The Electricity Company of Ghana (ECG) has fulfilled a $30 million payment, settling half of its $60 million debt to Sunon Asogli Power Limited. Samuel Dubik Mahama, the Managing Director of ECG, announced on Citi Prime News on Friday, December 8, that the transaction occurred on Thursday, December 7.
Sunon Asogli Power Limited temporarily ceased operations on Monday, December 4, citing the government’s delayed financial commitments to power plants. However, the shutdown was deferred for a week after the government assured the clearance of the debt.
Mr. Mahama assured that ECG is dedicated to fortifying its ties with independent power producers. He stated that arrangements have been made for a second payment of $30 million to Sunon Asogli, with structures in place to prevent delays in future payments.
“Sunon Asogli has received $30 million from the government of Ghana, and discussions are well-progressed for a second tranche of another $30 million to be paid to them. Sunon Asogli has always been an integral part of our growth. They are one of the first Independent Power Producers (IPPs) and have consistently treated Ghana fairly in structuring their Power Purchase Agreements (PPAs).
They are valuable partners with whom we aim to grow. We have even devised a new approach to renegotiate our outstanding PPA to make it more efficient and cost-effective for the people of Ghana,” explained Mr. Mahama.