Government plans to deploy two million prepaid electricity meters and deepen private-sector participation in electricity distribution as part of measures to reduce losses and improve efficiency in Ghana’s power sector.
The announcements were contained in the 2027 Budget Statement and Economic Policy presented by Finance Minister Dr Cassiel Ato Forson.
According to the budget, the two million prepaid meters will be deployed to address losses within the electricity distribution system.
Government also plans to fully implement performance-based private-sector participation in electricity distribution by the end of 2027.
The arrangement is expected to bring private-sector expertise into the distribution system to help reduce losses, while strategic public assets will remain protected, according to the budget.
The measures form part of a broader energy investment programme that includes US$500 million for the modernisation of the transmission system between 2027 and 2030.
Government says the investment will strengthen the north-south transmission network, connect new electricity generation to areas of demand and reduce transmission losses.
The budget identifies the financial burden on the energy sector as a major concern.
It states that Ghana recorded an annual energy sector shortfall of about US$1.4 billion in 2025, while arrears owed to independent power producers and fuel suppliers stood at approximately US$1.7 billion.
Government expects the proposed investments in power generation, transmission and distribution to help eliminate the annual shortfall.
It also intends to reduce the cost of power generation from about 16 US cents per kilowatt-hour to 8 US cents or less.
However, the budget does not specify the cost of the two million meters, the timetable for their deployment or how households and businesses will be selected to receive them.
Details of the implementation arrangements will be important, particularly for consumers who want to know whether the exercise will improve billing transparency and reduce disputes over electricity consumption.
The effectiveness of the programme will depend on how quickly the meters are deployed and whether the wider distribution reforms deliver measurable improvements.
