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BusinessPDS must improve revenue collections to be efficient - IES

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PDS must improve revenue collections to be efficient – IES

The Institute of Energy Security (IES) has charged the Power Distribution Service (PDS) to improve the collection of bills to ensure prompt payment to power producers.

The admonition follows threats by Independent Power Producers to cut power if some monies owed them are not paid.

Read: ECG, PDS dispel rumours about looming dumsor

The Chamber of Independent Power Distributors and Bulk Consumers (CIPDIB) had issued threats that if the outstanding debt which is in excess of GH¢600million was not paid, they were going to cut power to homes and offices.

Already, the Electricity Company of Ghana (ECG) has confirmed receiving GH¢200 million as part payment for the outstanding debt.

Read: Accra West PDS engages key customers

“I think PDS have failed to collect their revenues quite on time. I am sure if they can really handle the losses in their system both commercial and technical which is more than 29% of the power they distribute, things will be stable,” Paa Kwasi Anamua Sakyi, Executive Director of the IES told Citi Business News in an interview.

He maintained that it is important to strengthen the financial capacity of PDS to make the company efficient and viable.

“It is not how much installed capacity that you have, it is the money, it is the revenue that is used to wash the system and rolled through the whole value chain from generation through transmission to distribution. If the money is not there, they will be unable to work efficiently,” he stressed.

Source: citibusinessnews.com

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