ATL tied up the revolving construction facility of $700 million in one of Asia's largest revolving project financing deals from international banks for its under-construction transmission network portfolio. The unique capex for revolving structure of the facility provides funding of $1.1 billion on fully drawn basis. This is the first of its kind certification of green loan in the transmission sector in the Asia Pacific (APAC) region.

Anil Sardana, MD and CEO of ATL, said, “ATL has been a signatory to energy compact goals as part of COP26 and the energy compact with UN in November, 2021. The Second Party Opinion (SPO) from Sustainalytics is the testament to overall philosophy of Adani Transmission to facilitate transition to green energy by increasing the share of renewable power in the overall grid, in line with India's commitment on climate change.”

Sustainalytics had issued the independent SPO on the alignment of the reviewed framework with the current market standards and the extent to which the eligible project categories are credible and impactful. Sustainalytics has opined that ATL's green loan framework aligns to the four core components of the green loan principles 2021 on project evaluation & selection, use of proceeds and associated contribution to sustainable development goals, management of proceeds and reporting.

The projects associated with the $700 million revolving facility are being implemented in the states of Gujarat and Maharashtra. In Gujarat, these projects are part of the Government of India's Green Energy Corridor Projects (GEC), dedicated to the evacuation and transmission of renewable energy. In Maharashtra the projects are conceptualized to strengthen the Mumbai's transmission system by enhancing grid stability and providing a stable transmission network which shall promote higher share of renewable energy in the overall grid mix ensuring more penetration of green energy to the end consumers, the company stated.

The investments in the eligible category shall support the transmission of clean energy and advance the UN Sustainable Development Goals (SDG) 7 (Ensure universal access to affordable, reliable and modern energy services, increase substantially the share of renewable energy in the global energy mix); and SDG 9 (Develop quality, reliable, sustainable and resilient infrastructure, including regional and trans-border infrastructure, to support economic development and human well-being, with a focus on affordable and equitable access for all), the company added.

The revolving facility underlines the overall development philosophy of Adani portfolio companies implemented through an in-house developed project excellence framework committed to the highest standard of due diligence covering all international standard Environment, Social and Governance (ESG) aspects. ATL's business strategy is centered on achieving Sustainable Development Goals (SDGs) across all its activities. Sustainalytics has certified that ATL demonstrates its commitment to sustainability through its environmental strategy which is focused on building resilient infrastructure, achievement of operational excellence, and protection of ecological services.

The Adani Group company said that MUFG Bank, has acted as green loan coordinator to the issuer for arranging the SPO on green loan framework prepared by ATL.

ATL is the transmission and distribution business arm of the Adani Group. It has a cumulative transmission network of approximately 18,795 ckm, out of which approximately 14,279 ckm is operational and approximately 4,436 ckm is at various stages of construction.

The company reported 7.6% fall in consolidated net profit to Rs 237 crore on a 13.5% increase in net sales to Rs 2,582 crore in Q4 FY22 over Q4 FY21.