- Ghana’s energy sector to reach at least GHc7 billion by the year’s end
- Urges resolution to the sector’s challenges
The Executive Director for African Centre for Energy Policy (ACEP), Benjamin Boakye, has stated that the Ghanaian energy sector may accumulate at least GHc7 billion by the year’s end if urgent measures are not implemented to check debt accumulation in the sector. Boakye stated that the growing debt is unsustainable.
“The average should be around eight to 10 per cent of the loss, and we are doing close to 40 per cent. What that means is that if you sell a million-dollar power, about 400,000 cannot be accounted for in Ghana’s Power Sector, and that’s a major concern,” Boakye said.
“We’ve known these problems since 2014, and we raised about eight billion dollars to be able to pay some of the debt in the energy sector. We’ll be paying about 1.6 billion every year to service the debt [but] the worst part is that the debt accumulation has been there since. So we continuously accumulate the debt,” he added.
Boakye, however, acknowledged the current administration’s current administration of President Nana Akufo-Addo in clearing the sector’s debt. He further stated that unless the sectors inefficiencies are dealt with, the risk of a continuous rise in debt will remain.