Adani Power denies reports of Bangladesh power deal review
Adani Power ADAN.NS said on Monday it has no indication that the Bangladesh government is reviewing its power purchase agreement with the company, a day after Reuters reported that the country is looking to renegotiate the deal.
Reuters reported on Sunday that Bangladesh wants to sharply lower prices under the deal with Adani Group unless it is cancelled by a court that has called for an investigation into the 25-year deal.
Last week, the High Court ordered a committee of experts to examine the contract under which Adani supplies power from a $2 billion coal-fired plant in eastern India. The deal was signed in 2017 by Adani and ousted PM Sheikh Hasina’s government.
Adani Group founder Gautam Adani is already facing charges by U.S. authorities that he was part of a $265 million bribery scheme in India, which he has denied, even as one Indian state reviews a power deal with the group and France’s TotalEnergies TTEF.PA has paused its investments.
The company is already trying to recover more than $800 million in dues from Bangladesh and has been supplying 700 (megawatt) MW-750 MW from around 1,400-1,500 MW in early August.
Adani Power continues to supply power to Bangladesh despite mounting dues, which are of significant concern and are rendering plant operations unsustainable, a spokesperson for Adani Power said in a statement.
“We are in constant dialogue with senior officials of the Bangladesh Power Development Board (BPDB) and the Government of Bangladesh, who have assured us that our dues will be cleared soon,” the spokesperson said.
