The GHANA Grid Company (GRIDCO) says the government has given assurances that it is ready to pay more than GH¢ 2.7 billion owed by the Electricity Company of Ghana (ECG) and the Northern Electricity Company (NEDCo) despite the challenges facing the power distributor. .
At a press briefing on the state of GRIDCO in the ‘State of Information Agency Report’ yesterday in Accra, the Chief Executive Officer of GRIDCO, Ing. Ebenezer Kofi Essienyi, said some of the challenges facing the two companies have affected revenue collection, thus resulting in some debt.
“However, there is a big improvement because ECG’s revenue collection has increased from a collection of less than 20 percent to about 55 percent from 2020 after ECG and its partners started several modalities to improve operations. A lot can be achieved together, as my boss said, if we can build a strong infrastructure; if ECG can plug its commercial losses; and if collection rates increase.”
He said, “The amount owed by these two entities is a legacy debt, and this is a debt that has been compounded for more than 20 years, since the beginning of the relationship between the two companies.”
Power Supply Chain
According to him, in the power value chain, GRIDCO, the transmitter brings the power to the ECG, which is the distributor.
Once it is serviced and the money is collected, it is sent to the value chain operator or player, but historically, there have been some challenges because ECG has made commercial losses in terms of collection.
He also stated that apart from the challenges faced by the company such as overgrowth, encroachment and galamsey operations, the company has also been successful in its operations over the years.
This, he said, includes the provision of “65 substations in 2021 to 68 in 2022, increasing the transformer capacity from 8,901.8 MVA to 9,642 MVA and also the improvement of transmission lines to 7200.5 kilometers.
He, however, appealed to Ghanaians to support the company in particular, people who live in areas where farmlands and properties are affected to bear with the company because it has efforts to extend the network to all parts of the country.
Source: Daily Guide
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