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The Minority in Parliament has raised fresh concerns about the financial stability of Ghana’s power sector, revealing that the government owes more than $700 million to Independent Power Producers (IPPs) and fuel suppliers.
Addressing the media on Tuesday, April 28, Deputy Ranking Member on Parliament’s Energy Committee, Collins Adomako-Mensah, indicated that the sector’s challenges go beyond technical constraints and are largely driven by financial difficulties.
“We also know that the problems of the sector are not only technical; they are financial,” he stated.
According to him, despite earlier assurances by the Minister for Finance, Cassiel Ato Forson, that outstanding debts owed to IPPs had been cleared, available data suggests otherwise.
“The data available to us is that the government owes IPPs over $500 million and over $200 million to companies that supplied fuel for power generation,” he disclosed.
The Minority argued that these figures contradict government claims of improved financial performance within the Electricity Company of Ghana (ECG) and the broader energy sector.
In light of the revelations, the caucus is calling on the government to provide clarity on the true financial position of the sector, particularly following the introduction of the Energy Sector Levy, popularly known as the “Dumsor levy.”
Mr. Adomako-Mensah urged both the Energy and Finance Ministers to urgently present a comprehensive report to Parliament detailing all collections and expenditures under the levy.
“We are calling on the Minister for Energy and the Minister for Finance to, within the shortest possible time, lay before Parliament and publish a full, detailed and independently verified report on the one Ghana cedi Dumsor levy, covering all collections made to date, all disbursements, and the outcomes of every expenditure,” he stated.