ECG cannot keep lending electricity for free

Properly authorized, limited to material postpaid credit, and evaluated against real cash outcomes, default interest can make payment discipline more rational and reduce ECG’s financing burden.

A modest, transparent interest charge on overdue postpaid balances should therefore be considered as one instrument in ECG’s revenue-assurance toolkit.

Ghanaian evidence warns against a penalty-only strategy: Sualihu and Rahman’s study of ECG customers in Greater Accra found that shorter payment transactions, better service quality and customer satisfaction were associated with shorter payment periods (2014).