Energy Minister sets up committee to propose private sector management model for ECG

The Minister for Energy and Green Transition, Dr John Abdulai Jinapor has hinted that the rationale behind Electricity Compony of Ghana (ECG’s) procurement processes would soon be investigated.

He made this known when he inaugurated a seven-member committee that would develop a strategic model within one month for ECG’s private sector participation.

‘’ECG has procured 13 billion cedis worth of materials and other products that would take about 25 years to pay for these items. Some of the items have even expired. We are therefore constituting a committee to quickly uncover procurement processes of the utility company to get to the bottom of the issue,’’ he said.

The membership of the committee is as follows;
1. Mr. Jabesh Amisah-Arthur, Chairman
2. Mr. Benjamin Boakye
3. Dr. Shafic Suleman, Secretary
4. Dr. Simon Akorli
5. Mr. Ebenezer Baiden
6. Lawyer Emma Akua Bulley
7. Mr. Edward Abrokwah

The newly inaugurated technical committee is therefore expected to consult extensively with all stakeholders and advice the energy ministry on the best way forward to facilitate the privatization of ECG. Dr John Abdulai Jinapor urged the committee to involve local actors within the ECG private sector management plan.

“This committee is comprised of well-versed energy experts and key stakeholders who would generate the ECG-Private sector management model to help improve service delivery and operational efficiency,’’ he further added.

On his recent visit to the Ghana Ports and Harbors Authority, Dr John Abdulai Jinapor, was informed about ECG’s inability to clear about 2,500 containers. Briefing the media about the current development, he said this is attracting charges and penalties which now stands at 1.5 billion cedis.

The inefficiencies and financial losses in power distribution in Ghana has become a growing concern for many.

A recent audit of the Electricity Company of Ghana (ECG) conducted by PricewaterhouseCoopers (PwC) revealed that ECG under-declared GHS 567 million in revenues when comparing data from the Cash Waterfall Mechanism (CWM) and its cash settlement systems.

The discrepancy, identified in the period between October and December 2023, reflects inconsistencies between the Cash Waterfall Mechanism (CWM) and ECG’s Cash Settlement Platform.

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