Adani Power is accelerating plans to connect its Godda thermal power plant to India’s electricity grid as uncertainty deepens over its flagship power export deal with Bangladesh. The shift reflects growing concern over pricing disputes, delayed payments, and political scrutiny in Dhaka.
The 1,600 MW coal-based plant in Jharkhand was built mainly to supply power to Bangladesh under a long-term contract. At present, its output is tied mainly to cross-border transmission. That dependence is now emerging as a risk.
The company has regulatory approval to link the plant to India’s grid by December 2025. Analysts say the project has gained urgency as Bangladesh signals it may seek changes to the deal.
Bangladesh’s government-appointed National Review Committee has raised serious concerns about the Adani Power agreement. In its findings, the panel said the tariff was about 40% above prevailing market rates and well above comparable power import contracts.
The committee also pointed to procedural irregularities in the award of the deal. It criticised the inclusion of Indian corporate taxes in the tariff, arguing that such costs are usually borne by producers rather than passed on to buyers.
These findings have intensified political pressure in Bangladesh, where rising electricity costs have become a sensitive issue. The panel has recommended renegotiating key clauses that it says place an excessive financial burden on the country.
Alongside the tariff dispute, payment delays have added strain to the relationship. Adani Power has reported large outstanding dues from Bangladesh at various points, even as it continued to supply electricity.
While some foreign power suppliers have reduced exports due to non-payment, Adani Power has maintained supply, citing contractual obligations. The company has said it was not consulted during Bangladesh’s review process and has not received the full report.
For Adani Power, linking the Godda plant to India’s grid offers a safety valve. Domestic connectivity would allow the company to sell power within India if exports fall or negotiations stall.
Energy analysts say the move reduces exposure to geopolitical risk and strengthens Adani Power’s bargaining position. As Bangladesh reassesses costly power contracts, India's grid access could decide how resilient the Godda project remains in the years ahead.