Former President John Dramani Mahama has raised alarm over the state of Ghana’s power sector, warning that it is on the verge of collapse.
Speaking at the Energy Sector Forum in Accra, Mahama pointed to inefficiencies, mounting debt, and inadequate infrastructure as major issues threatening the stability of the sector.
The flagbearer for the National Democratic Congress (NDC) said this at the Energy Sector Forum in Accra on Friday.
He emphasized the urgent need for comprehensive reforms to avert a potential crisis and called on the government to prioritize sustainable energy solutions.
Mahama revealed that despite the government inheriting over GH₵40 billion in ESLA revenues and $7.4 billion in oil revenues, the sector is heavily burdened by debt, with Independent Power Producers (IPPs) owed $2 billion.
“The energy sector is choking on debt. ECG’s financial losses have ballooned, and the sector is on the brink of collapse. The IPPs are owed about $2 billion, which has put the power sector in jeopardy. Natural gas supplies are in huge arrears, with several more outstanding debts, crippling cash flow in the sector,” he said.
He assured Ghanaians that the next NDC government has a comprehensive strategy to restore and transform the energy sector.
“At its core, the principle of governance is about solving real problems that impact our people. It demands confidence in ideas, but also the humility to take responsibility and engage with diverse groups and individuals, harnessing their insights and experience to craft and implement effective policies. And this served me very well when I worked as president of this country. I’m glad to inform you that, following a serious series of consultations, we have had with many of you. The next NDC government has developed a well thought out plan and a comprehensive strategy to restore and transform Ghana’s energy sector.”