SURANA GREEN ENERGY LIMITED
(An immediate subsidiary of Ms. Surana Green Power Limited &
Ultimate subsidiary of Ms. Surana Industries Limited)
ANNUAL REPORT
2013 - 2014
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
CONTENTS
NOTICE
1
DIRECTORS’ REPORT
3
REPORT ON CORPORATE GOVERNANCE
6
INDEPENDENT AUDITORS’ REPORT
9
BALANCE SHEET
12
PROFIT AND LOSS ACCOUNT
13
NOTES TO THE ACCOUNTS
14
CASH FLOW STATEMENT
24
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
BOARD OF DIRECTORS:
Shri. Shantilal Surana
:
Director
Shri. B.S. Patil
:
Director
Shri. Rajiv Surana
:
Director
STATUTORY AUDITOR:
M/s. C.S.P. Jain & Co.,
Chartered Accountants,
No.60, N S C Bose Road,
Chennai 600 001
REGISTERED CUM CORPORATE OFFICE
M/s. Surana Green Energy Limited
#29, Whites Road,
2nd Floor, Royapettah,
Chennai- 600014
BANKERS:
STATE BANK OF INDIA
Industrial Finance Branch,
No. 157, Anna Salai,
Chennai – 600 002
IFCI VENTURE CAPITAL FUNDS LIMITED
16th Floor, IFCI Tower,
61 Nehru Place, New Delhi - 110019
WORKS:
1.
No. 102/17, Pavendar Bharathi Dasan
Nagar, Radhapuram Village,
Radhapuram Taluk,
Tirunelveli (Dt.)-627 111
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
NOTICE OF ANNUAL GENERAL MEETING
Notice is hereby given that the Second Annual General Meeting of M/s. Surana Green Energy Limited will be
nd
held at the Registered Office of the Company at No.29, Whites Road, 2 Floor, Royapettah, Chennai – 600 014
th
on Monday, the 30 Day of June 2014 at 10.00 A.M. to transact the following Business:
Ordinary Business:
st
1. To receive, consider and adopt the Balance Sheet as at 31 March 2014 and the Profit and Loss
Account for the year ended on that date together with the Reports of the Board of Directors’ and the
Auditors’ thereon.
2. To re-appoint Auditors of the Company, M/s. C.S.P Jain & Co, Chartered Accountants for the year 2014
- 2015, to hold office from the conclusion of the ensuing Annual General Meeting to the conclusion of
next Annual General Meeting of the Company and to authorize the Board to fix their remuneration.
3. To appoint a Director in the place of Shri. Rajiv Surana who retires by rotation and being eligible, offers
himself for re-appointment
Special Business:
4. To consider and if thought fit, to pass with or without modification(s), the following resolution as an
ORDINARY RESOLUTION:
"RESOLVED THAT in accordance with the provisions of Section 257 and all other applicable
provisions, if any, of the Companies Act, 1956, Shri. Shantilal Surana, who was appointed as an
Additional Director and who holds office as per the provisions of Section 260 of the Companies Act,
1956 upto the date of this Annual General Meeting and in respect of whom the Company has received a
notice from a member in writing proposing his candidature for the office of Director, be and is hereby
appointed as a Director of the Company, liable to retire by rotation.”
-/ By Order of the Board /For SURANA GREEN ENERGY LIMITED
-sdRAJIV SURANA
DIRECTOR
Place: Chennai
Date: 22.05.2014
Notes:
1. A member entitled to attend and vote, is entitled to appoint a proxy to attend and vote instead of
himself and the proxy need not be a member. Proxy forms, in order to be valid should be deposited
at the registered office of the company not less than 48 hours before the commencement of the
Meeting.
2. Members/Proxies should bring the attendance slip duly filed in for attending the meeting.
3. Members are advised to quote the registered Folio Number in all correspondence with the Company.
4. All documents referred in the above notice are open for inspection at the registered office of the
Company during office hours.
1
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
EXPLANATORY STATEMENT UNDER SECTION 173(2) OF THE COMPANIES ACT, 1956:
Item no: 4
The Company has received a notice in writing along with a deposit of Rs. 500/- from a member as required
under Section 257 of the Companies Act, 1956 signifying his intention to propose the appointment of Shri.
Shantilal Surana as Additional Director of the Company.
th
Shri. Shantilal Surana was appointed as Additional Director of the Company w.e.f 12 February 2014.
Shri. Shantilal Surana belongs to a business family and hails from Merta City, Rajasthan. He has over 35 years
of experience in Broking, Hire Purchase and leasing and Finance, Jewellery trade business. He has over 20
years of experience in manufacturing units of steel as well as jewellery. He is one of the founder members of
Surana Group and he has been instrumental in the steady growth of the group over the last 2 decades. Now he
is focusing on the Green Energy portfolio for a sustainable future of the power sector.
Shri Shantilal Surana is father of Shri. Rajiv Surana. None of the directors other than Shri. Rajiv Surana is
interested in this resolution.
This Explanatory Statement together with the accompanying Notice may also be regarded as an abstract under
Section 302 of the Companies Act, 1956.
-/ By Order of the Board /For SURANA GREEN ENERGY LIMITED
-sdPlace: Chennai
Date: 22.05.2014
RAJIV SURANA
DIRECTOR
2
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
DIRECTORS’ REPORT
Your Directors have great pleasure in presenting
the Second Annual Report of the Company together
st
with the Audited balance Sheet as on 31 March,
2014 and the profit and loss account for the year
st
ending on 31 March 2014.
emissions by more than 1.5 billion tons per year. By
2030, wind power could provide more than 20% of
global electricity supply.
INDIAN WIND POWER SCENARIO:
The wind power is going to play a major role in our
energy future. India today stands among the top
five countries of the world in terms of renewable
energy. India has an estimated potential of 1,02,788
MW of wind power at 80 metre hub height. The offshore potential is yet to be established. The per
capita consumption of electricity in India is 778 kWh
per annum. Our country’s National Action Plan on
Climate Change mandates an increase in the share
of renewable power in the electricity mix to 15
percent by the year 2020. Ministry of New &
Renewable Energy (MNRE) has set up a target of
around 55 GW of renewable power by 2017.
FINANCIAL RESULTS:
The financial results of the Company for the year
under review are summarized below for your
perusal and consideration.
Particulars
Turnover
EBIDTA
Interest
Depreciation
Profit before tax
Profit after taxes
2013-2014
2012-2013
(Rs. In Lakhs)
787.14
103.29
53.42
40.33
280.61
59.07
456.31
50.51
(202.69)
(69.24)
(133.61)
(62.94)
During the FY 2013-14, wind power installed
capacity in India is 1,729 MW. The total installed
capacity of wind in India is 20,150 MW till FY 201314. MNRE, Government of India wants to install
20,000 MW of wind energy in 5 years (2012-2017).
