Sunon Asogli Power (Ghana) Limited has announced the shutdown of its 560-megawatt power plant on Tuesday, October 8, 2024, at 5 PM.
This drastic decision stems from the Electricity Company of Ghana’s (ECG) failure to settle its overdue payment obligations, totaling a staggering $259 million as of September 2024.
The company expressed regret over the shutdown, citing its long-standing cooperation with ECG and the government. Despite being owed a substantial amount, Sunon Asogli Power has been considerate in its dealings, refraining from invoicing ECG for accrued idle capacity charges, unlike other independent power producers.
“Despite this ECG owes Sunon Asogli a net (excluding fuel) receivable amount of $259 million as at the end of the September 2024”.
Sunon Asogli reveals that the debt crisis continues to worsen, with ECG’s debt growing by 23% between January and September 2024. Alarmingly, only 22.6% of the invoices issued during this period have been paid through the Cash Waterfall Mechanism.
In a statement signed by the Chairman, Qun Yang, Sunon Asogli Power apologized for the impact of the shutdown on the national power supply and expressed hope for a swift resolution to the ongoing financial challenges.
“We expect the Ministry of Finance to intervene for us to return to operations as soon as possible”, the stated noted.
www.kumasimail.com / Kwadwo Owusu
