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  • Thursday, 07 November 2024

"Government Announces Plan to Deduct MDAs' Allocations for Settling EDSA Debts, Alongside Energy Agreement Renegotiations"

During the weekly press conference held by the Ministry of Information and Civic Education, Mrs. Kadiatu Allie, the Deputy Minister of Finance 1, unveiled the government's strategy to address outstanding payments owed to the Electricity Distribution and Supply Authority (EDSA). This plan involves initiating deductions from the allocations of Ministries, Departments, and Agencies (MDAs) to settle the arrears owed to EDSA. The decision, made in collaboration with the Chief Minister's approval, signifies the government's commitment to fulfilling its financial obligations and ensuring the continuity of essential services.

 

As of September 2023, reports indicated that MDAs collectively owed EDSA approximately Le421 Billion in unpaid bills, highlighting the urgency of resolving the outstanding debt. By deducting these debts directly from the allocations of MDAs, the government aims to expedite the settlement process and alleviate financial strains on EDSA.

 

Moreover, Mrs. Allie also disclosed the government's intention to renegotiate agreements with Karpowership, a prominent energy provider, to secure more favorable terms for Sierra Leone. Emphasizing the significant payments already disbursed to the company, she underscored the importance of optimizing agreements to maximize economic benefits for the nation.

 

In addition to addressing outstanding payments to EDSA and renegotiating energy agreements, Mrs. Allie provided insights into the Ministry's financial efforts over the past 6 to 7 months. During this period, approximately $36 million dollars were disbursed to Karpowership, reflecting the government's ongoing commitment to ensuring a reliable and sustainable energy supply for Sierra Leone.

 

Overall, the government's proactive approach to resolving outstanding debts and renegotiating energy agreements underscores its dedication to enhancing financial transparency, promoting fiscal responsibility, and safeguarding the welfare of its citizens. Through collaborative efforts and strategic initiatives, the government strives to foster economic stability and prosperity for all Sierra Leoneans.

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