FINANCIAL PERFORMANCE:
Your Directors state that the Company has
achieved turnover of Rs. 787.14 lakhs for the year
st
ending on 31 March, 2014 as compared to Rs.
103.29 lakhs in the previous year. Profits after taxes
amounted to Rs. (133.61) lakhs as compared to Rs.
(62.94) lakhs for the previous year.
Though there are many incentives for the wind
power industry in India, like attractive feed in tariff
based on wind density, Generation Based Incentive
(GBI)
and
Renewable
Energy
Certificate
Mechanism etc., the withdrawal of Accelerated
Depreciation during the last FY 2012-13 has
brought down the installation of wind power in last 2
years to 1729 MW in FY 2013-14 and 1,718 MW in
FY 2012-13 comparing to 3,163 MW installation
during 2011-12.
KEY FINANCIAL INDICATORS:
The salient features of the performance of the
Company can be seen from the following key ratios:
Particulars
Earnings per share – Basic
Earnings per share – Diluted
2013-14
(26.72)
(0.34)
2012-13
(12.59)
(12.59)
COMPANY WINDMILLS:
M/s. Surana Green Energy Limited (SGEL) was
incorporated during FY 2011 - 12 as subsidiary of
M/s. Surana Green Power Limited (SGPL) and
SGPL’s entire wind assets have been hived off to
SGEL during last financial year.
DIVIDEND:
Your Directors have not recommended any
dividend due to loss in this year as well as the need
to conserve resources for the expansion
programme.
st
As on 31 March 2014, the company’s 72.76%
shares are held by its parent company, SGPL.
Remaining aggregate 27.24% of shares of SGEL
are being held by its members for drawing power
under Group Captive Scheme.
GLOBAL WIND POWER SCENARIO:
Among the renewable sources of energy, wind
power has emerged as a most important green
st
energy technology. As on 31 December 2013 the
global wind power installations were 3,18,105 MW.
The addition of 35,289 MW has happened since
Jan 2013. The fourth edition of the Global wind
energy outlook shows that wind power could supply
up to 12% of global electricity by 2020. It will also
create 1.4 Million new jobs and reduce CO 2
st
As on 31 March 2014, SGEL owns 8 No’s of GE
windmills of individual capacity 1.5 MW total
aggregating 12 MW in Radhapuram, Tirunelveli
District, Tamil Nadu, India
During this FY 2013-14, the company has achieved
155.22 lakhs units electricity generation with a Plant
3
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
Load Factor (PLF) of 15%. Owing to Load Shedding
by TNEB, Company’s windmill capacity has been
under utilized, resulting in electricity generation loss
of approx 25.52 lakhs units (i.e., 2.43% PLF) during
this financial year.
217 (2A) of the Companies Act 1956 read with
Companies (Particulars of Employees) Rules 1975.
DIRECTORS
Shri. Shantilal Surana was appointed as Additional
th
Director on the Board on 12 Feb 2014. Shri.
Shantilal Surana is proposed to be appointed as
Director’s on Board in the next AGM meeting.
GROUP CAPTIVE SCHEME:
During this FY, our company supplied the
generated electricity to its captive users located
throughout Tamil Nadu under GCS.
DIRECTORS’ RESPONSIBILITY STATEMENT
CARBON CREDITS:
Pursuant to the requirement under Section217
(2AA) of the Companies Act 1956 the Board of
Directors hereby confirm:
The Kyoto Protocol of United Nations Framework
Convention on Climate Change (UNFCCC) is
aimed at fighting global warming. The Clean
Development Mechanism (CDM) is a scheme
based on the provision of Article 12 of the Kyoto
Protocol for greenhouse gas emission reduction.
The reduction of 1 ton of Carbon-dioxide in the
atmosphere is equal to earning 1 carbon credit i.e.,
1 Certified Emission Reduction (CER) in CDM.
That in the preparation of Annual Accounts of the
st
Company for the financial year ending on 31
March, 2014 the applicable accounting standards
have been strictly followed along with proper
explanations and that no material departures have
been made from the same.
That the Directors have taken such accounting
policies and these have been applied consistently.
The estimates and judgements have been
reasonable and prudent so as to give a true and fair
view of the state of affairs of the company at the
end of the financial year 2013-2014 and profits of
st
the Company for the year which ended on 31
March, 2014. That the Directors have taken proper
and sufficient care for the maintenance of the
accounting records in accordance with the
provisions of the Companies Act 1956 for
safeguarding the assets of the Company and for
preventing and detecting frauds and other
irregularities, if any.
Voluntary Carbon Standards (VCS) is the market,
founded to provide a robust quality assurance
standard that projects could use to quantify
greenhouse gas emissions and issue credits in
voluntary markets. The credits earned from VCS
are termed as Verified Emission Reductions
(VERs). CDM is the Compliance market whereas
VCS is the Voluntary market.
The company has abated approximately 1,867
tCO 2 e into the atmosphere by way of wind power
generation during this financial year.
That the Directors have caused preparation of the
Annual Accounts for the financial year which ended
st
on 31 March, 2014 on a going concern basis.
AUDITORS
M/s C.S.P. Jain & co., Chartered Accounts,
Chennai, Auditors of the company retire from their
office. They are however eligible for reappointment.
CONSERVATION
OF
ENERGY
TECHNOLOGY ABSORPTION
The Board of Directors’ of the Company wish to
express their sincere thanks to the share holders of
the company for their support and co-operation to
the company.
AND
In the end, the Board would like to place on record
their deep sense of appreciation to all the
Executives, Officers, Employees, Staff Members,
and Workers at the site.
A statement containing the particulars relating to
conservation of energy, research and development
and
technology absorption as required under
Section 217 (1) (e) of the Companies Act, 1956
read with Companies (Disclosures of Particular in
the report of the Board of Directors) Rules 1988 are
annexed herewith.
For SURANA GREEN ENERGY LIMITED
-sdRAJIV SURANA
DIRECTOR
PARTICULAR OF EMPLOYEES
Place: Chennai
Date: 22.05.2014
There are no employee’s who are in receipt of
remuneration to be disclosed pursuant to section
4
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
ANNEXURE TO DIRECTORS’ REPORT
Information pursuant to Sec217 (1) (e) of the Companies Act 1956 read with companies (Disclosure of
st
particulars in the report of Director) Rules for the year ended 31 March, 2014.
2013-2014
2012-2013
A.
Conservation Of Energy
1.
Own Generation (Units)
B.
Research And Development
NIL
NIL
C.
