The Minister for Energy, Dr. Mathew Opoku Prempeh, says the government has paid all debts owed to the Electricity Company of Ghana (ECG) as of March 2020, to help improve the company’s liquidity.
The government had initially paid an average of GHC2 billion directly to ECG’s suppliers (i.e VRA, IPPs, and GRIDCo) to defray GoG’s indebtedness to ECG.
This is therefore the final batch of payment for the debt of GHS 2.63 billion.
Speaking to the press, Dr. Matthew Opoku Prempeh stated that: “Government has acknowledged in March 2020, [that] ECG made a publication that government owed it an amount of money. [With] that government has paid, the GHS 2.63 billion. The government was paying on behalf of all ministries, departments, agencies, which were not metered, built, or not paying. So government cleared debt out of ECG.”
Government’s debt of GHS 2.63 Billion owed to ECG has been fully paid as of March 2020.
Clearing all debts owed ECG was key to improving liquidity of the company.
— Dr. Matthew Opoku Prempeh (@MatthewOPrempeh) May 16, 2021
The Manhyia South Constituency lawmaker further listed the formation of the revenue task force, acceleration of smart prepaid meter deployment, and boundary metering as some of the revenue-increasing strategies to defray the cost of production and distribution.
“A task force [would be constituted] to make sure that those who are bypassing and not paying would pay so that we could pay GRIDCO, VRA and other [energy] generators. The smart prepaid meter will help us to see what’s happening to those we are billing,” he said.