The proposed Noida data centre park’s electricity distribution licence has come under fresh scrutiny after Adani Energy Solutions Step-Eleven Limited defended its financial capacity before the Uttar Pradesh Electricity Regulatory Commission, while a consumer body sought independent verification of the project’s funding and technical plans.
In a detailed reply submitted to UPERC on November 2, the company said its parent, Adani Energy Solutions Limited, had an adjusted net worth of Rs 15,155.80 crore. The figure, it said, was more than 200 times the proposed equity investment of Rs 63.33 crore for the electricity distribution project, whose estimated cost is Rs 211 crore.
The application relates to a proposed data centre park being developed by DC Development Noida Limited in Sector 62, Noida. Adani Energy Solutions Step-Eleven is seeking permission to distribute electricity within the designated park rather than across the wider service area of Paschimanchal Vidyut Vitran Nigam Limited (PVVNL).
The company said its parent’s total net worth stood at Rs 23,011.26 crore in 2024-25. After accounting for Rs 7,855.46 crore committed to other projects, Adani said it would still have sufficient financial strength to support the proposed distribution business. It also cited a Rs 2,000 crore solvency certificate issued by Axis Bank as evidence of financial stability.
On the proposed network, the company said electricity would initially be supplied through a 33 kV system. An additional 11 kV network could be developed later, depending on demand, and would be funded by the company, according to the reply. Adani also clarified that the estimated distribution loss of 0.5% was a projection and not a final figure.
A central issue in the company’s submission is who would bear the cost of the electricity infrastructure. Adani maintained that the cost of developing and operating its network would be recovered only from consumers within the data centre park. It said existing PVVNL consumers would not face any additional financial burden as a result of the proposed licence.
That position was questioned by Uttar Pradesh Rajya Vidyut Upbhokta Parishad chairman Avadhesh Kumar Verma in a fresh representation to UPERC on November 5. The consumer body argued that citing the parent company’s overall financial strength did not establish how the applicant itself would arrange the proposed investment. It asked the regulator to seek documentary evidence on the funding structure.
The representation also sought independent verification of the proposed electricity network, the estimated distribution losses and the precise area in which Adani would be authorised to supply power. The consumer body urged UPERC not to grant the licence until the financial, technical and legal objections had been addressed.
The regulatory dispute puts the proposed data centre park’s electricity model before the commission for examination. The supplied report does not state that UPERC has approved or rejected the licence. The next step is therefore the regulator’s consideration of the company’s financial response and the objections raised by the consumer body.
