#1Investor Presentation June 2020 0 Copyright © 2020 Azure Power | www.azurepower.com 7 GW+ Pan India portfolio of solar assets India's first private grid connected MW solar plant Issued India's first solar Green Bond ® Azure PowerⓇ#2Disclaimer Forward-Looking Statements This information contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, including statements regarding our future financial and operating guidance, operational and financial results such as estimates of nominal contracted payments remaining and portfolio run rate, and the assumptions related to the calculation of the foregoing metrics. The risks and uncertainties that could cause our results to differ materially from those expressed or implied by such forward-looking statements include: the availability of additional financing on acceptable terms; changes in the commercial and retail prices of traditional utility generated electricity; changes in tariffs at which long term PPAs are entered into; changes in policies and regulations including net metering and interconnection limits or caps; the availability of rebates, tax credits and other incentives; the availability of solar panels and other raw materials; our limited operating history, particularly as a relatively new public company; our ability to attract and retain our relationships with third parties, including our solar partners; our ability to meet the covenants in debt facilities; meteorological conditions; issues related to the corona virus; supply disruptions; power curtailments by Indian state electricity authorities and such other risks identified in the registration statements and reports that we have filed with the U.S. Securities and Exchange Commission, or SEC, from time to time. In the presentation, portfolio represents the aggregate megawatts capacity of solar power plants pursuant to PPAs, signed or allotted or where we have been cleared as one of the winning bidders or won a reverse auction but has yet to receive a letter of allotment. All forward-looking statements in this presentation are based on information available to us as of the date hereof, and we assume no obligation to update these forward-looking statements. This presentation also contains non-GAAP financial measures. We have provided a reconciliation of such non-GAAP financial measures to the most directly comparable measures prepared in accordance with U.S. GAAP in the Appendix to this presentation. 1 | Copyright © 2020 Azure Power | www.azurepower.com ® Azure PowerⓇ#3Azure Power® Executive Summary 2#4Azure Power Overview (AZRE: NYSE) A Leading Pan Indian Solar Power Developer Azure Power Portfolio of 7,115 MWs (1) (1,808 MWs Operational, 1,307 MW Contracted, 2,000 MW Committed and 2,000 MW Greenshoe (1,2)) 6,948 MWS Utility-Scale Projects Founded in 2008, built India's first private utility-scale solar project in 2009 Fully integrated business from development to EPC, financing & management Operational MW growth of 98% CAGR from March 2009 95% of the total portfolio is investment grade 167MWs Azure Roof Power Awan |Punjab |India's First Private MW scale Solar Plant * Map not to scale (1) (2) Gandhinagar | India' First MW Scale Distributed Solar Rooftop Project Total capital raised over US$2.5(3) billion since inception First Indian energy assets to list in NYSE, United States First Solar Green Bond out of India listed on SGX CDPQ, large AAA-rated Canadian pension fund, owns 50.9% Portfolio as on March 31, 2020: 2,000 MWs is a greenshoe option that has been exercised by the company as part of an auction that was won but this capacity has yet to receive a Letter of Award Under construction and allocated projects (3) Exchange rate- INR75.39 to US$1 (New York buying rate of March 31, 2020) 3#57,115(1) MW Committed Portfolio, 1,808 MWs Operational ~90% (2) in High Irradiation Zone ~6%(2) in Mid Irradiation Zone Focus on Strong Counterparty Credit Rajasthan (3,675 MW) 475 MW 3,200 MW Gujarat (270 MW) 270 MW Andhra Pradesh (200 MW) 200 MW Maharashtra (7 MW) 7 MW Karnataka (250MW) 250 MW Irradiation Zones (3)(kWh/m2/day) High >5.5 Mid Between 5.5-4.5 Mid Low 4.5-3.5 Punjab (214 MW) 214 MW Uttar Pradesh (100 MW) BBB- & above 95% 100 MW Bihar (10 MW) 10 MW Chhattisgarh (30 MW) 30 MW Telangana (100 MW) 100 MW SECI 80% To be decided (2,000 2,000 MW(1) Indian Railways & Delhi (2 MW) Gol Entities 1% NTPC 4% 2 MW Rooftop projects (167 MW) Assam (90 MW) 150 MW 90 MW 17 MW Ground Mount DSO 122 Days Others 205 Days Operational Solar Capacity Under Construction & Committed Solar Capacity Category A States (4) 63 Days Others 5% Azure Power ~95% of the portfolio is Investment Grade(4) State Electricity Boards 15% 85% of the portfolio is with Gol (sovereign) backed entities Federal 74 Days ~60% of revenues are with Highest Rated Counterparties Rooftop (1) 2,000 MWs of Committed Capacity is a greenshoe option that has been exercised by the company as part of an auction that was won but this capacity has yet to receive a Letter of Award (2) For ground mounted project (3) National Renewable Energy Laboratory (4) Considered Integrated Rating Report by Ministry of Power, Gol, wherever Credit Rating is not available#6Visible Historical and Future Growth Growing Portfolio with Strong Contracts in Place SMW % of Revenue 7,800 6,500 5,200 3,115 600 3,900 707 1,808 2,600 1,300 7,115 5,115 Operational Under Under Contracted Construction Development Portfolio Committed Portfolio (includes LOA) Total Portfolio(1) Captured Significant Economies of Scale 40% 35% 30% 25% 20% 15% 10% 5% 0% FY'15 IPO FY'17 FY'18 FY'19 FY20 G&A as % of Revenue (Ihs)(3) O&M per MW-year (rhs) 25 US$ Thousand/MW/Year 20 20 5 10 5 EBITDA (US$ Million) Revenues (US $ Million) Substantial Revenue Growth to Portfolio Run-Rate (1)(2) Azure Power $172 $112 $144 $44 $61 314% $711(1) Committed Under Construction Operating IPO FY'17 FY'18 FY'19 FY'20 Committed Revenue 313% Increase in Adjusted EBITDA since IPO in 2016 $140 $120 $100 $80 $60 $43 $40 $30 $20 $0 IPO FY'17 $82 FY'18 $110 FY'19 $124 FY'20 Exchange rate- INR75.39 to US$1 (New York buying rate of March 31, 2019) 1) Includes 2,000 MWs related to the exercise of a greenshoe option which an LOA has yet to be received, 2) Portfolio run-rate (please refer Form 6k Equals annualized payments from customers extrapolated based on the operating & contracted capacity as on March 31, 2020). 3) Excludes INR 747 mn ($9.9 mn) of charges in FY'20 related to management transition, stock appreciation rights, interest charges on safe guard duties, and provisions of accounts receivables. | IPO data is LTM 30 June, 2016| EBITDA - For a reconciliation of Non-GAAP measures to comparable GAAP measures refer to appendix.