Ghana’s Energy Minister, John Jinapor, has sounded the alarm on the country’s dwindling fuel reserves for power generation, warning that the nation is on the brink of a severe energy crisis.
With only 2.6 days of fuel reserves remaining, the Minister has urged the government to take immediate action to avert a potential disaster.
In an urgent appeal to the Parliamentary Energy Committee, Mr. Jinapor revealed that the Energy Ministry requires GH₵1.1 billion to procure liquid fuel to keep power plants operational. The Minister described the situation as “critical” and emphasized the need for swift government intervention.
Despite ordering additional fuel, payment challenges persist, with some fuel already purchased on credit. The Ministry is working closely with the Finance Ministry to settle outstanding bills, but financial constraints are hindering progress.
To address the crisis, the government is exploring long-term solutions, including involving the private sector in managing the Electricity Company of Ghana (ECG). This move aims to improve efficiency and generate more revenue for the energy sector.
However, the Minister highlighted another significant challenge: many public institutions are defaulting on electricity bill payments. For instance, Ghana Water Limited has reportedly not paid for power usage over the past seven months, further straining the sector’s finances.
To mitigate this issue, the government will mandate all Ministries, Departments, and Agencies (MDAs) to include electricity payments in their budgets. Only essential services, such as hospital wards, laboratories, and theaters, will be exempt from paying electricity bills. In contrast, school dormitories and dining halls will not be exempt.
The Minister stressed that all government institutions must take responsibility for their electricity consumption to help resolve the current crisis and prevent future shortfalls.
The Minister’s warning highlights the urgent need for government action to address the energy crisis. As the situation continues to unfold, it remains to be seen whether the proposed measures will be sufficient to stabilize Ghana’s energy sector and prevent further disruptions.