Technology Absorption
NIL
NIL
D.
Foreign exchange earnings and Expenditure (Amount in Rs,)
NIL
NIL
Import of Goods
NIL
NIL
Travel Expenditure
27,135
NIL
15,222,365
20,14,612
1. Earnings
Export of Goods
2. Expenditure
For and on behalf of the Board
-sdRAJIV SURANA
DIRECTOR
Place: Chennai
Date: 22.05.2014
5
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
REPORT ON CORPORATE GOVERANCE
ANNEXURE TO DIRECTORS’ REPORT
1. COMPANY’S PHILOSOPHY ON CODE OF CORPORATE GOVERNANCE:
The basic philosophy of corporate governance in your company has been to achieve business excellence, to
enhance shareholders value keeping in view the needs and interest of all its stakeholders. Your company is
committed to the principles of good governance. The Company’s policy is reflected by the very values of
transparency, professional and accountability. The Company constantly strives towards betterment of these
aspects. The details of which are given below:
2. Board of Directors:
Appointment and tenure:
The Directors of the Company are appointed by Shareholders at General Meetings. All the Directors are subject
to retirement by rotation and at every Annual General Meeting one third of such Directors as are liable to retire
by rotation, if eligible, generally offer themselves for re-election, in accordance with the provisions of section 256
and 257 of the Companies Act 1956 and that of the Articles of Association of the Company.
a)
Composition and Category of the Board:
Surana Green Energy Limited is managed by the Board of Directors which formulates strategies, policies and
procedures and reviews its performance periodically. The strength of your Company’s Board is 3 (Three)
st
Directors as on 31 March 2014.
They are persons of eminence and bring a wide range of expertise and experience to the Board thereby
ensuring the best interest of stakeholders and the Company.
b)
Board Meetings, Committee Meetings and Procedures:
The Board of Directors oversee the entire functioning and operations of the Company. They evaluate
performance of the Company and provide direction and guidance to the Company for undertaking the business
of the Company in accordance with its Corporate Goals and Statutory Requirements. They also give valuable
advice and monitor that the Management policies and their effectiveness and ensures that the long term interest
of the shareholders are being served.
The Board/committee meetings are conducted as per well-defined procedures and systems.
c)
Attendance of each Director at the Board of Directors’ meetings held during 2013-2014
and at the last Annual General meeting:
During the year 2013-2014, the Board met 9 (Nine) times on 28.05.2013, 22.06.2013, 28.06.2013, 10.07.2013,
14.08.2013, 13.09.2013, 11.11.2013, 12.02.2014 and 11.03.2014. The Annual General Meeting for the financial
th
year ended 31.03.2013 was held on 29 July 2013.
Particulars of attendance of Directors at the Board Meetings and at the last Annual General Meeting and the
number of memberships held by the directors in the Boards of other companies and memberships/
6
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
chairmanships held by them across the committees of all the companies for the year 2013-2014 are furnished in
the tables in the table given below:
Name
d)
Category
Attendance
particulars
Number of Directorships and committee
Memberships/chairmanships.
Board
Meeting
Last
AGM
Other
Directorships/
Chairmanships
Committee
memberships
Committee
Chairmanships
Shri. Shantilal
Surana
Additional
Director
2
No
Nil
Nil
Nil
Shri.
Dineshchand
Surana
Shri B.S Patil
Director
8
Yes
6
1
Nil
Director
4
Yes
Nil
Nil
Nil
Shri Rajiv
Surana
Director
9
Yes
Nil
Nil
Nil
Directors
seeking
Present Position: Director
in
Experience: 10 Years
Details
appointment
of
/
re-appointment
the
Second Annual General Meeting
i]
Shri. Rajiv Surana was appointed as
st
Director of the Company w.e.f 1 April
2013. Shri. Rajiv Surana is having more
than 8 years in the Iron & Steel Business
and has diversified experience in Projects &
Steel operation activities. He holds MBA
(International Business) from Monash
University, Australia.
Name: Shri Shantilal Surana
Age: 58
Present Position: Additional Director
Experience: 35 Years
3.
Shri. Shantilal Surana was appointed as
Additional Director of the Company w.e.f
th
12 Feb 2014. Shri. Shantilal Surana
belongs to a business family and hails from
Merta City, Rajasthan. He has over 35
years of experience in Broking, Hire
Purchase and leasing and Finance,
Jewellery trade business. He has over 20
years of experience in manufacturing units
of steel as well as jewellery. He is one of
the founder members of Surana Group and
he has been instrumental in the steady
growth of the group over the last 2
decades. Now he is focusing on the Green
Energy portfolio for a sustainable future of
the power sector.
ii]
Audit Committee:
The company has an Audit Committee with the
Scope of activities as set out with Sec292A of the
Companies Act, 1956. The Broad terms of
reference of the Audit Committee are as under:
The Committee overseas the company’s financial
reporting process and the disclosure of its financial
information to ensure the correctness, credibility
and adequacy of the financial statements.
It recommends the appointment of and removed of
statutory auditors, fixation of audit fees and
approval of payment for any other services.
The committee reviews with the management the
annual, half yearly and quarterly financial
statements before submission to the Board.
Name: Shri Rajiv Surana
To undertake periodical review of company’s
operations and more particularly in the following
areas:
Age: 32
Qualification: M.B.A
7
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
Financial performance of the company.
Payment of dues to Institutions, both
interest and principal
Payment of Government dues, such as
customs duties, excise duties, sales tax,
income tax, etc.
Inter Corporate Investments
Polices relating to awards of contacts,
purchase and sale of raw materials,
finished goods, etc.
5. General Shareholders’ Information:
5.1 Second Annual General Meeting
th
Date and Time: 30 June, 2014 & 10.00 AM
Venue: #29, Whites Road, 2
Chennai-600014
Overview of different items of expenditure incurred
by the Company, with particular reference to
whether they are extravagant or lavish and whether
any diversion of funds, not directly relating to the
affairs of the Company, has taken place and to do
such other acts, deeds or thing, as may be
necessary from time to time, to fulfil the objectives
aforementioned.
4. General Body Meetings:
a. Location and time where Annual General
Meetings were held during the last two
years:
Year
2012-13
Location
#29, Whites Road,
nd
2 Floor,
Royapettah,
Chennai-600014
Day/Date
Monday
29.07.2013
nd
Floor, Royapettah,
6.
Plant Location:
6.1
Works:
1.
