Mahama appeals to IPPs not to shutdown plants

Former President John Dramani Mahama has appealed to the Chamber of Independent Power Producers (IPP) not to carry out their threats of shutting down their power supplies on July 1, 2023, due to the Government’s indebtedness to them.

The former President made the appeal through Mr John Abu Jinapor, the Ranking Member of the Parliamentary Select Committee on Mines and Energy at a press conference at Parliament House in Accra.

The Chamber, which is made of Sunon Asogli, Cenpower, Karpowership, AKSA, Twin City Energy and CENIT, has in an email directed its members not to declare their available power capacity to the system operator beginning 1st to 8th July.

Mr Jinapor, who is also the MP for Yapei-Kusawgu, said the former President had directed him to make an appeal to the IPPs not to carry out their threats of shutting down their power supplies to the country.

The MP noted that the IPP had been threatening to shut down all their plants following the inability of the offtaker, which was mainly the Electricity Company of Ghana (ECG) to settle its debt obligation from power that had been produced.

He said the Mines and Energy Committee of Parliament had met the IPP over the weekend and that the situation indeed was dire.

He said the nation was on the brink of power crisis if indeed, the Chamber of IPPs goes ahead with its threat of shutting down their power supplies.

He said the IPPs constitute 67 per cent of thermal power produced in Ghana and that when it comes to the total power generated in the country, the IPPs alone constitute about half of it.

He said the IPPs carrying out their threats of shutting down their plants would lead to a massive blackout out (dumsor) in the country, which would have serious implications for the country.

Mr Jinapor further appealed to the Minister of Finance to ensure that the indebtedness to the IPPs were settled on time to avoid deepening the nation’s energy crisis.