Government Begins Payments of Energy Sector Debts to ENI, Tullow, and WAPCo.
In a decisive move to stabilize Ghana’s energy sector, the government has begun settling outstanding debts owed to key energy suppliers, including ENI, Tullow Oil, and the West African Gas Pipeline Company (WAPCo).
In a decisive move to stabilize Ghana’s energy sector, the government has begun settling outstanding debts owed to key energy suppliers, including ENI, Tullow Oil, and the West African Gas Pipeline Company (WAPCo). The announcement was made by the Minister for Energy and Green Transition, John Jinapor, during a press briefing in Accra.
Mr. Jinapor confirmed that:
Payments have been made to ENI and Tullow.
WAPCo received an initial US$12 million.
Ghana is now current on these obligations, helping avert potential service disruptions.
“We’re now current on these obligations, which is why the threats of shutdowns have subsided,” Jinapor stated.
The government has also begun replenishing the US$500 million World Bank-backed partial risk guarantee, which had been nearly depleted under the previous administration. Nearly half of the guarantee has already been restored.
To ensure sustainability:
The energy sector levy has been ring-fenced by the Ministry of Finance.
Funds are now exclusively used to settle legacy debts, not diverted to unplanned expenditures.
The reforms aim to reduce reliance on the Ministry of Finance for routine payments.
“This is how we free up fiscal space while making the energy sector self-sustaining,” Jinapor explained.
A full breakdown of paid and outstanding debts will be published by the Ministry of Information, reinforcing the government’s commitment to transparency. “This is a journey, not a sprint,” Jinapor emphasized. “But we are firmly on the path to financial recovery.”
