The take-or-pay power contracts signed by the previous administration in the heat of the electricity supply challenges have resulted in Ghana paying, in 2018 and 2019, close to GH¢1 billion for needless excess power, President Nana Akufo-Addo has said in his fourth State of the Nation Address read to Parliament on Thursday, 20 February 2020.
“It gives me great pleasure to be able to say that we have overcome the ‘dumsor’ menace”, the President told the House, “But, unfortunately, I cannot say that we have resolved all our energy problems. It is still work in progress”.
“Further, the five years of energy crisis led to the signing of what can only be described as usurious contracts that have landed our country with a huge financial burden.
“The take-or-pay contracts resulted in the country being saddled with expensive excess power, and our having to pay nearly one billion United States dollars, in 2018 and 2019, for power we did not need.
“We are working to find a way out to ensure reliable power supply at a cost that makes us competitive in the region”, the President said.