By N . Karunaratne
Indian conglomerate Adani has resumed full electricity supply to Bangladesh, four months after halving it over unpaid dues, according to a BBC report. The restoration comes as Bangladesh works to clear its outstanding payments and stabilize its energy supply ahead of the high-demand summer season.
Adani Power supplies 1,600 MW to Bangladesh from its coal-fired plant in Jharkhand, India. On 31 October, amid an economic crisis and missed payments, Adani reduced the power feed by half. However, regular payments have now resumed, and full power supply was restored about two weeks ago, as confirmed by Rezaul Karim, chairman of the Bangladesh Power Development Board (BPDB), in remarks reported by Bloomberg.
Reports indicate that the dues, which had once exceeded $850 million, have now dropped to $800 million and are expected to be cleared within the next six months. The original 25-year contract between Adani and Bangladesh was signed in 2017 during the tenure of former Prime Minister Sheikh Hasina, whose government was later ousted amid nationwide protests in August 2024.
Critics in Bangladesh have long argued that the deal was more favorable to Adani than to the country’s power consumers. Following the change in government, the interim administration led by Nobel Peace Prize laureate Muhammad Yunus appointed a panel to review major energy deals, including the agreement with Adani. The new government has sought to renegotiate terms, claiming the contract was costlier than comparable agreements and accusing Adani of breaching tax benefit clauses—charges that the conglomerate denies.
Adani Eyes Sri Lanka’s Renewable Energy Sector
The developments in Bangladesh have drawn attention in Sri Lanka, where Adani is now eyeing opportunities in the renewable energy sector, particularly in wind and solar ventures. As Sri Lanka strives to expand its clean energy portfolio, authorities are closely monitoring Adani’s track record, including its recent power supply restoration in Bangladesh, to ensure that any future agreements are balanced and beneficial to the national grid.
According to the BBC report, which first detailed the full restoration of the power supply, the ongoing discussions in Bangladesh could offer important lessons for Sri Lanka’s approach to large-scale energy deals. With Sri Lanka’s commitment to sustainable energy solutions, stakeholders are eager to see if Adani can replicate its operational success while addressing concerns over contract fairness and pricing.
Stay tuned for further updates on Sri Lanka’s energy sector and Adani’s evolving role in the region.
