Govt must act on power sector corruption

A damning interim report by a national committee has laid bare entrenched corruption in the country's power sector during the Awami League regime. It uncovered a corrosive nexus of private entities, high-ranking bureaucrats, and top government officials, including now-ousted Prime Minister Sheikh Hasina. For instance, the so-called "zero-risk" power purchase agreements (PPAs) guaranteed immense profits for investors, even when the power was not used. They were meticulously engineered, allegedly under the direct influence of Sheikh Hasina, who also held the power ministry portfolio. This dual role centralised control and removed critical checks and balances. The report highlights the repeated interference of officials from the Prime Minister's Office, lending weight to the claim that the rot was structural, not incidental.

The committee also probed the abuse of the now-repealed Quick Enhancement of Electricity and Energy Supply (Special Provisions) Act, 2010, passed to address power shortages but instead used as a license for impunity. It allowed the government to bypass competitive bidding and oversight, enabling a culture of "rent-seeking" that enriched a handful of influential people while trapping the nation in long-term financial obligations. Capacity payments were fundamentally designed to protect private greed at public expense.

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Power and energy: A system designed for corruption

The case of the Adani Power deal to import electricity from India stands as a high-profile example of this procedural decay, according to the report. The revelation that Adani Power itself allegedly drafted the PPA and that Bangladesh Power Development Board officials were simply instructed to sign it exposes the staggering lack of regulatory independence. It suggests that the nation's energy policy was dictated by the interests of a foreign entity rather than the oversight of its own civil servants.

It is therefore essential that the interim government act with firm resolve to reverse this damaging trend. First, the interim report must be made public immediately. Secrecy is the oxygen of corruption, and the first step towards reform is full, unvarnished transparency. Second, the authorities must aggressively pursue the procedural flaws and evidence of fraud found in the Adani contract and others. The interim government, however, faces serious legal and economic challenges ahead. Power Adviser Fouzul Kabir Khan has rightly acknowledged the dilemma: cancelling these contracts without cause entails the risk of incurring massive liquidation damages. Therefore, these deals require urgent investigation, potentially by the Anti-Corruption Commission, to establish a definitive legal basis for action.

Bangladesh is currently caught in a multi-billion-dollar energy trap, but accountability is the key to escape it. Dismantling the legacy of impunity requires more than just re-negotiating excessive profits; it demands prosecution for the "massive corruption, collusion, frauds, irregularities and illegalities" that took place during the Awami League regime. Only by holding the architects of this system to account can the nation ensure that its future energy security serves public interests.