VRA has not cancelled debt of mining companies—CEO

The Volta River Authority (VRA) has assured that it is working to collect all monies owed the authority and has not cancelled any debt owed by mining companies.

In a recent publication, the Public Interest and Accountability Committee (PIAC) revealed that the Ghana National Gas Company (GNGC) is indebted to the Ghana National Petroleum Corporation (GNPC) to the tune of 103.62 million dollars as at June, 2015.

[contextly_sidebar id=”uvkpMJ2YzhYlOyMapLyENDNZCYSav2io”]The debt, according to PIAC is as a result of VRA’s inability to pay for gas supplied by Ghana Gas.

But Speaking to Citi Business News in an interview, the Chief Executive Officer of the Volta River Authority,  Ing. Kirk Koffi insisted that VRA is working on clearing all debt and is not cancelling any debt owed the authority by any mining company.

“VRA has never cancelled the debt of any company, you can take it from me, we have never cancelled the debt of any company”, he insisted.

Ing. Koffi’s comments follow a recent explanation given by President John Mahama that the authority itself requires funds and so will not cancel debt owed to it by mining companies.

President Mahama was   responding to reports that Golden Star Resources has requested government to cancel a $20 million debt owed to VRA.

VRA’s high legacy debt is said to have influenced the introduction of the energy sector levies announced by government.

By: Lawrence Segbefia/citibusinessnews.com/Ghana