ECG settles $30M of $60M debt with Sunon Asogli

The Electricity Company of Ghana (ECG) has made a significant payment of $30 million to Sunon Asogli Power Limited, addressing a portion of the $60 million debt owed.

Samuel Dubik Mahama, Managing Director of ECG, confirmed this development, stating that the payment was made on Thursday, December 7.

Sunon Asogli Power Limited had initially shut down operations on December 4, citing the government’s delayed financial commitments to power plants. However, the power producer temporarily suspended its decision for a week following government assurances of debt clearance.

Mahama emphasized ECG’s commitment to strengthening its relationship with independent power producers and mentioned that arrangements are in place for a second tranche of $30 million to be paid to Sunon Asogli.

He assured that structures have been implemented to prevent delayed payments.

“Sunon Asogli has received $30 million from the government of Ghana, and the conversations are far advanced for a second tranche of another $30 million to be paid to them. Sunon Asogli has always been an integral part of our growth. They are very good partners that we intend to grow with,” Mahama stated in a Citi News interview.

He further highlighted plans to renegotiate outstanding Power Purchase Agreements (PPAs) with Sunon Asogli, aiming to make them more efficient and cost-effective for the benefit of the Ghanaian people.

Source:dailymailgh