President John Dramani Mahama has announced that Ghana has secured significant financial relief in the energy sector, saving approximately $250 million through the renegotiation of power purchase agreements while also restructuring $1.1 billion in energy-related debt.
According to the President, the savings were achieved after a comprehensive review of existing power contracts aimed at eliminating excessive costs and improving efficiency within the sector. He explained that the renegotiations formed part of broader efforts to address long-standing financial challenges that have burdened the energy industry and strained the national budget.
Mahama noted that the $1.1 billion debt restructuring is expected to ease pressure on the country’s finances, enhance liquidity within the power sector, and ensure more sustainable operations for energy producers and distributors. He stressed that these measures are critical to stabilising the sector and preventing further accumulation of arrears.
The President emphasised that his administration remains committed to prudent financial management and transparent negotiations to safeguard the national interest. He added that reforms within the power sector will not only reduce costs but also strengthen reliability and create a more investor-friendly environment.
Mahama reiterated that ongoing efforts to streamline operations, cut waste, and improve governance in the energy sector are part of a broader strategy to restore economic stability and build a resilient energy system capable of supporting Ghana’s development agenda.
