Chief Executive Officer of Independent Power Generators, Ghana (IPGG), Dr. Elikplim Kwabla Apetorgbor, has thrown his full support behind the government’s newly introduced GH₵ 1 Energy Sector Levy, describing it as a “necessary and time-sensitive” measure to halt the sector’s financial decline and prevent widespread systemic failure.
In a statement, Dr. Apetorgbor highlighted the severity of the power sector’s current financial state, blaming the crisis on the mismanagement and misuse of previous energy sector levies, bond proceeds, and loans.
“The current accumulation of debt, now significantly compounded and overdue, was entirely avoidable. Funds that were earmarked for the settlement of legacy debts and restoration of financial health were not applied with the discipline, transparency, and accountability that the sector required.” he stated.
According to the IPGG, the power generation ecosystem is under immense strain, with Independent Power Producers (IPPs) struggling to recover costs, maintain equipment, and secure consistent fuel supplies, conditions that severely compromise grid stability and investor confidence.
Dr. Apetorgbor praised the government’s move as a bold and corrective policy shift.
“The introduction of the GH₵1 levy is a pragmatic and forward-looking measure. If properly ring-fenced, monitored, and applied transparently, it can serve as a credible instrument for restoring liquidity and credibility in the power sector,” he said.
While acknowledging the potential burden the new levy imposes on consumers, Dr. Apetorgbor cautioned that the cost of inaction is far more dangerous for Ghana’s economy.
“The consequences of inaction, blackouts, plant shutdowns, job losses, and erosion of national productivity are far more severe and immediate.”
He urged all Ghanaians to support the measure in good faith, while calling for stringent oversight to ensure that revenues from the levy are used effectively to place the sector on a path of financial sustainability and operational efficiency.
“Ensuring a stable and resilient electricity supply is a shared responsibility that requires collective sacrifice and institutional accountability,” he added.
