'Dumsor’ looms as Sunon Asogli Power Plant shuts down over unpaid debts

Ghana is likely to be plunged into darkness after a major power producer announced its indefinite shutdown due to unpaid electricity bills.

Sunon Asogli Power, which provides approximately 560 megawatts of electricity to the national grid, says it can no longer sustain operations without payment from the state-owned Electricity Company of Ghana (ECG).

In a memo issued on Monday, December 4, Sunon Asogli Power said "The accumulating unpaid bills have significantly impacted our operational capacities, making it unsustainable to continue without addressing these financial challenges."

Citing payment rates below January levels and a 76% increase in receivables since December 2022, the company said engaging with ECG to find a solution had been "unproductive".

The plant's Chairman added that "We understand the impact of this decision on the national power supply and deeply regret any inconveniences caused."

The shutdown comes as a major blow to Ghana's electricity sector as Sunon Asogli Power provides around 20% of total generation capacity.

Any outages will affect social life and businesses across the country as the Christmas festivities nears.