Ghana’s Finance Minister, Cassiel Ato Forson PhD holds the view that private sector participation in the energy sector will bring transparency and sustainability to the sector.
He made this known when he spoke at the Ghana Energy Compact under Mission 300 at the World Bank.
He said “Cabinet has already approved private sector participation, and we have submitted the Legislative Instrument to Parliament to enable competitive procurement for power plants. These are critical steps toward bringing transparency and sustainability to the sector”.
The minister emphasized that Ghana’s energy sector is currently the biggest economic risk the country faces.
He indicated that the sector is burdened with a financial shortfall of approximately $2 billion. This amount surpasses our domestic capital expenditure.
Ato Forson PhD expressed worry over the fact that inefficiencies are passed on to the consumer.
“This challenge goes beyond tariffs. The entire energy value chain requires urgent reform. Inefficiencies, especially in the distribution sector, are being passed onto the ordinary Ghanaian through high tariffs. ECG alone could cut the shortfall by half if it addresses these inefficiencies.”
