Gov’t still owing WAPCo for gas

Due to the huge indebtedness of the Ghana government to the West African Gas Pipeline Company (WAPCo), gas supply to Ghana from Nigeria was cut in 2016 by WAPCo.

The Company, however, has said it is still working with Nigeria Gas (N-Gas) to receive outstanding payments owed it by the government of Ghana.

According to WAPCo, it expected the government of Ghana to clear the debt it owes N-Gas after which processes can commence for WAPCo to get paid.

This contradicts a statement captured in a circular from the government last which catalogued the government’s achievements for the first half of last year since it assumed office.

It was stated in the circular that, government of Ghana has cleared its debt to WAPCo and therefore awaits gas supply from Nigeria.

In a radio interview last week, the General Manager of Corporate Affairs at WAPCo, Mrs. Harriet Wereko Brobbey noted, “We are expecting to be paid anytime from now. We are performing a contract for N-Gas. The contract for supply is between N-Gas and the Volta River Authority (VRA). We are supposed to be transporting on behalf of N-Gas. So N-Gas gets paid and then they pay us for our service,” she explained.

Mrs. Wereko Brobbey, however, stated that VRA is currently paying for services rendered by WAPCo as negotiations are ongoing to settle the outstanding debt.

It would be recalled that WAPCo in 2016 suspended the supply of gas from Nigeria to Ghana as a result of unpaid bills by the Ghana government.

At the time, the Volta River Authority owed N-Gas about US$180 million, while N-Gas in turn owed WAPCo US$104 million.

Story: Adnan Adams Mohammed