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Home » Minority alleges $700m debt burden in energy sector, seeks government explanation

EconomyEnergyGeneral newsGovernanceNational NewsNewsParliamentParty PoliticsPolitics

Minority alleges $700m debt burden in energy sector, seeks government explanation

Agyemkum Tuah
Last updated: April 28, 2026 1:17 pm
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The Minority in Parliament has raised fresh concerns over the financial stability of Ghana’s power sector, alleging that government owes more than $700 million in outstanding payments to Independent Power Producers (IPPs) and fuel suppliers.

Addressing the media on Tuesday, 28 April 2026, Deputy Ranking Member on Parliament’s Energy Committee, Collins Adomako Mensah, argued that the challenges confronting the sector go beyond technical constraints and are largely driven by persistent financial shortfalls.

“We also know that the problems of the sector are not only technical; they are financial,” he said.

According to him, while the Minister for Finance, Cassiel Ato Forson, had previously indicated that government had cleared arrears owed to IPPs, data available to the Minority suggests significant debts remain outstanding.

“The data available to us is that the government owes IPPs over $500 million and over $200 million to companies that supplied fuel for power generation,” he disclosed.

The Minority maintained that the figures contradict earlier assurances of improved financial health within the Electricity Company of Ghana (ECG) and broader reforms in the energy sector.

The group further questioned the management of revenues from the Energy Sector Levy, commonly referred to as the “Dumsor levy”, insisting that government must provide a comprehensive account of its utilisation.

“We are calling on the Minister for Energy and the Minister for Finance to, within the shortest possible time, lay before Parliament and publish a full, detailed and independently verified report on the one Ghana cedi Dumsor levy, covering all collections made to date, all disbursements, and the outcomes of every expenditure,” Mr Adomako Mensah stated.

The Minority is demanding greater transparency and accountability in the handling of energy sector finances, warning that unresolved debts could further destabilise electricity supply and investor confidence in the sector.

Source: asaaseradio.com

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TAGGED:Deputy Ranking Member on Parliament’s Energy CommitteeElectricity Company of Ghana (ECG)Independent Power Producers (IPPs)Minister for Energy and the Minister for FinanceThe Minority in Parliament
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