President John Dramani Mahama has firmly assured Ghanaians that the Electricity Company of Ghana (ECG) will remain a state-owned enterprise, quelling fears of privatisation amid rising concerns over the country’s power sector challenges.
Addressing workers during the May Day celebration at Black Star Square on Thursday, May 1, the President clarified that his administration is focused on introducing public-private partnerships (PPP) to improve efficiency in power distribution, not transferring ownership.
He stressed that ECG’s current inefficiencies and a ballooning debt of GH¢68 billion pose a serious threat to the stability of Ghana’s power supply, demanding urgent reforms.
President Mahama attributed ECG’s woes to years of poor governance, stressing that resolving these structural issues is key to reducing tariffs and enhancing service delivery.
“If we do not do something drastic, our whole power sector will collapse,” he warned.
As part of the government’s strategy, Mahama highlighted the successful PPP model implemented during his previous term in the free zones area, where Enclave Power, a private company, was tasked with metering and billing while ECG supplied power in bulk.
This partnership, according to the President, has consistently recorded a 99% collection rate, proving that efficiency can be achieved without ceding control.
Reiterating his commitment to preserving ECG’s public ownership, Mahama stated that the future of Ghana’s electricity distribution lies in smart, collaborative management rather than outright privatisation.
“I am sure that we can make our electricity distribution more effective through public-private partnerships,” he noted, adding that ECG will continue to be publicly owned while benefiting from operational partnerships that deliver results.
