Employees of the Volta River Authority (VRA) have strongly opposed a draft bill proposing the merger of VRA with the Bui Power Authority.
The proposed legislation also includes the consolidation of the Electricity Company of Ghana (ECG) with the Northern Electricity Distribution Company (NEDCo) and the establishment of an independent Thermal Power Authority from VRA’s thermal plants if enacted.
However the VRA workers contend that these changes are not in the best interest of Ghanaians and could have serious negative impacts on both the VRA and the nation as a whole.
In a statement released on Wednesday September 4, 2024, the staff groups stressed that the proposed reforms could weaken VRA’s contributions to the national grid and compromise energy security.
“The support VRA gives to NEDCo is to ensure that our brothers and sisters in the NEDCo catchment areas of the country enjoy electricity consistently without any hindrance. The separation of NEDCo from VRA can affect the supply of power and cash inflows for VRA since ECG is not consistent with its payment obligations to VRA. We see this attempt as “A GRAND SCHEME TO SELL VRA ASSETS TO CRONIES,” he said.
Adding that, “the Volta River Authority was built for the people and not the highest bidder.”
The VRA staff groups have disclosed that a Memorandum of Understanding (MOU) currently exists between the Volta River Authority (VRA) and the Northern Electricity Distribution Company (NEDCo), ensuring VRA’s ongoing support for power supply and infrastructure development.
However, they noted that “the MOU has expired and is in need of renewal, but management seems powerless and disinterested in renewing it to maintain uninterrupted support to NEDCo, without any clear reason,” according to their statement.
In May 2024, the VRA Board Chairman had reassured that there were no plans to privatize the Authority’s thermal assets.
“The Staff of VRA with the support of Ghanaians shall fearlessly resist and use all legitimate means at our disposal to ensure that the people of Ghana are not robbed of affordable electric power and energy security under the guise of mergers and privatization,” they further stated.