The Africa Centre for Energy Policy (ACEP) is calling for the dismissal of the management of the Electricity Company of Ghana (ECG). They say this is due to allegations of mismanagement.
According to ACEP, revenue losses at ECG have skyrocketed from GH¢295 million in 2017 to a staggering GH¢9.7 billion in 2022.
Speaking at a press conference on Thursday, September 19, Kodzo Yaotse, ACEP’s policy lead on petroleum and conventional energy, emphasized the need for a change in ECG’s leadership due to its poor revenue mobilization efforts.
He said, “The growing fiscal burden imposed on the economy by ECG’s poor performance has become a ticking time bomb that can undermine the progress made after the domestic and international debt restructuring to keep Ghana solvent.
“With the level of debt accumulation and the intervention required of the state, it is just a matter of time before Ghana is plunged into another debt crisis. With IPP debt mounting and gas suppliers and transporters demanding payments, the pressure on the government to sacrifice social investment is high.”
Additionally, Yaotse condemned the wasteful use of state resources, urging immediate action to prevent further economic damage.
“The political lethargy to enable ECG to deliver value to the people of Ghana continues to hurt Ghana’s budget and, by extension, development efforts. He said, the Energy Sector Recovery Programme (ESRP) estimates that power sector shortfalls between 2019 and 2023 amounted to approximately US$8.25 billion.
Mr. Yaotse described this as “ a sheer waste of public resources that cannot persist. In light of the above.”