No. 102/17, Pavendar Bharathi Dasan
Nagar, Radhapuram Village,
Radhapuram Taluk,
Tirunelveli (Dt.)-627 111
6.2
Address For Correspondence:
Register cum Corporate Office:
M/s. Surana Green Energy Limited
#29, Whites Road,
nd
2 Floor, Royapettah,
Chennai- 600014
Tel: 044-28525127(3lines)
Time
10.30
AM
For and on behalf of the Board
-sdRAJIV SURANA
DIRECTOR
Place: Chennai
Date: 22.05.2014
8
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
INDEPENDENT AUDITOR’S REPORT
Opinion
In our opinion and to the best of our information and
according to the explanations given to us, the financial
statements give the information required by the Act in
the manner so required and give a true and fair view in
conformity with the accounting principles generally
accepted in India:
a) In the case of the Balance Sheet, of the state of
affairs of the Company as at March 31, 2014; and
b) In the case of the Statement of Profit and Loss,
loss for the year ended on that date;
c) In the case of Cash Flow Statement, of the cash
flows of the company for the year ended on that
date.
To
The Members of
M/s SURANA GREEN ENERGY LTD
Chennai - 14
Report on the Financial Statements:
We have audited the accompanying financial
statements of M/s. SURANA GREEN ENERGY LTD,
which comprise the Balance Sheet as at March 31,
2014, the Statement of Profit and Loss and Cash Flow
Statement for the year then ended, and a summary of
significant accounting policies and other explanatory
information.
Management’s Responsibility for the Financial
Statements:
Management is responsible for the preparation of
these financial statements that give a true and fair
view of the financial position, financial performance
and cash flows of the Company in accordance with the
Accounting Standards referred to in sub-section (3C)
of section 211 of the Companies Act, 1956 (“the Act”).
This responsibility includes the design, implementation
and maintenance of internal control relevant to the
preparation and presentation of the financial
statements that give a true and fair view and are free
from material misstatement, whether due to fraud or
error.
Auditors’ Responsibility:
Our responsibility is to express an opinion on these
financial statements based on our audit. We
conducted our audit in accordance with the Standards
on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we
comply with ethical requirements and plan and
perform the audit to obtain reasonable assurance
about whether the financial statements are free from
material misstatement.
Report
on
Other
Requirements:
Legal
and
Regulatory
1.
As required by the Companies (Auditors’ Report)
Order, 2003 (“the Order”) issued by the Central
Government of India in terms of sub-section (4A)
of section 227 of the Act, we give in the Annexure,
a statement on the matters specified in
paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, we report
that:
a. We have obtained all the information and
explanations which to the best of our
knowledge and belief were necessary for the
purpose of our audit;
b. In our opinion proper books of account as
required by law have been kept by the
Company so far as appears from our
examination of those books
c. The Balance Sheet, Statement of Profit and
Loss and cash flow statement dealt with by this
Report are in agreement with the books of
account.
d. In our opinion, the Balance Sheet and
Statement of Profit and Loss, comply with the
Accounting Standards referred to in subsection
(3C) of section 211 of the Companies Act,
1956;
e. On the basis of written representations
received from the directors as on March 31,
2014, and taken on record by the Board of
Directors, none of the directors is disqualified
as on March 31, 2014, from being appointed
as a director in terms of clause (g) of subsection (1) of section 274 of the Companies
Act, 1956.
For C.S .P Jain & Co.,
An audit involves performing procedures to obtain
audit evidence about the amounts and disclosures in
the financial statements. The procedures selected
depend on the auditors’ judgment, including the
assessment of the risks of material misstatement of
the financial statements, whether due to fraud or error.
In making those risk assessments; the auditor
considers internal control relevant to the Company’s
preparation and fair presentation of the financial
statements in order to design audit procedures that
are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting
policies used and the reasonableness of the
accounting estimates made by management, as well
as evaluating the overall presentation of the financial
statements. We believe that the audit evidence we
have obtained is sufficient and appropriate to provide
a basis for our audit opinion.
Chartered Accountants
-sdC.S PRITHIVRAJ JAIN
Proprietor
Membership No.: 11529
Firm No: 001227S
Place
Date
9
: Chennai
: 22.05.2014
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
ANNEXURE TO THE AUDITORS’ REPORT
The Annexure referred to in our report to the
members of Surana Green Energy Limited,
st
Chennai-14 for the year ended 31 March 2014, we
report that:
register in pursuance of Section 301 of
the Act for the transactions that need to
be entered.
b. In our opinion and according to the
explanations and information given to
us, the transactions have been made at
prices which are reasonable having
regard to the prevailing market prices
at the relevant time.
1.
a. The Company has maintained proper
records showing full particulars,
including quantitative details and
situation of fixed assets.
b. These fixed assets have been
physically verified by the management
at reasonable intervals and no material
discrepancies were noticed on such
verification.
c.
6. The company has not accepted deposits from
the public.
7. In our opinion and according to explanations
and information given to us, the company has
an internal audit system commensurate with its
size and nature of its business.
There is no substantial disposal of fixed
assets during the year
8. In our opinion, the Company is not required to
maintain the cost accounts and records
prescribed by the Central Government under
clause (d) of sub section (1) of section 209 of
the Companies Act 1956, as the company is
not covered under the criteria mentioned in the
Cost Audit Rules.
2.
a. According to the information and
explanations given to us the company
is verifying the inventory with the
records of TANGEDCO every year and
during the year under review the
company is yet to get certificate from
TANGEDCO on Inventory.
9.
a. The Company is regular in depositing
undisputed statutory dues with the
appropriate authorities.
b. The procedures of physical verification
of inventory are followed by the
management reasonable and adequate
in relation to the size of the company
and the nature of its business.
c.
b. The company has no disputed dues of
income tax, customs tax, and excise
duty.
The company is maintaining proper
records of inventory.
10. The accumulated loss at the end of the financial
year does not exceed fifty percent of its net
worth and the company has incurred cash loss
during the current financial year.
3. According to the information & explanations
given to us the company has neither granted
nor taken interest free unsecured loans from
companies covered in the register maintained
under Section 301 of the Act.
11. According to the information and explanations
given to us, the company has not defaulted in
repayment of loans and interest with SBI.
However the company has defaulted in
payment of disputed dues on interest with IFCI
Venture.
4. According to information and explanations
given to us and in our opinion there is an
adequate
internal
control
procedure
commensurate with the size of the company
and the nature of its business, for the purchase
of inventory and fixed assets and for the sale of
goods.
12. The company has not granted any loans and
advances on the basis of security by way of
pledge of shares, debentures and other
securities.
5.
a. In our opinion and according to the
explanations and information given to
us, the company is maintaining the
10
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
13. The nature of the activities of the company
does not attract any special statute applicable
to the Chit Fund and Nidhi / Mutual benefit fund
/ Societies.
