The Minister Energy and Green Transition Minister John Abdulai Jinapor, disclosed, Ghana Water Limited has failed to pay the Electricity Company of Ghana (ECG)for power consumed over the past seven months, accruing a debt of approximately GH₵1 billion,
In a meeting with Parliament’s Energy Committee and key power sector stakeholders, where he directed ECG to urgently recover the outstanding amount to sustain operations amid deepening financial stress in the sector.
“Ghana Water hasn’t paid any GH₵1 for seven months, and it compounds to GH₵1 billion. The power sector will not be stable if such debts continue. The private sector or ordinary citizens alone cannot shoulder this burden,” Jinapor said.
He made the comments while responding to Ghana Water’s complaints of erratic electricity supply affecting water distribution.
In a related development, the Minister revealed that Karpower, one of Ghana’s key Independent Power Producers (IPPs), has issued a notice of shutdown effective May 18, citing over $400 million in unpaid government debt.
“Karpower has just sent us a letter that by the 18th, they will shut down the plant because we owe them more than $400 million. In total, we owe IPPs about $1.7 billion,” Jinapor added.
The revelations come as Ghana’s energy sector grapples with a mounting liquidity crisis, worsened by underreported revenues, ballooning government arrears, and delayed cost-reflective tariffs.
The minister stressed the urgency of improving revenue recovery, warning that failure to act would further destabilize power generation and supply nationwide.
By: J.W Quarm