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Govt opens talks with Nigeria Gas to prevent cut in supply

By Myjoyonline
Business & Finance Govt opens talks with Nigeria Gas to prevent cut in supply
OCT 13, 2015 LISTEN

Discussions are underway between government and officials of Nigeria Gas Association to try and avert a possible cut in gas supply to Ghana.

The Nigerians supply Liquefied natural gas through the West African Gas Pipeline Company Limited (WAPCo) to power thermal plants in Ghana.

Former Chief Executive of the Volta River Authority Dr Charles Wereko Brobby told Joy News yesterday that Ghana owes the supplier $180 million .

He warned that the country would be plunged into darkness again from Thursday if urgent steps were not taken to meet a Wednesday deadline for Ghana to pay up the money or risk being refused any further supplies.

Ghana has a deal to receive a contractual volume of 120 million standard cubic feet of gas daily from Nigeria.

But Nigeria has threatened to reduce the volume of gas it supplies through the 678 kilometer stretch of pipeline to Ghana if it does not get information on how Ghana plans to pay the money owed it.

Joy News has information that some progress is being made to resolve the pending crisis.

Sources at the Power Ministry told Joy News’ Fred Smith the debt ought to have been paid by power generator, Volta River Authority. Ghana is already challenged with power supply and to forestall a worsening situation, government has decided to step in.

Though the sources would not mention the actual figure owed by Ghana, they said the issue is being resolved at a “diplomatic level”.

According to NGAs, Ghana needs to pay them so that they can also pay WAPCo to transport the natural gas to Ghana.

Joy News has also learnt that West African Gas Pipeline Company Limited would hold a press conference tomorrow to shed some light on the issue.

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