Story of Africa’s loss-making electricity utility companies

African households and industries have been pushed into a life of unreliable and expensive power as a result of inefficient, loss-making power utility firms with questionable governance structures.

A study by Clarion Energy and the Gordon Institute of Business Science (University of Pretoria) shows that governance irregularities have become a major cause for concern for government-owned utility firms as they adversely impact the firms’ procurement processes.

The report titled, ‘The Future of Power Utilities in Africa, notes that the future trajectory of African utility firms largely depends on the improvement of the quality of their governance structures and their precarious cash positions.

Read more: Daily Monitor