Parliament’s Mines and Energy Committee To Meet IPPs Over Energy Debt

The Mines and Energy Committee of Parliament is scheduled to hold a crunch meeting with stakeholders in the energy sector next week to address the concerns raised by Independent Power Producers (IPPs). 

Chairman of the committee, Samuel Atta Akyea, said the meeting would find solutions to issues regarding the significant outstanding debts that pose a threat to the stability of the national grid.

The meeting will involve the committee, the Finance Ministry, the Electricity Company of Ghana (ECG), and the IPPs.

“It is crucial for the Minister of Finance, the Boards of ECG, and the committee to establish a clear roadmap for resolving this matter, we must avoid a situation where the government is pressured into taking actions that could be perceived as blackmail,” Mr. Atta Akyea said.

He added that the committee is “committed to finding a solution in the best interest of all stakeholders.”

The IPPs, which control about 50 per cent of the country’s generation mix, have highlighted that the outstanding debts have hindered their access to working capital, preventing them from financing crucial inputs such as chemicals for water treatment in thermal generators and other supplies, many of which are priced in foreign currency, primarily the US dollar.

The meeting is scheduled to take place from July 10 to 11th.

The IPPs are currently requesting the government to settle 30% of the nearly owed $2 billion debt.