Minister for Energy and Green Transition, John Abdulai Jinapor, has established a committee to probe procurement activities by the Electricity Company of Ghana (ECG) during the tenure of former President Akufo-Addo.
Mr. Jinapor criticised the ECG for what he described as “frivolous procurements” that have resulted in significant financial losses for the company.
He revealed that approximately 3,000 ECG containers are currently stranded at ports, accumulating demurrage costs estimated at GHS 1.5 billion.
“These procurements are completely unacceptable,” Mr Jinapor said in an interview.
“As a result, around 3,000 containers are stuck at the ports, generating a demurrage cost of about GHS 1.5 billion. Some of the items procured are meant to last ten years, while others may expire in just five.”
To address the issue, the Minister confirmed the formation of a committee tasked with investigating the procurement practices and financial implications of the stranded containers.
“We’ve set up a committee to look into the procurement processes at ECG and assess the cost of these containers at the ports,” he said. “The committee is making good progress.”
Mr. Jinapor also shared that initial findings indicate former ECG managers failed to adhere to established procurement guidelines, leading to significant inefficiencies.
“The preliminary reports suggest there’s been a massive breakdown at ECG,” he noted.
In addition to the investigation,Mr Jinapor announced plans for a wider audit of the energy sector, including both human resource and technical reviews.
“We’re planning a more comprehensive audit, which will go beyond financial issues to look at human resources and the technical side of the energy sector,” Mr.Jinapor explained. “This will help guide policy reforms and address existing inefficiencies.”
