We have audited the accompanying standalone
financial statements of Jindal Steel & Power Limited
("the Company”), which comprise the Balance Sheet
as at 31^st March 2025, the Statement of Profit and
Loss (including Other Comprehensive Income), the
Statement of Changes in Equity and the Statement of
Cash Flows for the year then ended, and notes to the
financial statements, including material accounting
policies and other explanatory information (hereinafter
referred to as 'standalone financial statements').

In our opinion and to the best of our information and
according to the explanations given to us, the aforesaid
standalone financial statements give the information
required by the Companies Act, 2013 ("the Act”) in the
manner so required and give a true and fair view in
conformity with the Indian Accounting Standards
prescribed under section 133 of the Act read with
the Companies (Indian Accounting Standards) Rules,
2015, as amended, ("Ind AS”) and other accounting
principles generally accepted in India, of the state of
affairs of the Company as at 31^st March, 2025, its profit
(including Other comprehensive income), changes
in equity and its cash flows for the year ended on
that date.

Basis for Opinion

We conducted our audit in accordance with the
Standards on Auditing (SAs) specified under Section
143(10) of the Act. Our responsibilities under those
Standards are further described in the "Auditor's
Responsibilities for the Audit of the Standalone
Financial Statements” section of our report. We are
independent of the Company in accordance with
the Code of Ethics issued by the Institute of Chartered
Accountants of India together with the ethical
requirements that are relevant to our audit of the
standalone financial statements under the provisions

of the Act and the Rules thereunder, and we have
fulfilled our other ethical responsibilities in accordance
with these requirements and the Code of Ethics. We
believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our
audit opinion on the standalone financial statements.

Emphasis of matters

Attention is drawn to:

As stated in note no. 49A of the standalone financial
statements, the Auditors of Jindal Steel & Power
(Mauritius) Limited (JSPML), a wholly owned subsidiary
of the Company, have drawn attention, without
modifying their opinion, in their audit report on
financial statements for the year ended 31^st March
2025, on "Going Concern Basis” issue and as stated in
the said note as on 31^st March, 2025, the accumulated
losses and negative net worth of JSPML is of ? 4,894.32
crore and ? 3,459.32 crore respectively. Further, as
explained in the said note of standalone financial
statements, as assessed by the management, after
taking into consideration the report of experts, the
Company has made an additional provision of
? 1,313.64 crore in the year 2024-25 as expected credit
loss allowance against outstanding loan (including
interest).

Our opinion is not modified in respect of above matter.

Key Audit Matters

Key audit matters are those matters that, in our
professional judgment, were of most significance
in our audit of the standalone financial statements
for the financial year ended 31^st March 2025. These
matters were addressed in the context of our audit of
the standalone financial statements as a whole, and
in forming our opinion thereon, and we do not provide
a separate opinion on these matters.

In addition to the matter described in the Emphasis
of matters section we have determined the matters
described below to be the key audit matters to be
communicated in our report:-

Information Other than the Standalone
Financial Statements and Auditor's Report
thereon

The Company's Board of Directors is responsible
for the other information. The other information
comprises the information included in the Annual
report, but does not include the standalone financial
statements and our auditor's report thereon. The
Annual Report is expected to be made available to us
after the date of this Auditors' Report. Our opinion on
the standalone financial statements does not cover
the other information and we do not express any form
of assurance conclusion thereon.

In connection with our audit of the standalone
financial statements, our responsibility is to read the
other information and, in doing so, consider whether
the other information is materially inconsistent with the
financial statements or our knowledge obtained in the
audit or otherwise appears to be materially misstated.

When we read Annual Report, if we conclude that
there is a material misstatement therein, we are
required to communicate the matter to those charged
with governance.

Management's Responsibility and those
charged with governance for the Standalone
Financial Statements

The Company's Board of Directors is responsible
for the matters stated in Section 134(5) of the Act
with respect to the preparation of these standalone
financial statements that give a true and fair view
of the financial position/ state of affairs, financial
performance, total comprehensive income,
changes in equity and cash flows of the Company in
accordance with the accounting principles generally
accepted in India, including the Indian Accounting
Standards (Ind AS) specified under Section 133 of the
Act. This responsibility also includes maintenance of
adequate accounting records in accordance with the
provisions of the Act for safeguarding of the assets of
the Company and for preventing and detecting frauds
and other irregularities; selection and application of
appropriate accounting policies; making judgments
and estimates that are reasonable and prudent;
and design, implementation and maintenance
of adequate internal financial controls, that were
operating effectively for ensuring the accuracy and
completeness of the accounting records, relevant to
the preparation and presentation of the standalone
financial statements that give a true and fair view and
are free from material misstatement, whether due to
fraud or error.

