Bangladesh government has cleared about $30 million in dues to Adani Power Limited to ensure the supply of power from the controversial Godda power plant in Indian state of Jharkhand.
The Bangladesh Power Development Board made the payment following an overnight directive from energy, power and mineral resources adviser Muhammad Fouzul Kabir Khan, said the BPDB officials on Tuesday.
On Monday, the energy adviser told reporters that they would clear about $100 million in phases over the next one month.
Adani Power Limited that supplies about 1,400 megawatts of power from the plant had threated suspending the supply from November 11 unless outstanding payments are settled.
Despite the payment, Bangladesh is mulling to scrap the controversial power purchase agreement with Adani Power Limited following a national committee鈥檚 initial findings of massive irregularities and frauds in the power purchase deal recently.
The BPDB has been asking Adani Power Limited to revisit the power purchase agreement as it buys from the company per unit of electricity at Tk 16, at least Tk 2 higher than the prices of coal-based power generated by other private companies in the country.
Instead of renegotiation, Adani Power Limited has shown disposition towards an international arbitration process to resolve disputes over the payment issue.
The BPDB signed the power purchase agreement with Adani Power Limited, a subsidiary of the Indian conglomerate Adani Group led by billionaire Gautam Adani, on November 5, 2017, for 25 years.
On Monday, Adani Power Limited through 5W Communications, a public relations company, said that the company remained fully committed to honouring its obligations under the power purchase agreement and supplying reliable power to Bangladesh.
To ensure uninterrupted delivery of electricity, the company urged the BPDB to prioritise the settlement of outstanding dues, it said.
