ECG needs urgent reforms — IPP CEO
The Chief Executive Officer of the Chamber of Independent Power Producers (IPPs), Dr Elikplim Kwabla Apetorgbor has called for urgent reforms to address inefficiencies that threaten the country’s energy security and economic growth.
He said the Electricity Company of Ghana (ECG) was confronted with mounting pressure to modernise its operations, with system losses currently pegged at 20 per cent.
In an article on the state of ECG’s infrastructure, Dr Apetorgbor noted that more than 30 per cent of the company’s assets have been in use for over three decades, contributing significantly to operational losses and frequent outages.
Dr Apetorgbor, who is also a Power Systems Economist, proposed a phased approach to infrastructure upgrades, including replacing ageing transformers, substations and power lines with modern and energy-efficient technology.
To combat power theft and improve monitoring, he advocated the use of advanced technologies such as drones equipped with GPS and thermal imaging to identify illegal connections and detect faults in real time.
He highlighted international examples such as the Philippines’ Meralco Company, which reduced system losses from 9.8 per cent to under five per cent through strategic investments in smart substations and other technologies.
Profit-driven operation
In addition to technical upgrades, Dr Apetorgbor recommended structural reforms within the ECG.
He stressed the need for the company to operate as a profit-driven entity, free from political interference.
Decentralising operations, enhancing corporate governance and implementing performance-based contracts were among his key proposals.
While acknowledging that these measures require significant capital investment, Dr Apetorgbor argued that the long-term gains—such as reducing system losses to five per cent, saving millions of cedis annually and delivering reliable power to consumers—far outweigh the costs.
“The ECG’s challenges are not insurmountable.
By prioritising investments in infrastructure renewal and adopting cutting-edge monitoring technologies, the ECG can drastically reduce technical losses and improve operational efficiency.
However, the success of these initiatives hinges on the ECG’s ability to operate independently as a business-oriented entity.
“Drawing lessons from international successes, the ECG has the potential to transform into a sustainable, efficient power distribution company, driving Ghana’s energy sector toward a brighter future,” he emphasised.