PUWU opposes private sector participation in ECG, NEDCo operations

The Public Utilities Workers Union (PUWU) has strongly opposed the government's decision to introduce private sector participation in the operations of the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCo), arguing that recent reforms have already led to significant improvements in the performance of the two state-owned electricity distributors.

According to the Union, the proposed involvement of private investors is unnecessary and risks undermining the progress achieved through ongoing operational and management reforms within the power sector.

Speaking to Citi News on Monday, August 3, 2026, PUWU General Secretary Timothy Nyame urged the government to reconsider its plans, insisting that the Ministry of Energy's recent interventions have delivered measurable improvements in electricity distribution and operational efficiency.

His comments come after Finance Minister Dr. Cassiel Ato Forson, during the 2026 Mid-Year Budget Review, announced that government had engaged a transaction advisor to facilitate the process of bringing private sector participation into ECG and NEDCo.

The move forms part of broader reforms aimed at improving operational efficiency, reducing financial losses and strengthening Ghana's electricity distribution system.

Mr. Nyame argued that recent performance indicators demonstrate that the state-owned utilities are on the right path without the need for private investors.

According to him, power supply has become more stable, revenue collection has reached record levels and system losses have declined significantly.

"The power situation has stabilised, revenue generation has gone to a record high and system losses have been reduced. What do you want again?" he questioned.

He maintained that these achievements indicate that the current management approach is producing positive results and should be given the opportunity to continue delivering improvements.

The PUWU General Secretary also questioned why government was pursuing private sector involvement when Ghana's electricity distribution model is increasingly being recognised by other countries.

"Other countries are adopting our mode of operations, so why does the government still insist on bringing a financial advisor to privatise ECG and NEDCo?" he asked.

The Union believes that introducing private investors at this stage could disrupt the operational gains already being made and create uncertainty for workers and consumers alike.

Rather than opening the electricity distribution companies to private participation, PUWU is urging the government to invest further in strengthening the existing structures of ECG and NEDCo.

The Union argues that continued investment in infrastructure, improved governance, enhanced revenue mobilisation and operational reforms within the two state-owned companies would provide a more sustainable solution to the sector's challenges.

PUWU maintains that empowering the existing institutions to build on recent progress will better protect national interests while ensuring reliable electricity supply for households, businesses and industries across the country.