Bangladesh has moved the Adani Power dispute to an international legal stage, appointing a British law firm to represent its state-run Power Development Board (BPDB) in mediation proceedings over coal pricing and power tariffs.
Officials said on Friday that BPDB has hired London-based 3VP to appear before the Singapore International Arbitration Centre (SIAC). The firm specialises in commercial and financial litigation.
The dispute involves Adani Power Limited, which supplies electricity to Bangladesh from its Godda plant in Jharkhand. According to BPDB officials, the appointment follows arbitration initiated by Adani Power last year.
“Our move to appoint the British firm came as Adani Power initiated arbitration at Singapore International Arbitration last year,” a Power Division official said. Adani Power has claimed about USD 485 million in unpaid dues linked to the contested coal tariff.
Under the power purchase agreement, mediation is a mandatory but non-binding step before arbitration proceedings move forward.
Bangladesh-based Business Standard (TBS) reported that 3VP chambers, headed by King’s Counsel Farhaz Khan, has been advising a national review committee on the Adani deal for several months. The development comes within five days of the committee submitting its final report on power sector agreements signed during the deposed prime minister Sheikh Hasina’s Awami League government.
Bangladesh maintains that Adani Power is charging an excessively high coal price, which it says has raised electricity generation costs. After the fall of the Hasina-led government on August 5, 2024, following violent student-led street protests, BPDB stepped up efforts to reopen negotiations with Adani.
The national review committee said earlier this week that it had gathered evidence that could support international legal proceedings against Adani Power Limited. “Money transactions took place between Adani officials and Bangladeshi officials, and the panel is ready to submit this evidence to court once legal proceedings begin,” interim government’s energy adviser Fouzul Kabir Khan said.
Officials confirmed that the evidence has been shared with the Anti Corruption Commission (ACC) for further investigation.
The review committee had submitted an interim report in November last year. At the time, the adviser said Bangladesh’s interim government, led by Muhammad Yunus, could cancel the power procurement contract with Adani if it was proven that the agreement was reached through corrupt means.
The committee is headed by retired High Court judge Moinul Islam Chowdhury. He had earlier told reporters that a separate report had also been prepared on the power purchase deal with India’s Adani group. The state-run BSS quoted an unnamed committee member as saying, “But we believe you will get strong evidence of corruption when a legal process begins at home and abroad against Adani and a few other companies related to Adani who are involved in this corruption.”
There are, however, voices urging caution. Prominent jurist Shahdeen Malik, who was indicted in the committee, asked the government to assess the risks of cancelling foreign contracts. He said that while there could be legal grounds to scrap such deals, pursuing the matter in an international court could lead to claims of up to USD 5 billion.
Adani Power supplies 1,600 MW of electricity to Bangladesh from its Godda plant. On the payment front, Bangladesh cleared its outstanding dues with a one-time payment of USD 437 million in June 2025, settling all receivables up to March 31, 2025.
Earlier delays in payments had led Adani to reduce power supply. Officials said full supply was restored after the dues were cleared.
