President John Mahama has stated that his administration inherited the country’s energy sector on the verge of collapse.
He explained that this situation arose because the Akufo-Addo government failed to pay power producers for services rendered over the years.
As a result, many of the country’s power producers were left in a precarious position, with some facing closure before he assumed office.
“My administration inherited an energy sector on the brink of collapse, weighed down by unsustainable debts.
“This unfortunate situation led to many independent power producers and fewer suppliers threatening to cease operations,” he said while delivering the State of the Nation to Parliament.
President Mahama disclosed that the NPP government had collected over GH¢45 billion over the past eight years as an energy sector levy.
However, he added, “The outgone administration has left the Ghanaian people with an energy sector burden amounting to a staggering GH¢70 billion as of December 2024.”
He noted that this financial distress had caused many enterprises in the energy sector to “struggle to stay afloat.”
The President emphasised that “financial distress in the energy sector remains a significant obstacle to delivering consistent and affordable electricity to Ghanaians and imposes an existential threat to our economy as a whole.”
He noted that his Energy Minister, John Abdulai Jinapor has commenced activities to restore faith in the country’s energy sector.
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
