India's External Affairs Minister S Jaishankar said on Saturday that an additional 1,500 MW of electricity from India to Bangladesh is in the pipeline.
Jaishankar did not elaborate about the 'additional 1,500 MW of electricity' but he said 'we will be reviewing all these developments and more at the Joint Consultative Commission Meeting with my Bangladesh counterpart in mid-June,' Jaishankar made this comment while inaugurating the Natural Allies in Development and Interdependence (NADI) Asian Confluence River Conclave in Guwahati, Assam.
It means that the Adani's project is in pipeline which was delayed due to pandemic.
BPDB and Adani Power Ltd signed a power purchase agreement (PPA) and Implementation Agreement (IA) in November of 2017 to start electricity generation
as per the required commercial operation date (RCOD) in January of 2022.
It signed a memorandum of understanding with Adani Group during a visit of Indian Prime Minister Narendra Modi to Dhaka in June 2015 to import 1,600 MW of electricity from Jharkhand.
The agreement said Bangladesh will import electricity from this plant over a period of 25 years at a tariff of 8.612 US cents per unit. Which means BPDB has to pay Tk 190,975,607 crore over the next 25 years to the Adani Group to purchase electricity from the plant.
"The overall progress of the project is around 77 per cent," Power Division sources said.
Bangladesh has a deal to import 1,160 MW of electricity under bilateral agreement with India. But the country currently receives only 853 MW on an average, BPDB data said. About 86 per cent or 1,000 MW of the current import capacity of 1,160 MW is subject to the payment of fixed cost, popularly known as capacity charge, a payment guaranteeing return on the investment whether or not power is used.
BPDB's financial book says that the average imported electricity price is likely to go up, with the 1,600 MW Adani Godda power project coming on line. In October 2021, Bangladesh renewed its deal on importing 160 MW from Tripura for five more years at Tk 7.1 per unit, above the current average electricity generation cost of Tk 6.61.
The per unit electricity import cost from West Bengal is about Tk 5.
In 2015, Bangladesh entered a 35-year bulk transmission agreement with India to pay a monthly transmission charge over the length of the deal whether or not it imports electricity.
An IEEFA report released in April 2018 warned that the Godda power project would lock Bangladesh into expensive electricity when cleaner, cheaper alternative sources of energy are rapidly being deployed across India.