Energy Expert, Kwame Jantuah has raised concerns over the proposal to privatize the Electricity Company of Ghana (ECG), Volta River Authority (VRA), and the Ghana Grid Company Limited (GRIDCo).
Jantuah believes that handing over the management of these critical institutions to private individuals, especially foreign investors, may have negative repercussions for the country.
His comments come in response to the call made by Asantehene Otumfuo𝑂𝑇𝑈𝑀𝑓𝑢𝑜Osei Tutu II to diversify these state-owned entities. Otumfuo argued that privatizing these institutions could lead to better efficiency and attract more investors, ultimately creating more job opportunities in the country.
However, Jantuah voiced concerns about the potential for capital flight if these institutions were to be privatized. He questioned whether the private sector, including banks, would be able to raise the necessary funds to effectively manage these technical enterprises.
Furthermore, Jantuah pointed to previous examples, such as the issues surrounding the Power Distribution Services (PDS) deal, as evidence of the risks involved in privatizing critical infrastructure. He emphasized the importance of streamlining laws and ensuring that technical expertise remains in place to prevent disruptions in the event of a change in government.
While acknowledging the Asantehene’s concerns and respecting his opinions, Jantuah urged caution and a thorough evaluation of the potential consequences of privatizing these key institutions. He emphasized the need for a well-thought-out strategy that takes into account the long-term implications for Ghana’s energy sector.
