Desk : India’s Adani Power is increasing electricity exports to Bangladesh, data from both governments has shown, while relations between the two countries are deteriorating and a panel formed by the Bangladesh government has said the supply is more expensive.

India and Bangladesh government data showed exports to Bangladesh from Adani’s Godda coal-fired power plant in India’s eastern Jharkhand state rose nearly 38% year-on-year to about 2.25 billion kilowatt-hours (kWh) in the three months to December.

This took the share of Indian exports in Bangladesh’s power mix to a record 15.6% this year from 12% in 2024, Bangladesh government data showed. Adani had started supplies to Bangladesh in early 2023.

Despite the sourness in diplomatic relations, electricity trade between the countries is increasing. Both sides have suspended visa services and summoned their envoys to diplomatic missions over security concerns.

Rezaul Karim, chairman of the Bangladesh Power Development Board, told news agency Reuters that electricity imports are needed to ease the shortage, including from natural gas – Bangladesh’s main power source – and electricity demand is expected to grow by 6% to 7% in 2026.

Karim said Bangladesh will also increase coal imports this year to increase domestic coal-fired production to meet the gas shortage. Data from analytics firm Kpler showed that coal imports are set to increase by 35% to a record 17.34 million metric tons in 2025.

Industry experts say that there is a shortage of gas in Bangladesh because local production is declining rapidly and the use of liquefied natural gas has stopped due to transmission problems.

A decline in gas-fired generation pushed its share of the energy mix to a record low of 42.6% last year, compared with about two-thirds of generation in the decade to 2024, government data showed.

Adani made up the shortfall, supplying a record 8.63 billion kWh of electricity to Bangladesh in 2025 and making up 8.2% of the total supply, while imports from other Indian companies rose slightly to 7.92 million kWh, Bangladesh Power Grid data showed.

In the first 27 days of January, Adani supplied about 10% of the total power supply. “Adani’s electricity is still cheaper than oil-fired power. Due to the shortage, Bangladesh has to use oil-fired power plants,” said Ijaz Hossain, an independent energy expert in Dhaka.