Technical Committee proposes 3 recommendations for privatization of ECG

The Technical Committee inaugurated to work out modalities for private sector participation in the operation of the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company, NEDCo has submitted its report to the Energy Minister, John Jinapor.

The Committee in its report made three recommendations to the Minister with respect to the privatization of ECG and NEDCo.

The first option the Committee suggested is for ECG to be made an outright concession. This option proposes that ECG’s whole distribution business be given to private concession, a move similar the PDS deal.

The Committee also proposed for multiple lease such that ECG be demarcated into various sections – four or five units so that each section is awarded to a private a company to lead the operations.

The third option is for a service franchise to allow private sector take care of low voltage areas and deliver service to the homes of customers. This model focuses on the customer experience and how to improve the service to the customer to make sure that the connections and everything are up to speed.

Chairman of the Technical Committee, Ing. Jabesh Amissah-Arthur while highlighting the challenges identified in the operations of ECG said the company has been bedeviled with governance and management.

“We looked at the challenges that are impeding the distribution work in Ghana and we identified nine challenges. We found that two of those challenges have to do with administrative set up of ECG, three of them have to do with operational issues and another three have nothing to do with ECG at all.

“They are outside ECG’s control and the last one is half and half. Now, some of those administrative things have to do with governance and management. It is mild to say that there’s a problem with the governance and management at ECG,” he stated.

The Energy Minister received the roadmap for the privatization of the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCo) on Wednesday, April 2, 2025 at a meeting with members of the Committee.

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