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ECG Workers Kicked Against Privatization

By Abubakari Seidu Ajarfor
General News ECG Workers Kicked Against Privatization
JUN 24, 2016 LISTEN

Frontline staff and workers of the Electricity Company of Ghana [ECG] have strongly kicked against the attempts by government to dash ECG to a foreign investor for a 25 year concessionary period.

As part of efforts to marks this year’s Public Services International (PSI) Day Celebration, the ECG workers have issued a caveat to save ECG from further collapse should it be given to a foreign investor.

Mr. Ali Baba Idi, First National Trustee, Public Utility Workers Union (PUWU) of TUC said they (workers) have joined the world to celebrate the day with red arm bands and headgears amidst drumming and chanting of ‘jama songs’ to show their displeasure with the planned privatization of ECG across its various offices in the country.

“We will not call it a demonstration. We are celebrating Public Services International Day where we have about 669 unions in 154 countries coming from the public services, health services, and education services among others,” he stated.

According to him, in occasions of this nature, they either display their displeasure or praise a particular agenda of the organization (ECG).

“However, today, we are incurring our displeasure based on the concessionary program government is about to adopt for ECG,” Mr. Ali Baba said.

He indicated that in the whole of Africa, government has failed to even point to Ghanaians one particular country that entered into a concession agreement with their power sector and has been very successful.

Mr. Ali Baba Idi added that the ramble effect of the high tariffs imposed by government was just a deliberate ploy to push ECG into the hands of the foreign investor.

He posited that they believe the privatization of ECG is part of a set of conditionalities given government by the Millennium Challenge Corporation.

“We know, in reality that there are certain conditions in the IFC report which stipulates that ECG tariff should be raised to meet a particular standard which by indications seeks to benefit the private investor,” he emphasized.

He mentioned that government can adopt the example of Goil which took a turnaround from a home grown solution to regain its position as the leading Oil Marketing Company after it became unprofitable.

Mr. Ali Baba Idi stated that they presented a position paper to the government but it seems nobody is ready to accept their home grown solutions they have raised in the position paper.

He indicated that government is about to sign the Request For Proposals (RFP) which involves 11 selected companies that bid for the concession of ECG and shall be published very soon.

Eric Asante, Secretary of the Senior Staff Union (SSU), noted that even as they celebrate this remarkable day they are still not happy with the planned privatization of ECG for a 25 year concession period.

He said from what has happened in other countries, they strongly hold that Ghana will not be an exception since many countries have failed in similar attempt and the situation will become worst.

“We are very concerned with price stability and uninterrupted power therefore we can tell from examples that Ghanaians should brace themselves for higher electricity tariffs should ECG be released to a private investor,” he stated.

Samuel Appiah, Chairman of Senior Staff Union, indicated that they believe that there are better options such as floating of shares and partnerships to make ECG more profitable than rushing it for 25 year concessionary period.

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