18. The company has not made any preferential
allotment of shares to the parties and
companies covered in the Register maintained
under section 301 of the Act.
14. In our opinion, the company is not dealing in or
trading in shares, securities, debentures and
other investments as such provisions of clause
4(xiv) of the Companies (Auditor’s Report)
Order, 2003 are not applicable to the Company.
19. The company has not issued any Foreign
Currency Convertible Bonds to non residents
during the year.
20. The company has not raised any money
through a public issue during the year.
15. The Company has not given any guarantee for
loans taken by others from bank or financial
institutions, the terms and conditions whereof
are prejudicial to the interest of the company.
21. According to information and explanations
given to us, no frauds on or by the company
has been noticed or reported during the year.
16. The term loans were applied by the company
for the purpose for which they were obtained.
For C.S .P Jain & Co.,
Chartered Accountants
17. According to the explanation and information
provided, the company has not utilized the
short-term funds for long term investment and
vice versa.
-sdC.S PRITHIVRAJ JAIN
Proprietor
M No 11529
FRN: 001227S
Place: Chennai
Date: 22.05.2014
11
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
st
BALANCE SHEET AS ON 31 MARCH 2014
S.No.
I.
EQUITY AND LIABILITIES
1
Shareholders’ funds
(a) Share capital
(b) Reserves and surplus
2
Share application money pending allotment
3
Non-current liabilities
(a) Long-term borrowings
4
II.
NOTE
NO.
PARTICULARS
31st March 2014
1
2
43,540,000
327,204,150
-
Current liabilities
(a) Trade payables
(b) Other current liabilities
(c) Short-term provisions
Total
31st March 2013
5,000,000
(6,294,160)
-
3
170,297,698
100,000,000
4
5
6
12,994,163
116,380,279
1,305,581
671,721,871
477,527,230
1,363,973
577,597,043
7
563,711,078
1,438,148
7,538,190
569,413,563
630,744
6,582,698
5,919,603
381,517
86,150,637
671,721,871
556,672
5,423,243
218,494
1,354,328
577,597,043
ASSETS
Non-current assets
1
2
(a) Fixed assets
(i) Tangible assets
(iii) Capital work-in-progress
(b) Deferred tax assets (net)
8
Current assets
(a) Inventories
9
(b) Trade receivables
10
(c) Cash and cash equivalents
11
(d) Short-term loans and advances
12
Total
Note 19 forms an integral part of the financial statements
As per our report of even date attached
For C.S.P.Jain & Co.,
Chartered Accountants
.
For and on behalf of the Board
-sd-
.
C.S.Prithviraj Jain
Proprietor
M.No.11529
Firm No.001227S
-sd-
Shantilal Surana
Director
.
Place : Chennai
Date : 22.05.2014
-sd-
Rajiv Surana
Director
12
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
PROFIT AND LOSS ACCOUNT FOR PERIOD ENDED 31st MARCH 2014
S.No
PARTICULARS
I. INCOME
a. Revenue from operations
b. Other income
Total Revenue (a +b)
II.
NOTE NO.
31st March 2014
13
14
EXPENSES
a. Cost of materials consumed
b. Changes in inventories of finished goods work-inprogress and Stock-in-Trade
c. Employee benefits expense
d. Finance costs
e. Depreciation and amortization expense
f. Other expenses
15
16
7
17
Total expenses
III.
Profit before exceptional and extraordinary
items and tax (I-II)
IV.
Exceptional items
V
VI.
78,714,176
10,581
78,724,757
10,329,460
10,329,460
5,185,994
2,137,380
(6,026,027)
1,955,499
30,061,838
45,631,653
22,184,937
(556,672)
5,907,403
5,055,536
4,710,716
98,993,895
17,254,364
(20,269,137)
(6,924,903)
-
Profit before extraordinary items and tax (III IV)
(20,269,137)
Extraordinary Items
31st March 2013
-
-
(6,924,903)
-
VII. Profit before tax (V-VI)
(20,269,137)
(6,924,903)
VIII. Tax expense:
a. Current tax
b. Deferred tax
c. Mat Credit Entitlement
(6,907,447)
-
(630,744)
-
(13,361,690)
(6,294,160)
(26.72)
(0.34)
(12.59)
(12.59)
IX.
X
Profit/(loss) from Discontinuing operations
(after tax)
Earnings per equity share:
18
a. Basic
b. Diluted
Note 19 forms an integral part of the financial statements
As per our report of even date attached
For and on behalf of the Board
For C.S.P.Jain & Co.,
Chartered Accountants
.
-sd-
C.S.Prithviraj Jain
Proprietor
M.No.11529
Firm No.001227S
Place : Chennai
Date : 22-05-2014
.
-sd-
Shantilal Surana
Director
.
-sd-
Rajiv Surana
Director
13
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
NOTES FORMING PART OF BALANCE SHEET AND PROFIT AND LOSS ACCOUNT
NOTE 1:
Disclosure pursuant to Note no. 6(A)(a,b & c) of Part I of Schedule VI to the Companies Act, 1956
As on 31st March 2014
NO's
Values
SHARE CAPITAL
Authorised
Equity Shares of Rs.10 each
Zero % Compulsorily Convertible Preference Shares
("CCPS") of Rs 10 each
Issued
Equity Shares of Rs.10/- each
Zero % Compulsorily Convertible Preference Shares
("CCPS") of Rs 10 each
Subscribed & Paid up
Equity Shares of Rs.10/- each fully paid
Compulsorily Convertible Preference Shares ("CCPS") of
Rs 10 each
Subscribed but not fully Paid up
Equity Shares of Rs.10/- each, not fully paid up
Compulsorily Convertible Preference Shares ("CCPS") of
Rs 10 each
Total
As on 31st March 2013
NO's
Values
500,000
5,000,000
4,000,000
40,000,000
500,000
5,000,000
3,854,000
38,540,000
500,000
5,000,000
3,854,000
38,540,000
NIL
NIL
500,000
5,000,000
500,000
5,000,000
-
500,000
-
5,000,000
-
-
NIL
NIL
NIL
NIL
43,540,000
NIL
NIL
5,000,000
Note 1-A: Disclosure pursuant to Note no. 6(A)(d) of Part I of Schedule VI to the Companies Act, 1956
(Following disclosure should be made for each class of Shares)
PARTICULARS
Shares outstanding at the beginning of the year
Equity Shares as on 31st March 2014
NO's
500,000
Rs.
5,000,000
Shares Issued during the year
-
-
Shares bought back during the year
-
-
Shares outstanding at the end of the year
500,000
5,000,000
Equity Shares as on 31st March
2013
NO's
Rs.
