Audio By Carbonatix
The management of the Electricity Company of Ghana (ECG) has reaffirmed its commitment to strictly comply with the Cash Waterfall Mechanism to ensure a reliable electricity supply.
Mr Kwame Kpekpena, Acting Managing Director of the ECG, said the Cash Waterfall Mechanism was a transparent and equitable revenue distribution framework for managing electricity-sector payments.
He said this during a visit to inspect the Aksa Plant, which is under construction at Anwomaso in the Oforikrom Municipality of the Ashanti Region.
He was accompanied by Dr William Amuna, Board Chairman, and the management of the Ashanti Regional ECG.
Mr Kpekpena indicated that adopting the Cash Waterfall Mechanism would ensure that all revenue collected by the ECG was distributed proportionally among sector players, including Independent Power Producers (IPPs) and state-owned utilities.
Additionally, the mechanism would reduce payment gaps and sector debt, thereby providing a stable, consistent power supply to customers.
Mr Kpekpena said, “currently our revenue collection has improved, and the economic indicators are better, so we are able to pay all IPPs.”
He emphasised that a stable power supply positively impacted the country's economic performance, ultimately making citizens happier and more comfortable.
Mr Kpekpena expressed delight at the establishment of the Aksa Plant, which, when fully completed, would improve power access in the region.
“Kumasi is one of Ghana’s largest cities, and the Ashanti Region has a lot of developmental opportunities, so establishing a generation hub in Kumasi as the middle belt is a step in the right direction,” he said.
Mr Murat Captug, the Country Manager of Aksa Energy, said that the first phase of the plant construction had been completed, with 123 MW of the 205 MW total capacity now in operation.
He assured that by the end of April this year, the second phase of the project would be completed, enabling the plant to reach full operational capacity.
Dr William Amuna, the Board Chairman of the ECG, commended the Managing Director of the ECG for ensuring fiscal discipline to enhance operational efficiency.
He said the ECG was developing an innovative strategy to combat illegal connections and increase revenue to keep the power supply chain functioning and minimise system losses.
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