The current stability in Ghana’s energy sector can be attributed to the investments made by previous administrations, the Institute of Economic Affairs (IEA) has suggested.
Dr John Kwakye, IEA Ghana’s Director of Research, credited this stability to past investments and contractual agreements made by previous administrations.
He was reacting to the recent the State of the Nation Address (SONA) to Parliament on Tuesday, February 27, 2024.
He maintained that the power stability over the past seven years surpassed that of previous years.
“The President mentioned his government’s success in ending the “DUMSOR” menace and managing “to keep the lights on in the last seven years. We are not going to get into the unproductive debate as to who ended DUMSOR.
“The fact that power has been much more stable in the last seven years than the previous four years, however, is evidently clear. It is also a fact that the subsequent stability benefited from previous investments in the power sector. What we also know is that the stable power has been achieved at considerable budgetary cost some of which emanated from previous contractual agreements,” he said.
He advised the government to address the sporadic power issues known as ‘Dumsor.’
In his view, we have to address the issue of legacy debts which he believes will help the Electricity Company of Ghana to be more efficient.
“The solution should include how to deal with the legacy debts, improving the efficiency of the Electricity Company of Ghana (ECG), including by reducing the industry-high distribution losses, improving bill collections, stemming illegal connections and moving to legitimate cost-recovery tariffs.”
By: Rainbowradioonline.com/Ghana
