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Mahama pledges to settle Energy Sector debts by early 2026

The government has reiterated its commitment to clearing debts in the energy sector, assuring that substantial payments will be made by the end of 2025 or early 2026.

President John Dramani Mahama, addressing participants at the Africa CEO Summit in Abidjan, Côte d’Ivoire, expressed deep concern over the sector’s mounting liabilities, which currently stand at GH¢80 billion.

He revealed that the government is actively engaging stakeholders and implementing measures to clear arrears owed to Independent Power Producers (IPPs) and other service providers, to sustain energy production and prevent disruptions.

“The energy sector has been number one in terms of priority. On my second coming, we met a messed-up energy sector with debts of almost 2.5 billion owed to Independent Power Producers, to gas suppliers, and everybody,” the President said.

“And so what the previous [government] started, we are continuing. We have been trying to renegotiate the debt and see how we can ring fence it. We have some strategies for dealing with it.

“By the end of the year, early next year, we should be able to make everybody happy in terms of dealing with that debt,” he added.

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