Ghana’s IPGs Lauds Mahatma-led Government Over Payment of Debt

The Independent Power Generators (IPGs) in Ghana have praised the national government for clearing a sum of $1.47 billion in energy sector arrears. 

Describing the settlement as a needed progress towards restoring financial stability and rebuilding investor confidence in the nation’s power sector, the group stated that the payments made in 2025 to independent power producers had eased severe liquidity constraints that have burdened the sector for many years, improving cash flow, operational planning and among others. 

It made this known to the public in a press statement made available to journalists on 12 January, with the group commending the country’s finance ministry and ministry of energy for pulling efforts to settle the arrears. 

The group noted that the settlement highlights a significant signal to both domestic and international investors that the country’s government is dedicated to honouring its contractual obligations and restoring credibility in its power market. 

A detailed breakdown 

A check on the breakdown reveals that Karpowership Ghana got $120 million, Cenpower Generation $59.4 million, Twin City Energy Amandi $38 million, Early Power $42 million while Sunon Asogli Ghana received $54 million. 

BXC Company, Meinergy Technology, AKSA Energy and Cenit Energy are some of the other beneficiaries. This puts the total payments made to the independent power producers to be approximately $392.8 million.

Ghana’s finance ministry disclosed it settled about $1.47 billion in the 2025 fiscal year to rescue and restore Ghana’s energy sector, a move to revive an industry which has been on the verge of instability due to years of persistent non-payment for gas supplied to the power sector from the Offshore Cape Three Points (OCTP) field.

As of December 2025, the government fully repaid $597.15 million, inclusive of interest, drawn on the World Bank Partial Risk Guarantee (PRG). The repayment has fully restored the facility and reaffirmed Ghana’s standing as a credible and reliable partner on the global stage. 

The government also settled all outstanding gas invoices owed to ENI and Vitol for electricity generation, totalling approximately $480 million. Budgetary provisions have been secured to ensure timely payments going forward.

The government also discussed with upstream producers such as Tullow Oil and Jubilee Field partners to agree on an outline that guarantees full payment for gas supplied. These engagements have already resulted in increased gas production aimed at improving electricity reliability and reducing dependence on costly liquid fuels.