Bangladesh demands a re-evaluation of its 2017 power deal with Adani, seeking to re-negotiate the terms.

Bangladesh’s interim government is seeking to renegotiate a 2017 agreement with Adani Power to supply power from a coal-fired plant in India. The original deal was awarded without a tender process, resulting in Bangladesh paying more than its other coal power plants. The interim government claims Adani Power has breached the agreement by withholding tax benefits from the plant, which were supposed to be passed on to Bangladesh. Bangladesh owes Adani Power, but the exact size of the bill is disputed. Dhaka claims it has sufficient domestic capacity to meet its energy needs without Adani’s supply. The power ministry is planning to reopen the 25-year deal, citing the US indictment of Adani Group in a bribery scheme. Adani Power denies the allegations and claims to have upheld all contractual obligations. The dispute has led to a reduction in power supply from Adani’s Godda plant, frustrating Bangladesh. The Bangladesh Power Development Board is seeking a resolution, while Adani Power is demanding payment of approximately $900 million, which the board estimates is lower at around $650 million.