{"id":328322,"date":"2017-06-14T14:00:21","date_gmt":"2017-06-14T14:00:21","guid":{"rendered":"http:\/\/citifmonline.com\/?p=328322"},"modified":"2017-06-14T14:00:21","modified_gmt":"2017-06-14T14:00:21","slug":"knee-jerk-reactions-to-dumsor-could-cost-ghana-700m-agyarko","status":"publish","type":"post","link":"https:\/\/citifmonline.com\/2017\/06\/knee-jerk-reactions-to-dumsor-could-cost-ghana-700m-agyarko\/","title":{"rendered":"‘Knee-jerk reactions’ to dumsor could cost Ghana $700m – Agyarko"},"content":{"rendered":"
Ghana is likely to pay $700 million as extra capacity charges if all the Power Purchase Agreements, (PPAs) are implemented, the Energy Minister, Boakye Agyarko has said.<\/p>\n
Commenting on the need to streamline all PPAs, during a presentation at the Ghana Energy Summit on Tuesday, Mr. Agyarko said his government would do its best to save the country some money.<\/p>\n
[contextly_sidebar id=”97v2jHxTGInMv8ZCAxDHZ6AOcjcefcCx”]He noted that, knee-jerk reactions in the wake of the dumsor crisis “led to the over procurement of expensive thermal power capacity with serious financial consequences.”<\/p>\n
“If all the power purchase power agreements currently in place are implemented, the nation will incur annual extra capacity charges of nearly $700 million,” the Minister further warned.<\/p>\n
According to Mr, Agyarko, “deals driven by generation capacity procurement have resulted in a very high average tariff for power, making our power the most expensive in the sub-region.”<\/p>\n
About 20 PPAs cancelled<\/strong><\/p>\n President Nana Akufo-Addo, during his 2017 State of the Nation address, said the Mahama government had signed 43 PPAs, while a further 23 were under review.<\/p>\n