Ghana: Gov’t Inaugurates Steering Committee To Facilitate Private Participation In Power Distribution

The Government of Ghana has inaugurated an eight-member Private Sector Participation (PSP) Steering Committee to provide strategic oversight for the implementation of the reintroduced Multiple Lease Model (MLM) aimed at transforming electricity distribution in Ghana.

The MLM approach, which segments electricity distribution services into regional units to be managed by various private operators, is designed to attract credible investors, enhance efficiency, reduce technical and commercial losses, and improve customer satisfaction nationwide.

The PSP Steering Committee will be chaired by Hon. John Abdulai Jinapor, Minister for Energy and Green Transition, with Hon. Dr. Cassiel Ato Forson, Minister of Finance, serving as co-chair. Other members include Hon. Elizabeth Ofosu-Adjare, Minister of Trade and Agribusiness; Dr. Dominic Akuritinga Ayine, Attorney General and Minister for Justice; and Hon. Felix Kwakye Ofosu, Minister of State for Government Communications.

The rest are Mr. Julius Kpekpena, Acting Managing Director of the Electricity Company of Ghana (ECG); Mr. John Okine Yamoah, Acting Managing Director of the Northern Electricity Distribution Company (NEDCo); and Madam Baba Akon, who will serve as Secretary to the Committee.

In a statement read on his behalf by the Deputy Minister for Energy and Green Transition, Hon. Richard Gyan Mensah, at the inauguration in Accra, Hon. Jinapor said the MLM was a cornerstone of the government’s broader energy sector recovery and modernization strategy.

He explained that the Steering Committee would provide strategic direction for the PSP rollout, gather baseline data, including auditing the PSP deal, coordinate with ECG, NEDCo, regulatory bodies, and transaction advisors, as well as monitor progress across critical milestones.

“The Committee will also be responsible for reviewing and advising on transaction documents, procurement frameworks, draft agreements, risk mitigation strategies, regulatory compliance, and stakeholder communications,” Hon. Jinapor said.

He added that the PSP Implementation Unit within the Ministry of Energy and Green Transition would serve as the Secretariat to the Committee, offering administrative and technical support throughout the implementation process.

Hon. Jinapor charged the Committee to ensure that the procurement of technical, financial, and legal transaction advisors is completed by May 31, 2025, to facilitate the commencement of detailed implementation.

“By September 2025, we anticipate issuing the first phase of the competitive bidding documents for private concessionaires,” he stated.

Three sub-committees—Technical, Governance & Regulatory, and Stakeholder Management—have also been established to support the process. Mr. Jabesh Amissah-Arthur, Chair of the Technical Sub-Committee, expressed gratitude for the opportunity to serve and called on Ghanaians to support the Committee as it undertakes its critical mandate.

“The road will be challenging and difficult, but I have confidence in the members that we will be able to live up to expectations by providing guidance to the restructuring of the power distribution sector to ensure customer service satisfaction,” he said.

Source: https://energynewsafrica.com