IPPs rescind decision to shutdown plants as ECG; PDS make moves to settle huge debts

IPPs rescind decision to shutdown plants as ECG; PDS make moves to settle huge debts

Independent Power Producers (IPPs) under the Chamber of Independent Power Producers, Distributors and Bulk Consumers (CIPDIB–Ghana), have rescinded their decision to shut down their plants in protest against the non-payment of huge debts by the Power Distribution Services, PDS, and the Electricity Company of Ghana, ECG.

The IPPs had earlier threatened to shut down their plants which supply 1,500 kilowatts of power, should the PDS and ECG fail to pay them the over 700 million dollars debt within two weeks.

However, a statement issued and signed by the Chief Executive Officer of the CIPDIB, Mr. Elikplim Kwabla Apetorgbor, said: “since the matter came to the fore through the instrumentality of the vibrant media, stakeholders have been engaging behind the scenes to have the matter resolved”.

He indicated that the ECG had since the issuing of the ultimatum, made some payments to the IPPs concerned, and expressed his appreciation to all the stakeholders, the government, industry players and the media for helping to resolve that “critical issue of national concern”.

Mr. Apetorgbor noted that the decision to shut down the plants was a difficult one for the IPPs; and that they were constrained by the huge debts which were choking their operations.

He, therefore, called for more engagement among the industry players and important stakeholders with a view to guaranteeing stable power supply regime in the country.

Below is the full statement of the CIPDIB

IPPS APPRECIATE EFFORTS BY STAKEHOLDERS TO AVERT SHUT DOWN

1. The past week was particularly busy for the IPPs as they contemplated a shutdown of their plants due to mounting debt stocks.

2. Even though this contemplation was a particularly difficult one for the IPPs, they were constrained by the huge debts which were choking their operations.

3. Against this backdrop, the IPPs, under the umbrella body of CIPDIB, expressed their frustration with a view to having the matter resolved in the interest of our country.

4. Since the matter came to the fore through the instrumentality of the vibrant media, stakeholders have been engaging behind the scenes to have the matter resolved.

5. It would interest the public to learn that the ECG had, since the outbreak of this matter, made some payments to the IPPs concerned.

6. There are further commitments by the stakeholders to have the payments to IPPs well-structured going forward.

7. In the light of these developments, CIPDIB, wishes to acknowledge the efforts of all stakeholders, industry players and the media in helping resolve this critical issue of national concern.

8. CIPDIB particularly appreciates the role of government, ECG, PDS and the media in tackling the issue.

9. As a responsible Chamber, we have a responsibility to protect the national interest and the interest of our members.

10. CIPDIB further calls for more engagement among industry players and important stakeholders with a view to guaranteeing stable power supply regime in our fledgling economy going forward.

We thank you all.

Signed.

Mr. Elikplim Kwabla Apetorgbor

(Chief Executive Officer, CIPDIB)

 

Source: citinewsroom.com

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