Adani Power has increased its electricity supply to Bangladesh, playing a crucial role in alleviating the country's power shortages. This boost in supply comes at a time when Bangladesh is facing declining domestic natural gas production, which has significantly impacted its power sector.

Adani Power began supplying electricity to Bangladesh in early 2023, and its role has steadily grown. In 2025, the company provided a record 8.63 billion kWh of electricity, accounting for 8.2% of Bangladesh's total electricity supply. During the first 27 days of January 2026, Adani's contribution reportedly rose to about 10% of the country's power supply.

The increased supply from Adani Power is crucial because Bangladesh is increasingly reliant on power imports to address shortages caused by declining domestic natural gas production. Natural gas remains the country's primary energy source, but supply constraints and infrastructure limitations have reduced its availability. The decline in gas-fired generation saw its share of the energy mix plunge to a record-low 42.6% last year, after accounting for nearly two-thirds of generation in the decade through 2024.

Adani Power's Godda coal-fired plant in Jharkhand has been instrumental in meeting Bangladesh's energy needs. In the last quarter of 2025, electricity exports from the plant increased by 38% year-on-year, raising India's contribution to 15.6% of Bangladesh's power mix. In the final three months of 2025, Adani's exports reached approximately 2.25 billion kilowatt-hours (kWh).

Despite the increased energy cooperation, a government-appointed panel in Bangladesh recently alleged that the power supply from Adani is overpriced. The National Review Committee (NRC) said that the price being paid is roughly 50 percent higher than it should be. The report also stated that the Adani plant used "excessively priced" coal and billed Indian corporate taxes to Bangladesh. According to the committee, the Adani plant in India's Jharkhand state priced power at a 39.7 percent premium over its nearest private-sector competitor and had the steepest cost escalation among electricity import arrangements from India. The NRC called it the "most significant statistical outlier" in Bangladesh's cross-border electricity procurement portfolio.

Adani Power has refuted these claims, stating that its tariff is competitive and replaces more expensive liquid fuel-based power. The company also said it could not comment on the review as the committee had neither consulted the company nor provided it with a copy of the report.

The rise in electricity trade between Adani Power and Bangladesh comes despite worsening diplomatic ties between India and Bangladesh. Both countries have suspended visa services and recalled envoys following concerns over the security of diplomatic missions. Relations between Bangladesh and neighboring India have soured since the ousting of Sheikh Hasina in August 2024.