Adani Power Denies Bangladesh Gov’t Review of Power Purchase Agreement
Adani Power, the Indian company, has denied that the Bangladesh government is reviewing a power purchase agreement with the company, despite reports to the contrary. The company made the statement a day after Reuters reported that Bangladesh was considering to significantly lower prices under the deal unless it is canceled by a court review.
The High Court in Bangladesh has ordered a committee to examine the contract, which was signed in 2017, under which Adani supplies power from a $2 billion coal-fired plant in eastern India. The company has been supplying 700-750 MW of power to Bangladesh, but is owed more than $800 million in dues.
Adani Power claims that it is in constant dialogue with senior officials of the Bangladesh Power Development Board (BPDB) and the government, who have assured them that their outstanding dues will be cleared soon. The company’s spokesperson stated, “We are in constant dialogue with senior officials of Bangladesh Power Development Board (BPDB) and the Government of Bangladesh, who have assured us that our dues will be cleared soon.”
Gautam Adani, the founder of Adani Group, is currently facing allegations from US authorities that he was part of a $265 million bribery scheme in India, allegations he denies. Additionally, one Indian state is reviewing a power deal with the group, and France’s TotalEnergies has paused its investments with Adani Group.