#7Key Highlights of Recent Developments Azure Power No material adverse impact from COVID-19, to date; Operational assets on track; We expect MWs under construction will be completed before expected revised COD. Cash Flow to Equity (CFe) from Operating Assets (1) was $43 million for FY'20, up 15% from FY’19; Reiterate long term guidance of CFe growth to $170 - $210 million over next five years ― Pursuing lowest cost of capital Identified $150mn of equity sources towards $600 million equity need to build 4 GWs. Fully equity funded for 3,115 MWs; Continue to expect that no new shares will be issued before at least FY'22(2) Hired advisor to explore selling second group of assets, in addition to first set of assets; initial good interest Secured project financing from leading foreign lenders at a price below 9% recently Owing to delays in receiving LOA on 2 GW green-shoe, we are considering bidding for more solar as well as new technology-driven tenders like hybrid, storage based to fill construction schedule gap. Will only win project if above cost of capital. Present Value of Equity (3) (No value for growth beyond current portfolio or cost reductions) PV of Equity Value (USD Mn) $2,500 $2,000 $1,500 $1,000 $500 $- 10.0% 12.5% Cost of Equity 15.0% ■9% Interest Rate 10% Interest Rate 11% Interest Rate Expect to achieve 9.0 - 10.25% lending cost in future 1) CFe is a Non-GAAP metric, please refer to the reconciliation of this non-GAAP metric in the Appendix. 2) unless it is the lowest cost source of equity for our projects 3) As of March 31, 2020 6 Current market cap is ~$750 mn#8COVID-19 Update: Azure Power As A Safe Haven A No Material Adverse Impacts From COVID-19 Performance Illustrates Quality and Predictability of Assets and Cash Flows A Strong Liquidity through at least March 31, 2021 (1) With Superior Access to Capital and Operations, Azure Should Further Differentiate Itself to Competitors Operating Assets Plants remain fully operational ■ Receiving payments in normal course; majority of counterparties are Central Government ■ No additional curtailment (2) despite reduction in electricity demand given. must run status ■ Force majeure notices from customers have been denied by Government Under Construction have Plants under construction resumed activity; of 1,290 MWs under construction and development, expected to be commissioned by expected revised PPA COD ■ Do not expect to incur any penalty for delays; our counterparties to these plants have recognised force majeure ■ Do not see any increase in project costs related to COVID-19; metal and module prices have dropped recently due to softness in global demand ■ Seeing improvement in supply chain Azure Power Access to Capital ■ All financing remain on track. Two plants under construction have financings in place; Commitment in place for plant with Rajasthan 8 and advanced discussion with banks for Rajasthan 9 ■ CDPQ (AAA rated) now owns 50.9% of Azure Power Global ■Moody's credit agency upgraded both of our Green Bonds by one notch in March; In June, Moody's revised outlook for RG2 (3) to negative in line. with Moody's revision of Gov't of India's sovereign rating 1) Even if only some of the highest debt-rated counterparties, such as Government-of-India-owned SECI, continue to make payments for electricity received. 2) only minor, normal interruptions related to supply grid 3) Azure Power Solar Energy Pvt Ltd, 7#9Recent 4 GW Project Win Is Value Accretive Tariff -15% higher than similar SECI central grid connected auctions we have won Opportunity for 20%+ equity IRRS Potential of around 6.0x EV/EBITDA build cost Azure Power Present Value of Equity for 4 GW Win(2) $1,000 $800 $600 $400 $200 PV of Equity Value (USD EA Key Assumptions for 4 GWs Project Cost 59 63/Watt Net PLF 28.9% -29.3% Leverage 75% Overloading 50% Tariff 3.9 ¢/ kWh Interest Rate 9.25 10.25% Opex 8% of Revenue Initially Degradation 0.60% Loan Tenor 20-22 Years 10.0% 12.5% Cost of Equity 15.0% ■9% Interest Rate 10% Interest Rate 11% Interest Rate Potential Upside Opportunities to reduce O&M given benefits of scale and technology Potential use of bi-facial modules could increase PLF Green bond financing could reduce lending costs and reduce equity requirements improving returns Further reduction in module prices and BOS reflecting buying power and gains in productivity US$/ Watt Module prices have a long history of declines (1) $0.40 $0.30 $0.20 $0.10 $0.00 2Q'17 Exchange rate- INR 75.39 to US$1 (New York closing rate of March 31, 2020), 1) PV Insights, Mercom, 2) As of March 31, 2020 3Q'17 4Q'17 1Q'18 2Q'18 3Q'18 4Q'18 1Q'19 2Q'19 3Q'19 4Q'19 1Q'20#10USD Millions 500 Historical and Future Strong Growth MWs Operational Guidance MWs 8,000 7,000 6,000 5,000 4,000 3,000 CAGR 45% 2,000 1,000 IPO(a) FY'17(a) FY'18(a) FY'19(a) FY '20(a) FY'21(e) Capex Forecast(1) FY'22(e) CAGR 32% USD Millions $700 FY'23(e) 0 FY'21 FY'22 FY'23 Equity Debt FY'24 FY'25 (US$ millions) FY'21 FY'22 FY'23 FY'24 FY'25 Cap Ex $425 - $600 $575 - $850 $500 - $700 $500 $700 $500 - $700 FY'24(e) FY'25(e) $300 $400 $500 $600 Azure Power EBITDA, Cash Flow to Equity (2) and Debt Forecast EBITDA: $190 - $205 EBITDA: $275 - $300 EBITDA: $200 $124 $100 CFe: $43 CFE: $45 - $65 $0 FY'20 Current Operational (1,804 MWs) Total Contracted Portfolio (3,115 MWs) Debt $1.0bn $1.6bn CFe: $70 - $100 CFe: $170 - $210 Total Committed Portfolio (7,115 MWs)(3) $3.2bn Exchange rate- INR 75.39 to US$1 (New York closing rate of March 31, 2020) (1) Midpoint of guidance, (2) CFe (cash flow to equity) is profit before tax (the most comparable GAAP metric), adjusted for net cash provided for used/in operating activities, other than changes in operating assets and liabilities, income and deferred taxes and amortization of hedging costs; less: cash paid for income taxes, debt amortization and maintenance capital expenditure. FY'20 actual debt amortization was $8.2 million but projections assume normalized debt amortization over 20 years. FY"20 actual includes $15.1 mn of Corporate G&A but projections do not include Corporate G&A. (3) 2,000 MWs of Committed Capacity is a greenshoe option that has been exercised by the company as part of an auction that was won but this capacity has yet to receive a Letter of Award 9 EBITDA CFe EBITDA: $575 - $675#11Plan For Equity Funding Requirements Identified $150mn of equity sources towards $600 million equity need to build 4 GWs Pursuing Lowest Cost of Capital Fully equity funded for 3,115 MWs; Continue to expect that no new shares will be issued before at least FY'22(2) Equity needs spread over 5 years Primary sources of additional equity are: Internal cash flow generation Optimizing cash flow through cost reductions, refinancing, reducing working capital Investment Grade Green Bond opportunities could lower borrowing cost and reduce equity needs Asset sales Corporate