IPPs withdraw threat of shutdown as partial debt payment resolves crisis

The decision to shut down their plants by the Independent Power Producers (IPPs) has been revoked following the partial settlement of the $1.7 billion debt owed to them by the Electricity Company of Ghana (ECG).

The power producers had previously issued a threat to close down all their plants unless ECG paid off 30 percent of the total debt by Saturday, July 1.

However, during an emergency meeting held on Friday, June 30, ECG made a partial payment that falls short of the demanded 30 percent. Several key government officials were present at the meeting, according to information gathered by 3news.com.

As significant contributors, accounting for 50 percent of the national grid’s power supply, the IPPs’ decision to shut down could have resulted in blackouts in various communities within the southern sector of the country.

SOURCE: Coverghana.com.gh