Vedanta Limited has informed stock exchanges about a regulatory direction received by its subsidiary Talwandi Sabo Power Limited (TSPL) from the Commission for Air Quality Management in National Capital Region and Adjoining Areas (CAQM). The direction mandates TSPL to deposit environmental compensation of Rs 33,02,56,800.

Regulatory Action Details

The environmental compensation has been imposed under Rule 3 of Environment (Utilization of Crop Residue by Thermal Power Plant) Rules, 2023 read with Section 12 of CAQM Act, 2021. The penalty relates to alleged non-compliance with mandatory requirements for FY 2024-25.

Nature of Alleged Violation

TSPL has been penalized for allegedly not achieving the mandatory use of minimum five percent blend of pellets or briquettes made of crop residue along with coal during FY 2024-25. This requirement is part of environmental regulations aimed at promoting the utilization of crop residue and reducing air pollution.

Company's Response and Financial Impact

TSPL intends to challenge the CAQM direction by filing an appeal before the appropriate forum within the prescribed timeline. The company is confident about the merits of its case and expects a favourable outcome from the appellate proceedings.

Vedanta Limited has stated that TSPL does not expect any material financial impact on either the subsidiary or the parent company from this regulatory action. The disclosure was made under Regulation 30 of SEBI Listing Regulations as part of mandatory compliance requirements for listed entities.

Vedanta Limited announced key board changes and corporate restructuring updates following its Board of Directors meeting held on March 31, 2026. The company filed regulatory intimations under Regulation 30 of SEBI Listing Regulations, detailing leadership transitions and timeline extensions for the ongoing composite scheme of arrangement.

Board Leadership Transition

The company experienced a significant change in its independent director composition with the completion of Mr. Dindayal Jalan's tenure and the appointment of his successor.

Mr. Dindayal Jalan ceased to hold office as Non-Executive Independent Director with effect from close of business hours on March 31, 2026. The Board placed on record its sincere appreciation for his valuable contributions during his tenure with the company.

New Director Profile and Qualifications

Mr. S.V. Murali Dhar Rao's appointment was recommended by the Nomination & Remuneration Committee and approved by the Board for a first term of one year, subject to shareholder approval. The appointee brings extensive regulatory experience to Vedanta's board.

Professional Background:

• Over three decades of experience in regulating and developing securities markets
• Joined Securities & Exchange Board of India (SEBI) in June 1992
• Elevated to Executive Director in July 2012
• Superannuated from SEBI in January 2025

Current Positions:

• Independent Director at Invesco Trustee Private Limited
• Independent member on Kerala Infrastructure Investment Fund Board
• Senior consultant with Khaitan & Co
• Former part-time member of National Financial Reporting Authority (NFRA)
• Former Board member of Indian Institute of Corporate Affairs (IICA)

Key Contributions at SEBI:

• Instrumental in mutual fund industry growth through Total Expense Ratio rationalization
• Led categorization and rationalization of mutual fund schemes
• Facilitated reduction of listing timeline from T+6 to T+3 for public issues
• Enhanced disclosure requirements including ESG disclosures for listed entities
• Introduced product labelling, swing pricing mechanism, and backstop facility for corporate debt markets

Mr. Rao holds Master of Commerce (M.Com) and Master of Business Administration (MBA) qualifications. The Board confirmed he satisfies independence criteria under the Companies Act, 2013 and Listing Regulations, and is not debarred from holding directorship by SEBI or other authorities. He is not related to any existing directors of the company.

Composite Scheme Timeline Extension

The Board approved an extension of the timeline for fulfilling conditions precedent under the composite scheme of arrangement involving multiple entities.

The extension was necessitated as certain conditions precedent, including receipt of approvals from governmental authorities, remain pending completion. This marks the second extension, following the previous extension from September 30, 2025 to March 31, 2026, as communicated in the company's earlier intimation dated September 30, 2025.

The composite scheme involves arrangements between Vedanta Limited and four resulting companies along with their respective shareholders and creditors under Sections 230 to 232 of the Companies Act, 2013. The Board utilized Clause 39.7 of the Scheme to approve this timeline extension, ensuring adequate time for regulatory compliance and approval processes.