Adani Power Moves Toward Positive Resolution with Bangladesh Through International Arbitration

New Delhi – Adani Power Limited, one of India’s leading energy companies, has taken a constructive step forward by opting for international arbitration to resolve its ongoing payment-related differences with the Bangladesh Power Development Board.

The decision reflects the company’s commitment to transparency, mutual cooperation, and maintaining strong energy relations between the two neighboring nations.

The company clarified that the move toward arbitration aims to ensure a fair and efficient resolution process that benefits both sides.

Adani Power emphasized that the disagreements are primarily related to technical aspects of cost calculation and billing under the existing power purchase agreement (PPA), which was signed in 2017.

In a statement, the company expressed confidence that the process would lead to an amicable and mutually beneficial solution.

Both Adani Power and the Bangladesh authorities have shown willingness to engage constructively and resolve the matter through dialogue and established legal frameworks.

Adani Power operates the 1,600-megawatt Godda power plant in eastern India, a major project that supplies nearly one-tenth of Bangladesh’s electricity needs.

Since the plant became operational, it has significantly strengthened Bangladesh’s energy security, providing a stable and uninterrupted power supply that supports the country’s growing industrial and residential demand.

The plant’s advanced infrastructure, efficient operations, and commitment to sustainable power generation have been instrumental in deepening energy cooperation between India and Bangladesh.

Adani Power’s efforts align with India’s broader regional goal of fostering cross-border energy partnerships that drive shared economic growth and stability.

The company recently reported that Bangladesh’s outstanding payments have been reduced to the equivalent of just 15 days’ worth of tariff payments, compared to nearly $2 billion earlier this year.

This substantial progress underscores the positive momentum between the two sides and the shared goal of resolving all outstanding issues swiftly.

Adani Power reaffirmed its commitment to the terms of the power purchase agreement and its dedication to providing high-quality, reliable, and cost-effective electricity.

The company stated that it remains focused on supporting Bangladesh’s energy transition and ensuring long-term sustainability in the power sector.

Industry analysts have viewed the arbitration move as a responsible step that promotes confidence in international business practices.

It also demonstrates Adani Power’s adherence to contractual integrity and its willingness to resolve issues through lawful and transparent channels.

The ongoing dialogue between India and Bangladesh on energy cooperation continues to evolve positively. Both nations recognize the importance of regional energy interdependence, not only for economic growth but also for strengthening diplomatic and strategic ties.

Adani Power’s leadership in the energy sector has helped expand India’s role as a reliable electricity exporter to neighboring countries. Its projects in Bangladesh stand as a model for cross-border energy collaboration in South Asia.

Looking ahead, the company remains optimistic about reaching a swift resolution that reinforces mutual trust and operational stability.

The arbitration process, once completed, is expected to further enhance long-term cooperation and efficiency in energy trade between the two nations.

With continued focus on innovation, transparency, and collaboration, Adani Power remains dedicated to contributing to sustainable energy growth across South Asia—powering progress, one partnership at a time.