Adani group denies 7-day ultimatum for full settlement

In response to recent reports suggesting a payment deadline for Bangladesh, Adani Group clarified on Sunday that it has not demanded full payment of outstanding dues within a seven-day period.

Instead, the group emphasized its ongoing cooperation with the Bangladesh Power Development Board (BPDB) to address and resolve any issues related to payments, according to a statement from its PR firm.

This statement follows an article in the ‘Times of India’, which reported that Adani Power had warned it might suspend electricity supply to Bangladesh if payment issues were not resolved by November 7, with outstanding dues reported to be around $850 million.

The ‘Times of India’ also noted that Adani Power had previously set an October 31 deadline for BPDB to clear dues and issue a letter of credit (LC) for $170 million, though BPDB’s efforts to issue an LC via Krishi Bank did not meet the terms stipulated in the power purchase agreement. A scarcity of dollars was cited as a reason for the delayed payment.

The power supply from Adani Power’s Godda plant in Jharkhand was reportedly reduced starting October 31, exacerbating power shortages in Bangladesh. On November 1, Adani’s Godda plant supplied 724 megawatts, less than half of its 1,496 MW installed capacity, as per Power Grid Bangladesh’s latest figures.

A senior BPDB official, who preferred to remain anonymous, confirmed that Adani Power recently requested payment for the dues through a formal letter.