue (Rs. Crore)

Turnover Other Income

1052.34 1114.63

1676.751408.48

0.00

500.00

1000.00

1500.00

2000.00

FY13 FY14 FY15 FY16

Profit After Tax (Rs. Crore)

Profit After Tax (Rs. Crore)

44.15 42.55

31.25

38.88

25.00

35.00

45.00

FY13 FY14 FY15 FY16

Dividend Payout Ratio(%)

Dividend Payout Ratio(%)

0.220.24 0.24 0.22

0.16

0.18

0.20

0.22

0.24

0.26

FY13 FY14 FY15 FY16

Debt to Equity Ratio

Debt to Equity Ratio

Strong Financial Performance

Strong Financial Performance

2.54 2.69

4.05

3.40

0.00

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50

FY13 FY14 FY15 FY16

Earning Per Share (Rs.)

Earning Per Share (Rs.)

20.3321.88

24.6726.75

0.00

5.00

10.00

15.00

20.00

25.00

30.00

FY13 FY14 FY15 FY16

Book Value per Share (Rs.)

Book Value per Share (Rs.)

Units FY16 FY15 FY14 FY13

Gross Generation MU 9346 8136 7196 6778

NPAF (NJHPS) % 90 90 82 82

PAF (NJHPS) % 104.7 105.50 105.75 105.15

Debt Equity Ratio 0.22 0.24 0.24 0.22

Dividend Payout

(Incl. Dividend Tax)% 38.88 31.25 42.55 44.15

Turnover Rs. Crore 2498.49 2817.53 1873.58 1682.10

Other Income Rs. Crore 409.72 443.57 237.14 234.52

Total Income Rs. Crore 2908.21 3261.10 2110.72 1916.62

Profit After Tax Rs. Crore 1408.48 1676.75 1114.63 1052.34

EPS Rs. 3.40 4.05 2.69 2.54

Book Value Rs. 26.75 24.67 21.88 20.33

Strong Financial Performance

Awards & Achievements during FY 2015-16

• SJVN was conferred with “Excellence Award” and Sh R N Misra, Chairman & ManagingDirector; SJVN was awarded “Udyog Rattan” by Institute of Economic Studies inrecognition of outstanding performance of SJVN and its management in the field ofindustrial development in the country.

• SJVN was awarded with ABP-News CSR Leadership Award in category of BestCorporate Social Responsibility Practices.

• SJVN was awarded “PSU Award 2015” by Governance Now. SJVN was selected for BestEmployee Productivity award under Mini Ratna Category-1 Public Sector Undertaking.

• SJVN was also conferred with SCOPE Excellence Awards in Institutional Category(Miniratna I & II PSEs) for the year 2013-14 with Gold Trophy and Citation and for year2010-11 with Commendation Certificate.

• SJVN bagged CIDC Vishwakarma Award - “Achievement Award for Social Development& Impact” and “Partners in Progress”.

• SJVN was awarded “Silver Plate Awards” by Help Age India for CSR

THANK YOU