-
500,000
500,000
5,000,000
5,000,000
Note 1-B: Disclosure pursuant to Note no. 6(A)(G) of Part I of Schedule VI to the Companies Act, 1956 (if
more than 5%)
NAME OF SHAREHOLDER
Surana Green Power Limited
K K P Textiles Ltd
K K P Spinning Mills Ltd
Annur Annamalaiar Spinning Mills Private Limited
Total
As on 31st March 2014
No. of Shares
% of Holding
363,785
-
As on 31st March 2013
No. of Shares
% of Holding
72.76%
368,700
73.74%
0.00%
85,800
17.16%
-
0.00%
45,500
9.10%
25,986
5.20%
-
0.00%
389,771
77.95%
14
500,000
100.00%
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
PARTICULARS
CCPS as on 31st March 2014
NO's
Shares outstanding at the beginning of the year
Shares Issued during the year
NO's
Rs.
-
-
3,854,000
Shares bought back during the year
CCPS as on 31st March 2013
38,540,000
-
-
Rs.
-
-
-
-
-
-
Shares outstanding at the end of the year
3,854,000
38,540,000
*Of the above, 37,39,000 number of CCPS have been issued as consideration towards windmill business acquitision from SGPL in Jan 2013
NAME OF SHAREHOLDER
As on 31st March 2014
No. of Shares
% of Holding
Surana Green Power Limited
3,739,000
As on 31st March 2013
No. of Shares
% of Holding
97.02%
-
0.00%
NOTE 2:
Disclosure pursuant to Note no. 6(B) of Part I of Schedule VI to the Companies Act, 1956
As on 31st March 2014
RESERVES & SURPLUS
As on 31st March 2013
a. Securities Premium Account
-
Opening Balance
346,860,000
346,860,000
Add : Securities premium credited on Share issue
Closing Balance
-
b. Profit and Loss Account
Opening balance
(+) Net Profit/(Net Loss) For the current period
Closing Balance
(13,361,690)
(19,655,850)
(6,294,160)
(6,294,160)
Total
327,204,150
(6,294,160)
(6,294,160)
NOTE 3:
Disclosure pursuant to Note no. 6(C) of Part I of Schedule VI to the Companies Act, 1956
15
-
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
As on 31st March 2014
LONG TERM BORROWINGS
Secured
(a) Term loans from bank
(Secured By Block of Fixed Assets and also Guaranteed by Surana
Industries Limited, holding company and its Promoters)
(b) Corporate Loans
from IFCI Venture Capital Funds Limited
(Loan is Guaranteed by Surana Industries Limited and its
promoters)
As on 31st March 2013
143,766,745
-
26,530,953
100,000,000
170,297,698
100,000,000
Terms of Repayment Ending in 2015
Term loan is repayable in monthly instalments starting from January
2014 and ending on December 2015
Total
Term Loan is transferred from SGPL to SGEL pursuant to Business Transfer Agreement dated 5th Jan 2013
The company has received third party guarantee for its loan availed from IFCI Venture Capital Funds Ltd during
the FY 2012-13. As per the agreement with third parties (Vinayaga Infra Ltd & BLS Power Solutions Ltd), the
company is liable to pay commission charges at the end of the tenure of the contract.
NOTE 4:
Disclosure pursuant to Note no. 6(D) of Part I of Schedule VI to the Companies Act, 1956
OTHER SHORT TERM LIABILITIES
As on 31st March 2014
As on 31st March 2013
9,494,163
3,500,000
477,527,230
-
12,994,163
477,527,230
(a) Trade Payables
(b) Others Payables
Total
NOTE 5:
Disclosure pursuant to Note no. 6(G) of Part I of Schedule VI to the Companies Act, 1956
OTHER CURRENT LIABILITIES
As on 31st March 2014 As on 31st March 2013
(a) Current maturities of long-term debt
112,500,000
(b) Interest accrued and due on borrowings
3,880,279
(c) Lease rent Payable to Holding Company
-
(d) Other payables (specify nature)
116,380,279
Total
NOTE 6:
Disclosure pursuant to Note no. 6(H) of Part I of Schedule VI to the Companies Act, 1956
16
1,273,973
90,000
1,363,973
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
SHORT TERM PROVISIONS
31st March 2014
(a) Provision for employee benefits
Gratuity (Funded)
Leave Encashment (funded)
Bonus
TOTAL
894,429
120,720
290,432
1,305,581
17
31st March 2013
-
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
NOTE 7:
Disclosure pursuant to Note no. I (i), (ii), (iii); Note no. J (i),(ii); Note no. J and Note no. L of Part I of Schedule VI to the Companies Act, 1956
Amount in Rs.
S.
NO.
a
Total
GROSS BLOCK
FIXED ASSETS
Tangible Assets
Freehold Land
Leasehold Land
Buildings
Plant and Equipment
Furniture and Fixtures
Vehicles
BALANCE AS ON
01.04.2013
ADDITION/
DELETION
BALANCE AS
ON 31.03.2014
ACCUMULATED DEPRECIATION
PROVIDED
BALANCE AS ON
BALANCE AS
DURING THE
01.04.2013
ON 31.03.2014
YEAR
NET BLOCK
BALANCE AS
ON 01.04.2013
BALANCE AS
ON 31.03.2014
454,060
90,000
573,925,039
-
3,037,500
36,823,168
68,500
3,491,560
90,000
610,748,207
68,500
4,500
5,051,036
-
4,500
45,626,334
819
9,000
50,677,370
819
-
454,060
85,500
568,874,003
-
3,491,560
81,000
560,070,837
67,681
-
574,469,099
39,929,168
614,398,267
5,055,536
45,631,653
50,687,189
569,413,563
563,711,078
18
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
Note 8:
Disclosure pursuant to Note no. 3 of Part II of Schedule VI to the Companies Act, 1956
st
DEFERRED TAX ASSETS
As on 31 March
2014
Deferred tax Liability
On account of differences between WDV as per the
Income tax and WDV as per Companies Act (A)
Deferred Tax Asset
On account of losses available under the Income Tax
Act (B)
Net Deferred Tax Asset / (Liability) (B) – (A)
Deferred Tax Assets as on 31.03.2013
Amount Debited / (Credited) to Profit and Loss Account on
account of Deferred tax
st
As on 31
2013
March
163,569,996
-
171,108,186
6,30,744
75,38,190
6,30,744
(69,07,447)
6,30,744
(6,30,744)
NOTE 9:
Disclosure pursuant to Note no. O (i), (ii) and (ii) of Part I of Schedule VI to the Companies Act, 1956
INVENTORIES
As on 31st March 2014
a. Raw Materials and components
As on 31st March 2013
-
b. Finished goods
2,741,598
c. Stores and spares
3,841,100
Total
6,582,698
556,672
556,672
NOTE 10:
Disclosure pursuant to Note no.P (i), (ii), (iii) and (iv) of Part I of Schedule VI to the Companies Act, 1956
As on 31st March
2014
TRADE RECEIVABLES
Trade receivables outstanding for a period less than six
months from the date they are due for payment
Secured, considered good
Unsecured, considered good
Total
As on 31st March
2013
-
-
-
-
5,919,603
