Ghana’s Finance Minister, Dr. Cassiel Ato Forson, has warned that the country’s energy sector is on the brink of disaster, describing it as a “ticking time bomb” that’s placing an unsustainable financial burden on the nation ¹. Speaking at the National Economic Dialogue in Accra, Dr. Forson revealed that the Energy Sector Recovery Programme is failing to address the challenges it was designed to solve.
The minister’s concerns are rooted in the alarming fact that the energy sector is costing Ghana approximately 2% of its GDP every year. To put this into perspective, that’s a significant chunk of the country’s economic output being drained by inefficiencies in the energy sector.
One of the most striking issues Dr. Forson highlighted is that a staggering 38% of power sold by the Electricity Company of Ghana (ECG) is not accounted for. This lack of transparency and accountability is not only unjustifiable but also unsustainable.
Dr. Forson emphasized that it’s unfair to continue passing on the costs of ECG’s inefficiencies to consumers through tariffs. Instead, he urged for a more sustainable solution that addresses the root causes of these challenges.
As Ghana struggles to get its energy sector back on track, the minister’s warning serves as a wake-up call for urgent action. With the country’s economic future at stake, it’s imperative that policymakers and stakeholders work together to find a solution to this crisis.
Ruth Abla ADJORLOLO
