President John Dramani Mahama has assured that Ghana is no longer experiencing power outages, commonly known as 'dumsor'. He made this statement during an engagement with the Ghanaian community in Moscow, Russia. According to President Mahama, his government has taken steps to address the challenges in the energy sector, which had led to power outages in the past.
President Mahama revealed that his administration inherited a debt of about $1.7 billion owed to Independent Power Producers (IPPs) when it assumed office. The government also owed money for gas supplied from the Jubilee Field and by ENI, creating financial difficulties for companies involved in electricity generation. These outstanding debts had led to concerns about possible interruptions in electricity supply.
To address these challenges, President Mahama said his government has cleared its outstanding debt to IPPs and is now making timely payments for electricity supplied. He announced that the government has introduced a new payment arrangement to ensure that power producers receive payment for their services. This arrangement involves making initial payments and settling subsequent amounts when they fall due.
The new payment arrangement has improved relations between the government and power producers, some of whom had previously threatened to suspend electricity supply over unpaid bills. President Mahama emphasized that settling the outstanding debts was necessary to restore confidence among power producers and prevent possible interruptions in electricity supply.
President Mahama attributed the improved electricity supply to his government's efforts to clear outstanding debts and introduce a new payment arrangement. He stated that the measures have strengthened the financial position of the energy sector and helped ensure a stable electricity supply across the country.
According to President Mahama, the government's efforts in the energy sector have yielded positive results, with everyone having access to adequate power. He described the turnaround in the energy sector as "quite dramatic" in terms of its management. The President's statement is a relief to Ghanaians who have experienced power outages in the past.
The government's success in clearing its debt to IPPs and introducing a new payment arrangement has ensured a stable electricity supply in Ghana. President Mahama's engagement with the Ghanaian community in Moscow, Russia, provided an opportunity for him to share the progress made by his government in addressing the challenges in the energy sector.
Key points
- The Ghanaian government has cleared its outstanding debt to Independent Power Producers (IPPs) and is making timely payments for electricity supplied.
- A new payment arrangement has been introduced to ensure that power producers receive payment for their services.
- Ghana is no longer experiencing power outages, commonly known as 'dumsor', due to the government's efforts to address challenges in the energy sector.
