The country’s power industry is on the verge of a catastrophe, as Karpower, the operator of the Aboadze power barge, has threatened to cease electricity supply until the government settles a $379 million debt.
The threat was made during a February 10, 2025, meeting between Energy and Green Transition Minister John Abdulai Jinapor and Karpowership officials.
The debt, due by the state-run Electricity Company of Ghana (ECG), adds to the country’s ballooning energy sector liabilities, which now exceed $3 billion.
Recognizing the severity of the situation, the Minister urged Karpower to hold off on any severe measures while the incoming administration investigates payment options.
However, the International Monetary Fund (IMF) has consistently identified Ghana’s energy debt as a serious risk, thus the window for assistance is closing.
The IMF has advocated broad changes to keep the sector from imploding under growing financial pressures.
If Karpowership follows through on its threat, Ghana may experience protracted power outages that impact industry, businesses, and households.
