Ghana faces an imminent power crisis as Karpowership, the operator of a floating power plant at Aboadze in the Western Region, has threatened to halt operations.
Their decision stems from a massive $379 million debt owed by the Electricity Company of Ghana (ECG).
This alarming development was revealed during a meeting on Monday, between the Minister of Energy and Green Transition, John Abdulai Jinapor, and officials of Karpowership at the ministry.
In response to the looming shutdown, Mr Jinapor pleaded with Karpowership to exercise restraint while the new administration explores ways to clear the outstanding debt.
“We acknowledge the severity of the situation and are committed to finding a sustainable solution to address the financial obligations. We appeal to our partners to bear with us as we navigate these challenges,” the minister stated.
However, industry analysts warn that if Karpowership proceeds with its threat, Ghana could experience severe power shortages, potentially affecting businesses, industries, and households.
The energy sector has been grappling with a growing financial burden, with total debts surpassing $3 billion as of January 12, 2025.
The International Monetary Fund (IMF) has repeatedly warned that without urgent reforms, the sector faces imminent collapse.
The IMF has advised the government to implement cost-cutting measures, improve revenue collection, and restructure power agreements to ensure financial sustainability.
