Gas supply from the West African Gas Pipeline Company Limited (WAPCO) to Ghana’s Volta River Authority (VRA), has increased significantly following a new payment agreement signed between the two companies, WAPCO has announced.
Per the new agreement, the Volta River Authority is now required to make an advance payment of gas it would receive from WAPCO.
This is to avoid a situation where VRA pills bills of gas supplies resulting in huge indebtedness to WAPCO.
The new pay agreement has boosted gas supply to VRA from between 30mmscf and 35mmscf previously to between 80mmscf and 100mmscf, WAPCO added.
“There were couple of times that WAPCO threatened to cut gas supply to VRA for non-payment of its arrears.
“Now we cannot say we’re cutting supply because of the current arrangement, WAPCO’s General Manager in charge of Corporate Affairs, Harriett Wereko-Brobbey, said in Accra, adding that “what is now left is the old debt which we are hoping the government will pay.”