Bangladesh is poised to cancel a proposed 117-kilometer high-voltage power corridor project initiated by India. New Delhi has proposed that the project begin this year and be completed by 2028.
However, Dhaka is reconsidering the plan due to concerns related to grid security, environmental impact, and financial feasibility. If implemented, the project would involve the transmission of 765 kV electricity from Borangnagar in India’s Meghalaya state, through Parbatipur in Bangladesh, to Katihar in Bihar. In return, India has offered to supply Bangladesh with an additional 1,000 megawatts of electricity. Both the World Bank and the Asian Development Bank (ADB) have reportedly assured funding for the project. Currently, Bangladesh imports about 3,000 megawatts of electricity from India.
India has long sought to build a transmission line through Bangladesh to transfer power from its northeastern states to other parts of the country. In May 2023, during a joint steering committee meeting on power sector cooperation held in Dhaka, both countries agreed to form a joint venture to implement the project. The Power Grid Company of Bangladesh (PGCB) even conducted a feasibility study, and among several route options, the Borangnagar-Parbatipur-Katihar line was finalized.
Despite resistance from many engineers within PGCB and the Power Division, the then Awami League government, pushed the project forward. However, following the fall of the Awami League government, the interim administration has decided to reassess the project.
Sector insiders highlight a major risk: the integration of two power grids with different standards. Engineers warn that a blackout in India could potentially trigger cascading failures in Bangladesh’s grid. From a financial standpoint, experts argue the project would further burden Bangladesh, which is already obligated to repay $2.15 billion in foreign loans for existing and under-construction power projects. The Finance and Planning Division fears that the new corridor project would significantly increase foreign debt.
Officials at the Power Division point out that Bangladesh’s current power generation capacity stands at approximately 28,000 megawatts, while the peak demand hovers around 17,000 megawatts. Given this surplus, they see no justification for building an expensive cross-border transmission line for merely 1,000 additional megawatts before 2030.
Environmental concerns present an even greater challenge. The proposed power line would transmit electricity from a hydropower plant being built on the Indian segment of the Brahmaputra River — the same river that forms the lifeline of many rivers in Bangladesh. Experts warn that damming the Brahmaputra could reduce water flow into Bangladesh, exacerbate river erosion, destroy biodiversity, and negatively affect agriculture.
Professor Anu Muhammad said, “It is unwise to take such massive financial and environmental risks for just 1,000 megawatts of power. Many of our past power deals were shrouded in secrecy and ignored public interest. Any future approval must ensure full transparency and public participation.” Dr. Muhammad Faozul Kabir Khan, Energy Advisor to the interim government, emphasized that national security and environmental impacts will be carefully considered before making a decision. “Before establishing a high-capacity transmission line, the highest priority must be given to national interest,” he said.
Currently, Bangladesh imports around 3,000 megawatts of electricity from India. Of this, 1,570 megawatts are supplied under various government-to-government and public-private agreements, while Indian conglomerate Adani Group supplies the remaining 1,400 megawatts.
Additionally, on June 15, Bangladesh began importing 40 megawatts of electricity from Nepal using Indian territory, under a tripartite agreement between Dhaka, Delhi, and Kathmandu.
Asked whether rejecting India’s proposed corridor would impact electricity imports from Nepal, energy expert Professor M. Tamim said, “Each agreement is independent. The Nepal deal did not include any condition requiring Bangladesh to approve India’s power corridor. Moreover, no formal agreement has yet been signed regarding the corridor proposal.”