Bangladesh seeks renegotiation of Adani power deal amid court review: Energy Advisor

Bangladesh wants to reduce prices under a power purchase deal with India's Adani Group unless a court cancels the 25-year agreement, which has called for an investigation, Bangladesh's energy minister said on Sunday.

Adani Group founder Gautam Adani is already facing allegations by US authorities that he was part of a $265 million bribery scheme in India, source Reuters.

However, Gautam Adani has denied the charges, even as one Indian state reviews a power deal with the group and France's TotalEnergies pauses its investments.

"Renegotiate in case of anomalies in the contract. Cancel only in case of irregularities such as corruption and bribery," Muhammad Fouzul Kabir Khan, Bangladesh's power and energy adviser, said in an interview in his office.

"Both based on the findings of the court-ordered investigations."

Following allegations, Bangladesh's High Court ordered a committee of experts to review the power deal under which Adani supplies electricity from a $2 billion coal plant in eastern India, after a lawyer appealed for its potential cancellation.

The investigation is expected to conclude by February, when the court will issue its ruling.

The advisor further said, Bangladesh not benefiting from some Indian tax exemptions to the power plant, have already been flagged to Adani and could partly form the basis of a deal renegotiation.

Adani did not immediately respond to a request for comment on the weekend.

The plant in India's Jharkhand state would provide Bangladesh uninterrupted, reliable and affordable electricity and "significantly reduce the average cost" for the end consumer, Adani Power Ltd. said in its latest annual report.