The Independent Power Generators, Ghana, formerly Ghana Chamber of Independent Power Producers is cautioning the government against restructuring energy debts owed to them.

According to the power generators, it is practically impossible for the government to restructure energy debts, amounting to about $2.3 billion.

This is because the IPPs are highly indebted to their suppliers and banks.

Speaking at a public forum organised by Think Progress Ghana, the Chief Executive of the Chamber of Independent Power Generators, Ghana, Elikplim Apetorgbor said members of the association cannot accept any haircut since their suppliers and bankers are after them to settle their huge debt and loans.

“On the issue of debt structuring, our position has been very emphatic and clear that the debt that we want to restructure is a debt that we also owe to our lenders and suppliers. If you gave us haircuts say all our outstanding debts and you say you want to give us haircuts of 30% or 40% out of it, who will pay our debt for us?”

“These are actual costs that we have incurred. The debt in question is not our savings, not our profits; So it’s practically impossible to restructure it”, he pointed out.

Mr. Apetorgbor also said the members have presented an option to government, a favourbale payment plan that can make them comfortable to negotiate with their lenders.

“We have presented an option to government that we are hoping to a fair payment plan that can make us comfortable to talk to our lenders. That restructuring or ‘haircut’ proposal won’t work. We are patiently waiting for government to pay us our money, how it will happen, I don’t know.”

“All we are looking for is our money. We’ve received some indications of some payments to be made, but we have been waiting for long, for over three months.

He admitted that the IPPS have not made any headways in terms of negotiations with government“ and I think we are sitting on life support. Anything can happen and we can’t guarantee generation always”.

“We have been very diplomatic to ensure there’s dialogue, and have a mutual settlement but I’m sorry we are not getting there”, he concluded.

As of November 30, 2023, the government owed the IPPS about $2.35 billion.