Energy Minister, John Jinapor, has dismissed reports suggesting that government is planning to sell state-power distributor, Electricity Company of Ghana (ECG).
Speaking to the media on the sidelines of a working visit to the West African Gas Pipeline Company Station in Tema, Jinapor insisted such claims are entirely false, emphasizing that while ECG will not be sold, the government is seeking private-sector participation to enhance efficiency and financial sustainability.
“The news items, the publication and the commentary by some people who should know better that we are selling ECG. It’s not true; it will not be sold, but we want some private sector participation to bring about the high level of efficiency, reduce the losses, increase the revenue base so that we can pay for some of these bills we are talking about,” Mr. Jinapor stated.
The Minister further elaborated on the financial strain caused by inefficiencies in the energy sector. He lamented that resources meant for development projects are being redirected to settle debts owed to energy suppliers, such as the West African Gas Pipeline Company (WAPCo) and N-Gas.
“The Minister of Finance under normal circumstances should not be taking the taxpayers’ money which could have been used for other development projects to pay WAPCo. But today we have to squeeze and take money from the budget to pay N-Gas for this $75 million. That could have been used for other developmental projects such as roads, hospitals and other infrastructure projects,” he noted.
Mr. Jinapor reiterated the government’s commitment to improving ECG’s performance by involving the private sector to ensure efficiency, reduce financial losses, and increase revenue.
The debate over the future of ECG comes at a time when the country is facing challenges in the energy sector, with concerns over debts and financial viability. The government maintains that reforms are necessary to sustain the sector without compromising public interest.
