Government publishes gazette repealing quick rental law

The law’s repeal does not affect the validity of agreements made or actions taken under its provisions

The government has published a gazette notification repealing the Quick Enhancement of Electricity and Energy Supply (Special Provision) Act, 2010, following approval from the advisory council.

The gazette, issued on Thursday with the president's approval, states that the ordinance will be called the " Quick Enhancement of Electricity and Energy Supply (Special Provisions) (Repeal) Ordinance, 2024”, and will take effect immediately.

Despite the repeal, the gazette clarifies that contracts signed or actions taken under the now-defunct law will remain valid.

“Ongoing activities under agreements made under the repealed law shall continue or be concluded as if the law had not been repealed. In addition, the government reserves the right to review any activity conducted under the law in the public interest and may take steps regarding those activities,” the gazette reads.

The Awami League government, which assumed office in 2009 amid a severe power crisis, focused on boosting power generation.

Private sector companies were granted permission to set up power plants through negotiations, bypassing the tender process.

To facilitate this, a law was enacted in 2010, which effectively blocked any challenges to project approvals in court.

With its repeal, projects approved under the law can now be challenged in court.

Although significant progress has been made in power generation over the past 15 years, there has been widespread criticism over the approval of projects without competitive bidding.

Critics argue that such approvals have led to higher electricity prices.

After the fall of the Sheikh Hasina regime, the High Court, on Nov 14, declared two sections (6(2) and 9) of the 2010 law illegal following a writ petition.

On Nov 20, the Muhammad Yunus-led advisory council gave its final approval for the repeal.