NEW DELHI: Adani Group’s solar power contract, which is at the centre of bribery allegations, has tariffs that are lower than competition and can find new buyers in case the pact is cancelled, according to analysts.

US authorities have charged Adani Group founder-chairman Gautam Adani and others for being part of a scheme to offer $265 million bribe to Indian officials to gain a contract to supply 8 gigawatt of electricity generated from solar energy by Adani Green Energy Ltd (AGEL). The group has denied all charges.

“If Adani promoters are found guilty, we believe the size of potential penalty is manageable given it is up to three times the value of the bribe,” Nomura said in a report.

The brokerage said there are about 1.8 GW solar projects commissioned in Gujarat from February-March 2024, with tariff of Rs 2.42 per unit under the 25-year power purchase agreements (PPAs).

These operational projects are running under 5 special purpose vehicles, namely Adani Green Energy Twenty Four A Ltd (AGE24AL), AGE24BL, AGE25AL, AGE25BL, and AGE26BL.

These may have project debt of about $685 million, if assuming capex cost of $500,00 per megawatt and 75 per cent capex as debt.