In a concerning development, some residents of Ghana may experience disruptions to their regular electricity supply for an extended period. The Ghana Chamber of Independent Power Producers (GCIPP) has issued a warning that intermittent power outages will commence this coming Saturday and persist for eight days. This action is contingent upon the government’s failure to settle outstanding debts totaling $1.9 billion (£1.5 billion) before the end of Friday.
Ghana is currently grappling with a severe economic crisis, prompting the government to explore avenues to reduce interest payments on its debts. Independent companies play a crucial role in Ghana’s power generation sector, accounting for approximately 47% of the country’s overall power production and a significant 67% of thermal power generation.
Members of the GCIPP are insisting that the government address at least 30% of the $1.4 billion overdue arrears from March. This financial burden has significantly hampered their capital and their ability to sustain electricity production. Previously, the consortium rejected a government proposal to defer debt payments as part of the measures related to the $3 billion IMF bailout program.
The situation remains uncertain, and the impact on Ghanaian households and businesses could be substantial if a resolution is not reached promptly.
