Energy Minister-Designate Orders ECG to Halt All Payments

The Minister-designate for Energy, John Jinapor has directed the staff of the Electricity Company of Ghana (ECG) to halt all payment processes until further notice.

This, he announced, is to make way for a reform in the sector to correct all inefficiencies and mishaps at the company.

“I have told the ECG, and this is also an instruction from the Chief of Staff, to cease all payment for supplies and I mean it. I have told them and if anybody is listening and is within ECG, whether the finance directorate, this was the instruction we gave them yesterday. Please don’t and I mean it, because there are serious consequences if you flout this directive,” he said on Eyewitness News.

This is a step aimed at sanitizing the finances of the company, he indicated.

“We need some serious buffers to anchor the system. All those numerous accounts will be closed. They have over 70 accounts and they cannot monitor that, so we need to reform that sector and we will reform that sector.”

Hon Jinapor affirmed that the significant revenue losses recorded emanates from inefficiencies.

“The challenge of money emanates from inefficiencies. Because if ECG loses over 40% of its power generated, no matter what you do, you cannot find a solution. Other countries are doing just about 2-4% losses.

“So, with this $100 worth of power, you buy and sell, you collect only 60% and even with that, there are so many contracts, quality assurance, IT, provision and others. They are all deducting monies at the source.”

Source: opemsuo.com/Hajara Fuseini