An arbitration tribunal has ordered the government of Ghana (GoG) to pay $137.9million to Ghana Power Generation Company (GPGC), an independent power producer (IPP), for terminating a power purchase agreement (PPA) between the two parties in 2018.
Out of the amount, $134,348,661 represents early termination payment claim, which in itself is made up of $69,361,680 as early termination fee, $58,492,005.562 for mobilisation cost, $6,462,528 as demobilisation cost and $32,448 as preservation and maintenance cost.
The arbitration tribunal also awarded $614,353.86 against Ghana as the cost of the arbitration, and also awarded cost of $3million against Ghana, which is the legal fees expended by GPGC during the arbitration.
more to follow…
