The Executive Director of the Institute of Energy Security (IES), Nana Amoasi VII, has slammed the government over Ghana’s energy situation, painting a picture of inefficiency, poor management, and a looming return to persistent power outages, popularly known as ‘Dumsor.’
Speaking on the state of Ghana’s energy sector, Nana Amoasi VII expressed dissatisfaction over the government’s handling of power distribution and its inability to address critical concerns within the Electricity Company of Ghana (ECG).
Nana Amoasi first tackled the issue of inefficiency within the ECG. He stated that;
“As long as the ECG is inefficient, to the extent that you can even find some prepaid meters that have not been recharged for a year still having power, it tells you how deep-seated the inefficiency issues are.”
Nana Amoasi VII Executive Director of the Institute of Energy Security (IES)
According to him, addressing these inefficiencies, particularly in the distribution leg, is critical to ensuring a stable power supply.
Nana Amoasi VII noted that years of neglect in maintenance have significantly compounded the cost of restoring the sector to functionality.
He revealed that the sector required about $250 million in 2018 and 2019 to address inefficiencies, but the cost has now ballooned to $1 billion due to the prolonged lack of action. He emphasized;
“If you defer a plan maintenance, then you are ready to undertake an expensive corrective maintenance. So, unfortunately, Dumsor is not going away any time soon becasue the hole that is dug is deep, very deep.”
Nana Amoasi VII Executive Director of the Institute of Energy Security (IES)
He also criticized the current government for failing to capitalize on the favorable conditions it inherited. Nana Amoasi VII described the situation as a missed opportunity, considering the availability of installed capacity, a reliable fuel supply, and the financial mechanisms required to sustain the energy sector.
A Crisis of Transparency
According to him, some people have been threatened not to release information which continues to gripple the energy sector. He lamented;
“Today, if you take a condition sheet from GRIDCo, it’s labeled private and confidential… Why is government suppressing information?” he queried.
According to him, these restrictions have stifled public discourse and understanding of the energy sector’s challenges.
Nana Amoasi VII was unequivocal in his criticism of the current administration, accusing it of mismanagement and neglecting the energy sector’s progress. He reasoned; ”It’s so much unfortunate that we get to this point. Because if you look at the kind of opportunities this government had, we shouldn’t be anywhere near Dumsor’’
He emphasized that “for sure, this government did not inherit Dumsor. Rather, it inherited a very good situation with good power installed capacity, a reliable fuel supply’’ – and mechanisms to clear legacy debt while generating additional revenue placing the current regime in a better position to tackle dumsor.
He expressed shock at the government’s inability to maintain these gains, leading to a deteriorating situation.
Looking forward, Nana Amoasi VII projected a bleak future for the sector, estimating that it could take at least two years to restore some semblance of normalcy.
“It’s a kind combination of investment discipline and the adherence to mechanisms that [have to be] position to ensure that we are getting the needed revenue and distributing it equitably and fairly to all the power utilities.’’
Nana Amoasi VII Executive Director of the Institute of Energy Security (IES)
Call for a New Administration
The IES Executive Director concluded his remarks by suggesting that the current administration lacks the capacity to resolve the crisis.
“Until government leaves power and a new government is formed, you won’t even see how deeper the problem is.’’
Nana Amoasi VII Executive Director of the Institute of Energy Security (IES)
Nana Amoasi VII’s candid analysis is a wake-up call for Ghana’s energy stakeholders. His position underscores the urgent need for reforms, increased transparency, and strategic investments in the power sector. Failure to address these issues could see Ghana trapped in a cycle of Dumsor for years to come.
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