The Chief Executive Officer of the Chamber of Independent Power Producers (IPPs), Elikplim Kwabla Apetorgbor, has revealed that debt owed IPPs will not be restructured as long as the arrears represent the exact cost of their service.
Speaking in an interview on Monday, July 31, Mr Apetorgbor stated that the IPPs would not allow any restructuring by the government under any circumstance.
His comments come at the back of the finance minister’s statement during the mid-year budget presentation, noting that his outfit is engaging with IPPs to address the impact of excess capacity payments on the economy.
According to Ken Ofori-Atta, the government is considering ways to restructure its accrued debts.
Mr Ofori-Atta noted that the discussion would also be geared towards eliminating payment shortfalls and arrears accrual in the energy sector.
But the IPPs say they are only open to payment plans of the full arrears without any room for deferment.
“I think we have been very emphatic with our position regarding a debt restructure unless it is something different from what I have in mind. And it is a question of what you want to restructure. And we have always indicated that our arrears are actually our cost of service, and for that matter, it is not under consideration for restructuring,” Mr Apetorgbor insisted.
The CEO added that the government had proposed a renegotiation and not engaged them in restructuring debts.