Staff Reporter :
India’s Adani Power has halved its electricity supply to Bangladesh from its Jharkhand Power Plant, effective Thursday night, due to significant unpaid bills. Sources indicate that the reduction in supply follows Adani’s announcement that it would cease electricity deliveries to Bangladesh if outstanding payments were not made by October 31.
According to data from Power Grid Bangladesh, the Bangladesh Power Development Board (BPDB) owes Adani Power over $800 million for power supply dues accumulated over the past eight to nine months, as reported by various media outlets.
Adani’s management has sought intervention from Chief Adviser Professor Muhammad Yunus for the expedited clearance of these receivables. In a letter dated August 27, Adani Power expressed concern about pressure from lenders, stating, “The lenders have become severe on us as we continue to meet our commitments to Bangladesh.
I would request your kind intervention in the early liquidation of $800 million of receivables due from the Bangladesh Power Development Board.”
Additionally, Adani Power wrote to the BPDB in late August, requesting payment and emphasizing that the BPDB should ensure payment of the arrears by October 30, as promised. Otherwise, Adani stated it would be compelled to halt power supply from October 31, as stipulated in the purchase agreement.
BPDB sources noted that the agency planned to open a Letter of Credit (LC) through Bangladesh Krishi Bank by October 30 to facilitate the payment. However, the LC was not opened in time, leading the BPDB to request more time to settle the outstanding payment.
In the meantime, Power Division Secretary Farzana Momtaz assured journalists that the issue has been resolved. “We have spoken with Adani. An LC has been opened.
While we are still not receiving electricity supply as needed, there are no problems regarding the import or payment of the arrears,” she stated.