Ghana’s power sector may collapse if the mounting debt is not addressed anytime soon.
Information available to energynewsafrica.com indicates that the debts owed to independent power producers, who contribute 2500MW, have ballooned to GHS11billion within the last few weeks.
The development, sources say is making it difficult for the IPPs to operate efficiently.
According to a source within the Chamber of Independent Power Producers, Bulk Consumers and Distributors (CiPDIB), the ECG, which recently resumed power retail business after the government terminated the concession agreement between ECG and PDS, has already defaulted in four weeks’ payment, despite their promised weekly payment.
“This serious liquidity concern has nothing to do with take or pay, procured PPAs or excess capacity. Let’s focus on the real issues,” the source said.
“There is the need for a strategic consultation with the IPPs for a sound direction about the sector, devoid of political interference in commercial processes, if we really want to restore a working ECG and address the needless insolvencies in the sector,” Elikplim K. Apetorgbor, CEO of CIPDiB also suggested.