debt at parent level with international lenders Strategic investors A Identified opportunities since February 2020 to reduce additional equity needs by $150 million Considering larger pool of assets for potential sale given strong interest COVID-19 may slow the asset sale exploration process for both first and second set of assets Considering housekeeping shelf filing for corporate Exchange rate- INR 75.39 to US$1 (New York closing rate of December 31, 2019). (1) net of proceeds from potential asset sales, 2) unless issuing new shares became the lowest cost source of equity for our projects 10|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#12Published First Sustainability Report; Launched Sustainability Website HOME UTIMES COMMERCIAL SUSTAINABILITY Azure Power SUSTAINABILITY 2018-19 Highlights ■ Avoided 5.2 mn tons of CO2 equivalents since inception (1) Azure Power 50% saving last year in water consumption per unit of electricity generated (2) ■ Volunteer study in FY'20 to ascertain the ecological impact of new projects in Rajasthan ■ Aim to become water neutral over the coming years Environment Sustainability Report 19 training sessions conducted in FY'20 with 254 participants across 11 sites on air pollution and environment awareness Azure Power AZURE POWER Azure Pow Created over 4,300 local jobs since inception in the remote communities we operate in Clean water plants built in FY'19 / '20 to provide over 71,000 people with drinking water ■ 46 smart classrooms installed in last 18 months Social ■ 12 houses built for low income families in FY'20 ◉ 800+ street lights and 4 washrooms for communities installed in FY'20 ■ Skill development training offered to over 2,500 individuals in local villages during FY'20 Enhanced Health and Safety Policy implemented in FY'20 ■ All projects comply with World Bank Equator Principles ® Azure Power Governance ■ Comply with SEC, NYSE, SGX governance standards ■ Gender diversity of Board CORPORATE SOCIAL RESPONSIBILITY (1) Up to March 31, 2019, 2) CY 2019 compared to CY 2018 ■ 287 internal and 4 external audits in FY'20 reported no significant non compliance 11#13Corporate Social Responsibility Programmes Azure Power POWERING COMMERCIA Aure Pawe Azure Power POWERING UTILE Promoting livelihood enhancement by providing skill development across 7 sites in Gujarat Donation of modified wheelchair and two wheelers to the disabled army veterans Promoting education by providing smart class in Government schools across multiple states .99 Thatzd Azure Power Safe drinking water covering over 60,000 beneficiaries 12 | Copyright © 2020 Azure Power | www.azurepower.com 1000+ Solar street lights installed to promote rural electrification Built community toilets for sanitation and hygiene Ⓡ Azure PowerⓇ#14Azure Power Strong Governance and Disclosure Standards Only Indian Solar Independent Power Producer listed on NYSE Standards reinforced by listing requirements Strong Corporate Governance Home country regulatory requirements SEC & NYSE requirements that also require regular reporting SGX-ST requirements requiring periodic reporting Azure Power® Key Committees Compensation Committee ■ Assist the board in discharging matters related to compensation Audit Committee ■ Prudently oversee the accounting and financial reporting process of the company ■ All directors are independent Nominating and Governance Committee ■Review & make recommendations with respect to corporate governance Conduct annual reviews of Board's Independence Key Policies Whistle Blower Policy ■ Providing conducive environment to employees and directors for safe and secure reporting of unethical conduct Anti Bribery and Corruption Policy ■Committed to conduct business ethically Compliance with United States of America's Foreign Corrupt Practices Act Code of Business Conduct and Ethics ■ Conducting the business with honesty, integrity and ethical behavior Corporate Social Responsibility ■ Strong community partnerships ■Constantly working with communities for betterment For further details on policies, please refer to http://investors.azurepower.com/corporate-governance/governance-documents 13#15Experienced Board Backed by Long Term Marquee Shareholders Caisse de dépôt et placement du Québec • Increased stake in Azure Power to c.50.9% through multiple rounds & open market purchase ⚫ 2nd largest Canadian pension fund (Rated AAA) • US $310 bn assets, of which over c. US$ 4.5bn invested in India • Long term institutional investor: Investments in infrastructure globally of c.US$ 23bn of which c.53% in Energy IFC International Finance Corporation WORLD BANK GROUP IFC Global Infrastructure Fund • Made its first investment in company in 2010 and increased stake through multiple rounds with current holding of c.24.5% • Arm of World Bank and largest global development institution • US$27bn+ investment since 2007 in Infra & Natural Resources Long term institutional investor: Leading global investor in emerging market renewable power with c.US$6.1 billion invested Azure Power Barney Rush Chairman and Independent Director ■Serves on the board of ISO-New England, the electric grid and wholesale market operator for six U.S. states ■Served as Group CEO of Mirant Europe and Chairman of the Supervisory Board of Bewag serving utility in Germany Ranjit Gupta Chief Executive Officer and Director ■ Extensive experience in Renewable Energy, Thermal Power and the O&G industry ■ Co-founded and served as the Chief Executive Officer of Ostro Energy Sanjeev Aggarwal Non-Executive Director ■ Co-Founder of Helion Venture Partners and IBM Daksh Business Process Services ■Served as a Director of ShopClues, Amba Investment Services, Mindworks Global Media Services, Global Talent Track and 9.9 Mediaworx Arno Harris Independent Director ■ Former founder and CEO of Recurrent Energy and Prevalent Power ■Serves as a board member emeritus and former board chair of the Solar Energy Industry Association Khalid Peyrye Independent Director ■ Heads the Corporate Secretarial and Administrative cluster of AAA Global Services ■ Previously was a Money Laundering and Compliance officer for a leading financial services company Cyril Cabanes Non-Executive Director ■ Vice President, Head of Infrastructure Transactions, Asia-Pacific at CDPQ ■20+ years of experience across all facets of infrastructure transactions including acquisitions, financing and fundraising Deepak Malhotra Non Executive Director ■Director, Infrastructure, South Asia at CDPQ 18+ years of experience in infrastructure financing. He previously worked at International Finance Corporation, World Bank, at a leading credit agency in India and in the Merchant Navy Dr. R.P. Singh Independent Director Former CMD of Power Grid Corporation ■Known for his contribution to the