The Technical Committee tasked with advising 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 submitted its report to the Minister of Energy and Green Transition, John Jinapor.
The report outlines three key recommendations aimed at addressing the challenges facing the ECG and NEDCo: Entity Concession, Multiple Lease, and Service Franchise.
Speaking during the presentation, Committee Chairman Jabesh Amissah-Arthur elaborated on the proposed models, explaining how each approach could enhance efficiency in Ghana’s power distribution sector.
“There are three main options that we focused on,” he said. “The Entity Concession model involves handing over the entire distribution business to a single private concessionaire. The Multiple Lease approach would divide the country’s distribution network into several zones, with each awarded to different private operators. Lastly, the Service Franchise model allows private sector players to operate the low-voltage network from the distribution transformer, directly delivering services to homes and businesses.”
The recommendations come at a time when ECG and NEDCo continue to face operational and financial difficulties. Minister John Jinapor is expected to review the report and engage stakeholders on the next steps to ensure a sustainable and efficient power distribution system in Ghana.
