Gita Renewable Energy Ltd Management Discussions.

The Company has one business segment namely operation and maintenance services for power generation units. This segment is reported in accordance with the Accounting Standard 17 issued by the Companies (Accounting Standards), Rules, 2006.

The pace of economic growth of this segment namely generation of power slowed down due to the COVID-19 pandemic situation. The waste heat recovery plant at Gummidipoondi has not been operative due to maintenance and restructuring in plant operation. Volatility in prices, Increase in cost of production, lack of availability of raw materials at affordable prices, environmental concerns continuous rise in cost of production, regional demand & supply inequalities, fluctuation in INR Value against global currencies and reforms impact significantly the Indian Power Generation sector.

During the year under review the Company has sold Properties, Plant, Machinery, equipment and liabilities relating to waste heat recovery plant and coal based thermal plant to the related party except other Assets and Liabilities by way of slum sale as defined in Section 2 (42 C) of the Income Tax Act 1961 as going concern for a lump sum consideration. Remaining business of the Company is in the field of operation and maintenance of power generating units and others ancillary operations retained with the Company. There is no major adverse effect on the going concern of the Company

The management has initiated steps to revive the company with various other business opportunities with positive economic outlook and improvement in industrial growth in forthcoming years.

For and behalf of Board of Directors of
Gita Renewable Energy Limited,
Date: 30th June 2021 R. NATARAJAN
Place: Gummidipoondi Chairman & Managing Director.
DIN: 00595027