power sector in generation, transmission, policy and grid infrastructure and recipient of awards from World Bank, Electric Power Research Institute, USA and SCOPE Excellence Award. Yung Oy Pin (Jane) Lun Leung Independent Director Extensive experience in accounting, auditing, taxation, corporate secretarial and administration in the United Kingdom & Mauritius. ■ Previously she has worked with Ascough Ward Chartered Accountants, Kingston Marks Chartered Certified Accountants and Deloitte & Touche across various sectors 14#16Industry Overview 15 Azure Power®#17Industry and Regulatory Update Industry Update Continued robust demand for new renewable energy in India despite the short-term blip in demand related to COVID-19, 17GWs of Tenders were released in the past quarter. There are ~40GWs of renewable energy auctions expected over the medium term. Regulatory Update In light of the COVID disruption, renewable energy is deemed an essential service. MNRE reiterated “must run status" for renewable energy and the Ministry of Power sent a directive that renewable energy generation should be paid within 45 days of the presentation of the bill. Priority payment. Submission of invoices by email now allowed. More auctions focused on higher capacity factor (hybrid), peaking supply and "Round the Clock" (RTC) - DISCOMS want flatter supply of power or on demand power for grid reliability and are willing to pay a premium. May bid for new tenders due to delay in 2 GW green-shoe LOA - Will only win if returns meet minimum thresholds and are above our cost of capital. No change to equity needs. Given evolution of demand, we are also considering new technology driven tenders like Hybrid, Storage based, and RTC. MNRE confirmed a blanket extension for solar projects for the duration of COVID Lockdown + 30 days for normalization. Additional extensions for supply chain disruption can also be applied for. ― The most recent Basic Custom Duty (BCD) Implementation proposal is for BCD to be implemented in April 2021 with a 10% duty on Modules and the rate ramps up 10% annually to 30% from 2023 onward. The current Safe Guard Duty is set to expire on July 29, 2020 and extension is being examined. We expect recovery of Safe Guard Duty and BCD as our PPAs are protected from changes in law. 16|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#18The Solar Advantage in India Azure's solar plants have high availability Seasonal Energy Curve Summer Monsoon India-Demand Peak Low Solar-Generation Peak Low India's 100GW Solar Capacity Addition Roadmap 100GW Solar Target 4 CAGR: 39% 38 100 2015 Mar'2020 2022E Electricity Usage per Capita (MWh) 12.8 US: ~14x > India China: ~5x > India Azure PowerⓇ ~100 mn people without direct power source 4.3 0.9 USA China India 6 Other advantages Significant need for new electricity supply Strong Government Installed Solar grew 5 and policy support -60% annually for past 5 yrs Significant amount of solar resource 2 Solar is the cheapest Significant untapped source of potential electricity Tariff (US$/kWh) 4 3 3.5 3.6 (GW) 750GW of solar potential in India 750 38 Solar Wind Coal Spot electricity price Gas Diesel ■Potential Installed Capacity (March-20) Source: Central Electricity Authority (CEA), MNRE, World Bank, Reuters, Deloitte Industry Report; Solar and Wind tariffs are average for last 12 months Exchange rate- INR75.39 to US$1 (New York buying rate of Dec 31, 2019) 17 Irradiation (kWh/m2) 5.1 4.8 4.7 4.2 3.8 India Spain US Australia Italy Solar is 8% of India's Installed Capacity Thermal 63% Nuclear 2% Other Renewable 4% O Hydro 13% Wind 10% Solar 8%#1918 18 Azure Power® Operating and Financial Metrics#20FY'20 Key Performance Metrics XX XX Azure Power EA P • 1,808 MW Operating 25% increase (1) 367 MW (610MW DC) commissioned since March 2019 7,115 MW(3) Operating & Committed 112% increase 707 MWs are under construction 600 MWs under development • 4 MW (11 MW DC) commissioned in Q4 FY20 • 2,000 MWs has LOA LOA awaited for 2 GW(3) US$ 0.43m Project Cost/MW (DC) 27% reduction (2) DC cost per MW US$ 0.59 mn for FY19 AC cost per MW US$ 0.58 mn for FY20 AC cost per MW US$ 0.73 mn for FY19 US$ 43.0 mn CFe for Operating Assets 15% increase(1) Increase primarily due to higher revenues 1) % Increase/Reduction in INR over figure from March 2019. 2) Excludes the impact of Safe Guard Duties (SGD). Including the SGD impact, FY'20 AC cost would have been higher by US$ 0.07mn, and FY'20 DC cost would have been higher by $0.04mm. 3) 2,000 MWs of Committed Capacity is a greenshoe option that has been exercised by the company as part of an auction that was won but this capacity has yet to receive a Letter of Award Note: Exchange rate INR 75.39 to US$1 (New York closing rate of March 31, 2020) 19#21Review of Q4 FY'20 Results % Change Adjusted Q4FY'20 (in million) Reported 4Q FY'19 Reported Reported 4Q FY'20 After 4Q FY'20 4Q FY'20 Adjustments* US$ Adjustments INR INR US$ US$ vs Q4FY'19 Revenue 2,847 3,675 48.7 0.6 49.3 31% Cost of Operations 256 329 4.3 Administrative 4.3 29% 11.3 67% General & 449 699 9.3 (2.2) 7.1 19% Expenses Non-GAAP Adjusted 2,142 2,647 35.1 (2.8) 37.9 33% EBITDA* Depreciation and 510 850 11.3 Amortization Interest Expense, net (including other 1,427 1,921 25.4 (1.3) 24.1 25% income) Loss (gain) on Foreign Currency (18) 188 2.5 (2.1) 0.4 NM Exchange Income tax (benefit) / (18) 82 1.1 (1.3) (0.2) NM expense (394) (5.2) (7.3) Net Profit/(Loss) 241 2.1 (31%) Comments 41% increase in operational DC MWs. $0.6 mn adjustment is for AP curtailment O&M cost/MW-qtr was ~$2,000 reflecting productivity improvement offset by higher lease costs from plants commissioned in solar parks during FY'20 Increased primarily due to $1.6mn from lease costs. Additional expenses related to management transition and stock appreciation rights totaling $2.2 mn A 33% YoY increase after adjustments 41% YoY increase in operational DC MWs; including full quarter of depreciation for plants commissioned during 4Q'19 Increase in operational MWs and lower interest income. Excludes $1.3 mn of refinancing charges Adjustment for US$ 2.1 mn loss on the reinstatement of foreign currency loans related to depreciation of the INR against the USD Adjustment of $1.3 mn for deferred tax assets related to elimination of EPC margin 4Q'20 adjusted net income of US$2.1 million Exchange rate INR 75.39 to US$1 (New York closing rate of March 31, 2020) | *For a reconciliation of Non-GAAP measures to comparable GAAP measures, refer to the Appendix. Refer to earnings press release for further information. Adjustments are charges or additional items that are non recurring, recurring but expected to be lower going forward or we expect recovery of in the future. 