DHAKA (Nov 3): Bangladesh’s interim government has said it will cancel the 2017 power purchase agreement with India’s Adani Power Ltd if evidence of corruption or irregularities is established, signalling a tougher stance on contracts signed under the ousted Sheikh Hasina administration.
Energy Affairs Adviser Muhammad Fouzul Kabir Khan told local media that while most contracts include clauses affirming that no corruption took place, “if proven otherwise, cancellation is possible.”
The deal, signed between Adani Power (Jharkhand) Limited and the Bangladesh Power Development Board (BPDB) in 2017, involved the supply of 1,496 MW of electricity from a coal-based power plant in Godda, Jharkhand. It came under renewed scrutiny after the Hasina government’s collapse last year amid widespread allegations of cronyism and inflated pricing in energy imports.
Reports by independent watchdogs and Bangladeshi media earlier claimed that Bangladesh was paying higher tariffs for electricity from Adani’s Godda plant compared to regional benchmarks. Adani Group had rejected those claims, calling the contract “transparent and lawfully executed.”
Khan said the interim government was reviewing multiple energy agreements, including those linked to power imports, liquefied natural gas (LNG), and renewable energy, to ensure “accountability, transparency, and fair pricing.”
“We are committed to protecting public interest. Any deal found tainted by corruption or non-compliance with procurement norms will face review and possible termination,” he said.
The statement marks the first official indication that Dhaka may revisit major Indian energy deals under the Yunus-led interim administration. India is one of Bangladesh’s largest energy partners, supplying over 1,000 MW of power through cross-border transmission lines, including from Adani’s Godda project.