New Year News

Debt Ratio At Billionaire Gautam Adani's Green Firm Needs 'Watching'

Aug 26, 2022

A crucial financial indicator for Adani Green Energy Ltd. is raising red flags as its billionaire owner piles on additional debt to become a powerhouse in the renewable energy sector. According to Sharon Chen, a Bloomberg Intelligence analyst, the debt-to-capital ratio of the Gautam Adani-owned company has risen to 95.3%, which is on the "upper side" for a private corporation. Other elements that require strict attention include the company's financial and capital expenditure plans, according to Chen. "For a company in a growth phase, we would be more comfortable looking at a 70% level or up to 80%," she said. Adani Green is worth paying particular attention to. By 2030, Asia's wealthiest man has committed to investing roughly $70 billion throughout the whole green energy supply chain. His conglomerate aims to become the world's biggest renewable power producer by the end of this decade. That makes Adani a key player in India's quest to become carbon net-zero by 2070. Chen confirmed that the Adani Group has a history of attracting outside investors and that foreign businesses are very interested in India. Adani is right where it should be, she remarked. However, Adani Green, which has Asia's second-worst debt-to-equity ratio of 2,021%, is one of the most leveraged businesses in the tycoon's empire. The price of the company's 4.375% September 2024 dollar bonds is close to

Rupee Gains on Strong Dollar Inflows

Aug 24, 2022

Rupee Gains on Strong Dollar Inflows, Bucking the Weakening Trend in Asian Peers On Wednesday, the rupee strengthened against the dollar, breaking a three-session losing run and defying a wider global sell-off in risky assets. This improvement was fueled by strong capital inflows and dollar sales by exporters. According to Bloomberg, the rupee recently traded at 79.8150 against the dollar, down from its previous session's finish of 79.8650. The rupee was currently quoted at 79.81 vs the US dollar, up 2 paise from the closing price on Tuesday. According to Reuters, the price of the Indian rupee increased from the previous session's exchange rate of 79.8625 to 79.77 per US dollar. The value of the local currency has decreased by 0.15 percent since last week's start. While the offshore Chinese yuan has dropped by around 2% and the Korean won has dropped by 3 per cent, and the Indonesian rupiah has decreased by 1.2 per cent. Asian currencies have suffered as a result of the Federal Reserve's aggressive stance and a decrease in interest rates at the Chinese central bank. The dollar index has gained by about 3% since last Monday. Anindya Banerjee, Head of Research for FX and Interest Rates at Kotak Securities, told Reuters that the rupee's outperformance can be ascribed to foreign equities portfolio inflows and hopes that the Reserve Bank of India will protect the 8

Adani Power Shares Hit All-time High, Up 50% Over The Last Month

Aug 22, 2022

Shares of Adani Power increased their winning streak for the seventh session on Monday and reached a brand-new record high. The company's stock increased by almost 50% in the last month. It has increased dramatically by a staggering 324% since the beginning of 2022. Additionally, it has increased by more than 480% in the past year. After reaching a record high of Rs 432.80 on the BSE, the price of Adani Power stock was last up at Rs 432.50 a share, up over 5%. The Adani group company said on Friday that it had reached an agreement to purchase DB Power Limited for 7,017 crores, which owns and runs a 2x600 MW thermal power plant in District Janjgir Champa in Chhattisgarh. DB Power is engaged in establishing, operating, and maintaining thermal power generating stations. The company claimed that the acquisition will aid in the expansion of its operations and product lines in the Chhattisgarh state thermal power industry. In addition, the company's net profit increased 16 times, to 4,780 crores, for the quarter that ended on June 30, 2022, as opposed to 278 crores for the same period the previous year. In the first quarter of the current fiscal year, the consolidated total revenue increased by 115% year over year to 15,509 crores from the 7,213 crores reported in the equivalent period of the previous year. In the first quarter of FY 2022–23, an all-encompassing heatwav

Workers begin strike at UK’s biggest shipping port

Aug 22, 2022

The largest container port in the UK's workforce has started what it claims will be an eight-day strike, making them the most recent employees in the nation to do so in order to demand more compensation amid growing inflation and the skyrocketing cost of living. On Sunday, about 2,000 employees at the Port of Felixstowe, which receives more than half of the country's incoming freight in the form of four million containers annually from 2,000 ships, went on strike. With only one out of every five trains operating in the UK on Saturday due to a railway workers' strike, the conflict has stoked concerns about supply chain issues at a time when the transportation sector is already suffering from work stoppages. Later this month, postal workers also want to strike for four days. The telecoms giant BT recently faced its stoppage in decades. Amazon warehouse staff, criminal lawyers and refuse collectors are among those who have staged walkouts in recent weeks. Bobby Morton, the national officer for docks at the Unite union, which represents the striking Felixstowe workers, told the source that "strike action will cause huge disruption and will generate massive shockwaves throughout the UK's supply chain, but this dispute is entirely of the company's own making." "The corporation has had every chance to provide our members a fair offer, but has decided not to do so," the statement

