IPPs notify Finance Ministry to cut power supply by July 1, 2023

Independent Power Producers (IPPs) have served their last notice to the finance Minister, Ken Ofori-Atta, that they will shut down plants or simply cut power supply to the national grid from July 1, 2023, should their demand go unaddressed.

The communique was issued after an emergency meeting on Tuesday.

In its official letter to the finance minister, the IPPs cited an earlier demand for 30% payment of outstanding arrears of each IPP by June 20th.
The Chamber of Independent Power Producers however said that fell on deaf ears.

“We refer to our letters dated March 27, 2023, and May 25, 2023, with reference numbers IPGG/1/2023 and IPGG/2/2023 addressed to the Minister [Finance] by which the IPP Chamber stressed the urgent necessity for the government to prioritise payment of the outstanding arrears owed to members of the IPP Chamber to enable the IPPs to cover critical operational costs required to continue operations and pay overdue debt service”, the statement said.

The Chamber has since urged the Electricity Company and other stakeholders to treat the reminder with the urgency it deserves and take the steps necessary including a possible load-shedding timetable, to address the looming crisis.

“Members of the IPP Chamber are now at a point where they are unable to persuade their creditors, contractors, contractors, and other key stakeholders to further defer payments owed to them and to continue operations”. It added.