Govt’s new take-or-pay PPAs vindicate Mahama, NDC – Kofi Buah

Deputy Minority Leader, Emmanuel Armah-Kofi Buah, has asserted that the decision by the Akufo-Addo government t to bolster power generation through the signing of two Power Purchase Agreements (PPAs) for 750 megawatts has vindicated the wise decision of the erstwhile National Democratic Congress (NDC) government.

According to him, NDC’s proactive measures ship in addressing the power deficit during the ‘dumsor’ era demonstrated visionary leadership.

Speaking in an interview in Parliament on Friday, November 9, 2023, the former Minister for Energy underscored the systematic steps taken by the NDC to address the power challenges, including the establishment of the Atuabo and ENI gas plants, which transitioned Ghana into the gas era.

Hon. Kofi Buah was responding to a report that the government has signed two take-or-pay PPAs for 750 megawatts.

He questioned the government’s sudden realization of the need for power describing it as ‘a sudden awakening from slumber, and emphasized the importance of making decisions in the national interest.

He criticized the government for previously disparaging the efforts of the NDC.

The government has, since it assumed power in 2017, accused the John Mahama administration of signing PPAs that were not necessary and draining the national coffers.

The Finance Minister in various budget presentations disclosed the government has cancelled several PPAs and saved the state millions of cedis.

According to the Deputy Minority, the Akufo-Addo government should have expressed gratitude to the Mahama administration for its initiatives in the power sector.

He said, “Instead of thanking President Mahama and the NDC government for the last three years, all they’ve done was paint a picture of a government that was reckless in adding more power.”

NDC’s PPA decisions

He explained that one of the main reasons why Ghana experienced the load shedding during the period of the NDC is that for the eight years that the NPP was in power, it failed to plan when it comes to power additions.”

He highlighted the annual growth of Ghana’s economy and the emergence of new districts, stressing the necessity for consistent power additions.

He accused the NPP of neglecting this need over its eight-year term, leading to a power deficit that contributed to the infamous ‘dumsor’ crisis.

“We want to state clearly that this is a vindication of the wise decisions by the NDC government. All the power plants that were brought, the over 1000 megawatts resulted in the stability we’ve seen in the last 7 years,” Buah asserted.

He criticized the nature of the recently signed PPAs, labeling them as “take-or-pay agreements” and accused the government of having serious credibility issues.

He questioned the government why it did not sign PPAs that were not take-or-pay as it has been challenging the NDC for the past seven years.

Buah urged Ghanaians to challenge the government’s stance: “They talk from both sides of their mouth.

Kofi BuahPPAsTake-or-pay