Bangladesh has reduced by half the power it purchases from Adani Power, citing lower demand during the winter season, government officials informed Reuters on Monday. This development comes amidst disputes over unpaid dues amounting to hundreds of millions of dollars.
Adani Power cut its power supply to Bangladesh by 50% on October 31, citing payment delays as the country grapples with a foreign exchange crisis. Recently, Gautam Adani has faced allegations of involvement in a bribery scheme in India, charges he has denied.
In response, Bangladesh instructed Adani to continue providing only half the usual power supply for the time being, while committing to settle its existing dues, officials added.
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“We were shocked and angry when they cut our supply…Winter demand is now down, so we have told them there is no need to run both units of the plant.” Md. Rezaul Karim, chairperson of the state-run Bangladesh Power Development Board (BPDB), said.
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Adani has been supplying electricity under a 25-year agreement signed in 2017 during the tenure of former Prime Minister Sheikh Hasina. The power is generated from a $2-billion plant located in Jharkhand which houses two units, each with a capacity of approximately 800 megawatts.
According to a document reviewed by Reuters, the plant operated at just 41.82% capacity in November—the lowest rate this year—with one unit remaining offline since November 1.
Two officials from the Bangladesh Power Development Board (BPDB) stated that Bangladesh had sourced around 1,000 MW per month from Adani last winter. They added that Adani had inquired when normal power purchases would resume but had yet to receive a clear response.
A spokesperson for Adani Power stated that the company is continuing to supply electricity to Bangladesh but expressed concern over mounting unpaid dues, which are making the plant’s operations increasingly unsustainable.
“We are in constant dialogue with senior officials of BPDB and the government,
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