India’s Adani to supply power to Bangladesh

Adani Power’s coal-fired power plant in Jharkhand, originally contracted to exclusively supply 1,600 megawatts (MW) of electricity to Bangladesh, can now sell its output to the domestic market.

This follows a recent amendment to India’s power export rules.

An internal memo issued by the federal power ministry on August 12 revised the 2018 guidelines governing power generators exclusively contracted to neighbouring countries.

The new rules permit the connection of such plants to the Indian grid under specific circumstances: sustained non-scheduling of full or partial capacity, or delayed payments.

The move is seen as a measure to protect India’s energy security, especially considering the recent political instability in Bangladesh. It could also benefit future power projects with similar export-only contracts.

Adani Power has yet to comment on the development.

Attribution: Reuters
Subediting: M. S. Salama