9th January 2025 8:46:28 AM
2 mins readPresident John Dramani Mahama has revealed plans to engage the World Bank for technical expertise on the possible privatisation of the Electricity Company of Ghana (ECG) to address inefficiencies in the country's power distribution system.
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Speaking during a meeting with a delegation from the World Bank on Wednesday, January 8, 2025, at his private office in Accra, Mahama highlighted that private sector involvement in the management of ECG could help resolve operational inefficiencies, financial mismanagement, and inadequate service delivery.
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“If we don’t fix the Electricity Company of Ghana, we will continue to have a major problem with our whole power value chain. So, going ahead with privatising the last point of electricity distribution, bringing in private sector efficiency is something that we want to take up again. We want to speak with the World Bank to get the expertise to be able to do that,” he stated.
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Mahama indicated that the move would be part of a broader strategy to modernize and enhance the performance of the energy sector, emphasizing the importance of efficient energy distribution to support national development goals. He assured stakeholders that any decision on ECG’s future would involve thorough consultations to balance public interest with the need for improved performance.
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Calls for the privatisation of ECG have gained traction in recent times due to the inefficiency of ECG and disruption in power supply. In August last year, the Africa Sustainable Energy Centre (ASEC) argued that involving private investors could allow ECG to focus on its core technical duties, such as maintaining and upgrading infrastructure, while administrative and commercial responsibilities would be transferred to investors.
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However, some industry players have raised concerns. The Chief Executive Officer (CEO) of Independent Power Generators Ghana, Dr. Elikplim Kwabla Apetorgbor, warned that privatisation could undermine the accessibility, affordability, and stability of electricity services, which are crucial for national development.
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He argued that retaining public ownership ensures accountability, equitable access, and strategic governance control over this vital national asset.
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