BJD Rejects Allegations Of Adani Group Bribing Odisha Govt Officials As 'Baseless And Incorrect'
The BJD dismisses allegations of bribery in renewable energy procurement by the Adani Group in Odisha, claiming they are "baseless" and that the agreement was solely between government agencies.
The Biju Janata Dal (BJD) on Friday dismissed allegations that state government officials in Odisha accepted bribes from the Adani Group for the procurement of renewable energy, calling the claims “baseless” and without merit. Former Odisha Energy Minister and BJD MLA Pratap Keshari Deb, addressing the allegations circulating in media reports, clarified that the power purchase agreement (PPA) in question, made in 2021, was a deal between two government agencies.
The agreement was between the Solar Energy Corporation of India (SECI), a central government PSU under the Ministry of Renewable Energy, and the state’s public sector undertaking Gridco. The deal was solely for the supply of renewable energy and formed part of a central government scheme called the Manufacturing Linked Solar Scheme.
“There was no engagement with any private party whatsoever, including the Adani group,” Deb explained. He further noted that the agreement, which was to procure 500 MW of renewable energy from SECI at the lowest rates discovered by the agency, was strictly between the two public entities.
Deb added that the state had been procuring renewable energy from central government PSUs such as SECI and NTPC since 2011 to meet renewable energy commitments. He therefore termed the allegations surrounding Odisha as "baseless and incorrect."
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'Odisha Government Had No Role In All These Matters': BJD On Adani Contract Allegations
The controversy stems from charges filed by the US Department of Justice, accusing Adani and seven others, including his nephew Sagar Adani, of paying bribes to unidentified government officials in several states, including Odisha. According to the charges, the bribery allegedly enabled the purchase of expensive solar power, potentially earning over USD 2 billion in profits over 20 years. However, the Adani Group has vehemently denied these accusations, stating that they are "baseless" and asserting that the conglomerate is fully compliant with all applicable laws.
Deb further emphasised that the Odisha government had no involvement in the agreement. “Whatever agreement was done remained confined among Gridco, the distribution company, and SECI,” he stated. “The state government has no role in all these matters, although the administration was informed regarding the Power Supply Agreement (PSA),” Deb told PTI.
He also pointed out that Odisha’s power distribution model differs from other states, as power distribution has been privatised in the state, with Tata Power handling the distribution. In contrast, other states continue to manage distribution directly. According to Deb, the agreement in question could involve Adani, SECI, Gridco, and the distribution company, with all such agreements requiring approval from the Odisha Electricity Regulatory Commission (OERC), an independent regulatory body.
Deb further clarified that the Odisha Energy department, including the Energy Minister and Secretary, was not involved in these agreements, which are managed by Gridco, a semi-autonomous state PSU.
Gridco, currently involved in the bulk purchase and sale of power, also plays a role in trading surplus power with neighbouring states to promote power exchanges across India.