Karpower Deal Extension : NDC Accuses Government Of Double Standards


The opposition National Democratic Congress (NDC) is accusing the government of double standards for extending the Karpower deal that was criticised for producing power at an exorbitant cost.

The agreement with the independent power producer was contracted by the then John Mahama-led government to address the nation’s power crisis.

The deal was criticized by the now governing New Patriotic Party (NPP) who were in opposition at the time it was signed.

However, the Energy Ministry recently renegotiated the deal, a move government sources say was done to ensure value for money.

Karpower recently announced that it was moving from the use of heavy fuel to natural gas. The use of heavy fuel has been attributed to the increased cost of producing power which is invariably charged on consumers.

Persons close to the renegotiated deal say the switch to the use of light crude oil by Karpower informed the extension of the deal.

The Karpowership from Turkey has the capacity to supply 470 megawatts (MW) of power to Ghana.

Former Deputy Power Minister, John Jinapor, says the extension of the power agreement by its former critics is proof that the John Mahama administration did no wrong as was claimed by the NPP in opposition.

He discounted the claim that the use of light crude warmed government up to the idea of a deal extension.

He explains that the initial agreement included the use of light crude oil as an alternative to heavy, suggesting that the time was not right for the use of light crude oil at the deal was signed.

But Vice Chairman of the Mines and Energy Committee of Parliament, George Duker, insists the review of the deal was in the interest of the country.

He said once power affordability was assured — it did not matter that his party once criticised the deal — it needed to be reviewed.


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