Privatising ECG threatens energy security

The Trades Union Congress (TUC) has warned that plans to privatise the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCo) pose a serious threat to Ghana’s energy security and national interest.

Addressing a press conference in Accra, the Public Utilities Workers Union (PUWU) said government’s proposed “private sector participation” in ECG and NEDCo is, in substance, full privatisation that would hand over critical electricity distribution operations to private entities.

According to the union, proposals before a technical steering committee suggest concession arrangements that would allow private companies to take control of electricity distribution from the bulk supply point to the final consumer. The TUC described this as a dangerous move that could undermine state control over a strategic sector.

The labour group rejected claims that ECG and NEDCo are irredeemably inefficient, pointing to recent improvements under a six-month union-led turnaround programme implemented between July and December 2025. It said ECG’s average monthly revenue increased from about GH¢900 million to approximately GH¢1.75 billion, representing nearly a 90 percent rise.

The TUC noted that the improved revenue collection has stabilised power supply and ensured regular payments to independent power producers, reducing threats of plant shutdowns. It added that these gains have been publicly acknowledged by key government officials, including the Ministers of Finance and Energy and Green Transition.

At NEDCo, labour said recent management and staff efforts have led to a noticeable reduction in distribution losses, despite the company serving a large number of lifeline consumers who pay subsidised electricity tariffs.

The TUC argued that privatisation is neither a viable nor sustainable solution to the challenges facing the energy sector. Instead, it called on government to extend the current turnaround programme, strengthen oversight and accountability, eliminate political interference, and provide adequate structural support to the state utilities.

Labour leaders stressed that ECG and NEDCo are critical national assets whose public ownership guarantees affordable electricity, protects jobs, and safeguards Ghana’s energy security. They warned that organised labour will resist any attempt to privatise the two companies.