ECG Settles Half Of Sunon Asogli Debt

The Electricity Company of Ghana (ECG) has settled half of its debt to Sunon Asogli Power (Ghana) Limited after the Independent Power Producer announced a shutdown on Monday.

According to the Managing Director of the Electricity Company of Ghana (ECG), Samuel Dubik Mahama, $30 million has been paid to the company to ensure their continuous operation in the country.

He noted that the company has dealt fairly with the country and the last effort will be to lose them.

“They are one of the first IPPs and they have always treated Ghana fairly when it comes to how they have structured their PPAs, they are very good partners that we intend to grow with so we have even come up with a new way to renegotiate our outstanding PPA to make it much more efficient and cheaper for the good people of Ghana,” Citinews quotes Mr Dubik as saying.

As such he said the half payment has been made with efforts underway to settle the rest of the debt.

“Sunon Asogli has received $30 million from the government of Ghana and the conversations are far advanced for a second tranche of another $30 million to be paid to them.”

On Monday, Sunon said the 560 MW plant will be shut at 6 pm as their “last resort” to demand payment of accumulated debt by the government of Ghana.

It noted that the debt impacted their operational capacities, “making it unsustainable to continue without addressing these financial challenges”.