The Volta River Authority established the Northern Electricity Department (NED) in 1987 to distribute electricity in the then Brong-Ahafo, Northern, Upper East and Upper West Regions of Ghana as part of its 161kV transmission grid extension to the northern parts of Ghana. In June 1994, the Government of Ghana (GoG) initiated the Power Sector Reform (PSR) programme aimed at bringing efficiency and managerial effectiveness in the Energy Sector in order to improve service delivery to all consumers.
In pursuant of the PSR, VRA Management, in 1997, registered the Northern Electricity Distribution Company (NEDCo) as a wholly owned VRA subsidiary, with a Board of Directors to take over the operations of NEDCo. In May 2012, the VRA Management operationalized NEDCo as a wholly owned subsidiary.
NEDCo's current operations covers about 64% of the geographical area of Ghana and includes the northern parts of Volta, Ashanti and Western regions. However, the customer density of the operational area is low with access to electricity estimated at 44%. The Ghana Government, in line with its vision of making electricity available to all has undertaken power extension over the years to new towns and communities not served by NEDCo. Customer population has therefore grown at an average growth rate of about 13% per annum from less than 20,000 in 1987 to 698,353 at the end of 2015.