Ayariga Blames Afenyo-Markin for ECG’s Mounting Debts and Mismanagement

Majority Leader Mahama Ayariga has criticised Minority Leader Alexander Afenyo-Markin, accusing him of poor management and financial missteps during his tenure as Board Chair of the Electricity Company of Ghana (ECG).

Speaking at the Parliamentary Leadership Conference on Wednesday, October 22, Mr. Ayariga claimed that the mounting debts and operational challenges currently facing ECG stem from decisions made under Afenyo-Markin’s leadership.

Mr. Ayariga alleged that ECG’s financial difficulties predated the current administration, pointing to mismanagement and delays in reforms as the root causes of the company’s long-standing problems.

“You left us with huge and unreasonable debts at ECG,” Ayariga said, addressing Afenyo-Markin directly. “You were the Board Chair and knew how much debt was left behind. Even during parliamentary debates, you admitted the situation was dire when you assumed office, and by the time you left, it was still unresolved.”

He questioned who would ultimately bear responsibility for settling the debts, noting that the financial load continues to weigh heavily on the company’s operations and, by extension, on consumers.

The Majority Leader also accused the previous administration of political interference in tariff regulation by the Public Utilities Regulatory Commission (PURC).

According to Ayariga, in 2024, the government allegedly halted planned tariff adjustments out of fear that increased electricity costs could affect its electoral chances.

“You stopped PURC from adjusting tariffs because of political considerations,” Ayariga said. “The records are there. Debts continued to rise because the necessary adjustments were not made in time.”

Ayariga’s comments followed earlier remarks by Afenyo-Markin, who accused the current government of raising electricity tariffs twice in 2025.

In rebuttal, Ayariga argued that the recent tariff increases were not politically motivated but rather part of efforts to stabilise the power sector’s finances and prevent further deterioration of ECG’s balance sheet.

He maintained that tariff adjustments were “unavoidable” if Ghana was to sustain electricity supply and reduce dependency on government subsidies.

The exchange between the two parliamentary leaders highlights persistent concerns about financial management and sustainability within Ghana’s power sector, particularly the operations of ECG.

According to the Institute for Energy Security (IES), ECG’s debt to power producers surpassed GH¢10 billion as of early 2025, contributing to periodic cash flow constraints and delayed payments to independent power suppliers.

The situation has often forced the government to inject emergency funds or renegotiate debt settlements to prevent disruptions in power distribution. Analysts warn that without structural reforms — including tariff rationalization and efficient revenue collection — ECG’s challenges could continue to undermine Ghana’s energy stability.

The Electricity Company of Ghana has faced chronic financial difficulties over the past decade, driven by a combination of technical losses, illegal connections, revenue leakages, and delayed tariff reviews.

Reforms such as the Power Distribution Services (PDS) concession, introduced in 2019 to attract private investment, were short-lived after contractual disputes led to its cancellation. Since then, ECG has continued to operate under government management while grappling with liquidity issues and rising operational costs.

Both the current and previous administrations have faced criticism over the handling of ECG’s debt and investment policies, reflecting the broader struggle to balance affordability with financial sustainability in Ghana’s power market.

The renewed debate between Ayariga and Afenyo-Markin underscores how energy management has become a major political issue ahead of the 2028 general elections. While both parties have promised to strengthen Ghana’s energy infrastructure, they continue to trade blame over who bears responsibility for the country’s recurring electricity and financial challenges.

Public perception remains divided, with many consumers frustrated by rising tariffs, intermittent supply issues, and billing concerns, even as the government invests in upgrading infrastructure and digitizing ECG’s payment systems.

Mr. Ayariga emphasized that the government’s priority is to ensure ECG operates efficiently and can meet its obligations without compromising service delivery. He argued that recent tariff reviews are necessary steps to “stabilize the sector and secure the company’s future.”

Energy analysts, however, caution that tariff hikes alone cannot solve ECG’s problems unless accompanied by stronger governance, automation, and enforcement against power theft — which, according to the Energy Commission, accounts for nearly 20% of technical and commercial losses annually.

The ongoing exchange between Ghana’s parliamentary leaders highlights the urgent need for bipartisan consensus on energy sector reforms. As ECG’s debt continues to mount, sustainable solutions will require both policy continuity and transparent management to protect consumers and ensure reliable power delivery.

Ultimately, the debate reflects a broader challenge facing many African nations: balancing political interests with the long-term vision needed to build resilient and financially sound public utilities.

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