Independent power producer Sunon Asogli Power (Ghana) Limited has refuted recent accusations from the government, claiming it acted in “bad faith” during ongoing debt negotiations.
The response comes after Finance Minister Dr. Mohammed Amin Adam criticized Sunon Asogli for shutting down its 560-megawatt power plant amid unresolved discussions over an unpaid debt. In a statement dated October 16, Sunon Asogli clarified that the shutdown was necessary due to an outstanding $259 million debt owed by the Electricity Company of Ghana (ECG), not including fuel costs as of September 2024.
The company stated that the significant debt burden had created substantial financial strain, limiting its capacity to sustain normal operations. This shutdown has contributed to frequent power outages across the country, with many regions facing inconsistent electricity.
In response to the outages, the government has accelerated negotiations with Sunon Asogli in an effort to stabilize the national power grid. Sunon Asogli’s leadership emphasized that the shutdown was unavoidable, citing rising operational expenses and limited working capital. Dr. Elikplim Apetorgbor, CEO of the Independent Power Producers’ Association, defended Sunon Asogli’s actions, stating that the government’s delay in fulfilling its financial obligations left the company with few options.
The company reiterated its willingness to negotiate and work toward a resolution to the debt crisis, ensuring a reliable power supply. Sunon Asogli’s spokesperson expressed frustration with the stalled payments:
“We have yet to reach any restructuring agreement. Negotiations are ongoing, and it’s expected to be a fair process,” the spokesperson stated. “The Finance Minister has repeatedly promised payment but has not followed through. He’s accusing us of bad faith, but what about the $259 million that remains unpaid? We’ve requested at least $60 million to help us resume operations, and yet we are told we’re the ones acting unfairly. Without this capital, we cannot continue operating effectively.”
SOURCE: http://dew360.net
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