The Independent Power Generators (IPGs) in Ghana have confirmed receipt of payment from the government, saying the amount settles a significant portion of its longstanding legacy arrears owed to power generation companies.
In a statement issued on Monday, January 12, 2026, the government indicated that it has paid a total of US$1.47 billion just one year after assuming office to clear part of the energy sector debt that has existed for many years.
The payment has restored the World Bank’s Partial Risk Guarantee, marking a significant step in the sector. Government says the move aims to stabilise the country’s energy sector.
“As at 31 December 2025, the government has fully repaid US$597.15 million, inclusive of interest, drawn on the World Bank Guarantee,” the statement contained, adding that the repayment fully restores the facility and reaffirmed Ghana’s standing as “a credible and reliable partner on the global stage.”
The IPGs in a statement on Monday, lauded the Ministries of Finance and Energy for settling the arrears timely.
“The clearance of these long-outstanding obligations represents a major milestone in restoring financial stability and operational confidence across the power sector,” the IPGs said.
According to the IPGs, the 2025 payments reflect “decisive leadership, disciplined fiscal management, and a clear commitment by government to resolving inherited structural challenges.”
The power generators praised the roles played by the two Ministries through the Cash Waterfall mechanism to improve payments for the service providers.
“These actions have sent a powerful signal to both domestic and international investors that Ghana is firmly committed to honouring its contractual obligations,” the statement added.
Also, the payment, the IPGs say has rebuilt investor confidence in Ghana’s energy market, positioning the country to attract new investment, technology and long-term partnerships.
“As a result, investor confidence in Ghana’s energy sector has been meaningfully restored, supporting economic transformation and industrial development,” they added.
The IPGs reaffirmed their commitment to Ghana’s energy security and pledged to continue working with the government to maintain a reliable power supply, promote efficiency and ensure value for money across the sector.
“We remain confident that the collaborative spirit demonstrated in the resolution of these legacy arrears will continue to guide the government-IPG–IPG partnership towards a future of energy sustainability, financial discipline, and shared prosperity for the people of Ghana,” the statement concluded.
Gov’t clears over US$1.4bn decades-old energy sector debt, boosting global credibility