20|Copyright © 2020 Azure Power |www.azurepower.com Azure PowerⓇ ®#22Cash Flow to Equity (CFe) for Operating Assets: FY'20 vs FY'19 15% growth in CFe from Operating Assets in FY'20 vs FY'19 100 g g 90 80 70 30 30 In US$ Millions 40 40 50 50 60 60 20 20 10 10 $37.3 $40.2 ($4.2 ) ($32.9) $43.0 $2.5 0 FY'19 CFe from Operating Assets Additional Revenue Higher Cash Operating Expenses (O&M, G&A) Higher Cash Interest Lower Debt Amortization Exchange rate- INR 75.39 to US$1 (New York closing rate of March 31, 2018) | For a reconciliation of CFe from Operating Assets, refer to the Appendix 21|Copyright © 2020 Azure Power |www.azurepower.com FY'20 CFe from Operating Assets ® Azure PowerⓇ#23A Growing Balance Sheet Cash, Cash Equivalents and Current Investments* As at March 31, 2019 (in million) As at March 31, 2020 (in million) INR INR US$# 10,545 9,792 129.9 Property, Plant & Equipment, Net 83,445 95,993 1,273.4 Net Debt# 59,014 73,780 978.6 *Does not include Current and Non-Current Restricted cash of INR 5,225 million (US$ 75.9 million) as on March 31, 2020. # Is net of hedging derivative value and cash and cash equivalents. The hedging asset was US$ 29.4 million for the year ended March 31, 2019 and US$ 83.5 million for the year ended March 31, 2020. The increase in derivative asset is directly proportionate to the devaluation of INR versus the US$. ## Exchange rate- INR 75.39 to US$1 (New York closing rate of March 31, 2020). 22 | Copyright © 2020 Azure Power | www.azurepower.com Azure Power®#24Reiterating FY'21 Guidance 2,650 - 2,950 MWs Operating by March 31, 2021 INR 15,800 - 16,600 million (1) of Revenue for FY'21 1Q FY'21 Revenue: INR 3,800 - 4,000 million Q1 FY'21 PLF 22%-23% 1) US$ 210-220 Mn (at March 31, 2020 exchange rate- INR75.39 to US$1) 23|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#25Appendix 24 14 Azure Power®#26Historical Plant Load Factor (PLF); 1Q FY'21 Forecast 23.0% 22.0% 21.5% 21.0% 22-23% 1Q FY'21 forecast 20.0% 19.4% 19.0% 18.0% 17.0% 16.0% 15.0% 1Q 25|Copyright © 2020 Azure Power |www.azurepower.com 16.4% 16.8% 17.9% 17.7% 2Q 3Q 4Q FY'19a -FY'20a 22.3% FY'20: 20.5% FY'19: 18.6% 20.5% ® Azure PowerⓇ#27DSO by Counterparty Amounts in US$ million On time/ Customer Name Project Name Capacity (MWS) Total outstanding Within Past due up grace period to one year Past due more than 365 days DSO days (1) 14 14 74 SECI, NTPC, NVVN Southern Power Distribution Com of AP Ltd (1) Hubli Electricity Supply Company Ltd Gulbarga Electricity Supply Company Chamundeshwari Electricity Supply Co Other States Rooftop 689 8 1 5 2 423 AP-1 50 5 1 K-3 40 4 1 K-4 40 K-5 50 7 2 3 22 307 1 239 3 336 18 14 4 93 799 4 2 2 215 140 1,808 59 35 17 7 126 (1) DSO is computed on an INR basis. Exchange rate- INR 75.39 to US$1 (New York closing rate of March 31, 2020). Figures may not add up due to rounding. 26|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#28Use of Non-GAAP Financial Measures: EBITDA Adjusted EBITDA is a non-GAAP financial measure. We present Adjusted EBITDA as a supplemental measure of its performance. This measurement is not recognized in accordance with USGAAP GAAP and should not be viewed as an alternative to USGAAP GAAP measures of performance. The presentation of Adjusted EBITDA should not be construed as an inference that the Company's future results will be unaffected by unusual or non-recurring items. We define Adjusted EBITDA as net loss (income) plus (a) income tax expense, (b) interest expense, net, (c) depreciation and amortization, and (d) loss (income) on foreign currency exchange. We believe Adjusted EBITDA is useful to investors in evaluating our operating performance because: . · Securities analysts and other interested parties use such calculations as a measure of financial performance and debt service capabilities; and it is used by our management for internal reporting and planning purposes, including aspects of its consolidated operating budget and capital expenditures. Adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of the Company's results as reported under USGAAP GAAP. Some of these limitations include: • it does not reflect its cash expenditures or future requirements for capital expenditures or contractual commitments or foreign exchange gain/loss; • it does not reflect changes in, or cash requirements for, working capital; • • it does not reflect significant interest expense or the cash requirements necessary to service interest or principal payments on its outstanding debt; it does not reflect payments made or future requirements for income taxes; and • although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced or paid in the future and Adjusted EBITDA does not reflect cash requirements for such replacements or payments. Investors are encouraged to evaluate each adjustment and the reasons we consider it appropriate for supplemental analysis. For more information, please see the table captioned “Reconciliations of Non-GAAP Measures to Comparable GAAP Measures" in this presentation. 27|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#29Reconciliation of Non-GAAP Measures to Comparable GAAP measures Quarter Ended March 31, Year Ended March 31, (in million) (in million) 2019 2020 2020 2019 2020 2020 INR INR US$ INR INR US$ Net profit (loss) 241 (394) (5.2) 138 (2,337) (30.9) Income tax expense/ (18) 82 1.1 153 489 6.5 (benefit) Interest expense, net 1,448 1,994 26.4 5,022 7,962 105.6 Other (income) (21) (73) (1.0) (148) (108) (1.4) Depreciation and 510 850 11.3 2,137 2,860 37.9 amortization Loss (Gain) on foreign (18) 188 2.5 441 512 6.7 currency exchange Adjusted EBITDA 2,142 2,647 35.1 7,743 9,378 124.4 Exchange rate- INR 75.39 to US$1 (New York closing rate of March 31, 2020). 28|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#30Use of Non-GAAP Financial Measures: Cash Flow to Equity (CFe) Cash Flow to Equity is a Non-GAAP financial measure. We present CFe as a supplemental measure of our performance. This measurement is not recognized in accordance with U.S. GAAP and should not be viewed as an alternative to U.S. GAAP measures of performance. The presentation of CFe should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items. We believe GAAP metrics such as net income (loss) and cash from operating activities do not provide with the same level of visibility into the performance and prospects of our operating business as a result of the long term capital-intensive nature of our businesses, non-cash depreciation and amortization, cash used for debt servicing as well as investments and costs related to the growth of our business. Our business owns high-value, long-lived assets capable of generating substantial Cash Flow to Equity over time. We define CFe as profit before tax (the most comparable GAAP metric), adjusted for net cash provided for used/in operating activities, other