Politics

ECG Privatisation Plan Needs Wider Stakeholder Input – Minority MP

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ECG Privatisation Plan Needs Wider Stakeholder Input – Minority MP

Collins Adomako-Mensah, Member of Parliament for Afigya Kwabre North and member of Parliament's Energy Committee, has urged the government to hold extended consultations with all stakeholders before making a final decision on private sector involvement in the Electricity Company of Ghana's operations.

Speaking on JoyNews' The Pulse, Adomako-Mensah acknowledged that the Minority has traditionally supported bringing private players into ECG's retail operations as a mechanism for boosting efficiency and revenue collection. However, he cautioned that the government's approach to the proposal lacks transparency and adequate stakeholder engagement at this critical stage.

The Case for and Against Private Involvement

Adomako-Mensah outlined that ECG has long struggled with technical and commercial losses, with revenue collection representing a particularly acute challenge. The introduction of private sector operators, the Minority has argued, could address these inefficiencies and improve cash flow. However, recent operational improvements within ECG have complicated this narrative.

Recent statements from senior ECG officials have raised a counter-argument: if the state-owned company is already demonstrating improved performance without private participation, why introduce a third party to operations that are already moving in the right direction? This question has become increasingly pertinent as ECG's performance metrics have shown positive trends, potentially reducing the urgency for privatisation measures.

Despite these considerations, Adomako-Mensah stressed that the Minority remains open to private sector involvement. The critical issue, he emphasised, is not whether privatisation should occur, but how transparent and inclusive the decision-making process becomes.

Lack of Transparency Raises Parliamentary Concerns

A significant concern raised by the MP is the limited access to crucial information guiding the privatisation process. The government established a committee to examine the modalities for private sector participation, and that committee has already submitted its report to the President. Yet, the report remains unpublished and has not been shared with members of Parliament's Energy Committee—the very body tasked with overseeing energy sector affairs.

This lack of transparency has created a credibility gap. Adomako-Mensah called for the report to be made public and for Parliament to be given adequate time to review and debate its findings before any final decision is implemented.

Why It Matters for Ghana

The privatisation debate surrounding ECG and the Northern Electricity Distribution Company represents one of Ghana's most critical infrastructure discussions. Electricity supply underpins economic activity, industrial competitiveness and household welfare across the country. Any restructuring of ECG operations carries profound implications for tariff structures, service quality, employment and energy security.

The Trades Union Congress has already voiced concerns, signalling that workers and civil society organisations view the proposal with caution. Without proper consultation, the government risks implementing a policy that lacks broad social buy-in, potentially triggering industrial action or public backlash. Ghana's experience with infrastructure projects shows that stakeholder consensus—even when imperfect—tends to produce more durable outcomes than top-down implementation.

Furthermore, as a developing economy dependent on stable electricity supply to attract foreign investment, Ghana's approach to ECG restructuring sends signals about the government's commitment to transparent governance and inclusive decision-making. Getting the process right matters as much as getting the policy right.

Adomako-Mensah's call for wider consultation reflects a pragmatic parliamentary position: support for the principle of private involvement, tempered by insistence that the process itself must be legitimate and transparent. Without that foundation, even a well-designed policy risks failure in implementation.

Source: MyJoyOnline

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