Ghana is on the brink of a severe energy crisis as Independent Power Producers (IPPs) threaten to shut down three power plants next week due to unpaid debts. According to John Jinapor, Ranking Member on Parliament’s Energy Committee, the Electricity Company of Ghana (ECG) is already shedding significant load ahead of the potential shutdowns.
Jinapor revealed that power outages have been occurring daily, with ECG shedding an estimated 700 megawatts of power. He warned that if the government does not immediately address the energy sector’s growing debt crisis, the nation could face disastrous consequences.
“There was load shedding a day before yesterday, yesterday, and there will be load shedding today. This issue needs urgent attention,” Jinapor said during an interview.
The Chamber of Independent Power Producers Ghana (IPPG) recently disclosed that three of its members might cease operations due to ECG’s $259 million debt. Sunon-Asogli, another IPP, has already shut down its plant. Dr. Elikplim Apetorgbor, CEO of IPPG, emphasized the urgency of the situation, stating that government promises to resolve the debt remain unfulfilled.
Experts are raising alarms about the broader implications. Nana Amoasi, Executive Director of the Institute for Energy Security, noted that Ghana has been relying on power imports from Côte d’Ivoire to manage its energy needs. He questioned why the government is not prioritizing support for local power producers.
“If the government is willing to import power and defer payments, why not incentivize local plants to continue producing?” Amoasi asked.
The looming shutdowns and current load-shedding highlight the critical need for immediate negotiations with IPPs to stabilize Ghana’s energy supply and prevent a worsening crisis.