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HomeSustainable EnergyGhana Terminates Power Contracts Worth Over US$227 Million Over Non-Performance

Ghana Terminates Power Contracts Worth Over US$227 Million Over Non-Performance

The Government of Ghana through its Ministry of Energy and Green Transition has cancelled 202 supply contracts valued at over US$227 million due to non-performance.

This it said forms part of efforts to address procurement irregularities and improve the reliability of the country’s electricity distribution system spearheaded bt the Electricity Company of Ghana (ECG).

Minister for Energy and Green Transition, John Abdulai Jinapor made the disclosure when he took his turn at the Government Accountability Series held in Accra on Wednesday, July 16, 2025.

“These are not materials stuck at the ports. These are new containers resulting from past procurements that failed to deliver within the specified timelines,” Mr Jinapor explained.

Mr Jinapor who is also the Member of Parliament for Yapei- Kusawgu explained that a total of 347 contracts were reviewed, out of which the Board of ECG approved the termination of 202.

The value of the cancelled contracts includes US$227 million, £1.17 million, and €4.08 million.

The remaining 145 contracts are still under review and could also be terminated, depending on the outcome of ongoing assessments.

“We are determined to clean the sector. As Minister, I take full responsibility to ensure strict adherence to procurement procedures going forward,” Mr Jinapor said.

The sector minister also announced that ECG had procured 200 new transformers classified as critical, to help stabilise the power distribution network and reduce unplanned outages that continue to affect parts of the country.

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