ENERGY MINISTER REVEALS GHANA WATER COMPANY OWES ECG GHC1 BILLION

Ghana’s Energy Minister, John Jinapor, has revealed that the Ghana Water Company Limited (GWCL) is indebted to the Electricity Company of Ghana (ECG) to the tune of approximately GH¢1 billion. The substantial arrears, accumulated over time, have raised serious concerns about the sustainability of power supply to the water utility.

Speaking on the matter, the minister stressed the urgency for GWCL to settle its outstanding bills, warning that failure to do so could result in ECG cutting off electricity to the company. He emphasized that the government cannot continue to shoulder such significant debts, especially when ECG itself is grappling with severe financial constraints.

This situation comes amid broader challenges in Ghana’s energy sector. ECG reportedly owes Independent Power Producers (IPPs) about $1.73 billion and also has local debts amounting to GH¢68 billion. These figures highlight the financial pressures facing ECG and the wider energy ecosystem.

The minister’s remarks signal a possible disruption in water distribution services should the debt remain unpaid, as disconnection from the power grid would affect the operations of GWCL. The government is urging a swift resolution to prevent interruptions in essential utilities like water and electricity.