Power supply to Bangladesh will continue from India despite dues: Tripura minister

Tripura Power Minister Ratan Lal Nath said the state-owned utility Tripura State Electricity Corporation Limited (TSECL) has no plan to discontinue electricity supply to Bangladesh on account of pending dues exceeding Rs150 crore, reports India Today NE.

According to a bilateral power purchase agreement with the Bangladesh Power Development Board (BPDB) in 2010, the TSECL is supposed to supply 100 MW of power to the neighbouring country, he told the news outlet on 28 May.

Currently, Bangladesh is receiving on average 90 MW of power, the minister said.

"Right now, there is no shortage of power in Tripura and TSECL is supplying on average 90 MW of power to the neighbouring country. There is no plan to discontinue the supply to Bangladesh and such a measure will be considered only when Tripura runs into severe shortage of power," he added.

"We continue to supply electricity to Bangladesh even though there is a huge pending bill," he told the reporters.

Earlier, BPDB member (distribution) Md Rezaul Karim told The Business Standard, "For some time now, Tripura has been providing less electricity than specified in the contract. They have been averaging between 90 MW to 110 MW in supply over the past few months. Clearing their dues may increase this slightly."

When questioned about potential challenges in load-shedding management due to reduced power from the Northeast Indian state, he said the supply shortfall is not going to affect load-shedding management.

According to Power Division officials, the BPDB is also facing challenges in timely payments for electricity imports to private and state-owned power companies in India.

They explained that outstanding balances are accruing due to purchasing electricity at higher rates and selling it at lower prices. The disparity is being offset by government subsidies.

Pending bill crossed Rs150 crore

TSECL Managing Director Debasish Sarkar said the BPDB's pending bill has already crossed Rs150 crore.

"We are in touch with the Bangladesh authority to get the dues cleared at the earliest. I had a meeting with BPDB's chairman in Dhaka and discussed the matter. It appears that they are having some financial issues leading to delay in payment," he said.

Sarkar said the TSECL has restricted the power supply to Bangladesh because it purchases electricity from outside Tripura with a price of Rs12-13 per unit during peak demand periods.

"It makes no sense to buy power at an exorbitant price and sell it to a neighbour. That's why the TSECL has restricted power supply to Bangladesh," he added.