The sole provider of electricity across the five northern regions of Ghana, Northern Electricity Distribution Company (NEDCo), has raised urgent concerns about widespread illegal power usage in the Tamale area.
Following the completion of phase five of its revenue mobilization and loss reduction campaign, which started on June 24, 2024, Northern Area Manager, Elvis Demuyakor, reported that some customers had delayed payments for over two years, resulting in over 50% revenue loss for the company.
These losses, along with other issues, threaten NEDCo’s future sustainability. While businesses generally expect profits, NEDCo’s situation in Tamale is grim, with illegal power consumption significantly impacting its operations.
Covering about 64% of Ghana’s territory, NEDCo serves the Upper East, Upper West, Savannah, Northern, North East, and Oti regions. The company faces financial difficulties due to pervasive illegal activities.
Mr Demuyakor warned that if illegal power usage continues, the company could face collapse.
He linked the low voltage issues in some areas to the financial strain caused by inadequate funds for essential service upgrades.
During the month-long revenue mobilization phase, NEDCo discovered 1,226 illegal connections, with around 236 cases now in court.
The company aims to recover approximately GHC4.2 million from those involved in power theft.
Mr Demuyakor also pointed to interference from local politicians, chiefs, and other influential figures, which complicates efforts to recover lost revenue.
He stressed that he operates under strict regulations and cannot make exceptions for customers caught stealing power.
Alongside revenue losses, NEDCo is dealing with significant meter damage caused by bypasses and fraudulent electricians who mislead customers.
NEDCo’s maintenance mechanic, Mr. K. B. Solomon, explained the meter damage issues to Channel One News.
Mr Demuyakor urged the public to adhere to legal electricity use and avoid theft to help ensure NEDCo’s continued operation and stability.