Adani Power Outage Notification | Adani to stop electricity supply to Bangladesh if dues are not paid by November 7: report

According to a report by Times of India (TOI), Adani Power has warned Bangladesh of complete suspension of electricity supply by November 7 if overdue payments of around $850 million are not paid.

Having missed an earlier deadline on October 31, the Bangladesh Power Development Board (BPDB) tried to obtain a $170 million letter of credit through Krishi Bank but did not meet the terms stipulated in the power purchase agreement, sources told TOI.

The payment delay caused Adani Power Jharkhand to reduce electricity supply to Bangladesh from October 31..

Power Grid Bangladesh data showed that Adani’s Godda power plant supplied only 724 megawatts (MW) of its 1,496 MW installed capacity on Friday. Other major plants, including those at Payra, Rampal and SS Power I, also reported reduced production due to fuel shortage, the report said.

According to industry sources, Bangladesh is struggling to make payments on time, partly due to a shortage of dollars. According to the TOI report, payments to Adani Power ranged between $20-50 million in recent months, while monthly bills ranged between $90-100 million.

Shortly after the overthrow of Sheikh Hasina’s government in Bangladesh, Adani began exploring energy supply in the domestic market, given steady growth in demand and payment guarantees. The company has been asked to look for connectivity to the local grid, which could be routed through a substation at Lakhisarai in Bihar, the report said.