Former President John Mahama has made a plea to the Independent Power Producers (IPPs) to reconsider their decision to shut down their plants on July 1, 2023, due to the government's outstanding debt of $1.73 billion.
In a Facebook post on June 30, the former President highlighted the severe consequences such a move would have on Ghana's economy and the lives of Ghanaian families.
"As a concerned citizen, I appeal to the Chamber of Independent Power Producers (IPPs) to reconsider their plan to shut down their plants from July 1, 2023,” he said.
"If the IPPs, which account for nearly half of Ghana's total power generation and over two-thirds of the country's thermal power, proceed with this decision, it will have a devastating impact on Ghana's economy and negatively affect the lives of countless Ghanaian families," he added.
Mahama also urged the government to take immediate action and engage in discussions with the IPPs to find a sustainable solution to the impending power crisis.
He emphasised the need for prompt and prioritised discussions to address the issue effectively.
The Chamber of Independent Power Producers directed its members, including Sunon Asogli, Cenpower, Karpowership, AKSA, Twin City Energy, and CENIT, to cut supply to the national grid starting from July 1.
These independent power producers play a significant role in Ghana's energy sector, contributing 47 percent of the country's total power generation and 67 percent of its thermal power.
The outstanding debt of approximately $1.73 billion in cedis dates back to January 2021, hindering the IPPs' access to working capital and essential supplies, including chemicals for water treatment.
Elikplim Kwabla Apetorgbor, the CEO of the Chamber of Independent Power Producers, Distributors, and Bulk Consumers (CIPDiB), expressed their inability to secure further delays in payments from creditors and maintain operations.
In summary, the former President calls for a reconsideration of the shutdown plan by the IPPs and urges the government to engage in immediate discussions to find a resolution to the power crisis.