Govt considers revising Adani power deal or moving to arbitration: minister

The energy minister says the contract price was "unusually high"

The government is "actively considering" revising the power purchase agreement with India’s Adani Power or seeking international arbitration, Energy Minister Iqbal Hassan Mahmood Tuku has said.

He made the remarks in parliament on Thursday while responding to a question from Jamaat-e-Islami MP Shahjahan Chowdhury of Chattogram-15.

During the question-answer session on the seventh working day, the minister said a national committee formed to review the deal had found that the agreement was signed at an “abnormally high” price compared with domestic and international market rates.

“Based on the report, the options of going to an international arbitration court or revising the agreement through discussions with Adani Power are under active consideration,” he said.

The session was chaired by Speaker Hafiz Uddin Ahmad.

Bangladesh Power Development Board signed the 25-year power purchase agreement with Adani Power in November 2017.

In recent months, the deal has drawn scrutiny over pricing, outstanding payments and supply-related issues, triggering tensions between the parties.