Adani Power threatens to halt electricity supply to Bangladesh from 11 November

Bangla Press Desk: India’s Adani Power Limited has warned that it will suspend electricity supply to Bangladesh from 11 November if outstanding dues are not cleared by 10 November.

In a letter dated 31 October addressed to BPDB Chairman by Adani Power Vice-Chairman Avinash Anurag, the company said that the Bangladesh Power Development Board (BPDB) has yet to pay $496 million in arrears, including $262 million in acknowledged but unpaid bills.

“If all outstanding payments are not settled by 10 November, we will be compelled to suspend power supply to Bangladesh from 11 November,” the letter reads.

The company noted that despite repeated communications and multiple letters — the most recent sent on 27 October — BPDB has failed to clear its dues. Adani Power further mentioned that under clauses 13.2(i)(i) and (ii) of the Power Purchase Agreement (PPA) signed on 5 November 2017, it reserves the right to halt supply in such circumstances.

Even if supply is suspended, Adani Power asserted it would remain entitled to capacity payments based on its dependable capacity, as per the agreement.

Earlier, Gautam Adani, chairman of the Adani Group, wrote to Chief Adviser Dr. Muhammad Yunus on 27 September, urging payment of $464 million in outstanding dues.

He said that although Bangladesh made partial payments between June and September, a substantial amount still remains unpaid.

BP/SP