Adani may stop power to Bangladesh if dues stay unpaid

The Adani Group has warned Bangladesh of possible power cuts by November 7 if outstanding dues are not paid. The move comes as Adani, which supplies electricity to Bangladesh through the Godda coal plant in India, has begun cutting power production due to unpaid bills The 1,600-megawatt plant now offers reduced power because Bangladesh owes Adani about Rs 80 crore It is reported to be as high as $100,000. Though Bangladesh opened a new letter of credit of $170 million in October with a partial payment of $100 million, Adani believes the whole issue needs to be resolved to resume power transmission for the daily thanksgiving.

The situation has escalated as Bangladesh’s interim government, led by Muhammad Yunus, is renegotiating power deals, the outcome of which is expected in the coming weeks. Power deals have been managed to survive in the face of growing economic pressures. The crisis could have a significant impact on Bangladesh’s energy security and economy, especially in the face of rising global energy prices. Adani’s move reflects the challenges of cross-border energy dependency and the urgent need to meet Bangladesh’s debt obligations in order to avoid crises that could affect millions of people.