In recent days, Ghana has witnessed a heightening exchange of accusations and counter-accusations between the ruling New Patriotic Party (NPP) and the opposition National Democratic Congress (NDC).

At the heart of this discord lies the contentious decision by the ruling government to relocate six units of the Ameri Power Plant to Kumasi.

The National Democratic Congress has vehemently criticized the decision by the New Patriotic Party administration to relocate the Ameri Power Plants and rename it the Kumasi 1 Thermal Power Plant.

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Central to the opposition party’s argument is the accusation that the move is a deliberate attempt by the ruling government to appropriate the achievements of the previous administration for political gain.

They argued that the decision is both unrealistic and costly, serving more as a political maneuver than a strategic energy solution.

Conversely, the governing New Patriotic Party has defended its decision as a strategic move to ensure a stable and reliable power supply to the middle belt of the country by relocating the plant to Kumasi and renaming it the Kumasi 1 Thermal Power Plant.

However, amidst this political fray, Dr Steve Manteaw, the Co-chair of the Ghana Extractive Industry Transparency Initiative (GHEITI), has raised a sobering alarm regarding the perilous consequences of political interference in state enterprises, particularly in the energy sector.

Dr. Manteaw contended that the excessive politicization of key state institutions like the Volta River Authority (VRA) undermines their efficacy and even goes a long way to threaten national stability.

Drawing attention to the recent controversy surrounding the Ameri Power Plants relocation, Dr. Manteaw questioned the appropriateness of political leaders taking credit for the work of technocratic institutions like the Volta River Authority.

He argued that such politicization not only detracts from the core functions of these enterprises but also jeopardizes their sustainability.

“If you have state-owned enterprises, they are supposed to be companies and they do their work as expected of them. And then you have politicians taking credit for the work done by a company.

“If it is not the politicisation of these institutions, what else could that be? VRA was set up to do these kinds of things and they are doing it. So why politicians should be dancing around and making funfair of it? I don’t understand it”
Dr Steve Manteaw, Co-chair of the Ghana Extractive Industry Transparency Initiative

Dr Steve Matheaw — Dr Steve Manteaw, Co-chair of the Ghana Extractive Industry Transparency Initiative

Negative Repercussions of Politicization

Furthermore, Dr Manteaw warned that the continued political meddling and excessive polarization of state enterprises could lead to their collapse, citing the example of the “Ghana Commercial Bank”.

He highlighted how excessive government control and interference pushed the bank to the brink of ruin, necessitating its privatization to salvage it from collapse.

The politicization of institutions like the “Ghana Commercial Bank” and the Ghana National Petroleum Corporation (GNPC), according to Dr. Manteaw, has not only undermined their efficiency but also eroded the morale of their employees.

Lamenting over how excessive political interference has ended up weakening the operationalization of state enterprises including the Tema Oil Refinery, Dr. Manteaw underscored the urgent need to depoliticize state enterprises.

He advocates for a dilution of government control over such state institutions to allow them to operate independently and efficiently.

The Co-chair of the Ghana Extractive Industry Transparency Initiative (GHEITI), Dr Matheaw further stressed the imperative of confronting political interference head-on to address the systemic challenges plaguing the country’s energy sector as well as the overall governance architecture.

In light of Dr Manteaw’s assertions, it becomes increasingly evident that the politicization of state enterprises not only undermines their effectiveness but also threatens the stability of key sectors vital to the country’s development.

It is therefore time for political leaders and policymakers to heed this warning and take decisive action to depoliticize state institutions, thereby fostering a more conducive environment for growth and prosperity.