John Jinapor, the Minister-Designate for Energy, has issued a strong directive to the Electricity Company of Ghana (ECG), ordering the immediate suspension of all payments for supplies as part of a comprehensive effort to address the company’s inefficiencies and stabilize the country’s power sector.
In a recent interview with Eyewitness News on Thursday, January 9, 2025, Jinapor revealed that ECG has been grappling with significant revenue losses, largely due to operational inefficiencies and the management of over 70 accounts within the company. These challenges have hindered the company’s ability to effectively monitor and control its financial operations.
The Minister-Designate emphasized that this directive, which also comes from the Chief of Staff, is a necessary measure to streamline ECG’s operations and address the systemic issues that have plagued the company. He further warned that serious consequences would follow should any staff, particularly within the finance directorate, fail to adhere to the directive.
“We are losing over 40% of the power we generate, which means we are only collecting 60% of the revenue from the power we sell,” said Jinapor. “This is unacceptable, and we cannot find a solution if these inefficiencies continue. Countries with similar power systems only lose about 2-4%, so we must act now to prevent further losses.”
Jinapor further explained that multiple contracts, quality assurance issues, IT challenges, and other factors have been siphoning money at the source, exacerbating the problem.
To remedy this, Jinapor outlined a series of reforms aimed at addressing ECG’s structural inefficiencies. He stressed the importance of closing numerous redundant accounts, which have made it difficult for the company to monitor its operations and prevent leakage of funds.
“This sector needs serious reforms. We will bring order and stability, and we will make sure that ECG serves the public more efficiently moving forward,” Jinapor stated.