Ghana to use $1b to restructure power deals

Bloomberg

Ghana plans to use as much as $1 billion of the Eurobonds it sold last week to help restructure the country’s obligations to independent power producers, said Finance Minister Ken Ofori-Atta.
The country is in talks to re-negotiate supply deals with the power companies known as IPPs. The currently take-or-pay agreements mean the government is billed even for unused electricity.
“We are going to put about $1 billion aside from the proceeds of the Eurobond to look at how we resolve those IPP issues,” Ofori-Atta said. “We are in the middle of negotiating this take-or-pay which is just egregious to the country and we came out boldly to say that we are not going to continue with this type of unbalanced contracts for our country anymore.”