The interim government has expressed optimism that it will be able to make payments to Adani Power of India through accelerated efforts, saying that the government will not be held hostage by any individual power producer, no matter how powerful.
“If it is true, we would say we are dismayed and very shocked,” said Chief Adviser’s Press Secretary Shafiqul Alam on Sunday when his attention was drawn to a media report suggesting that Adani Power will suspend electricity supply to Bangladesh if the government does not resolve its payment issues by November 7.
Speaking at a media briefing at the Foreign Service Academy, Shafiqul said the relevant ministry in Bangladesh has yet to receive any such letter, but efforts are underway to expedite the payment to Adani.
He blamed the previous “dictatorship” and said that the prior administration is responsible for the payment backlog.
Shafiqul said they are doing their best to accelerate the payment as foreign exchange reserves have started to rise. “It has made a comeback. We hope we will be able to make the international payment.”
The Indian Ministry of External Affairs earlier said the government of India has no role in this contract.
“This issue is between two parties. There is a contractual obligation between them: one is a private organization and the other is the government of Bangladesh. The government of India has no role in this contract,” MEA spokesperson Randhir Jaiswal told reporters while responding to a question during a weekly briefing on Saturday.
The spokesperson indicated that he did not have any further information to share at the moment.
According to a Times of India report, Adani Power of India said it will suspend electricity supply to Bangladesh if the government does not resolve its payment issues by November 7.
Following a reduction in power supply due to outstanding dues, Adani Power has set a deadline for the Bangladesh government to clarify the situation regarding the dues, which total nearly $850 million.
Earlier, Adani Power had set an October 31 deadline for the Bangladesh Power Development Board (BPDB) to settle the outstanding amount and provide a letter of credit (LC) of $170 million to ensure secure payment.
Although the BPDB attempted to issue an LC for the overdue amount through Krishi Bank, the effort did not align with the terms of the power purchase agreement, according to a TOI source. A shortage of dollars was mentioned as one of the reasons.
Adani Power Jharkhand reduced its supply from October 31, worsening the existing power shortages in Bangladesh.
As per the latest update on the Power Grid Bangladesh (PGB) website, on Friday, Adani’s plant in Godda (Jharkhand) supplied 724 megawatts against an installed capacity of 1,496MW.
