Bangladesh’s Power Crisis Deepens: How India, Adani, and Energy Dependence Are Reshaping South Asia
Published: 2026 | Category: Energy, Geopolitics, South Asia
Bangladesh is facing one of its most serious electricity crises in recent years. Outside the capital city of Dhaka, large parts of the country have experienced prolonged load shedding, disrupting daily life, industrial production, and economic stability. While power shortages are not new to Bangladesh, the current crisis has exposed a far deeper problem — the country’s growing dependence on external electricity supplies, particularly from India.
According to multiple Bangladeshi media reports, a combination of reduced electricity imports from India, unexpected failures at domestic power plants, and commercial disputes with Indian power suppliers has pushed Bangladesh’s power system to the brink.
Bangladesh’s Energy Model: Rapid Growth, Rising Vulnerability
Over the past decade, Bangladesh has aggressively expanded electricity access to support industrial growth, urbanization, and export-driven manufacturing. To meet rapidly rising demand, the government increasingly turned to short-term solutions: imported electricity, rental power plants, and foreign private producers.
India emerged as Bangladesh’s most important electricity partner. Power is imported through multiple transmission routes, including West Bengal and Tripura, alongside long-term contracts with private Indian companies.
The Sudden Reduction in Power Imports from India
In recent weeks, Bangladeshi media outlets have reported a sharp reduction in electricity supplied by India. Where Bangladesh was previously receiving around 900 megawatts (MW) of power, supply has reportedly fallen to roughly 470 MW.
This reduction coincided with rising demand and technical failures at domestic power plants, amplifying the crisis. While Indian authorities have not officially stated the reasons, analysts suggest a mix of grid constraints, commercial disputes, and strategic recalibration.
The Big Blow: Failure of the Barapukuria Power Plant
The situation worsened dramatically when Bangladesh’s Barapukuria coal-fired power plant suffered a major technical failure. The plant, with a capacity of approximately 525 MW, is one of the country’s most important baseload generators.
Its sudden shutdown removed a critical chunk of domestic generation at precisely the wrong time. With imports already reduced, grid operators were left with few options other than aggressive load shedding.
Adani Group and the Power Supply Controversy
Another major factor in the crisis involves the Adani Group, one of India’s largest energy conglomerates. Adani operates a dedicated coal-fired power plant designed primarily to supply electricity to Bangladesh under a long-term agreement.
Reports indicate that one 800 MW unit of the plant was temporarily shut down, officially for maintenance and upgrades. However, the timing raised concerns in Bangladesh, especially given ongoing disputes over unpaid dues.
According to public reports, Adani had earlier issued notices demanding payment of outstanding bills reportedly totaling hundreds of millions of dollars. Bangladesh, meanwhile, has argued that the power purchase agreement is expensive and unfavorable.
A Strategic Shift: Connecting Adani Power to India’s National Grid
Originally, the Adani power plant supplying Bangladesh was restricted from selling electricity within India. However, recent policy changes allowed the plant to connect to India’s national grid.
This change dramatically altered the balance of power. Instead of relying solely on Bangladesh as a buyer, Adani gained the flexibility to sell electricity domestically in India — a much larger and more reliable market.
For Bangladesh, this reduced leverage and increased vulnerability during negotiations.
Rising Load Shedding and Economic Fallout
Bangladesh’s evening electricity demand typically reaches around 11,900 MW. During the current crisis, available supply has reportedly dropped to around 11,600 MW — enough to trigger rolling blackouts across multiple districts.
The consequences are severe:
- Factories face production losses and missed export deadlines
- Small businesses struggle to operate
- Households endure prolonged outages during peak hours
- Investor confidence weakens amid energy uncertainty
The Rampal Power Plant and Engineering Withdrawal
Adding to the uncertainty, reports suggest that Indian engineers working on the Rampal power project have returned to India. Official explanations vary, ranging from security concerns to political decisions.
Regardless of the reason, delays in Rampal’s operations further limit Bangladesh’s ability to stabilize supply during emergencies.
Why Winter Demand Isn’t Saving Bangladesh
Typically, electricity demand drops during winter months. However, despite lower seasonal demand, Bangladesh is still struggling to meet requirements — highlighting just how tight the supply situation has become.
Energy analysts warn that if a similar disruption occurs during peak summer months, the crisis could be far more severe.
The Bigger Picture: Energy Dependence as a Geopolitical Risk
The current crisis underscores a hard truth: energy dependence is not just an economic issue — it is a geopolitical one.
When a country relies heavily on external suppliers for critical infrastructure like electricity, commercial disputes or policy changes can quickly escalate into national crises.
What Bangladesh Can Do Next
Experts suggest several long-term solutions:
- Diversifying energy imports and suppliers
- Accelerating renewable energy development
- Upgrading aging domestic power plants
- Improving contract transparency and payment discipline
- Reducing reliance on single-country energy sources
Conclusion: A Wake-Up Call for Energy Policy
Bangladesh’s current power crisis is not the result of a single failure. It is the outcome of years of policy choices that prioritized short-term supply over long-term resilience.
As South Asia’s energy landscape becomes increasingly interconnected, this episode serves as a warning — energy security cannot be outsourced indefinitely.
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