The Private Enterprise Federation (PEF) has urged government to wean itself from state power distributor Electricity Company of Ghana (ECG).
According to the Chief Executive of the Federation, Nana Osei Bonsu, it no longer makes economic sense for government to continue to hold 100 per cent stake in ECG.
Speaking on the Executive Breakfast Show (EBS) on Class 91.3FM on Thursday August 25, he noted that in order for the power distributor to function as a viable business, government should offload its shares in the company as well as allow it to list on the stock market.
Government is on the verge of handing ECG to a private investor on a concessional basis. In Nana Osei Bonsu’s view, the approach is wrong if it is meant to solve the company’s inefficiencies.
“ECG can be privatised through the stock market to the benefit of Ghanaians. I do not subscribe that government has to continue to own ECG and grant it on concession today or tomorrow or the next day” he stated.
“We went and met with the highest levels and we advocated that government should wean itself from the ownership of ECG, so I’m on record on that…[but] they (government) are not getting out, they are now making a cameo appearance as we are privatising and all. Why don’t we just allow that to be listed and become an institution and compete with other private sector players who can be brought into the fray of the ECG business realm?” he asked adding that “Because you can get two or three other people to also take these energy from the VRA and distribute without going through ECG. There are other avenues of doing that but first ownership of government should cease immediately. You cannot glorify inefficiencies by saying we are protecting the interest of this or the interest of that. The interest of Ghanaians should be first and foremost…”
Source: ClassFMonline
