&quot;When They Cough, the Government Catches a Cold&quot;: Independent Power Producers and the Political Economy of Ghana’s Electricity Governance

Thermal-based Independent Power Producers (IPPs) account for almost half of Ghana’s installed electricity generation capacity. While their entry helped alleviate the 2012-2016 “dumsor” crisis, it has introduced new governance challenges from commercial controversies to politicized bargaining, most notably the growing debt owned by the Electricity Company of Ghana (ECG). Existing scholarship on Ghana’s electricity governance has examined the systemic causes and symptoms of recurring shortage or overcapacity crises, yet it often treats IPPs as objects or outcomes of policies, thereby overlooking their perspectives and agency. Using a political economy of privatization lens, this thesis explores the role of IPPs in Ghana’s electricity governance. Based on an inductive analysis of 12 semi-structured interviews with industry insiders including IPP executives, regulatory officials, observers, and extensive archival research, I argue that IPPs in Ghana are not merely passive recipients of...Show moreThermal-based Independent Power Producers (IPPs) account for almost half of Ghana’s installed electricity generation capacity. While their entry helped alleviate the 2012-2016 “dumsor” crisis, it has introduced new governance challenges from commercial controversies to politicized bargaining, most notably the growing debt owned by the Electricity Company of Ghana (ECG). Existing scholarship on Ghana’s electricity governance has examined the systemic causes and symptoms of recurring shortage or overcapacity crises, yet it often treats IPPs as objects or outcomes of policies, thereby overlooking their perspectives and agency. Using a political economy of privatization lens, this thesis explores the role of IPPs in Ghana’s electricity governance. Based on an inductive analysis of 12 semi-structured interviews with industry insiders including IPP executives, regulatory officials, observers, and extensive archival research, I argue that IPPs in Ghana are not merely passive recipients of state contracts or market logic, but powerful actors who shape electricity governance through actions such as policy advocacy, unionization and shutdown threats. This argument rests in part on the diversity among IPPs in terms of their financial models, organizational forms, and public strategies. The findings contribute to academic discussions on Ghana’s electricity governance and offer a novel case showing the complexity of privatization in developing contexts.Show less

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"When They Cough, the Government Catches a Cold" Independent Power Producers and the Political Economy of Ghana’s Electricity Governance