Energy Ministry Requests Suspension Of ECG-NEDCo Merger Bill

• Herbert Krapa, the Minister of State at the Energy Ministry, has written to parliament to suspend the consideration of the Ghana Energy Regulatory Authority Bill
• The bill seeks to merge the Electricity Company of Ghana (ECG) and the Northern Electricity Distributions Company (NEDCo)
• According to Herbert Krapa, the bill's suspension is supposed to allow for more consultation following protests against the bill

The Energy Ministry has requested that Parliament suspend the passage of the Ghana Energy Regulatory Authority Bill, which has been the subject of much controversy.

The bill seeks to merge the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCo).

The merger would create an independent Thermal Power Authority by consolidating the Volta River Authority (VRA) thermal plants.

However, the bill has faced sharp criticism from VRA workers and other civil society organisations who have accused the government of clandestinely attempting to privatise the energy sector.

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They also noted that the bill, when passed, would significantly harm the country’s energy sector

They have called on parliament to thwart the government’s efforts to merge the companies.

In response, Herbert Krapa, the Minister of State at the Energy Ministry, urged parliament to pause the passage of the bill to allow for more consultation.

The Energy Ministry is currently pushing five other related bills in parliament.

These are the Ghana Power Distribution Authority Bill, the Ghana Energy Regulatory Authority Bill, the Ghana Thermal Authority Bill, the Ghana Hydro Authority Bill, and the Ghana Nuclear Power Corporation Bill.

VRA workers stage protest against merger

The Volta River Authority’s (VRA) Senior Staff Association and the Public Services Workers Union (PSWU) of the Trades Union Congress (TUC) have staged a protest at the VRA headquarters in Accra.

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The protest on Wednesday, September 18, 2024, opposed the government’s proposal to merge the VRA and the Bui Power Authority.

The group believes such a merger would significantly undermine the VRA’s operation and threaten its viability in the long run.

Theophilus Tetteh Ahia, Chairman of the VRA Senior Staff Association, explained that there are unresolved concerns about the merger and its impact on the company’s operations.

He said while the VRA-SSA continues to press home their demands for the bill’s withdrawal, they will take all legal steps to ensure the two power companies are not merged.

In the meantime, he said the VRA will pray for divine intervention.

VRA opposes IPP request for higher payments

YEN.com.gh reported that the Volta River Authority has opposed calls from Independent Power Producers for an upward adjustment of their monthly payments.

VRA said that if the PURC agrees to increase the IPP's monthly payments from $45 million to $59 million, the three state power entities would face dire financial consequences.

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The VRA explained that this is because the ECG is already heavily indebted, and further demands would collapse it.

Source: YEN.com.gh