I’m not surprised by ECG’s financial discrepancies in PwC report – Energy Minister

Minister of Energy and Green Transition, John Abdulai Jinapor has said he had long predicted the recent financial discrepancies recorded by PricewaterhouseCoopers (PwC) after its audit of the Electricity Company of Ghana (ECG).

According to John Jinapor, while in opposition, the National Democratic Congress (NDC) had complained on several occasions about the operations of the ECG.

He noted that information they had at the time suggested that ECG’s system was inefficient coupled with financial mismanagement and under-declaration of revenues, this he believes resulted in ECG’s huge financial mess revealed by PwC.

“I am not surprised at what we’ve just gotten to know in respect of the PWC report. Right in opposition, we kept insisting that the system was inefficient. ECG was mismanaging the funds, under-declaration of their revenues and involvement in so much unplanned procurement, some of them unbudgeted for and that is what has culminated into this,” he explained on TV3’s Hot Issues, February 16, 2025.

The Minister disclosed to Kemini Amanor, host of Hot Issues that after a careful perusal of ECG’s first-month report for the year, he found out that “ECG collects about GHS 1.5 billion and of that amount about GHS 500 million is not declared as far as the cash waterfall mechanism is concerned.”

This, he said is in contravention to the cash waterfall mechanism policy.

“So, what ECG does is that of the GHS 1.5billion, they keep GHS 500 million first before they move in to take some more from the GHS 1.5 billion which is in contravention to the policy and cash waterfall mechanism.”

An audit of ECG by PricewaterhouseCoopers (PwC) between October and December 2023 uncovered a significant revenue discrepancy of GHS 567 million.

This discrepancy reflects inconsistencies between the Customer Waterfall Mechanism (CWM) and ECG’s Cash Settlement Platform.

The findings highlight concerns about transparency and efficiency within ECG’s financial management systems, which play a crucial role in Ghana’s energy sector.

PwC audit report uncovers GHS 567 million revenue discrepancy at ECG

The post I’m not surprised by ECG’s financial discrepancies in PwC report – Energy Minister first appeared on 3News.

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