The staff unions of the Volta River Authority (VRA) have voiced opposition to a proposed draft bill that seeks to implement major changes in Ghana's energy sector.

The said draft bill, includes merging VRA with the Bui Power Authority, combining the Electricity Company of Ghana (ECG) with the Northern Electricity Distribution Company (NEDCo), and forming a new independent Thermal Power Authority from VRA’s thermal assets.

In a statement released on Wednesday, September 4, 2024, the VRA staff groups expressed concern over the potential impact of the proposed reforms, arguing that they could have detrimental effects on both the authority and the nation.

They believe that the changes would weaken VRA’s contributions to the national grid and jeopardize Ghana’s energy security.

According to the report, the staff emphasized that, during a meeting in May 2024 with the VRA Board Chairman, they were assured that there were no plans to privatize VRA’s thermal assets.

However, recent media reports about the draft bill have raised alarms, with employees feeling sidelined in the decision-making process.

The report further explained that at a Joint Consultative Committee (JCC) meeting held on August 29, 2024, VRA management acknowledged being involved in a technical committee that prepared a report for the Ministry of Energy.

This report proposed reconfiguring the VRA into a holding company. Despite this, the staff noted that there has been no formal communication regarding the potential mergers or the establishment of a Thermal Power Authority.

According to the staff groups, the proposed reforms could pave the way for the privatization of VRA’s Thermal Department, potentially opening the door for private entities to take control of critical Ghanaian energy assets.

In their statement, the groups called for immediate steps to protect the VRA’s interests and maintain an affordable electricity supply to Ghanaians.

The staff warned that separating NEDCo from VRA could have serious financial repercussions for the authority, particularly as ECG has not been reliable in meeting its payment obligations to VRA. They characterized the proposed reforms as a “grand scheme to sell VRA assets to cronies,” and vowed to resist the changes using all legal means at their disposal.

“The Volta River Authority was created for the people of Ghana, not for the highest bidder,” the statement read. “The VRA staff, with the support of Ghanaians, will fearlessly resist any attempts to rob the people of affordable electricity and energy security under the guise of mergers and privatization.”

The groups are urging the government to reconsider the proposed reforms and engage in a more transparent dialogue to safeguard the nation’s energy future.

AM/BB

Watch the latest edition of BizHeadlines below:





Ghana’s leading digital news platform, GhanaWeb, in conjunction with the Korle-Bu Teaching Hospital, is embarking on an aggressive campaign which is geared towards ensuring that parliament passes comprehensive legislation to guide organ harvesting, organ donation, and organ transplantation in the country.

Click here to follow the GhanaWeb Business WhatsApp channel