# Converting a six-SPV renewable energy platform to IFRS-converged Ind AS, entity by entity and on consolidation Case study · Financial Reporting A renewable energy group came within the scope of Ind AS with fixed audit deadlines and a finance team that had never reported under IFRS-based standards. 6 SPVs converted to Ind AS at the same time 0 Audit misstatements reported on the conversion 4 Months from kick-off to standalone and consolidated statements ## The situation A renewable energy group operating through several special purpose vehicles became subject to Ind AS, India’s IFRS-converged standards. Every SPV had to convert at once and produce standalone and consolidated financial statements with restated comparatives. Lenders and investors expected compliant reporting on the original timetable. ## The challenge - Consistent opening balance sheets and first-time adoption elections across six separate entities - Revenue under the IFRS 15 model, land and equipment leases under IFRS 16, and project debt under IFRS 9, each as adopted in Ind AS - Deferred tax recalculated on every transition adjustment, with an equity reconciliation for each SPV - Consolidated statements with intercompany eliminations agreed across the group ## What we did We ran the conversion as one programme rather than six parallel projects. Transition elections were decided once at group level and applied consistently, and a decision log recorded each election and the reason for it. Each difference between Indian GAAP and Ind AS was worked through in the same format: the facts, the requirement, the adjustment, and its tax effect. Lease portfolios were rebuilt on the IFRS 16 model with incremental borrowing rates that reflected project tenors, and borrowings were remeasured at amortised cost using the effective interest method. We prepared standalone statements, transition reconciliations, and full disclosures for every SPV, followed by the consolidated statements with eliminations reconciled across the group. ## The impact - A compliant transition for all six entities, delivered on schedule - No audit misstatements, with every technical position supported by documentation - Disclosures that met lender and investor reporting requirements Client details are anonymised, and some facts are generalised to protect confidentiality. **Industry** [Energy & Infrastructure](https://soniassociates.in/industry-energy-infrastructure) **Capability** [Financial Reporting & Technical Accounting](https://soniassociates.in/service-financial-reporting) **Geography** India **Duration** Four months **Standards and frameworks** IFRS 1, 9, 15 and 16 as converged in Ind AS 101, 109, 115 and 116 · Consolidation ## More client impact [All client impact](https://soniassociates.in/case-studies) Technology · Financial Reporting ### [Rebuilding an expected credit loss model for a listed IT services company with US$855 million in receivables](https://soniassociates.in/case-ecl-model-listed-it-services) US$855mn Gross trade receivables covered by the model Diversified group · Financial Reporting ### [Consolidating a thirteen-entity group through a mid-year sale of a majority stake](https://soniassociates.in/case-consolidation-thirteen-entity-group) 13 Entities consolidated, including subsidiaries and associates Consumer & Retail · Finance Transformation ### [Removing recurring cash shortages across a highway fuel retail network](https://soniassociates.in/case-fuel-retail-finance-transformation) ~99% Reduction in recurring cash shortages by the third iteration ## Facing a comparable situation Describe it in a few lines. We will say whether we are the right firm to help. [Contact us](https://soniassociates.in/contact?topic=financial-reporting) [LinkedIn](https://www.linkedin.com/in/in-aditya/) --- Soni Aditya & Associates, Chartered Accountants. Office No 502, Unit 507, 5th Floor, 45 Baner Street, Baner, Pune, Maharashtra 411045, India. aditya@soniassociates.in · +91 93400 75288 · https://soniassociates.in/contact This website is published for general information, in keeping with the guidelines of the Institute of Chartered Accountants of India on members’ websites. It does not advertise or solicit work, and nothing on it is professional advice. Publications reflect the law and standards at the date they were written, so please take advice on your own facts before acting. Client engagements described here are anonymised. Site index for agents: https://soniassociates.in/llms.txt Canonical page: https://soniassociates.in/case-ind-as-conversion-renewable-platform