President John Dramani Mahama has assured Ghanaians that the country is no longer experiencing power outages, known locally as 'dumsor'. He made this statement during an engagement with Ghanaians in Moscow, Russia. According to President Mahama, Ghana has sufficient electricity to meet current demand. This improvement in electricity supply is attributed to measures implemented by his administration to address financial challenges in the energy sector.
President Mahama attributed the improved electricity supply to the clearing of outstanding debts owed to Independent Power Producers (IPPs). His administration has also introduced a payment arrangement to ensure prompt payment for electricity supplied. When his government assumed office, it inherited approximately $1.7 billion in debts owed to IPPs, alongside outstanding payments for gas supplied from the Jubilee Field and by ENI.
The accumulated debts had threatened the stability of electricity generation, with some power producers warning of potential suspension of supply over unpaid bills. President Mahama emphasized that settling these arrears was critical to restoring confidence among power producers and ensuring an uninterrupted electricity supply. His government has since cleared its outstanding obligations to IPPs and implemented a payment plan for remaining energy sector obligations.
President Mahama disclosed that his government has put in place a payment plan to address its remaining energy sector obligations through initial payments and subsequent settlements as they fall due. This move aims to maintain financial discipline in the sector and prevent a recurrence of electricity supply disruptions. The President expressed satisfaction with the current state of the energy sector.
The improvement in Ghana's electricity supply has been significant, according to President Mahama. He stated that the country has made considerable progress in managing its energy sector challenges. The government's efforts have ensured a stable power supply, which is essential for the country's economic growth and development.
President Mahama's statement on the state of Ghana's electricity supply comes as a relief to citizens and businesses that have been affected by power outages in the past. His assurance that there is no longer 'dumsor' in Ghana is expected to boost confidence in the energy sector and the economy as a whole.
The government's success in clearing debts owed to IPPs and implementing a payment plan has been crucial in achieving the current stable power supply. President Mahama's administration has demonstrated its commitment to addressing the country's energy sector challenges, and its efforts have yielded positive results.
Key points
- President Mahama says Ghana has sufficient electricity to meet current demand.
- The government has cleared its outstanding obligations to Independent Power Producers (IPPs).
- A payment plan has been implemented to address remaining energy sector obligations.
