By Josephine Kekeli Amuzu
Karpowership Ghana has started discussions with the government over a significant debt of $379 million, noting that the unpaid invoices are severely affecting its operations.
The company confirmed it has been in talks with the Ministry of Energy and Green Transition regarding the outstanding financial obligations. Karpowership has warned it may suspend electricity supply unless the government addresses the debt, but the Ministry of Energy has reassured that power supply will not be disrupted.
Sandra Amarquaye, Communication Manager for Karpowership Ghana, told Citi Business News that, “we have engaged the Ministry of Energy over the accrued debt and negotiations are ongoing.” She reiterated Karpowership’s commitment to its partnership with the country, emphasizing the need to resolve the financial issues to maintain a stable collaboration.
This situation arises amidst growing concerns about the sustainability of Ghana’s energy sector, which has been facing increasing debts. Industry experts warn that delays in resolving these financial issues could disrupt power generation and supply.
“We had a meeting with the Ministry of Energy and Green Transitions. We brought it to their attention and we are currently in negotiations with the government for a sustainable solution over the debt that accrued over the period,” Amarquaye stated.
Citi Business News reports that the Sector Minister, John Jinapor, has plans to address the debt.
“And we as a ministry will do everything within our power to ensure that we do just that. Inasmuch as it is a burden, but regardless of how much it is, we need to find solutions. And that is exactly what the ministry is determined to do,” said Isaac Agyei Kwakye, Public Relations Officer for the Ministry.
