TDS desk:

Adani Power Limited (APL) has sought Bangladesh Finance Adviser’s intervention in expediting the process of settling its more than USD $900 million worth of outstanding dues.

Managing Director of APL Anil Sardana wrote a request letter to the Finance Adviser Dr. Salehuddin Ahmed in this regard to settle the dues, official said.

Adani claims that around $900 million remains unpaid in power bills, including interest, while Bangladesh Power Development Board (BPDB) estimates the amount to be around $700 million. The dues as outstanding bills to the Indian company until May last, sources said.

However, Adani Power Limited gave assurance of uninterrupted power supply and other reliable services to Bangladesh.

Meanwhile, Bangladesh Power Development Board (BPDB) has cleared $336 million in overdue payments to Adani Power Limited for electricity supplied up to March 2025.

The payment was made ahead of Adani’s June 30 deadline, which was tied to a conditional waiver of late payment surcharges.

“We cleared the bulk amount to Adani on Tuesday. Now it’s Adani’s turn to review the Power Purchase Agreement (PPA) in line with the government’s request,” said Power Division Secretary Farzana Momtaz.

As of May 2025, BPDB estimates its outstanding dues to Adani at around $485 million. Adani, however, claims the figure exceeds $700 million, an inconsistency largely due to differing methods of coal price calculation.

Meanwhile, in the letter, Adani requested a revision of the plant’s dependable capacity, following a performance test conducted in April 2025. According to the company, the dependable capacity has increased from 1,396 MW to 1,570 MW.

BPDB Chairman Engr. Md Rezaul Karim confirmed that the board held a review meeting on the ongoing negotiations. “We are awaiting Adani’s response regarding the proposed coal pricing formula,” said a senior BPDB official.

BPDB said any revision would require a supplementary agreement. While no date has been set, both parties agreed to hold a high-level in-person meeting soon to address unresolved issues.

Following the payment, Adani Power confirmed that it has waived $20 million in late payment surcharges.

The waiver was outlined in a letter dated June 23, where Adani stated that the charges would be waived if all dues up to March 2025 were cleared by June 30.

The letter referenced PPA and Implementation Agreement signed on November 5, 2017, between Adani Power (Jharkhand) Limited (now Adani Power Limited) and the Government of Bangladesh. It was signed by M R Krishna Rao, President of Adani Power Limited.

Under a deal in 2015, APL has been supplying 1496-megawatt (MW) power to Bangladesh Power Development Board (BPDB) from its dedicated Ultra Super Critical Thermal Power Project located at Godda, Jharkhand, India (Godda TPP) in pursuit of a long-term Power Purchase Agreement (PPA) since its commencement of supplies in April-2023.

The plant has emerged as a major source of electricity supply in northern Bangladesh.

APL in its letter claimed that the delayed and inadequate payments from BPDB had badly affected its financial position, thus causing an immense problem with servicing debts to its lenders. The working capital was being managed through costly borrowings to procure fuel and spares, the letter said.

Apart from the huge pile of outstanding dues, BPDB is managing payment against monthly bills of around USD $90-100 million for regular power supplies.

The company has been paid USD $10-20 million per month so far, they added. Its regular bill is about USD $80 million per month.