Ghana’s power stability is expected to improve after the government reached a new agreement with Independent Power Producer Sunon Asogli. The renegotiated deal, announced by Finance Minister Dr. Mohammed Amin Adam, addresses recent power disruptions resulting from financial challenges between Sunon Asogli and the Electricity Company of Ghana (ECG).
Sunon Asogli’s 560-megawatt power facility had been offline since October 16, following ECG’s substantial outstanding debt, which reached an estimated $259 million by September 2024. This debt, excluding fuel costs, forced the power producer to halt operations, leading to widespread power outages that disrupted electricity in several Ghanaian regions.
The government’s prompt action to negotiate a new agreement with Sunon Asogli aims to restore reliable electricity supply and alleviate grid instability. During a media briefing on October 28, Dr. Amin Adam confirmed the agreement, reassuring Ghanaians of enhanced power stability.
Dr. Amin Adam emphasized that this agreement marks a significant step in the government’s strategy to tackle energy challenges and maintain a consistent electricity supply. He further highlighted that this renegotiated deal with Sunon Asogli forms part of a broader restructuring initiative involving multiple Independent Power Producers (IPPs).
This milestone underscores the government’s commitment to long-term stability in Ghana’s energy sector, focusing on sustainable power solutions for the nation. Dr. Amin Adam shared that Sunon Asogli is prepared to finalize the settlement agreement, which also represents a critical advance in restructuring efforts with other IPPs.
