The Independent Power Generators (IPGs) Ghana has confirmed the settlement of the US$1.47 billion energy sector legacy debt, acknowledging payments made by the government to clear long-standing arrears owed to power producers.

In a statement issued on Monday, January 12, 2025, the IPGs said the debt clearance includes payments made in 2025 and represents a significant milestone toward restoring financial stability and operational confidence within the energy sector.

The IPGs noted that the government’s intervention demonstrates a firm commitment to addressing inherited structural challenges that have plagued the sector for several years.

“These actions have sent a powerful signal to both domestic and international investors that Ghana is firmly committed to honouring its contractual obligations, strengthening sector governance, and rebuilding credibility in its power market, As a result, investor confidence in Ghana’s energy sector has been meaningfully restored, positioning the country to attract new capital, technology, and long-term partnerships.” the statement said.

The acknowledgement follows an announcement by the Ministry of Finance on January 12, 2026, confirming that the government had settled the US$1.47 billion debt owed to Independent Power Producers as part of broader efforts to reset the energy sector.

According to the government, the payments form part of measures aimed at resolving Ghana’s long-standing energy challenges and restoring sustainability to the power sector.

The IPGs further reaffirmed their commitment to supporting ongoing reforms, improving efficiency, and working with stakeholders to further strengthen investor confidence and ensure the long-term stability of Ghana’s energy sector.