The decision, which was disclosed in an official statement on 16th October, has sparked concerns over the stability of the country’s electricity supply.
The company's Chairman, Qun Yang, stated that the shutdown occurred at 5 PM on the 8th of October due to ECG's failure to settle its outstanding financial obligations. “This difficult decision was necessitated by our inability to fund our operations because of the failure of the Electricity Company of Ghana to honour their overdue payment obligations and their various promises to that effect,” Yang explained.
The chairman pointed out that, unlike other independent power producers, Sunon Asogli has been lenient with ECG, even refraining from invoicing for idle capacity charges. However, despite this, ECG’s debt to the company stood at $259 million (excluding fuel costs) as of the end of September 2024.
The company also highlighted the growing burden of ECG’s debt, with Yang revealing, “Our debt has grown by 23% on the net balance between January 2024 and September 2024, and only 22.6% of the invoices for the period have been paid by ECG from the Cash Waterfall Mechanism.”
The suspension of Sunon Asogli’s operations is expected to exacerbate the country's already strained electricity supply. Yang expressed his hope for a quick resolution, calling on the Ministry of Finance to intervene and facilitate a return to operations.
Former Power Minister, Dr Kwabena Donkor is reported ti have acknowledged the gravity of the situation, warning, “This will affect power supply. Sunon Asogli is the largest single Independent Power Supplier in Ghana.”