In preparing the standalone financial statements,
management is responsible for assessing the
Company's ability to continue as a going concern,
disclosing, as applicable, matters related to going
concern and using the going concern basis of
accounting unless management either intends to
liquidate the Company or to cease operations, or has
no realistic alternative but to do so.

The Board of Directors are also responsible for
overseeing the Company's financial reporting process.

Auditor's Responsibilities for the audit of the
Standalone Financial Statements

Our objectives are to obtain reasonable assurance
about whether the standalone financial statements as
a whole are free from material misstatement, whether
due to fraud or error, and to issue an auditor's report
that includes our opinion. Reasonable assurance
is a high level of assurance, but is not a guarantee
that an audit conducted in accordance with SAs will
always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are
considered material if, individually or In aggregate,
they could reasonably be expected to influence the
economic decisions of users taken on the basis of
these standalone financial statements.

As part of an audit in accordance with SAs, we exercise
professional judgment and maintain professional
skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement
of the standalone financial statements, whether
due to fraud or error, design and perform audit
procedures responsive to those risks, and obtain
audit evidence that is sufficient and appropriate
to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from
fraud is higher than for one resulting from error,
as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or the override of
internal control.

• Obtain an understanding of internal control relevant
to the audit in order to design audit procedures
that are appropriate in the circumstances. Under
Section 143(3)(i) of the Act, we are also responsible
for expressing our opinion on whether the
Company has adequate internal financial controls
system in place and the operating effectiveness of
such controls.

• Evaluate the appropriateness of accounting
policies used and the reasonableness of
accounting estimates and related disclosures
made by management.

• Conclude on the appropriateness of management's
use of the going concern basis of accounting and,
based on the audit evidence obtained, whether
a material uncertainty exists related to events or
conditions that may cast significant doubt on the
ability of the Company to continue as a going
concern. If we conclude that a material uncertainty
exists, we are required to draw attention in our
auditor's report to the related disclosures in
the standalone financial statements or, if such
disclosures are inadequate, to modify our opinion.
Our conclusions are based on the audit evidence
obtained up to the date of our auditor's report.
However, future events or conditions may cause the
Company to cease to continue as a going concern.

• Evaluate the overall presentation, structure and
content of the standalone financial statements,
including the disclosures, and whether the
standalone financial statements represent the
underlying transactions and events in a manner
that achieves fair presentation.

We communicate with those charged with
governance regarding, among other matters, the
planned scope and timing of the audit and significant
audit findings, including any significant deficiencies in
internal control that we identify during our audit.

We also provide those charged with governance with
a statement that we have complied with relevant
ethical requirements regarding independence, and
to communicate with them all relationships and
other matters that may reasonably be thought to
bear on our independence, and where applicable,
related safeguards.

From the matters communicated with those charged
with governance, we determine those matters that
were of most significance in the audit of the standalone
financial statements of the current period and are
therefore the key audit matters. We describe these
matters in our auditor's report unless law or regulation
precludes public disclosure about the matter or when,
in extremely rare circumstances, we determine that
a matter should not be communicated in our report
because the adverse consequences of doing so
would reasonably be expected to outweigh the public
interest benefits of such communication.

Materiality is the magnitude of misstatements in the
standalone financial statements that, individually or
in aggregate, makes it probable that the economic
decisions of a reasonably knowledgeable user of the
financial statements may be influenced. We consider
quantitative materiality and qualitative factors in (i)
planning the scope of our audit work and in evaluating
the results of our work; and (ii) to evaluate the effect

of any identified misstatements in the standalone
financial statements.

Report on Other Legal and Regulatory
Requirements

1. As required by the Companies (Auditor's Report)
Order, 2020 ("the Order”), issued by the Central
Government of India in terms of Section 143(11) of
the Act, we give in the "Annexure A” a statement
on the matters specified in paragraphs 3 and 4 of
the Order, to the extent applicable.

