The Government of Ghana has settled $1.47 billion in outstanding debts within the energy sector, a move aimed at restoring power stability and strengthening confidence in the country’s electricity supply system.
According to government sources, the payment covers arrears owed to independent power producers, fuel suppliers, and key energy sector agencies whose operations had been constrained by delayed settlements. The debt clearance is expected to ease liquidity pressures, improve operational efficiency, and reduce the risk of power disruptions.
Officials say the intervention forms part of broader reforms to stabilise the energy sector, which has struggled in recent years with mounting debts, fuel supply challenges, and maintenance backlogs. By settling the arrears, the government hopes to ensure a reliable fuel supply for power generation and enhance grid reliability nationwide.
The Ministry of Energy noted that the move would also help rebuild investor confidence and encourage further private sector participation in Ghana’s power industry. Analysts believe the settlement could mark a turning point in addressing systemic challenges that have contributed to intermittent power supply concerns.
Energy sector stakeholders have welcomed the development, describing it as a critical step toward long-term sustainability. However, they have also called for stronger financial discipline, improved tariff management, and structural reforms to prevent a recurrence of debt accumulation.
The government has reiterated its commitment to comprehensive energy sector reforms, including improved revenue collection, efficient power procurement, and prudent financial management, to ensure stable and affordable electricity for households and businesses across the country.
