PUWU Urges Government to Retain Public Ownership of ECG and NEDCo

Accra: The Public Utilities Workers Union (PUWU) has urged the Government to retain public ownership of the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCo) while pursuing reforms to improve their performance. According to Ghana News Agency, the Union stated that the operational and financial challenges confronting the two state-owned electricity distribution companies could be addressed through internal reforms rather than private sector participation. This call was made in a statement signed by Mr. Timothy Nyame, General Secretary of PUWU, following the Government's appointment of a Transaction Advisor to facilitate the proposed private sector participation (PSP) process. The statement further highlighted that the Ministry of Energy and Green Transition had engaged stakeholders, including PUWU, and requested the Union to submit alternative proposals to address challenges facing ECG and NEDCo. PUWU complied by submitting a detailed position paper opposing the pro posed PSP arrangement and outlining measures to improve the operational and financial performance of the two utilities. However, the statement noted that the Ministry had not acknowledged receipt of the document and had instead proceeded to appoint a Transaction Advisor, who was holding meetings to advance the PSP process. This development suggested that decisions on the proposed arrangement had already been taken despite ongoing engagements with organised labour and other stakeholders. PUWU accused the Government of acting in bad faith by proceeding with the process without adequately considering the Union's alternative proposals. The statement identified several challenges facing ECG and NEDCo, including political interference in management and procurement processes, the appointment of non-technical board members, uncoordinated implementation of the Self-Help Electrification Programme, foreign exchange losses, the reclassification of bulk customers, and weak accountability mechanisms. The Union emphasize d that its recommendations were aimed at improving operational efficiency, ensuring financial sustainability, and strengthening accountability within the two companies. It also pointed out that previous privatisation efforts in Ghana and other parts of Africa had often failed to address underlying inefficiencies and, in some cases, resulted in higher costs to consumers, reduced access to essential services, and threats to employment and energy security. PUWU reiterated its opposition to any attempt to privatise ECG and NEDCo and expressed its readiness, alongside other affiliates of the Trades Union Congress, to use all legitimate means to resist the policy. The statement concluded with PUWU's commitment to working with the Government and other stakeholders to strengthen ECG, NEDCo, and the wider energy sector in the interest of Ghana's socio-economic development.