The Minority in Parliament has raised concerns over what they perceive as discriminatory payment of the debt owed to Independent Power Producers (IPPs) by the Finance Minister, Ken Ofori-Atta. The caucus believes that this approach will not effectively address the concerns of the IPPs.
The IPPs, which contribute 50 percent to the country's generation mix, have threatened to shut down their plants starting from July 1, 2023, unless the government provides an interim payment of 30 percent of the outstanding debt of $1.7 billion owed to them.
Ranking Member on the Mines and Energy Committee of Parliament, John Abdulai Jinapor, expressed the Minority's dissatisfaction with the Finance Minister's actions, stating, “The Finance Minister instead of dealing with the Chamber of IPPs is engaged in selective and discriminatory payment, selecting some preferred IPPs, paying them and leaving them to their own fate.”
Jinapor called on the government, particularly the President, to intervene urgently and find an amicable solution. He emphasized the urgency of the matter, highlighting the increasing debt, losses incurred by the Electricity Company of Ghana (ECG), and the financial challenges faced by the industry.
While urging the IPPs to reconsider their decision to shut down their plants, Jinapor appealed to the government to demonstrate leadership and commitment to resolving the issue.
The standoff between the government and the IPPs highlights the need for swift action and open dialogue to address the concerns of the power producers and ensure the uninterrupted supply of electricity to the nation.
The Minority's call for a fair and inclusive approach to debt payment reflects their commitment to finding a resolution that benefits all parties involved.