Audio By Carbonatix
N-Gas Limited has officially notified the Volta River Authority (VRA) of its decision to halt gas supply to Ghana due to outstanding arrears.
In a letter addressed to the Managing Director of VRA on Tuesday, February 18th, 2025, sighted by myjoyonline.com, the company stated that effective March 6th, 2025, it would cease further gas deliveries in accordance with Clause 13.6(a) of the Takoradi Gas Sales Agreement.
This clause permits the suspension of supply if the buyer fails to fulfil its payment obligations.
The letter further indicated that N-Gas is committed to upholding the sanctity of contracts across the value chain and, as a result, may demand one month’s pre-payment from VRA as a condition for continued gas supply.
"To ensure the sanctity of contracts across the value chain, N-Gas may demand one month of pre-payment from VRA for continued gas supply," the letter stated, underscoring the company’s firm stance on financial commitments.
This development raises concerns over Ghana’s energy security, as the potential suspension of gas supply could impact power generation.
The VRA, which relies on gas from N-Gas to fuel thermal power plants, may be forced to explore alternative arrangements to prevent disruptions to electricity supply.
Latest Stories
-
The Suit is a shroud ; the fugu is our resurrection
4 minutes -
NDC appoints Inusah Fuseini as Ayariga steps down from Ayawaso East primary probe committee
18 minutes -
T-bills auction: Government exceeds target by 246; interest rates fall sharply to 9.9%
23 minutes -
Lands minister heads to South Africa for annual African mining investment conference
34 minutes -
Frank Quaye Writes: Nullify Ayawaso East primary to protect NDC’s integrity and goodwill
38 minutes -
Medeama survive Samartex test to reach FA Cup last eight
46 minutes -
Vote- buying, party reform, and the unfinished business of internal democracy in the NDC
1 hour -
Mahama Ayariga withdraws from NDC Ayawaso East probe as Majority Caucus demands cancellation of primary
1 hour -
Majority caucus calls for cancellation of Ayawaso East primary over vote-buying allegations
1 hour -
Jachie-Pramso SHS appeals for support as headmaster hails discipline
2 hours -
NDC committee given February 10 deadline to submit Ayawaso East vote-buying report
3 hours -
Abossey Okai spare parts dealers threaten one-week strike over new VAT regime
4 hours -
Sentencing is not a lottery -Lawyer defends Agradaa’s sentence reduction
4 hours -
Ghanaian highlife maestro Ebo Taylor dies at 90
4 hours -
Gunmen kill 3 people and abduct Catholic priest in northern Nigeria
4 hours