than changes in operating assets and liabilities, income and deferred taxes and amortization of hedging costs; less: cash paid for income taxes, debt amortization and maintenance capital expenditure. We believe that changes in operating assets and liabilities is cyclical for cash flow generation of our assets, due to our high growth environment. Furthermore, to reflect the actual cash outflows for income tax, we deduct income and deferred taxes computed under US GAAP and presented in our consolidated financial statements and instead include the actual cash tax outflow during the period, are considered as part of interest expense. We believe that external consumers of our financial statements, including investors and research analysts, use Cash Flow to Equity both to assess Azure Power's performance and as an indicator of its success in generating an attractive risk-adjusted total return, assess the value of the business and the platform. In addition, we use CFe internally to forecast long term financing needs and to determine equity returns on our projects. We have disclosed CFe for our operational assets on a consolidated basis, which is not the Cash from Operations of the Company on a consolidated basis. We believe CFe supplements GAAP results to provide a more complete understanding of the financial and operating performance of our businesses than would not otherwise be achieved using GAAP results alone. Cash Flow to Equity should be used as a supplemental measure and not in lieu of our financial results reported under GAAP. We have also bifurcated the CFe into Operational Assets and Others, as defined below, so that users of this financial statement are able to understand the Cash generation from our operational assets. We define our Operational Assets, as the Projects which had commenced operations on or before the year ended March 31, 2020, (as provided in the ITEM 5. OPERATING AND FINANCIAL REVIEW AND PROSPECTS, of our form 20F for the year ended March 31, 2020), the operational assets represent the MW operating as of that date. We define Others as the project SPV's which are under construction, or under development - as provided on page 55 of Form 20F, Corporate which includes our three Mauritius entities, the other than projects covered under operational assets, as well as, a company incorporated in USA and other remaining entities under the group. 29|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#31Cash Flow to Equity (CFe) For the year ended March 31, 2019 For the year ended March 31, 2020 (US$ millions) Sale of power Cost of operations General and administrative Depreciation and amortization Operating income Operating Others Total Operating Others Total 131.7 131.7 171.9 171.9 11.5 11.5 15.2 15.2 7.1 10.3 17.4 15.1 17.1 32.3 28.0 0.3 28.3 37.2 0.7 37.9 85.0 (10.6) 74.4 104.3 (17.8) 86.5 Interest expense, net 63.6 3.0 66.6 99.6 6.0 105.6 Other income (0.2) (1.7) (2.0) (0.5) (0.9) (1.4) Loss on foreign currency exchange, net 3.4 2.4 5.8 5.5 1.3 6.8 Profit before Income Tax 18.2 (14.3) 3.9 (0.3) (24.2) (24.5) Add: Depreciation 28.0 0.3 28.3 37.2 0.7 37.9 Add: Foreign exchange loss, net 3.4 2.4 5.8 5.5 1.3 6.8 Add: Ancillary cost of borrowing 2.4 1.2 3.5 5.2 4.2 9.4 Add: Other items from the Statement of Cash Flows (1) 2.4 (0.6) 1.8 10.1 2.5 12.5 Less: Cash paid for income taxes (6.4) (1.7) (8.2) (6.5) (2.8) (9.2) Less: Debt Amortization (2) (10.7) (10.7) (8.2) (8.2) Less: Maintenance Capital expenditure (3) CFe 37.3 (12.8) 24.5 43.0 (18.3) 24.7 All amounts for fiscal years 2019 and 2018 have been translated at an exchange rate of INR 75.39 to US$1 (New York closing rate of March 31, 2020) for the convenience of the reader. 30|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#32Cash Flow to Equity (CFe) - Contd. (1) (2) (3) (4) Other items from the Statement of Cash Flows: These include most of the items that reconcile "Net (loss) gain" and "Operating profit before changes in working capital" from the Statement of Cash Flows. Other items include: loss on disposal of property plant and equipment of INR 55 million and INR 52 million, share based compensation of INR 83 million and INR 186 million, realized gain on investment of INR 148 million and INR 108 million, non-cash rent expense of INR 81 million and INR 193 million, allowance for doubtful debts of INR 40 million and INR 303 million, loan repayment charges of INR Nil and INR 282 million and ARO accretion of INR 23 million and INR 36 million for the year ended March 31, 2019 and March 31, 2020 respectively. Debt amortization: Repayments of term and other loans during the period ended March 31, 2020, was INR 32,827 million (refer to the statement of cash flows) which includes INR 32,207 million related to refinancing of loans or early repayment of debt before maturity and have been excluded to arrive at debt amortization or net repayments of term and other loans (excluding refinancing) of INR 620 million. Repayments of term and other loans during the period ended March 31, 2019, was INR 3,786 million (refer to the statement of cash flows) which includes INR 2,978 million related to refinancing of loans or early repayment of debt before maturity and have been excluded to arrive at debt amortization or net repayments of term and other loans (excluding refinancing) of INR 808 million. Classification of Maintenance Capital Expenditures and Growth Capital Expenditures All our capital expenditures are considered Growth Capital Expenditures. In broad terms, we expense all expenditures in the current period that would primarily maintain our businesses at current levels of operations, capability, profitability or cash flow in operations and maintenance and therefore there are no Maintenance Capital Expenditures. Growth capital expenditures primarily provide new or enhanced levels of operations, capability, profitability or cash flows. Reconciliation of total CFE to cash from operations: For the year ended March 31, 2019 24.5 Items included in GAAP Cash Flow from Operating Activities but not considered in CFe (US$ millions) CFe For the year ended March 31, 2020 24.7 Change in Current assets and liabilities as per cash flow (20.2) (0.5) Current income taxes (8.8) (4.5) Prepaid lease rent adjustments and Employee benefits 0.1 (7.3) Amortization of hedging costs 13.8 18.9 Items included in CFe but not considered in GAAP Cash Flow from Operating Activities Debt amortization as per Cfe 10.7 Cash taxes paid as per CFe 8.2 Cash from Operating Activities 28.4 8.2 9.2 48.8 All amounts for fiscal years 2019 and 2018 have been translated at an exchange rate of INR 75.39 to US$1 (New York closing rate of March 31, 2020) for the convenience of the reader. 