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Karpowership Issues Disconnection Notice to Sierra Leone Government Amid Mounting Debt Crisis

By Kadiatu A. Turay

 

In a move that has sent shockwaves across the nation, Turkish energy giant Karpowership has issued a formal disconnection notice to the government of Sierra Leone, threatening to halt its supply of electricity to the national grid, the company cites prolonged non-payment and mounting debt approximately $40 million as the reason for the looming shutdown, a development that could cripple the country’s already fragile energy infrastructure and economy.

Karpowership, a subsidiary of Karadeniz Holding, has been supplying electricity to Sierra Leone since 2018 under a power purchase agreement, operating from an offshore powership moored near Freetown, the company currently provides up to 65 megawatts of electricity covering nearly 80% of the power needs of the Western Area, including the capital.

In a statement released earlier this week, Ayşegül Bostancı, Karpowership’s Regional Director for Africa, said we regret to announce that due to long-standing non-payment issues, Karpowership is compelled to issue a disconnection notice. We remain committed to finding an amicable solution, but our operations must remain financially sustainable.”

The Ministry of energy has acknowledged the debt and confirmed ongoing negotiations with Karpowership. speaking at a press briefing, minister of energy Alhaji Kanja Sesay stated, we are in active discussions to avert a disconnection, the government recognizes its financial obligations but is also navigating serious economic challenges, we are exploring payment mechanisms, including the restructuring of the current agreement.

Despite these efforts, critics argue that the government’s reliance on expensive emergency power providers is unsustainable. The current rate reportedly $0.16 per kilowatt-hour far exceeds the regional average. For many small and medium-sized enterprises in Freetown, stable electricity is essential for survival. The disconnection threat has triggered widespread anxiety.

We are already suffering with irregular supply, if the powership goes off, that’s the end for us,” said Fatmata Jalloh, who runs a frozen foods business in Lumley. I depend on freezers to store my goods. We can’t afford to run generators every day, entrepreneurs in manufacturing, hospitality, and digital services share similar fears, knowing their operations hang in the balance.

For the average Sierra Leonean, the threat of disconnection has deepened existing frustrations with poor service delivery. Freetown residents already experience frequent blackouts, and a total shutdown would likely plunge the city into near-complete darkness, we are paying for the government’s mismanagement, said Mohamed Kamara, a university student. How are students supposed to study, How will hospitals operate It’s the people who suffer.

With the rising cost of fuel, even basic alternatives like candles and kerosene lamps are becoming unaffordable for many. Economists warn the fallout could extend far beyond electricity. Sierra Leone is still recovering from the COVID-19 pandemic and the global energy crisis worsened by the Russia-Ukraine war. Inflation is hovering around 25%, and the Leone continues to weaken against the U.S. dollar.

Electricity is a key driver of economic activity, said Dr. Ibrahim Bangura, economist at Fourah Bay College. A shutdown would hurt productivity, destroy investor confidence, and signal instability to both local and foreign partners. Sectors such as tourism, education, banking, and healthcare could see severe disruptions, with ripple effects across employment and consumer spending, the crisis comes at a politically sensitive time for the ruling Sierra Leone People’s Party (SLPP). President Julius Maada Bio, who secured a controversial second term in 2023, is under increasing pressure to provide basic services amid mounting public dissatisfaction.

Opposition leader Dr. Samura Kamara of the All People’s Congress (APC) criticized the government’s handling of the energy sector, saying, This is a national embarrassment, the administration has failed to plan. Now the people will suffer the consequences, civil society groups like the campaign for good governance have called for transparency in energy contracts and a long-term plan for sustainable power delivery.

While much of the criticism is directed at the government, Karpowership has also come under fire. critics say its business model offering costly emergency power to countries with underdeveloped grids creates cycles of debt and dependency, these powerships are not long-term solutions,” said Amadu Bah, an energy policy analyst, what we need are investments in renewable energy and infrastructure not continued reliance on floating generators.”

Karpowership argues that it plays a critical role in bridging supply gaps while countries like Sierra Leone work toward long-term solutions, the crisis has reignited calls for a diversified energy strategy, focusing on solar, hydro, and other renewable sources, the Bumbuna hydrocele tric dam, once seen as a beacon of hope, continues to underperform due to poor maintenance and seasonal water shortages.

We are blessed with rivers and sunlight,” said Dr. Sia Alpha, an environmental scientist, why aren’t we harnessing those resources more aggressively International agencies such as the World Bank and African Development Bank have pledged support for energy sector reforms, but disbursement delays and bureaucratic hurdles persist.

As the deadline for disconnection approaches, Sierra Leone stands at a crossroads, whether through emergency payments, renegotiations, or international mediation, avoiding a national blackout is now a top priority, yet this crisis could serve as a turning point a chance for deep reflection and bold reform, the message from citizens is clear: electricity is not a luxury, but a lifeline. We can’t live in darkness forever, said Fatmata Jalloh. “We deserve better, the whole country does.

Copy right –Printed in the Expo Times News on Friday, June 13TH, 2025 (ExpoTimes News – Expo Media Group (expomediasl.com)

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