Independent Power Producer, Sunon Asogli Power Limited has announced that it has submitted its final version of the energy debt restructuring agreement to the Minister of Finance for finalization of the processes.
The development comes after the two parties locked horns over the terms of the debt restructuring agreement which led to a stalemate. Sunon Asogli in October this year proceeded to shut down its 560MW power plant citing ECG’s failure to settle an outstanding debt of $259 million.
It appears cool heads have prevailed as negotiations which broke down resumed leading to the resumption of operations by the private power generator.
In a statement released on Monday evening which confirmed The High Street Journal’s earlier story that the power producer has resumed operations, the company indicated a final terms sheet of the restructuring agreement has been submitted to the Ministry of Finance and the Electricity of Company of Ghana (ECG) for finalization and signing.
“We have returned to operations today, Monday, November 25, 2024, at 3 PM,” portions of the IPP’s statement read which further added that this was as a result of the government’s release of an “emergency funding to address our critical financial need.”
Sunon Asogli further noted that, “we have submitted our final version of the Restructuring Terms Sheet to the Ministry of Finance and Electricity Company of Ghana in August, for finalization and signing soon. We are confident that a win-win solution that will ensure the stability and reliability of Ghana’s energy sector will be achieved.”
However, the company cautioned against ECG and the government flouting the terms of the agreement adding that the company must “adhere to the spirit of the contract and diligently honor their financial obligations in the PPA.”
Sources also tell The High Street Journal that in the event of failure by ECG to honour the terms of the agreement, Sunon Asogli won’t hesitate to shut down again.
Meanwhile few hours after the resumption of operations of the 560MW power plant, many parts of the capital have been plunged into total darkness. The mass power outage took place exactly at 7:08 PM on Monday evening.
Checks by The High Street Journal reveal that parts of Tema, Oyarifa, Ashongman, North Legon, Agbogba, Sowutuom, Lapaz, Santamaria, and Race Course among others have all been plunged into darkness.
The ECG is yet to release a statement on the widespread power outage a few hours after Sunon-Asogli came back online.
