Dumsor Fears: Three Power Plants Facing Imminent Shutdown Over $259 Million Debt

Dumsor Fears: Three Power Plants Facing Imminent Shutdown Over $259 Million Debt

  • The Independent Power Producers has warned that three critical power plants face an imminent shutdown
  • The government is owing these plants $259 million because of power supplied to the Electricity Company of Ghana
  • The Sunon Asoli Power plant is offline because of the Electricity Company of Ghana's failure to settle the debt

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The Independent Power Producers has warned that three critical power plants face an imminent shutdown due to accumulating unpaid debts.

The IPP CEO, Dr. Elikplim Apetorgbor, said the government defaulted on a $259 million payment owed by the Electricity Company of Ghana.

Dumsor, Power Producers, Power Supply, Electricity Company of Ghana, Power Cuts
Three critical power plants face imminent shutdown over $259 million debt owed by the government.
Source: Getty Images

Apetorgbor told Citi News the government needs to act swiftly to prevent the shutdown by settling the debts. He did not disclose the plants set to be affected.

“I can confirm that all is not well; if there is no intervention before Friday, I can tell you that by Monday, three key power plants will be off the grids."

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The Sunon Asoli Power Plant has already shut down due to the failure of the Electricity Company of Ghana to settle a huge debt.

According to Sunon Asogli, the non-payment of the debt left them in a tight financial state, making them unable to fund operations.

The power producer also called on the Finance Ministry to intervene and find a solution as soon as possible.

ECG and load shedding hiccups

In June, the West African Gas Pipeline Company said a gas supplier's maintenance work caused power cuts in Ghana.

The reduced supply limited power generation capacity, resulting in power outages in Accra, among other cities in the country.

The Electricity Company of Ghana implemented a load management schedule to manage the country's available energy.

During an earlier stretch of power cuts, the Public Utilities Regulatory Commission fined board members of the Electricity Company of Ghana for not providing a load-shedding timetable.

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PURC warns about ECG's debt

YEN.com.gh also reported that the Public Utilities Regulatory Commission has been consistently warning about the indebtedness crippling the Electricity Company Ghana.

Dr Ishmael Ackah, the Executive Secretary of the PURC, sounded the alarm in a letter to the Presidency, the Energy and Finance Ministers, and key stakeholders.

Ackah warned that the situation could have devastating effects on the operations of the Volta River Authority, the Ghana Grid Company, and the Bui Power Authority.

Proofread by Samuel Gitonga, Copy Editor at YEN.com.gh

Source: YEN.com.gh

Authors:
Delali Adogla-Bessa avatar

Delali Adogla-Bessa (Current Affairs Editor) Delali Adogla-Bessa is a Current Affairs Editor with YEN.com.gh. Delali previously worked as a freelance journalist in Ghana and has over seven years of experience in media, primarily with Citi FM, Equal Times, Ubuntu Times. Delali also volunteers with the Ghana Institute of Language Literacy and Bible Translation, where he documents efforts to preserve local languages. He graduated from the University of Ghana in 2014 with a BA in Information Studies. Email: delali.adogla-bessa@yen.com.gh.