31|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#33Projects Commissioned - Utility As of March 31, 2020 Project Names Commercial Operation Date(1) PPA Capacity (MW) Duration DC Capacity (MW) Tariff (INR/kWh) Off taker of PPA in Credit Rating (6) Years Operational - Utility Punjab 1 (3) Q4 2009 Punjab 2.1 (3) Q3 2014 Punjab 2.2 (3) Q4 2014 Punjab 2.3 (3) Q4 2014 Karnataka 1 (3) Q1 2015 Uttar Pradesh 1 (3) Q1 2015 Gujarat 1.1 (3) Q2 2011 Gujarat 1.2 (3) Q4 2011 Rajasthan 1 (4) Q4 2011 Rajasthan 2.1(4) Q1 2013 20 Rajasthan 2.2(4) Q1 2013 15 2554255525 15 15 15 15 255 17.91 7.67 4 7.97 8.28 10 10 Rajasthan 3.1 (3) Q2 2015 20 0255572 10 7.47 12 8.99 15.00(5) 15.00(5) NTPC Vidyut Vyapar Nigam Limited Punjab State Power Corporation Limited Punjab State Power Corporation Limited Punjab State Power Corporation Limited Bangalore Electricity Supply Company Limited Uttar Pradesh Power Corporation Limited Gujarat Urja Vikas Nigam Limited Gujarat Urja Vikas Nigam Limited 25 AAA 25 A 25 25 < A A 25 A+ 12 A+ 25 AA- 25 AA- 21 11.94 8.21 NTPC Vidyut Vyapar Nigam Limited 25 AAA NTPC Vidyut Vyapar Nigam Limited 25 AAA 17 8.21 5.45(2) Rajasthan 3.2 (3) Q2 2015 40 43 5.45(2) Rajasthan 3.3 (3) Q2 2015 40 41 5.45(2) NTPC Vidyut Vyapar Nigam Limited Solar Energy Corporation of India Solar Energy Corporation of India Solar Energy Corporation of India 25 AAA 25 AA+ 25 AA+ 25 AA+ Chhattisgarh 1.1(4) Q2 2015 10 10 6.44 Chhattisgarh 1.2(4) Q2 2015 10 10 6.45 Chhattisgarh 1.3(4) Q3 2015 Rajasthan 4 (3) Q4 2015 Delhi 1.1 Q4 2015 Karnataka 2(4) Q1 2016 Andhra Pradesh 1 (3) Q1 2016 Punjab 3.1(4) Q1 2016 24 Punjab 3.2(4) Q1 2016 205200+ 10 10 6.46 6 5.45(2) 2 5.43(2) Chhattisgarh State Power Distribution Company Ltd Chhattisgarh State Power Distribution Company Ltd Chhattisgarh State Power Distribution Company Ltd Solar Energy Corporation of India Solar Energy Corporation of India 25 A 25 A 25 A 25 AA+ 25 AA+ 10 12 6.66 54 6.44(5) 25 4 7.19 7.33 Bangalore Electricity Supply Company Limited Southern Power Distribution Com of AP Ltd Punjab State Power Corporation Limited Punjab State Power Corporation Limited 25 A+ 25 BB- 25 A 25 A (1) Refers to the applicable quarter of the calendar year. There can be no assurance that our projects under construction and our committed projects will be completed on time or at all., (2) Projects are supported by viability gap funding in addition to the tariff, (3) Projects under Restricted Group (4) Non restricted group projects with operations more than one year considered for covenant analysis, (5) Current tariff, subject to escalation/change, as per PPA (6) Source: Ministry of Power 7th Annual Integrated Rating, ICRA, CARE, CRISIL and India Ratings 32| Copyright © 2020 Azure Power | www.azurepower.com ® Azure PowerⓇ#34Projects Commissioned- Utility and C&I As of March 31, 2020 Project Names Commercial Operation Date(1) PPA Capacity DC Capacity (MW) Tariff (INR/kWh) (MW) Off taker Duration of PPA in Years Credit Ratings5) Operational - Utility Bihar1 (4) Q3 2016 10 11 8.39 Punjab 4.1(3,4) Q4 2016 50 52 5.62 Punjab 4.2(3,4) Q4 2016 50 52 5.63 Punjab 4.3(3,4) Q4 2016 50 52 5.64 Karnataka 3.1 (4) Q1 2017 50 54 6.51 Karnataka 3.2(4) Q1 2017 40 42 6.51 Karnataka 3.3(4) Q1 2017 40 42 6.51 Maharashtra 1.1 Maharashtra 1.2 Uttar Pradesh 2 Telangana 1(4) Q1 2017 2 2 5.50(2) Q1 2017 5 6 5.31 North & South Bihar Power Distribution Company Ltd Punjab State Power Corporation Limited Punjab State Power Corporation Limited Punjab State Power Corporation Limited Chamundeshwari Electricity Supply Company Hubli Electricity Supply Company Limited Gulbarga Electricity Supply Company Limited Ordnance Factory, Bhandara Ordnance Factory, Ambajhari 25 Andhra Pradesh 2 Q2 2017 100 130 5.12 NTPC Limited Q2 - Q3 2017 50 59 4.78 NTPC Limited Q1 2018 100 128 4.67 NTPC Limited Uttar Pradesh 3 Q2 2018 40 49 4.43(2) Solar Energy Corporation of India Andhra Pradesh 3 Q2 2018 50 59 4.43(2) Solar Energy Corporation of India Gujarat 2 Q4 2018- 260 360 2.67 Gujarat Urja Vikas Nigam Limited 222222222222222 25 25 25 25 25 ň <<<< B+ A A A A 25 BB A 25 AA+ 25 AA+ 25 AAA 25 AAA 25 AAA 25 AA+ 25 AA+ 25 AA- Q1-2019 Karnataka 4.1 Q1 2019 50 75 2.93 Bangalore Electricity Supply Company 25 A+ Karnataka 4.2 Q1 2019 50 75 2.93 Hubli Electricity Supply Company Limited 25 BB Rajasthan 5(2) Maharashtra 3 Q2-Q3 2019 200 262 2.48 Solar Energy Corporation of India 25 AA+ Q3 2019 130 195 2.72 Maharashtra State Electricity Distribution Company Limited 25 A Total Operational Capacity – Utility 1,658 2,055 Total Operational Capacity - C&|(4,5) - 2013 - Q1 2020 150 Total Operational 1,808 150 2,194 5.56(3) Various 25 25 (1) Refers to the applicable quarter of the calendar year. (2) Projects are supported by viability gap funding, in addition to the tariff, (3) Includes projects with capital incentives; levelized tariff, (4) Projects under Restricted Group (5) Punjab Rooftop, 10 MW is in Restricted Group (5) Source: Ministry of Power 7th Annual Integrated Rating, ICRA, CARE, CRISIL and India Ratings 33| Copyright © 2020 Azure Power | www.azurepower.com Azure PowerⓇ ®#35Under Construction and Pipeline Projects -Utility and C&I As of March 31, 2020 Project Names Expected Commercial Operation Date(1) PPA Capacity (MW) Tariff (INR/kWh) Off taker Duration of PPA in Years Credit Ratings (2) Under Construction Assam 1 Q3 2020 90 3.34 Assam Power Distribution Company Rajasthan 6 Q1 2021 600 2.53 Solar Energy Corporation of India 225 25 B+ 25 AA+ Total Under Construction- Utility 690 Total Under Construction- Q4 2020 17 4.65 Various Rooftop 25 25 Total Capacity Under Construction 707 Committed Rajasthan 8 Rajasthan 9 2 GW Project 1 2 GW Project 2 Total Committed Capacity- Utility Total Portfolio Q1 2021 300 2.58 Solar Energy Corporation of India 25 AA+ Q2 2021 300 2.54 Solar Energy Corporation of India 25 AA+ 2,000 (3) 2.92 2,000(4) 2.92 Solar Energy Corporation of India Solar Energy Corporation of India 25 AA+ 25 AA+ 4,600 7,115 (1) Refers to the applicable quarter of the calendar year. There can be no assurance that our projects under construction and our committed projects will be completed on time or at all. (2) Source: Ministry of Power 7th Annual Integrated Rating, ICRA, CARE, CRISIL and India Ratings) 3) LoA received. PPA yet to be signed (4) 2,000 MWs of Committed Capacity is a greenshoe option that has been exercised by the company as part of an auction that was won but this capacity has yet to receive a Letter of Award. 34|Copyright © 2020 Azure Power |www.azurepower.com ® Azure PowerⓇ#36Debt Overview As of March 31, 2020 $600 $500 $400 $300 $200 $71.7 $100 $43.4 $0 FY'21 FY'22 Debt Split by Currency INR Debt Foreign Debt $954, 80% Maturity Profile (1,2) $510.5 FY'23 $466.3 $85.0 $15.1 FY'24 FY'25-29 FY'30 & Beyond LT vs ST Debt Split Consolidated Debt (2) $ 1,192.0 ■ Short Term Debt Long Term Debt $238, 20% $43.5, 4% Average Interest Rate (3) 10.8% $1,148.5 96% Balance average debt maturity for LT debt 5.4 years 1) This represents the last repayment period. These loans are repayable on a quarterly or semi-annual basis. For repayment by period of the above-mentioned loans, refer to contractual obligation and commercial commitments. 