The Ministry of Finance has disclosed that the Mahama administration paid approximately US$393 million in legacy debts to Independent Power Producers (IPPs) in 2025 as part of a broader strategy to stabilise Ghana’s energy sector.

In a press release issued on January 12, 2026, the Ministry said the payments formed part of a wider US$1.47 billion intervention aimed at clearing inherited arrears, restoring investor confidence, and ensuring reliable electricity generation nationwide.

The beneficiaries of the payments included Karpowership Ghana Limited, which received US$120 million, Cenpower Generation Company with US$59.44 million, and Sunon Asogli Power, which was paid US$54 million, among others.

“These payments further anchored the gains made in restoring stability to the sector,” the statement noted.

The Ministry also revealed that government has successfully renegotiated all IPP agreements to “secure improved value for money for the Ghanaian people,” while implementing the Cash Waterfall Mechanism to prevent the re-accumulation of arrears.

“The era of uncontrolled energy sector debt accumulation is over,” the Ministry assured, adding that government remains committed to improving payment performance across all IPP obligations and sustaining increased domestic gas production to reduce reliance on expensive liquid fuels.