Ghana has achieved US$250 million in immediate savings after renegotiating Power Purchase Agreements (PPAs) with nine Independent Power Producers (IPPs), President John Dramani Mahama revealed in his 2026 State of the Nation Address (SoNA).

The president said the agreements also include $1.1 billion in legacy debt, now restructured for payment between 2026 and 2028.

"To address the high cost of power, government has successfully renegotiated existing power purchase agreements. Engagement with the nine independent power producers has resulted in $250 million in immediate savings and $1.1 billion of legacy debt restructured for payment between 2026 and 2028," Mahama told Parliament.

The revised deals, which will be submitted to Parliament for ratification, form part of broader efforts to ease pressure on electricity tariffs, improve efficiency in the energy sector, and strengthen its financial sustainability.

The move could relieve households and businesses from rising energy costs while ensuring Ghana meets its obligations to IPPs under more favourable terms.

The announcement comes amid growing scrutiny over the energy sector’s financial management, with calls for greater transparency and long-term stability in power pricing and contract handling.