2. As required by Section 143(3) of the Act, we
report that:

a) We have sought and obtained all the
information and explanations which to
the best of our knowledge and belief were
necessary for the purposes of our audit.

b) In our opinion, proper books of account
as required by law have been kept by the
Company so far as it appears from our
examination of those books, except for the
matters stated in paragraph 2(h) (vi) below on
reporting under Rule 11(g) of the Companies
(Audit and Auditors) Rules, 2014 (as amended)
("the Rules”).

c) The standalone financial statements dealt
with by this Report are in agreement with the
books of account.

d) In our opinion, the aforesaid standalone
financial statements comply with the Indian
Accounting Standards specified under
Section 133 of the Companies Act, 2013,
read with Companies (Indian Accounting
Standards) Rules, 2015, as amended:

e) On the basis of the written representations
received from the directors as on 31^st
March, 2025 taken on record by the Board of
Directors, none of the directors is disqualified
as on 31^st March, 2025 from being appointed
as a director in terms of Section 164 (2) of
the Act.

f) With respect to the maintenance of
accounts and other matters connected
therewith, reference is made to our remarks
in paragraph 2(h)(vi) below on reporting
under Rule 11(g) of the Rules.

g) With respect to the adequacy of the
internal financial controls with reference
to standalone financial statements of the
Company and the operating effectiveness
of such controls, refer to our separate

Report in "Annexure B”. Our report expresses
unmodified opinion on the adequacy and
operating effectiveness of the Company's
internal financial controls with reference to
standalone financial statements.

h) With respect to the other matters to
be included in the Auditor's Report in
accordance with Rule 11 of the Companies
(Audit and Auditors) Rules, 2014, as amended
in our opinion and to the best of our information
and according to the explanations given
to us:

i. The Company has disclosed the
impact of pending litigations on its
financial position in its standalone
financial statements - Refer Note No.
40(a) (i)(a) and (b) to the standalone
financial statements;

ii. The Company has made provision, as
required under the applicable law or
Indian accounting standards, for material
foreseeable losses, if any, on long-term
contracts including derivative contracts;

iii. There has been no delay in transferring
amounts, required to be transferred, to
the Investor Education and Protection
Fund by the Company during the year
ended 31^st March, 2025.

iv. (a) The Management has represented

that, to the best of its knowledge
and belief, as disclosed in Note
No. 64(c) to the standalone
financial statements, no funds
have been advanced or loaned
or invested (either from borrowed
funds or share premium or any
other sources or kind of funds) by
the Company to or in any other
person(s) or entity(ies) including
foreign entities ("Intermediaries”),
with the understanding, whether
recorded in writing or otherwise,
that the Intermediary shall, whether
directly or indirectly lend or invest in
other persons or entities identified
in any manner whatsoever by or on
behalf of the Company ("Ultimate
Beneficiaries”) or provide any
guarantee, security or the like on
behalf of the Ultimate Beneficiaries.

(b) The Management has represented,
that, to the best of its knowledge
and belief, as disclosed in Note No.
64(d) to the standalone financial
statements, no funds have been
received by the Company from any
person(s) or entity(ies), including
foreign entities ("Funding Parties”),
with the understanding, whether
recorded in writing or otherwise,
that the Company shall, directly
or indirectly, lend or invest in other
persons or entities identified in any
manner whatsoever by or on behalf
of the Funding Party ("Ultimate
Beneficiaries”) or provide any
guarantee, security or the like on
behalf of the Ultimate Beneficiaries.

(c) Based on the audit procedures
performed that have been
considered reasonable and
appropriate in the circumstances,
nothing has come to our notice that
has caused us to believe that the
representations under sub-clause
(i) and (ii) of the Rule 11(e), as provided
under (a) and (b) above, contain any
material misstatement.

v. The dividend declared and paid by
the Company during the year is in
accordance with section 123 of the Act,
as applicable. As stated in Note No. 20(h)
to the standalone financial statements,
the Board of Directors of the Company
has proposed dividend for the year
which is subject to the approval of the
members at the ensuing Annual General
meeting. The dividend proposed is in
accordance with section 123 of the Act,
as applicable.

vi. Based on our examination, the Company
has used a widely used ERP as its
accounting software for maintaining
its books of account during the year
ended March 31, 2025, which has a
feature of recording the audit trail (edit
log) facility. The audit trail (edit log)
facility at Database level was enabled
during the year. The audit trail (edit log)
facility which was enabled, as reported
above, has been operated throughout

3. I n our opinion and to the best of our information
and according to the explanations given to us,
the managerial remuneration for the year ended
31^st March, 2025 has been paid/ provided for by
the Company to its directors in accordance with
the provisions of Section 197 read with Schedule V
to the Act.

For Lodha & Co LLP,

Chartered Accountants
Firm Registration No. 301051E/E300284

(Gaurav Lodha)

Partner

Place: New Delhi Membership No. 507462

Date: 30^th April 2025 UDIN: 25507462BMKNKB1320