The Minority in Parliament has raised concerns over the growing debt burden in Ghana’s power sector, alleging that the government owes more than $700 million to Independent Power Producers (IPPs) and fuel suppliers.
Speaking at a press briefing on Tuesday, April 28, Deputy Ranking Member on Parliament’s Energy Committee, Collins Adomako Mensah, said the challenges confronting the energy sector go beyond technical difficulties and are largely tied to financial mismanagement.
According to him, despite assurances from the Ministry of Finance last year that debts owed to IPPs had been settled, available information suggests otherwise.
“The problems in the sector are not only technical; they are also financial,” he stated.
Mr Adomako Mensah claimed that the government currently owes over $500 million to Independent Power Producers and more than $200 million to companies that supplied fuel for power generation.
He questioned the government’s earlier claims of improved financial performance at the Electricity Company of Ghana (ECG), insisting that the sector continues to face severe financial strain.
The Minority is therefore demanding transparency regarding the management of funds collected under the recently introduced “Dumsor levy.”
The group called on both the Minister for Energy and the Minister for Finance to present a detailed and independently verified report to Parliament upon its resumption.
According to the Minority, the report should outline all monies collected through the levy, disbursements made, and the outcomes of expenditures undertaken so far.
“If the levy has been collected but not properly applied, Ghanaians have the right to know. If it has been misappropriated, those responsible must be held accountable,” Mr Adomako Mensah stressed.
The Minority maintains that greater transparency and accountability are necessary to restore confidence in the country’s struggling power sector.
