Former Member of Parliament for Bongo, Edward Abambire Bawa, highlighted that when the National Democratic Congress (NDC) government transitioned power in 2017, the energy sector was burdened with a debt of approximately $2.4 billion. Since then, he pointed out that the situation has become more challenging under the current administration of the New Patriotic Party (NPP).
Bawa emphasized that the NPP government has faced difficulties in managing this debt and fulfilling its obligations to Independent Power Producers (IPPs), which has contributed to the financial strain within Ghana’s energy sector. This strain has been linked to the recent increase in power outages, as the mounting debts owed to IPPs create challenges for reliable electricity supply.
The former MP explained during an interview on January 11, 2025, that while the NDC left a substantial debt, the responsibility now lies with the NPP to implement effective solutions to manage and reduce it. He mentioned that the initial debt was largely due to the necessity for a structure like the Energy Sector Levy Act (ESLA) to support the sector financially.
Bawa encouraged the current administration to take strategic actions aimed at resolving these issues, ensuring that the financial health of the energy sector improves, which would ultimately benefit the reliability of power production and supply throughout the country.
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