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GRIDCo disconnects power to VALCO over US$30m debt

January 1, 2020
in Business, News
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The Ghana Grid Company Limited (GRIDCo) has disconnected power supply to the Volta Aluminum Company Limited (VALCO), following the alleged failure of the company to settle over US$30 million outstanding debt to the power transmitter.

“The decision was made by the Management of GRIDCo after several attempts to get VALCO to honour its payment obligations failed. The decision to disconnect VALCO is part of ongoing debt collection measures to mobilize the needed funds to support its operations”, a statement issued by GRIDCo on Monday, December 30, announced.

According to the statement, GRIDCo’s operations have been significantly impaired due to huge unpaid debts owed by its bulk customers, currently amounting to over GH¢1.2 billion.

At its recent Annual General Meeting (AGM) in November 2019, the company announced that its network expansion efforts have been hampered due to the current financial situation.

The statement issued by Mr. Ebenezer Amankwah, Corporate Communications Manager of GRIDCo, quotes the Chief Executive Officer of GRIDCo, Mr. Jonathan Amoako-Baah as saying that GRIDCo plays a critical role in Ghana’s power sector and needs every resource available to it to continue delivering on its mandate to key stakeholders and clients.


“VALCO’s debts continue to mount and will create major problems for our operations if nothing is done about it. We have been engaging the management of VALCO since the first half of this year to agree on a payment plan but nothing has come out of it. We have been left with no option as our continued state of affairs is unsustainable. We take the opportunity to entreat other customers indebted to GRIDCo to take steps to settle their debts.”

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