Adani Power says no indication of Bangladesh reviewing power deal

Adani Power said on Monday it has no indication that the Bangladesh government is reviewing a 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.

The High Court ordered a committee of experts last week to examine the contract under which Adani supplies power from a $2 billion coal-fired plant in eastern India.Adani Group founder Gautam Adani is already facing allegations by US authorities that he was part of a $265 million bribery scheme in India, charges he has denied, even as one Indian state reviews a power deal with the group and France’s TotalEnergies pauses its investments.

The Bangladesh deal was signed in 2017 by Adani and a government entity under Prime Minister Sheikh Hasina, who was ousted this year amid a popular uprising and accusations of widespread corruption.

Adani Power is trying to recover more than $800 million in dues from Bangladesh and has been supplying 700 (megawatt) MW-750MW from around 1,400-1,500MW 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 Bangladesh Power Development Board (BPDB) and the government of Bangladesh, who have assured us that our dues will be cleared soon,” the spokesperson said.