15% EIRR just isn’t possible these days in plain vanilla solar or wind projects. Even the solar+BESS space has become crowded now, so returns have come down there as well. That’s why most of the legacy/ established IPPs are moving towards the more complex stuff like FDRE, RTC and peak power, where returns are still in the higher teens. Competition is low and only a few developers are actually doing these projects properly.
And I never said Adani Green’s valuation is justified. If you look at the share price, the EV/EBITDA multiples have corrected quite sharply, though they’re still on the higher side. To be fair, Adani has delivered strong growth in the past and the expectation is that they’ll continue. What they’re doing in Khavda is genuinely impressive. But how that growth and returns will play out… I’m still not fully convinced.