Workers at Ghana Grid Company (GRIDCo) have sent out a sobering warning, stating that if the company does not receive immediate financial support, the notorious "dumsor" (intermittent power outages) may recur during the Christmas season. The employees of GRIDCo directly attribute their fragile financial situation to the Electricity Company of Ghana (ECG), blaming them for the latter's inability to pay for services delivered.
READ ALSO: "ECG Loses Approximately GH¢25 million Whenever It Rains" - Managing Director of ECG
These concerns were communicated to the Minister of Energy, the Board Chairman, and the Chief Executive of GRIDCo by Wisdom Kojo Adenyo, the National Chairman of the Senior Staff Association. Adenyo emphasized how GRIDCo's financial difficulties are made worse by the Cash Waterfall Mechanism's dysfunction, a vital system that makes payments to industry participants possible.
Shop With Us: https://www.etsy.com/shop/SokoMalls
Staff members allege that ECG, their primary customer, owes GRIDCo over GH₵100 million monthly, with irregular payments ranging from 18% to 25% of the owed amount. The letter points out that a substantial portion of the revenue remains outstanding without a clear plan for settlement, making it arduous for GRIDCo to honor supplier payments and procure essential tools, materials, and spares, all of which have a detrimental impact on the company's operations.
Reports indicate that ECG has outstanding debts with various state-owned entities, including the Ghana National Petroleum Corporation (GNPC), Volta River Authority (VRA), Ghana Gas, and Independent Power Producers (IPPs), leading to significant outstanding sums. VRA, faced with its own financial challenges, has resorted to selling power to neighboring Togo and Benin to offset these arrears. The accumulating debts within state-owned entities have led to daunting challenges in meeting vendor obligations, significantly impeding their operations.
READ ALSO: ECG To Undertake ‘Fix The Bill; Pay The Bill’ For Post-paid Users
The domino effect of these financial struggles extends to Ghana Gas, as fears mount regarding its ability to settle payments to Tullow for raw gas supply, potentially jeopardizing power generation. Should these issues remain unaddressed, there is a genuine risk of reduced power supply by ECG, potentially resulting in widespread power outages during the festive season.
The staff's letter concludes with a stern warning, clearly expressing the potential consequences: “We cannot guarantee smooth power supply, especially during this festive season and going forward if the Cash Waterfall Mechanism is not restored immediately or if other means of financial support are not provided for GRIDCo.”
Follow Us On Facebook: https://web.facebook.com/bfmnetwork
Comments
Post a Comment