ECG will not be privatized-Mahama assures

President John Dramani Mahama has dismissed any plans to privatise the Electricity Company of Ghana (ECG), promising instead to pursue strategic public-private partnerships (PPPs) to improve power distribution efficiency.

Addressing workers during the 2025 May Day celebrations at Black Star Square in Accra on May 1, the President reassured the public and labour unions that ECG would remain a state-owned enterprise under his leadership. He described concerns about its potential sale as unfounded.

“It is not my intention to privatise ECG. We are focusing on public-private collaboration to enhance performance in power distribution,” Mahama affirmed.

His remarks follow growing anxiety over ECG’s financial woes, including a staggering GH¢68 billion debt, and concerns about the broader stability of Ghana’s energy sector. Mahama blamed the company’s troubles on years of poor governance and mismanagement, warning that urgent reforms are needed to prevent a total sector collapse.

Highlighting alternatives to privatisation, the President pointed to a successful PPP model from his previous administration. In the Free Zones enclave, Enclave Power Company was allowed to handle metering and billing while ECG supplied power in bulk. The result, he said, was 99% revenue collection and timely monthly payments to ECG—proof that efficiency doesn’t require privatisation.

“This shows that we can bring efficiency into electricity distribution through the private sector without losing public control,” he explained.

President Mahama emphasised that well-structured partnerships could help lower tariffs, ensure timely collections, and restore financial stability in the sector.

“We can fix ECG by injecting private sector discipline, not by selling it,” he stressed.

The announcement was welcomed by many in the labour movement, who have long opposed privatisation of critical state utilities, fearing job losses and profit-driven service models.