Bangladesh has asked Adani Power to restore full electricity supply from its 1,600-megawatt plant in India after more than three months of curtailed operation due to lesser winter demand and payment disputes. The power plant, located in Jharkhand, India, has been supplying power solely to Bangladesh through a 25-year deal inked in 2017 when former Prime Minister Sheikh Hasina was in power.

Adani Power has reduced its power supply to Bangladesh by half starting from October 31 as delayed payments had triggered a foreign exchange shortage in the country. Because of this action, one of the two 800-megawatt units of the power plant was forced to shut down, bringing down its operational capacity to 42%. For months now, the company has supplied only half the contracted power for Bangladesh at that country's behest.

The state-owned BPDB makes around $85m monthly as partial payment on accrued dues; lately, they informed Adani they are asking him to relight the second. Still, delays were on ground because of a technical matter

"They agreed in terms with requirements that it'll synchronize second Unit, though High Vibration not happen" was said to the news portal of Reuters, according to Chairperson of Bangladesh Power Development Board MD Rezaul Karim.

Karim underlined that work is being put in place to bring down arrears, and there aren't any substantial disputes with Adani Power so far. So far, there has been no word from Adani Power spokesman on the current situation. Back in December, an Adani source said the company was owed around $900 million by BPDB, a figure Karim at the time estimated at some $650 million.

Pricing Mechanism and electricity tariff remained another focal issue between the Government of Bangladesh and Adani Power. While two-index based averages, to decide on an initial tariff from that 2017 deal and results are about having paid extra approximately 55 percent compared with prices at another supplier Indian origin. Consequence of this action was that the Bangladesh court ruled to have a committee of experts review the contract, with its findings expected later this month, which may prompt renegotiations on the deal.

Besides pricing disputes, Bangladesh's interim government last year accused Adani of violating the power-purchase agreement by failing to pass on tax benefits granted by the Indian government to the Jharkhand plant. Documents reviewed by Reuters in December suggested that Bangladesh was reconsidering the contract. However, an Adani spokesperson at the time stated that the company had met all contractual obligations and had not been informed of any review by Dhaka.

Further complicating its issues, though, is Adani Group. The conglomerate has been served with lawsuits concerning its Bangladesh involvement. In November, U.S. prosecutors accused Gautam Adani and seven other executives of an alleged India bribery scheme running into $265 million. 'Baseless', Adani Group dismissed the accusations.

Meanwhile, the Bangladesh government has set up a committee of experts to scrutinize key energy deals made during Hasina's rule. The former prime minister fled to New Delhi in August after student-led protests killed several people, casting more uncertainty over Bangladesh's energy policies.

As Bangladesh struggles to meet its growing energy demands, the outcome of the contract review and Adani’s compliance with BPDB’s request to restore full supply will be crucial in determining the future of this multi-billion-dollar power agreement.