5,919,603
5,423,243
5,423,243
NOTE 11:
Disclosure pursuant to Note no.Q (i), (ii), (iii), (iv) and (v) of Part I of Schedule VI to the Companies Act,
1956
As on 31st March 2014
CASH & CASH EQUIVALENTS
As on 31st March 2013
a. Balances with banks
This includes:
Margin money
Bank deposits with more than 12 months maturity
b. Cash on hand
355,073
26,444
218,494
-
TOTAL
381,517
218,494
19
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
NOTE 12:
Disclosure pursuant to Note no. R (i), (ii) and (iii) of Part I of Schedule VI to the Companies Act, 1956
SHORT TERM LOANS AND ADVANCES
As on 31st March 2014
a. Loans and advances to related parties
Secured, considered good
Unsecured, considered good
Doubtful
As on 31st March 2013
84,757,265
-
b. Prepaid Insurance
-
1,062,347
b. Others
Secured, considered good
Unsecured, considered good
Doubtful
Less:
TOTAL
331,025
-
1,354,328
-
86,150,637
1,354,328
NOTE 13:
Disclosure pursuant to Note no. 2 of Part II of Schedule VI to the Companies Act, 1956
REVENUE FROM OPERATIONS
As on 31st March 2014
As on 31st March 2013
Sale of Power
78,714,176
10,329,460
TOTAL
78,714,176
10,329,460
NOTE 14:
Disclosure pursuant to Note no. 4 of Part II of Schedule VI to the Companies Act, 1956
PARTICULARS
As on 31st March 2014
As on 31st March 2013
a) Interest Income (in case of a company other
than a finance company)
10,581
-
b) Other non-operating income (net of expenses
directly attributable to such income)
-
-
10,581
-
Total
NOTE 15:
Disclosure pursuant to Note no. 5(i)(a) of Part II of Schedule VI to the Companies Act, 1956
31st March 2014
EMPLOYEE BENEFITS EXPENSES
(a) Salaries and incentives
(ii) Superannuation scheme
(c) Staff welfare expenses
TOTAL
20
31st March 2013
1,883,031
43,431
-
29,037
-
1,955,499
-
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
NOTE 16:
Disclosure pursuant to Note no. 3 of Part II of Schedule VI to the Companies Act, 1956
FINANCE COSTS
As on 31st March 2014
a) Interest expenses
b) Other borrowing costs
c) Applicable net gain/loss on foreign currency
transactions and translation
28,061,838
2,000,000
Total
30,061,838
As on 31st March 2013
3,739,727
2,167,676
-
5,907,403
NOTE 17:
Disclosure pursuant to Note no. 3 of Part II of Schedule VI to the Companies Act, 1956
OTHER NON-OPERATING EXPENSES
As on 31st March 2014
AMC charges
Audit Fees
Books and periodicals
Business Promotion expenses
Consultancy expenses
Directors' Remuneration
Electricity charges
Insurance charges
Office administrative and maintenance expenses
Open access charges
Postage and Courier expenses
Preliminary Expenses (Written Off)
Printing and Stationery
Rates & Taxes
Security charges
Telephone charges
Travelling & Conveyance expenses
Vehicle maintenance expenses
Windmill operation and maintenance expenses
Total
As on 31st March 2013
33,152
28,090
1,000
5,353
2,379,042
500,000
104,396
1,622,998
255,193
6,716,843
13,645
118,368
53,352
780,754
86,900
172,199
845,035
286,579
8,182,038
22,184,937
28,090
3,387
112,360
2,923,809
13,152
4,000
3,500
64,292
1,558,126
4,710,716
NOTE 18:
31st March 2014
EARNINGS PER SHARE (EPS)
a. Profit after tax
Less: Preference dividend and tax thereon
Profit attributable to equity shareholders - for Basic & Diluted EPS
b. No. of Shares
Weighted average no. of Equity Shares - for Basic
Weighted average no. of Shares - for Diluted
(13,361,690)
-
(6,294,160)
-
(13,361,690)
(6,294,160)
500,000
39,040,000
c. Nominal value per Equity Shares
d. Basic Earnings per Ordinary Share
e. Diluted Earnings per Ordinary Share
10
(26.72)
(0.34)
21
31st March 2013
500,000
500,000
10
(12.59)
(12.59)
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
NOTE 19:
st
Annexed to and forming part of the financial accounts for the year ended 31 March, 2014
1. Principles:
a. Basis of preparation of Financial Statements
The Financial Statements have been drawn on historical cost convention in accordance with the Generally
Accepted accounting Principles and applicable accounting standards.
Use of Estimates
The preparation of financial statements requires estimates and assumptions to be made that affect the
reported amount of assets and liabilities on the date of the financial statements and the reported amount of
revenue and expenses during the reporting period. The estimates used in the preparation of the financial
statements are prudent and reasonable. Difference between the actual and the estimate are recognized in
the period in which the results are known/ materialize.
b. Fixed Assets
Fixed Assets are stated at historical cost. The cost of the fixed asset includes freight, installation charges,
taxes and duties, applicable borrowing cost and other incidental expenses incurred in bringing the asset to
its present location and condition. Modifications that enhance the operating performance or extend the
useful life of the asset are capitalized when there is certainty of deriving future economic benefits from use
of such assets.
Leasehold land and other leasehold assets are amortised over the life of the lease.
c. Impairment of Assets
An asset is treated as impaired when the carrying cost of assets exceeds it recoverable value. An
impairment loss is charged off when the asset is identified as impaired. The impairment loss recognized in
prior accounting period is reversed if there has been a change in the estimate of recoverable amount.
d. Depreciation
Depreciation on fixed assets is provided under straight line method based on useful lives of the fixed assets
or at the minimum rates specified in Schedule XIV of the companies’ act 1956. Depreciation on additions
and deletions are provided on pro rata basis. Assets costing less than Rs.5, 000 are written off in the year of
purchase.
e. Revenue recognition
Revenue from sale of electricity is recognised when earned on the basis of contractual agreement with the
customer / TNEB and based on electrical units generated and sold, net of wheeling and transmission loss,
as applicable, as disclosed in the power generation reports issued by the concerned authorities.
