ECG halts advance payment

Accra, Oct. 16, GNA- The Electricity Company of Ghana (ECG) and the Northern Electricity Department of the Volta River Authority (VRA) would henceforth not demand an advance payment from business consumers before providing them with services.

Their capital contribution would be spread over a period of 12 to 24 months to be negotiated depending on the amount involved and would be included in the consumer's monthly bill.

Dr Paa Kwesi Nduom, Energy Minister who announced this on Thursday at the Meet the Press series, said the decision formed part of government's support to the private sector particularly the small and medium scale enterprises that usually paid huge capital upfront before they were provided with services.

"This is the least government can do to support business development and our march into the Golden Age of Business," he said. He said as part of the Ministry's vision to become a net exporter of power and fuel by 2008, broad policies were being put in place to ensure that the energy sector become a critical lifeline to industrial and domestic activities.

Dr Nduom said government buildings and facilities including official residences and offices would be fitted with pre-paid meters to assist in eliminating the huge debt that accrued from time to time. On the VRA saga, he said the dispute that persisted for over a year was over, adding that, government was assisting the new management of VRA, which is reviewing its affairs to find solutions to the financial problems.

He said the Rural Kerosene Distribution Improvement Programme (RKDIP) that had distributed about 500 tanks to locations in districts, would be reviewed in greater detail to ensure that the programme was fully implemented.

He said under the phase two of the programme, 1,100 surface tanks would be fabricated and distributed to all districts in 2004, especially those that would implement the phase one successfully.

On solar energy, he said 4,500 solar systems have been installed nationwide, 2,200 under the Renewable Energy Services Project (RESPRO), 42 in schools, six in clinics and health centres and 24 street lighting systems in 100 communities in the Northern, Upper West and Brong Ahafo Regions.