Independent Power Generators support ₵1 Energy Levy
The Independent Power Generators, Ghana (IPGG), have backed the government’s introduction of the new ₵1 Energy Sector Levy, which takes effect today.
The group says the measure is necessary to stabilize the country’s electricity sector, which is facing a growing and unsustainable debt burden.
In a statement signed by Dr. Elikplim Kwabla Apetorgbor, Chief Executive Officer of IPGG, the group blamed the sector’s financial crisis on past failures to properly manage earlier energy levies and loans.
“It must be stated with clarity and conviction that the current accumulation of debt, now significantly compounded and overdue, was entirely avoidable,” the statement said.
It noted that: “Funds that were earmarked for the settlement of legacy debts and restoration of financial health were not applied with the discipline, transparency, and accountability that the sector required.”
The group further noted that the financial strain is affecting power producers’ ability to recover costs, maintain infrastructure, and ensure reliable fuel supply—putting grid stability at risk.
While acknowledging the burden the new levy places on consumers, the IPGG said the cost of inaction would be worse.
“We acknowledge the genuine burden any new levy places on consumers,” the group stated, emphasising: “the consequences of inaction—blackouts, plant shutdowns, job losses, and erosion of national productivity—are far more severe and immediate.” IPGG called for the levy proceeds to be “properly ring-fenced, monitored, and applied transparently” and pledged its readiness to collaborate with government and stakeholders to restore financial sustainability in the power sector.
