ECG will collapse without privatisation – Dr Yamson backs urgent reforms

Chairman of the National Economic Dialogue, Dr Ishmael Yamson, has strongly backed the partial privatisation of the Electricity Company of Ghana (ECG), warning that the state-owned power distributor is on the brink of collapse.

Speaking in an interview on TV3 on March 10, 2025, Dr Yamson argued that ECG’s inefficiencies and revenue leakages make it unsustainable in its current form.

“I am 100% in support of privatising the distribution of energy. Did you see the figures on revenue leakage alone? If ECG were a private company, it would have collapsed by now,” he stated.

Ghana’s power sector has long struggled with inefficiencies, mounting debt, and supply challenges. While the government has explored private sector participation in ECG’s operations, concerns remain about transparency, especially following the failed Power Distribution Services (PDS) deal.

Addressing these concerns, Dr Yamson admitted he did not have all the details of the PDS debacle but insisted that privatisation remains the best solution.

“The private sector does not joke with its money. If you invest 10 cedis, you make sure every pesewa is accounted for. ECG, on the other hand, keeps losing revenue and blaming low tariffs instead of fixing its inefficiencies,” he observed.

He further warned that delaying reforms would push ECG towards financial collapse.

“One day, ECG will come to a standstill. Nobody will lend them money, and they will simply collapse. If we don’t privatise now to plug the revenue leakages, we will pay the price later,” he cautioned.