On Friday, Adani Power announced that it will maintain its commitment to supply electricity to Bangladesh from its 1,600MW Jharkhand facility, which was exclusively established to export all of its generated power to the neighboring country. This declaration comes in the wake of a recent update to the power import/export regulations by the Indian power ministry.
The updated guidelines now allow for the possibility of connecting such export-oriented power plants to the Indian electrical grid, either at the inter-state or intra-state level. This adjustment aims to accommodate situations where there may be sustained under-utilization of the plant’s capacity or when the generator issues a default notice, including instances of delayed payments under the Power Purchase Agreement (PPA).
The Godda plant, with its 1,600 MW capacity, stands out as potentially the only facility in India established with a firm commitment to deliver all of its electricity output to Bangladesh. In its statement, Adani Power clarified that the recent modification in India’s Power Export Guidelines is intended to support the industry by refining the power export process without disrupting the existing agreements.
The company emphasized that it has been consistently supplying power to Bangladesh from the Godda plant and acknowledged the critical role of reliable electricity delivery to the country. Adani Power reaffirmed its dedication to meeting the contractual terms as outlined in the Bangladesh Power Development Board’s (BPDB) demand schedule and the provisions of the PPA.
The Indian government’s decision to permit the plant to supply power domestically is influenced by the recent political instability in Bangladesh. Furthermore, this move aligns with India’s broader goal of achieving zero power deficit amidst growing demand, even though the country’s electricity shortfall is currently minimal. India’s power demand reached an unprecedented peak of nearly 250GW in May this year, with projections suggesting that it could escalate to 260GW during the peak summer months.
Adani Power, part of the Adani Group, is a leading energy provider in India, specializing in generating and distributing electricity. With a robust portfolio of coal and renewable power projects, including the 1,600 MW Godda plant, Adani Power is dedicated to delivering reliable energy solutions both domestically and internationally, notably supplying power to Bangladesh.