2) Exchange rate- INR 75.39 to US$1 (New York buying rate of March 31, 2020). 3) Includes impact of withholding tax 35 | Copyright © 2020 Azure Power | www.azurepower.com Azure PowerⓇ ®#37Project Debt Schedule As of March 31, 2020 Outstanding Principal Amount (In millions) Type of Interest Currency Maturity Date(1) Name of Project INR US$ (2) Andhra Pradesh 1 Bihar 1 Gujarat 1 Karnataka 1 2,508 33.3 Fixed INR 2022 439 5.8 Fixed INR 2022 928 12.3 Fixed INR 2022 528 7.0 Fixed INR 2022 Karnataka 3.1 1,383 18.3 Fixed INR 2022 Karnataka 3.2 1,430 19.0 Fixed INR 2022 Karnataka 3.3 6,545 86.8 Fixed INR 2022 Punjab 1 174 2.3 Fixed INR 2022 Punjab 2 1,699 22.5 Fixed INR 2022 Punjab 4 5,810 77.1 Fixed INR 2022 Rajasthan 3.1 867 11.5 Fixed INR 2022 Rajasthan 3.2 1,699 22.5 Fixed INR 2022 Rajasthan 3.3 1,805 23.9 Fixed INR 2022 Rajasthan 4 236 3.1 Fixed INR 2022 Telangana 1 4,610 61.1 Fixed INR 2022 Uttar Pradesh 1 Gujarat 2 Maharashtra 3 Karnataka 4 Maharashtra 1.1 & 1.2 Uttar Pradesh 3 514 6.8 Fixed INR 2022 9,188 121.9 Fixed INR 2024 5,238 69.5 Fixed INR 2024 3,934 52.2 Fixed INR 2024 325 4.3 Fixed INR 2024 Andhra Pradesh 3 1,778 2,179 23.6 Fixed INR 2024 28.9 Fixed INR 2024 1) This represents the last repayment period. These loans are repayable on a quarterly or semi-annual basis. For repayment by period of the above-mentioned loans, refer to contractual obligation and commercial commitments. 2) Exchange rate- INR 75.39 to US$1 (New York buying rate of March 31, 2020). 36 | Copyright © 2020 Azure Power | www.azurepower.com ® Azure PowerⓇ#38Project Debt Schedule As of March 31, 2020 Outstanding Principal Amount (In thousands) Type of Interest Currency Maturity Date(2) Name of Project INR US$ (5) Punjab 3.1 and 3.2 1,219 16.2 Fixed INR 2024 Chhattisgarh 1.1,1.2 & 1.3 1,296 17.2 Floating INR 2029 Rajasthan 1 475 6.3 Fixed INR 2031 Rajasthan 2 3,086 40.9 Fixed US$ 2031 430 Karnataka 2 Andhra Pradesh 2 Uttar Pradesh 2 5.7 Floating INR 2032 5,335 70.8 Floating INR 2036 2,110 28.0 Floating INR 2037 Rajasthan 5 Assam Rooftop Projects (4) Total 5,753 76.3 Mixed INR 2038 1,000 13.3 Floating INR 2039 3,453 45.8 Mixed INR/US$ 2022-2031 77,975 (2)(3) 1,034.3 1) This represents the last repayment period. These loans are repayable on a quarterly or semi-annual basis. For repayment by period of the above-mentioned loans, refer to contractual obligation and commercial commitments. 2) This amount is presented in the financials as net of ancillary cost of borrowing of INR 1,145 million (US$ 15.2 million). 3) Non-project level debt of INR 2,650 million (US$ 35.2 million) and working capital loans for INR 1,731 million (US$ 23.0 million), respectively, are excluded from the above table. Further foreign exchange fluctuation of INR 8,653 million (US$ 114.8 million) is in respect of project debt against which the company has taken hedge. 4) Rooftop Projects includes, Delhi Rooftop 4, Gujrat rooftop, Punjab Rooftop 2, Railway 1, DJB, DMRC and SECI. 5) Exchange rate- INR 75.39 to US$1 (New York buying rate of March 31, 2020). 37 | Copyright © 2020 Azure Power | www.azurepower.com ® Azure PowerⓇ#39Glossary of Select Terms Accelerated Depreciation - Accelerated depreciation can be elected at the project level, such that projects that reach COD in the first half of the fiscal year can expense 100% of eligible project costs in year 1, and otherwise can expense 50% of project costs in year 1 and the remainder thereafter. After March 31, 2017, projects that reach COD in the first half of the fiscal year will be eligible to expense 60% of project costs in fiscal year 1 Balance of System (BOS) – The non-module costs of a solar system Committed Projects - Solar power plants that are allotted, have signed PPAs, or are under construction but not commissioned Contracted Projects - Solar power plants that have signed PPAs, or are under-construction but not commissioned. Day Sales Outstanding (DSO)- Days Sales Outstanding (DSO) = Outstanding amount +Period Total Sales for the period DSO represents the average no of days taken to recognize the revenue against sale of power Cash Flow to Equity (CFe) - profit before tax (the most comparable GAAP metric), adjusted for net cash provided for used/in operating activities, other than changes in operating assets and liabilities, income and deferred taxes and amortization of hedging costs; less: cash paid for income taxes, debt amortization and maintenance capital expenditure. LTM are actuals and projections assume normalized debt amortization over 20 years. - Levelized Cost of Energy (LCOE) – A cost metric used to compare energy alternatives, which incorporates both upfront and ongoing costs and measures the full cost burden on a per unit basis Ministry of New and Renewable Energy (MNRE) - A Government of India ministry whose broad aim is to develop and deploy new and renewable energy to supplement India's energy requirements National Operating Control Center (NOCC) – Azure Power's centralized operations monitoring center that allows real-time project performance monitoring and rapid response Power Purchase Agreement (PPA) shall mean the Power Purchase Agreement signed between off-taker and the Company for procurement of contracted capacity of solar power Renewable Purchase Obligations (RPO) - Requirements specified by State Electricity Regulatory Commissions (SERCs) as mandated by the National Tariff Policy 2006 obligating distribution companies to procure solar energy by offering preferential tariffs. Safe Guard Duty (SGD) – a tax on imported modules from most countries outside India which is 15% from January 30, 2020, to July 29, 2020. - Section 80-IA Tax Holiday - A tax holiday available for ten consecutive years out of fifteen years beginning from the year Azure Power generates power, for the projects commissioned on or before April 01, 2017. Solar Auction Process – A reverse bidding process, in which participating developers bid for solar projects by quoting their required tariffs per kilowatt hour, or their required VGF in order to deliver certain tariffs. Projects are allocated to the bidders starting from the lowest bidder, until the total auctioned capacity is reached 38|Copyright © 2020 Azure Power |www.azurepower.com ® Azure Power®#40Contacts Investor Contact Nathan Judge, CFA [email protected] +1 (917) 209-6750 Media Contact Samitla Subba [email protected] +91-11-4940 9854 39 Azure Power#41Azure Power® Thank You 40 40 00 40