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Editorial News of Monday, 19 March 2001

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ECG Blames NDC

Cash-strapped Electricity Company of Ghana (ECG) has blamed the former National Democratic Congress government for the current financial woes facing the company, according to The Accra Mail.

The Paper says the financial difficulties have by and large made the power utility company ineffective in the face of increasing demand for power.

These facts came to light during an interaction between the ECG and members of the press last Friday to discuss the company's operational difficulties and the need for an upward adjustment of tariffs. The management of the company in its presentation accused the former government of stalling its proposals for tariff increases as far back as 1999.

Mr Christian Tetteh, Director of Engineering of ECG told the press that ECG is so badly indebted that if care is not taken, the company could go bust anytime from now. He said one of the major problems facing the company is the refusal by consumers to pay their bills to enable the company to deliver efficient services.

Asked why the company waited for so long in coming up with new tariff proposals, Mr Tetteh explained that in 1999, ECG submitted new proposal to the Public Utilities Regulatory Commission (PURC) for consideration, but the NDC government intervened and asked the PURC to hold on with the increases. Instead, the government arranged for some funds for it to carry out some maintenance works.