China's Russian Coal Imports Hit 5-year High

Aug 20, 2022

China's Russian Coal Imports Hit 5-year High in July Even As West Shuns Moscow China bought inexpensive coal while Western nations avoided Russian cargoes due to Russia's invasion of Ukraine, causing China's coal imports from Russia to increase by 14% in July compared to a year earlier and reach their highest level in at least five years. According to information released on Saturday by the General Administration of Customs, China imported 7.42 million tonnes of coal from Russia last month. Since comparable numbers were first collected in 2017, that number has increased from 6.12 million tonnes in June to 6.49 million tonnes in July of the following year. Prior to the European Union's ban on Russian coal, which went into effect on August 11 and was intended to cut down on the Kremlin's energy revenue as retaliation for its February invasion, Western nations avoided cargoes from Russia. Due to the embargo, Russia is now forced to offer at a significant discount to customers in China and India. On a cost-and-freight basis, Russian thermal coal with a heating value of 5,500 kcal traded about $150 per ton in late July, whereas coal of the same quality in Australia's Newcastle port was valued at more than $210 per ton on a FOB basis. When utilities in northern China stock up for the winter heating season, some Chinese dealers anticipate an increase in the flow of Russian coal

Crypto Lender Hodlnaut Lays Off Staff, Reveals Police Probe

Aug 19, 2022

The business, which last week submitted an application for creditor protection, declined to provide any other information regarding the police procedures. Hodlnaut, a troubled cryptocurrency lender and borrower, announced an inquiry by the Singapore police on Friday and let go of roughly 40 staff after suspending cryptocurrency withdrawals. The business, which last week submitted an application for creditor protection, declined to provide any other information regarding the police procedures. Regarding the police inquiry, Hodlnaut stated: "While Hodlnaut is unable to share any information in this regard, these actions are taken in what we think to be in the best interests of our users." Hodlnaut is the most recent in a long line of international cryptocurrency players to experience problems as a result of a strong market sell-off that began in May with the demise of two coupled currencies, Luna and TerraUSD. The crypto-lender emphasized that the layoffs were to reduce the company's expenditure, leaving it with only about 10 working employees.

Govt hikes windfall profit tax on export of diesel

Aug 19, 2022

On Thursday, the government increased the windfall profit tax on diesel exports to Rs 7 per liter and reinstated an export tax on jet fuel, although it reduced the tax on locally produced crude oil to keep pace with softening rates. According to a finance ministry announcement, the government increased the windfall profit tax on diesel exports at the third fortnightly review from Rs 5 per liter to Rs 7 per liter and introduced a Rs 2 per liter tax on ATF exports. The government eliminated the ATF (Aviation Turbine Fuel) export windfall profit tax earlier this month. Additionally, the levy on locally produced crude oil has been reduced from Rs 17,750 to Rs 13,000 per ton. The tax on exports was increased when cracks or margins increased, but the tax on domestic oil production was decreased as global oil prices fell to their lowest level in six months. On July 1, India introduced its first windfall profit tax, joining an increasing number of countries that tax energy companies' higher-than-average profits. The profit margins of both oil producers and refiners have declined since then due to the cooling of the global oil market. On July 1, export taxes of Rs. 13 per liter for fuel and ATF and Rs. 6 per liter (USD 12 per barrel) for gasoline and ATF were imposed (USD 26 a barrel). On domestic crude output, a windfall profit tax of Rs 23,250 per ton (about $40 per barrel) was

13 States blocked Power Exchanges Due to Unpaid Bills

Aug 19, 2022

13 states' power bills will prevent them from trading electricity at power exchanges. In order to enforce new rules intended to compel states to make on-time payments, India has barred nearly half of the nation's states from using spot power exchanges after they failed to pay bills totaling 51 billion rupees ($640 million). According to S.R. Narasimhan, chairman of Power System Operation Corp., the nation's national grid operator, thirteen states won't be able to buy or sell electricity at power exchanges unless they settle their debts to producers and transmission firms. State power retailers that don't pay by the deadline will no longer have access to short-term sources of electricity, according to rules enacted in June. The state-run, loss-making retailers in India are frequently viewed as the weakest link in the nation's electrical supply chain, producing problems that leak down the supply chain to power producers, coal suppliers, and project lenders. These utilities sell around 90% of the country's electricity, and their late payments are perceived as preventing investments in infrastructure modernization and dependable power supply. The government of Prime Minister Narendra Modi, which is developing a strategy to revive these utilities, released new regulations earlier this year that gave the national grid operator the authority to restrict distributors' access to pow

