CEMSE urges PUWU to support private sector involvement in ECG revenue mobilisation

Benjamin Nsiah, Executive Director of the Centre for Environmental Management and Sustainable Energy (CEMSE), has called on the Public Utilities Workers Union (PUWU) to reconsider its stance and embrace private sector participation in the revenue mobilisation efforts of the Electricity Company of Ghana (ECG).
According to Mr. Nsiah, ECG is facing a financial crisis marked by rising debts, declining equity, poor financial performance, and persistent technical losses.
He warned that if immediate action is not taken, the company may soon struggle to pay its workers due to the government's limited fiscal space to provide further financial support.
He argued that private sector participation could inject much-needed capital, human expertise, and technical innovation to revamp ECG’s operations and transform it into a profit-making entity.
"Private sector involvement is not about taking over ECG but about bringing in the right tools and resources to make it more efficient and sustainable," Mr. Nsiah emphasised.
However, the Public Utilities Workers Union of TUC Ghana remains opposed to any form of privatisation of ECG.
In a press statement, PUWU reiterated its firm resistance to privatisation, citing concerns about the long-term sustainability and affordability of electricity for Ghanaians.
Despite their opposition to private sector control, PUWU expressed its willingness to work closely with the Mahama administration to tackle challenges in the energy, water, and housing sectors.
The union pledged to support efforts aimed at finding cost-effective and lasting solutions that serve both workers and the wider public.
In the same direction, the Technical Committee established to advise the government on Private Sector Participation (PSP) in the power distribution activities of the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCo) has presented its report to the Minister of Energy and Green Transition, John Jinapor, with three key recommendations.
The committee believes these measures will help address the challenges facing the ECG and NEDCo.
The three recommendations include Entity Concession, Multiple Lease and Service Franchise.
Committee Chairman Jabesh Amissah-Arthur spoke at an engagement with the Energy and Green Transition Minister to pursue an Entity Concession, Multiple Lease and Service Franchise.
Mr Nsiah advocated for the participation of the private sector in the activities of ECG and NEDco while speaking in an interview on Accra-based Metro TV on Friday, May 2, 2025.
Source: Classfmonline.com/Cecil Mensah
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