As part of attempts to address inefficiencies and stabilize the power sector, Minister-Designate for Energy John Jinapor has directed the Electricity Company of Ghana (ECG) to immediately cease all payments for deliveries. Jinapor warned ECG employees, especially those in the financial directorate, that if they disregarded the directive, there would be terrible repercussions.
On Thursday, January 9, 2025, Jinapor disclosed that ECG has been experiencing large revenue losses in an interview with Eyewitness News. He emphasized how difficult it has been to effectively manage and control the company’s more than 70 accounts.
In order to better serve the public and stabilize the electricity industry, the Minister-Designate promised to enact extensive reforms targeted at optimizing ECG’s operations and raising its general effectiveness.
“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. So, I have told the ECG, and this is also an instruction from the Chief of Staff, to seize 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. 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,” he stated.
Source: Citinewsroom