In the event that the government does not pay its outstanding bills to them by June 30, the Independent Power Producers (IPPs) have threatened to cut off the provision of electricity.
If the government doesn’t start paying the IPPs within the next four days, the IPPs have threatened to shut down their facilities and are demanding payment.
Despite earlier reports that discussions were taking place to restructure the debt in the energy industry, it has been found that the government has not yet started negotiations for payment.
The CEO of the IPPs, Elikplim Apetorgbor, stated that they have not been involved in any negotiations and have only learned about the proposals through the media. The Electricity Company of Ghana (ECG) had previously mentioned discussions for a monthly payment plan to avoid a potential shutdown.
He stressed the urgent need for action, pointing out that if no corrective action is made until June 30, which is in seven days, they cannot guarantee a reliable electricity supply.
Recently, proposals for significant reforms in the energy industry were unveiled by the finance minister, Ken Ofori Atta, in an effort to address the spiralling debt and sustainably cut losses.
By addressing the sector’s historical debt and the anticipated shortfall between 2023 and 2025, these changes hope to address the difficulties encountered by State Owned Enterprises and Independent Power Producers.