Adani Power had signed a contract that involved the inauguration of a new coal-fired power plant. This power plant was earlier expected to supply all its electricity to Bangladesh. An amendment was later made to the power export regulations by the central government. The Adani Group will now be able to provide power to the domestic market as well. The power supply from the Adani Godda power plant in Jharkhand has been largely disrupted recently because of the political turmoil in Bangladesh. This power plant is contracted to export all its power to its neighbouring nation. However, the Adani Group has now been permitted to sell its power within India as well. This will ensure that the operations at the power plant can be carried out without any hindrance.
The Amendment to the Power Law:
An internal memo was received from the power ministry. This memo was dated August 12. It was reviewed by Reuters. The memo was also revised by the 2018 guidelines for power generators that supply electricity exclusively to a neighbouring country. The government memo says that the Government of India may now permit the connection of such a generating station to the Indian grids. This would help in the sale of power within India in cases of sustained non-scheduling of full or partial capacity. This will help meet India’s power demands to a significant extent. We will no longer have to be legally bound to supply the entire power generated from the Adani Godda power plant to Bangladesh. This amendment also allows the Adani Group to sell power to local regions in case there is any delay in receiving payments.
Why Was The Amendment Necessary?
The amendment to the law comes as Bangladesh struggles with political instability after the anti-quota protests. The situation has become so severe that the Bangladesh Prime Minister was forced to leave the country and take refuge in India. This step will help lower the power demand in the country. Previously, the Adani Group was committed to fulfilling the contractual obligation made with the Bangladesh Power Development Board. The conglomerate still looks forward to continuing the fulfilment of the agreement once the situation is pacified.
The Adani Godda Power Project:
The Adani Godda power plant is indeed one of the most striking projects for the Adani Group. The power project is also the first transnational project to have been taken up by the Adani Group. As a part of this project, the Adani Group was expected to supply power generated from the Godda power plant in Jharkhand to Bangladesh’s national grid. Adani Power Jharkhand Limited (APJL), which is a wholly-owned subsidiary of Adani Power Limited, is responsible for taking care of the various operations of the project.
The project achieved its commercial operations date (COD) for its second unit on June 26, 2023 This unit has a total capacity of 800 MW. The reliability run tests, which include the commercial operation tests, were completed on June 25, 2023, in the presence of the Power Grid Corporation of Bangladesh and BPDB officials. On April 6, 2023, the first unit of the project, which also has a capacity of 800 MW, achieved its COD.
The Significance of the Project:
The main aim of the project was to provide Bangladesh with power security. This project also strengthened the relationship between the two neighbouring countries. As per the agreement, APJL was expected to supply 1,496 MW of net-capacity power from the power plant for 25 years. The power would be provided through a 400 kV dedicated transmission system that is connected to the Bangladesh grid. This will have a positive impact on the power situation. The costly fuel will also be replaced by economic fuel.
The project operations were completed within a record period. The Adani group also took up a lot of extraordinary initiatives to ensure that the project operations were carried out smoothly. A lot of drastic measures were also taken to reduce the impact on the environment. The group also made use of various environmentally friendly techniques. Flue Gas Desulphurizer (FGD) and Selective Catalytic Reconverter (SCR) systems were also installed at the plant to reduce the impact on the environment.
Conclusion:
The Adani Godda thermal power plant serves as a landmark project for the Adani Group. It will not only help mitigate the power demands in India and Bangladesh but will also allow the Adani Group to take its business to new heights.
