Trade

Ghana: Nigeria to postpone threats to cut gas supply

Friday, 16 October 2015 20:49

Ghana's Minister for Power Kwabena Donkor has on Thursday led a government delegation to Abuja to begin talks with N-Gaz, a Nigerian consortium, and other stakeholders in an effort to avert execution of threats from Nigeria.

Nigeria had recently threatened to cut gas supply to Ghana due to an outstanding debt of $181 million.

According to the West African Gas Pipeline Company (WAPCo) Nigeria will delay its plan to cut the gas supply.

 "By next week we are expecting a way forward. There appears to be a will by all the parties to resolve the issue without the flow of gas being cut off." Harriet Wereko-Brobby WAPCo’s spokeswoman told Reuters.

Ghana is at present, facing electricity blackouts and the threat to cut supply by 70 % could have aggravated the problem.

Indeed, regular power outages have increased the cost of doing business in the country and also annoyed voters at a very sensitive time for President John Mahama's tenure ahead of a re-election battle next year.

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