IMF-backed reforms must tackle Ghana's long-running energy crisis - Prof. Bokpin warns

Professor Godfred Bokpin, an economist and Professor of Finance, called for greater transparency, broader consultation, and a clearly defined role for private-sector participation in Ghana's electricity distribution sector on Saturday, speaking on JoyNews' Newsfile. He warned that persistent weaknesses within the energy sector continue to pose a significant threat to the country's fiscal stability.

Prof. Bokpin stated that many problems confronting the Electricity Company of Ghana (ECG), including high distribution losses, weak revenue collection, outstanding obligations to power producers, and the financial burden placed on the state, pre-date Ghana's current IMF-supported programme. He acknowledged that the IMF programme has contributed to greater transparency in energy sector management and improved the operation of mechanisms for distributing available revenues across the electricity value chain. Prof. Bokpin said, "The issues that have been identified as the root causes have been with us for years, for decades, even before this IMF-supported programme." He also noted that an important benefit of the IMF-supported reforms has been improved transparency regarding the scale of Ghana's energy-sector liabilities and losses.