Adani resumes power supply as Bangladesh starts paying

NEW DELHI: Both units of Adani Power’s plant in Godda have begun supplying electricity to Bangladesh after the interim government started clearing dues.

Sources said that Adani is getting $80-90 million regularly, covering payment for current consumption as well. The dues are estimated at around $820-830 million, which is expected to be paid in the coming months. Bangladesh Power Development Board had provided guarantees to assure Adani’s lenders and help reduce the cash crunch of the company.

Last year, the power plant in Jharkhand had halved supply to India’s neighbour as payment problems surfaced due to foreign exchange-related issues in Bangaldesh in the wake of the political unrest. Against an installed capacity of around 1,500 MW, supply was reduced to 724 MW in Oct with Adani even threatening to snap supplies in case payment issues were not resolved. But it continued supplying power and increased supply a few weeks ago.