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Former Finance Minister Dr. Mohammed Amin Adam has stated that the New Patriotic Party (NPP) government settled energy sector debts amounting to US$1.4 billion in 2024, disputing claims that such payments are a new development under the current administration.
In a post on his Facebook page on Wednesday, Dr. Amin Adam said the National Democratic Congress (NDC) government is engaging in excessive public relations over issues that were already addressed by the previous government. According to him, the payment of energy sector debts was clearly captured in the 2025 Budget presented by the NDC administration itself.
“The NDC government does PR with everything. Paying energy sector debts of $1.4 billion is not new,” he wrote, adding that the NPP government settled the amount in 2024 without public fanfare.
Dr. Amin Adam backed his claim with an extract from the 2025 Budget, which details payments made to Independent Power Producers, fuel suppliers, and other energy sector agencies. The document shows that the Ministry of Finance supported the energy sector with payments equivalent to about US$1.5 billion in 2024.
He argued that the focus should rather be on addressing the structural inefficiencies within the energy sector, including collection losses and pricing challenges, instead of presenting already-settled obligations as fresh achievements.
The former minister’s comments come amid ongoing public debate over energy sector financing and recent assurances by the NDC government about managing legacy debts and stabilising the sector.
Dr. Amin Adam further cautioned that without reforms to improve efficiency and cost recovery, the sector will continue to face fiscal risks regardless of which party is in power. He pointed to projections in the budget indicating a widening financing gap in the energy sector over the medium term.
He urged the government to prioritise long-term solutions such as enforcing payment discipline, reviewing power purchase agreements, and strengthening regulatory oversight to prevent the re-emergence of large debt accumulations in the future.
