ECG Does Not Deserve To Increase Tariffs – Adam Mutawakilu

ECG Does Not Deserve To Increase Tariffs – Adam Mutawakilu

Hon Adam Mutawakilu, former ranking member of Parliament’s Mines and Energy Committee, does not agree with the proposals by the Electricity Company of Ghana (ECG) for tariff increment.

He is of the view that ECG has not demonstrated its capacity to effectively manage its resources hence there is no justification for an increment in tariffs.

Speaking on Accra based Citi FM and monitored by myactiveonline.com the former member of parliament for Damongo said ECG is undeserving of an increment if it is unable to prove how it is tackling the about 25% losses it suffers to technical and commercial issues.

“How much of our money is being lost? If that is not tackled then we are wasting our time on this. They are just taking money from Ghanaians and wasting it. Technical and commercial losses alone is over 25% and that means that for every 100 million that ECG is expected to collect, they can’t account for 25 million of it. So if we only concentrate on increasing tariff without reducing technical and commercial losses, we will come back to square one,” he said.

Adam Mutawakilu said the government had a good chance to tackle the inefficiencies leading to losses the ECG suffered through the PDS deal but it “messed it up.”

He said the deal would have to ensure that the ECG’s infrastructure is improved and service delivery made better, but that did not happen.

He said it was unfair to make consumers pay more for power when they do not enjoy improved service.

“Should the consumer always be the punching bag? I have not seen how previous increments have helped reduce the technical and commercial losses,” he noted.

By: Stella Annan | myactiveonline.com Twitter @activetvgh

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