Dividend income is recognised when the unconditional right to receive the income is established. Income
from interest on deposits, loans and interest bearing securities is recognised on the time proportionate
method. Revenue from services relating to consulting services is recognised on completion of respective
service, as per terms of respective services order. Revenue from other income such as Carbon credits from
Clean Development Mechanism (CDM), Voluntary Carbon Standards (VCS), Insurance claims, etc., is
22
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
recognised on pro-rata basis over the period of the claims as and when claims are provided. Revenue from
Leasehold land and other leasehold assets, if any is recognised over the life of the lease.
f.
Inventory
Inventory of stores and spares are valued at cost. Cost is ascertained on weighted average basis. The units
generated are shown as inventory till they are certified by TANGEDCO and sold to either TNEB and / or to
KKP Spinning Mills Ltd, KKP Textiles Ltd or other 13 GCS Customers of company. The banked units
exported to Grid are valued at Rs. 2.75, the highest price at which these can be sold to TNEB.
g. Foreign Currency Transactions
Transactions denominated in foreign currencies are normally recorded at the exchange rates prevailing at
the time of the transaction if any. All monetary assets and monetary liabilities in foreign currencies are
translated at the relevant rates of exchange prevailing at the year end. Exchange difference arising on
actual payments/realizations and year end restatement are dealt in the profit and loss account. Non
monetary foreign currency items are carried at cost if any.
h. Borrowing Cost
Borrowing costs that are attributable to the acquisition or construction of qualifying assets are capitalized as
part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to
get ready for intended use. All other borrowing costs are charged to revenue.
i.
Taxes on income
Provision for income tax is made on the basis of estimated taxable income for the year at the current rates.
Tax expense comprises both current tax and deferred tax at the applicable rates. Current tax represents the
amount of Income tax payable/ recoverable in respect of the taxable income/loss for the reporting period.
Deferred tax represents the effect of timing difference between taxable income and accounting income for
the reporting year that originate in one year and are capable of reversal in one or more subsequent year.
2. The Company has purchased 1 wind mill having capacity of 1.5 MW from M/s. Baghmar Finance
Limited during this financial year for a value of Rs. 2,50,00,000 (Rupees Two Crores and Fifty lakhs
only) and selling electricity generation from this windmill also under Group Captive Scheme.
3. The Company's activities during the year revolve around power generation from Windmill. Considering
the nature of Company's business and operations, there are no separate reportable segments
(business and/or geographical) in accordance with the requirements of Accounting Standard 17 'Segment Reporting', issued by the Institute of Chartered Accountants of India (ICAI).
4. As per Accounting Standard 18 (AS-18) 'Related Party Disclosures', issued by ICAI, the disclosures of
transactions with the related parties as defined in AS-18 are given below:
List of related parties and relationships:
1.
2.
3.
4.
5.
Surana Industries Limited
Surana Green Power Limited
Shri. Shantilal Surana
Shri. B.S. Patil
Shri. Rajiv Surana
Ultimate Holding Company
Immediate Holding Company
Director
Director
Director
23
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
Transactions during the year with Related Parties:
(Amount in Rs.)
Key Management
Surana Green Power LimitedPersonal
Holding Company
37,39,00,000
5,00,000
18,67,41,745
4,500
Nature of transaction
Issue of CCPS
Remuneration
SBI Loan taken over pursuant to the BTA
Lease Rent Paid
Year-end Balance
Equity Share Capital
CCPS
Lease Rent Payable
Current Account
36,37,850
37,39,00,000
81,000
8,47,57,265
5. Deferred Tax Liability (Net)
st
The components of Deferred Tax Assets and Liabilities as at 31 March 2014 are given in Note 8 of this
report.
6. Additional Information (To the extent applicable):
6.1 Payment to Auditors (Including Service Tax, wherever applicable):
Particulars
Amount (Rs.)
31.03.2014
28,090
Statutory Audit Fees
Amount (Rs.)
31.03.2013
28,090
6.2 Previous year figures have been regrouped, reworked or reclassified wherever required.
As per our report of even date
For C. S. P Jain & Co
Chartered Accountants
-sd-
-sd-
-sd-
C. S. Prithviraj Jain
Proprietor
M.No.11529
Firm No. 001227S
Place: Chennai
Date: 22.05.2014
Shantilal Surana
Director
Rajiv Surana
Director
24
Surana Green Energy Limited
Wind Energy Carbon Trading Solar Energy
(A subsidiary of Surana Green Power Limited)
As on 31st March 2014 As on 31st March 2013
CASH FLOW STATEMENT
A. CASHFLOW FROM OPERATING ACTIVITIES
Net Profit before Tax and Extraordinary Items
Adjustments for :
Depreciation
Interest Income
Interest Expenses
Operating Profit Before Working Capital Changes
Adjustments for :
Trade and Other Receivables
Inventories
Trade Payables
Cash Generated from Operations
Interest Paid
Interest Income
Cash Flow Before Extraordinary Items
Extraordinary Items
Net Cash from Operating Activities
(20,269,137)
(6,924,903)
45,631,653
10,581
30,061,838
55,413,773
5,055,536
5,907,403
4,038,036
85,292,669
6,026,027
348,211,180
(384,116,103)
30,061,838
10,581
(414,167,360)
(414,167,360)
6,863,071
556,672
(478,891,203)
475,509,496
5,907,403
469,602,093
469,602,093
B. CASHFLOW FROM INVESTING ACTIVITIES
Purchase of Fixed Assets
Sale of Assets
Net Cash Used in Investing Activities
(41,367,316)
(41,367,316)
(574,383,599)
(574,383,599)
C. CASHFLOW FROM FINANCING ACTIVITIES
Proceeds from issue of Share Capital
Proceeds from Long Term Borrowings
Net Cash Used in Financing Activities
385,400,000
70,297,698
455,697,698
5,000,000
100,000,000
105,000,000
163,023
218,494
381,517
218,494
218,494
Net Increase in Cash & Cash Equivalents
Cash & Cash Equivalents as opening balances
Cash & Cash Equivalents as closing balances
For and on behalf of the Board
.
-sd-
-sd-
Shantilal Surana
Director
Rajiv Surana
Director
Place: Chennai
Date : 22.05.2014
We have verified the attached cash flow statement of M/s. Surana Green Energy Limited derived from Audited
Financial Statements and the Books and records maintained by the Company for years ended 31st March, 2014
and found the same in agreement therewith.
FOR C.S.P. JAIN & CO
Chartered Accountants
.
-sdC.S.PRITHVIRAJ JAIN
Proprietor
M No.11529
Firm No: 001227S
Place: Chennai
Date : 22.05.2014
25
© Copyright 2024 ExpyDoc
