Bangladesh Seeks to Renegotiate Adani power Deal if Court Doesn't Cancel
POWER & RENEWABLE ENERGY

Bangladesh Seeks to Renegotiate Adani power Deal if Court Doesn't Cancel

Bangladesh seeks a significant reduction in prices under a power purchase agreement with India's Adani Group, unless the deal is annulled by a court, which has called for an investigation into the 25-year contract, according to Bangladesh's de facto energy minister in an interview with Reuters on Sunday.

Adani Group founder Gautam Adani is already facing allegations from US authorities regarding his involvement in a $265 million bribery scheme in India, charges he has denied. Meanwhile, one Indian state is reviewing its power deal with the group, and France's TotalEnergies has paused its investments.

In Bangladesh, following an appeal from a lawyer requesting the potential cancellation of the power deal, the High Court last week ordered the formation of a committee of experts to examine the contract under which Adani provides power from a $2 billion coal-fired plant in eastern India. The investigation is expected to conclude by February, when the court will issue its order.

The deal, signed in 2017 by Adani and a government entity under the administration of Prime Minister Sheikh Hasina, who was ousted this year following a popular uprising and corruption allegations, initiated supply from the 1,600 megawatt plant last year. The plant, which uses costly imported coal, now meets about a tenth of Bangladesh's power consumption.

Bangladesh's power and energy adviser, Muhammad Fouzul Kabir Khan, stated in an interview that the contract should be renegotiated in case of anomalies, but cancellation should only occur in the event of irregularities such as corruption or bribery. He emphasized that any actions would be based on the findings of the court-ordered investigations.

He also mentioned that certain issues, like Bangladesh not benefiting from some Indian tax exemptions related to the power plant, have already been raised with Adani and could form part of the basis for a potential renegotiation of the deal.

Bangladesh seeks a significant reduction in prices under a power purchase agreement with India's Adani Group, unless the deal is annulled by a court, which has called for an investigation into the 25-year contract, according to Bangladesh's de facto energy minister in an interview with Reuters on Sunday. Adani Group founder Gautam Adani is already facing allegations from US authorities regarding his involvement in a $265 million bribery scheme in India, charges he has denied. Meanwhile, one Indian state is reviewing its power deal with the group, and France's TotalEnergies has paused its investments. In Bangladesh, following an appeal from a lawyer requesting the potential cancellation of the power deal, the High Court last week ordered the formation of a committee of experts to examine the contract under which Adani provides power from a $2 billion coal-fired plant in eastern India. The investigation is expected to conclude by February, when the court will issue its order. The deal, signed in 2017 by Adani and a government entity under the administration of Prime Minister Sheikh Hasina, who was ousted this year following a popular uprising and corruption allegations, initiated supply from the 1,600 megawatt plant last year. The plant, which uses costly imported coal, now meets about a tenth of Bangladesh's power consumption. Bangladesh's power and energy adviser, Muhammad Fouzul Kabir Khan, stated in an interview that the contract should be renegotiated in case of anomalies, but cancellation should only occur in the event of irregularities such as corruption or bribery. He emphasized that any actions would be based on the findings of the court-ordered investigations. He also mentioned that certain issues, like Bangladesh not benefiting from some Indian tax exemptions related to the power plant, have already been raised with Adani and could form part of the basis for a potential renegotiation of the deal.

Next Story
Real Estate

Thermocool Home Appliances Invests Rs 300 million in New Ghaziabad Plant

Thermocool Home Appliances, a leading UP-based home and kitchen appliances brand, has inaugurated a new manufacturing facility in Ghaziabad, reinforcing its growth, innovation, and sustainability commitments.Spanning 25,000 square meters, the plant features advanced automation, energy-efficient systems, and employee welfare facilities. With an initial production capacity of 1,800-2,200 units/day, the company plans to scale up to 3,000-4,000 units/day within six months and expand the facility by 50 percent over the next two years.The Rs 300 million investment will cater to rising demand across ..

Next Story
Building Material

Parallel debuts fluted glass collection, redefining luxury interiors

Parallel has launched an exquisite collection of tinted, extra-clear, and designer fluted glass, introducing a new dimension to contemporary interiors.Fluted glass, known for its vertical striations, diffuses light while sculpting silhouettes with a refined aesthetic. Parallel’s range includes smoky tinted variants, pristine extra-clear options, and metallic-infused designs, ideal for partitions, doors, and wall treatments that balance exclusivity with openness.Emphasising sensory design, the collection enhances spaces by creating dynamic light interactions. Crafted for luxury residences, ho..

Next Story
Building Material

Nivasa unveils luxury lighting collection blending artistry and innovation

Nivasa, a leader in luxury furniture design, has launched an exquisite lighting collection inspired by nature, combining sculptural aesthetics with masterful craftsmanship.Crafted from premium 304-grade stainless steel, each piece showcases a refined interplay of organic and sleek forms, offering a range of finishes for bespoke customization. Designed for grand foyers, intimate spaces, and sophisticated interiors, the collection merges contemporary finesse with global design standards.Collection highlights include:Circular Drummer’s Chandelier – A geometric yet fluid design in a light gold..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?