Adani Power Reaffirms Commitment to Supply Electricity to Bangladesh Amid Rule Amendments

Adani Power has affirmed its commitment to supply electricity to Bangladesh, despite recent amendments in power export rules by the Indian government. These changes facilitate connectivity to the Indian grid but do not require India to purchase the electricity. The amendment benefits future projects by allowing domestic market supply to hedge against political risks.

Adani Power reiterated its commitment to supplying electricity to Bangladesh, confirming that an amendment to power export rules would not affect its existing contracts. The government's recent rule change facilitates connectivity to the Indian grid but does not obligate India to purchase the electricity, according to a company statement.

Adani Power emphasized its intent to meet the Bangladesh Power Development Board's demand schedule under the power purchase agreement. The company's 1,600 MW Godda plant in Jharkhand is unique in India for its contract to export 100% of its power to a neighboring country.

The amendment, which applies to generators supplying electricity exclusively to a neighboring country, allows Adani to also supply electricity domestically to mitigate political risks in Bangladesh. The rule change coincides with political turmoil in Bangladesh, marked by protests and the departure of longtime Prime Minister Sheikh Hasina.

(With inputs from agencies.)