Former Energy Minister Boakye Agyarko has strongly criticized statements made by former Minister of Power, Dr.Kwabena Donkor, suggesting that all officials from the New Patriotic Party (NPP) administration, who were involved in the decision to terminate the power purchase agreement with the Ghana Power Generating Company (GPGC), leading to a $140 million judgement debt, should face a probe.
Mr Agyarko emphasized that it was vital to understand that it was not within his or any minister’s authority to unilaterally cancel or terminate a contract of this nature.
“I deem the utterances most unfortunate and irresponsible coming from a former Minister who ought to know that it is not within my power or province, or that of any Minister to unilaterally cancel or terminate a contract of this nature.”
Mr Agyarko clarified the circumstances surrounding the decision to review the Power Purchase Agreements (PPAs), emphasizing that “Upon assumption of office, the newly elected NPP government decided to take all the necessary actions to contain the cost of power generation and distribution in Ghana.
It became necessary to review the implementation of the many Power Purchase Agreements (PPAs) because should all of them be implemented as originally scheduled, it would result in the production of excess energy with its attendant cost, which would worsen the financial situation of the power sector.
“An Inter-Ministerial Committee was set up under the chair of the Energy Commission to review the fiscal and legal implications of Power Purchase Agreements (PPAs) executed by the Electricity Company of Ghana (ECG)