Bangladesh has reportedly urged Adani Power to fully resume electricity supplies from its 1,600-megawatt plant in Jharkhand, India, following over three months of reduced output. A Bangladesh official confirmed that the cuts, initiated due to low winter demand and payment disputes, are being addressed as the country works to clear outstanding dues, Reuters reported.
Adani Power signed a 25-year contract with Bangladesh under former Prime Minister Sheikh Hasina in 2017. The $2 billion plant, with two 800-megawatt units, is dedicated solely to serving Bangladesh’s power needs.
On October 31, Adani Power reduced supply by 50% after payment delays resulting from Bangladesh’s foreign exchange shortage. One of the plant’s units was shut down on November 1, leading to operations running at about 42% capacity. Bangladesh’s state-run Power Development Board (BPDB) instructed the company to maintain the reduced power supply since then.
However, BPDB Chairperson Md. Rezaul Karim told Reuters that payments of $85 million per month are being made to Adani to settle dues and allow for supply restoration. The BPDB has requested that the second unit be restarted to meet rising power demand.
Efforts to restart the second unit were delayed due to technical problems involving high vibration, Karim noted. “As per our requirement today, they have planned to synchronise the second unit, but due to the high vibration, it didn’t happen,” he explained.
Karim further reassured that Bangladesh is working on making additional payments to reduce the backlog and emphasized that there are no major issues with Adani Power.