Foreign Minister on Why India Is Buying Russian Oil

Aug 17, 2022

Foreign Minister Explains Why India Is Purchasing Russian Oil: "My Moral Duty To" Foreign Minister S. Jaishankar responded forcefully to criticism on Tuesday on India's decision to purchase Russian oil during the conflict in Ukraine by defending the action. During a meeting with the Indian diaspora in Bangkok, Mr. Jaishankar stated that every nation would strive to secure the best deal possible to mitigate rising energy prices. India is doing the same thing. He claimed that gas and oil prices are out of control and that many traditional suppliers are switching to Europe as a result of the continent's declining Russian imports. In answer to a question, Mr. Jaishankar stated, "Europe is buying considerably more from the Middle East and other sources who would have supplied to India." "Currently, every nation will naturally attempt to secure the best possible terms for its inhabitants and lessen the impact of the high cost of energy. Exactly that is what we are doing "the foreign minister replied. The Foreign Minister emphasized that India is not acting defensively in doing this. He added that the Indian populace cannot afford the high energy prices and that the nation has been transparent and honest about its interests. "I live in a nation where the average annual income is $2,000. Individuals who can afford increasing energy prices are not such people. I have a moral and l

Vinay Dube: Akasa Air will honour the values of Rakesh Jhunjhunwala

Aug 16, 2022

Akasa Air, which launched a week ago, will endeavor to run a "wonderful airline," in accordance with its Co-Founder and CEO Vinay Dube, in order to honor the legacy, values, and principles of its late billionaire investor Rakesh Jhunjhunwala. Even before it began flying, Jhunjhunwala, one of the venture's financiers, was strongly identified with Akasa Air, which was "conceived and born in 12 months." The course of Akasa Air, which launched its inaugural flight on August 7 on the Mumbai-Ahmedabad route, will be widely observed in the high growth potential and fiercely competitive Indian civil aviation industry. "We are very saddened by the sudden death of Rakesh Jhunjhunwala this morning," stated Dube, founder and CEO of Akasa Air. Additionally, he noted how the multibillionaire investor had been a team player from the start and had confidence in them to create a top-tier airline. Akasa Air will miss Jhunjhunwala's strategic advice greatly as condolence messages stream in following his passing. He was regarded as the "Big Bull" and the "Warren Buffett of India" for his investment knowledge. Although the 62-year-old investor was not involved in the day-to-day operations of Akasa Air, his investment alone provided the airline with the much-needed boost. Additionally, it was India's first regularly scheduled domestic carrier to be introduced in nearly ten years. "Jhunjhunwa

India plans contentious law to cut $75 billion utility debt

Aug 06, 2022

India is drafting legislation that would increase competition and reduce debt at its power distribution corporations, but it also runs the danger of inciting resentment in a nation where electricity is frequently exploited as a campaign tool. Key proposals, according to those with knowledge of the matter but who declined to be identified because the specifics aren't yet available, include allowing more utilities to operate within the same circles, requiring regulators to set tariffs based on market costs, and defining payment procedures and deadlines. The proposal will be made before the legislature during the ongoing session, which continues through August 12. The administration of Prime Minister Narendra Modi claims that the transformation is necessary to clear a sector that is crucial to its goals for the energy transition but is clogged with $75 billion in debt. The modifications, according to critics, open the door for large corporations to dominate the market since wealthy clients would shift to private enterprises, leaving state-run utilities with customers who depend on subsidies. The All India Power Engineers Federation, an advocacy group that develops recommendations for energy policy, is headed by Shailendra Dubey. "Power industry employees across the country will go on strike the day the bill is introduced in the parliament," he added. "This amendment restricts t

Verification Of Income Tax Returns: Significant Rule Change

Aug 02, 2022

Beginning on August 1, the Income Tax department has decreased the window of time for e-verification or hard copy submission of the ITR-V, post-filing taxpayer returns, from 120 days to 30 days. The agency announced the modification in the timeframe in a notification on July 29. The final step in the return filing procedure is ITR e-verification; if it is not done within the allotted period, an ITR is regarded as invalid. "It has been decided that the time limit for e-verification or submission of ITR-V shall now be 30 days from the date of transmitting/uploading the data of return, with respect to any electronic transmission of return electronically, data on or after the day this notification comes into effect. It said the order comes into effect from August 1. Until recently, after filing an Income Tax Return (ITR), you had 120 days from the date of uploading the ITR to e-verify the ITR or mail the ITR-V. The notification made it clear that returns would be considered late or past due if the ITR's e-verification or hard copy ITR-V were received through the mail after the allotted 30 days. ITR-Vs can be sent via regular mail to the Centralized Processing Center, Income Tax Department, Bengaluru-560500, Karnataka, at the customary address with "speed post only." It stated, "For the purpose of determining the 30 days period, from the date of transmitting the Income-