Energy Minister John Jinapor exposes $500K auction fraud at ECG

Energy Minister John Abdulai Jinapor has raised serious concerns about alleged fraudulent activities within the Electricity Company of Ghana (ECG), including the improper auctioning of critical equipment meant for the company.

Speaking on Hot Issues on TV3 on Sunday, February 16, 2025, Jinapor revealed that ECG has failed to clear essential equipment from the port on time, leading to financial losses and inefficiencies.

One striking case he cited involved a $500,000 container of electrical equipment that was left uncleared and subsequently auctioned at a much lower price.

“I checked with the port, and the security report I received shows that a container worth about $500,000 was imported. ECG couldn’t clear it, and somehow, someone was able to buy it at auction for 100,000 cedis, then resell it to ECG for $300,000,” Jinapor disclosed.

The Energy Minister described the situation as unacceptable and vowed to put an end to such practices.

“It will stop. And I mean it will stop. Whatever it takes to stop that, no matter how unpopular that may be, we must take action.“

Jinapor’s revelations have sparked public outrage, with calls for an investigation into ECG’s procurement and auctioning processes. Many stakeholders are urging the government to implement stringent measures to prevent financial mismanagement and protect public resources.

Beyond the fraudulent auctioning, Jinapor revealed that ECG currently has 3,000 containers stuck at the ports, accumulating a demurrage cost of GHS 1.5 billion due to the company’s failure to clear them on time.

“It’s all because they are engaged in what I call very frivolous procurements. Now, they have about 3,000 containers stacked at the ports, generating GHS 1.5 billion in demurrage—that is very unacceptable. Some of the things they’ve procured will last them ten years, some will even expire in five years,” he stated.

To address these concerns, Jinapor established a committee to investigate ECG’s procurement practices under the Akufo-Addo administration. The committee is tasked with assessing the procurement irregularities and financial losses incurred through mismanagement.

“So we’ve commissioned a committee to investigate ECG’s procurements and the cost of these containers stacked at the ports. The committee is doing a very good job,” he said.

Jinapor disclosed that initial findings from the committee suggest ECG’s former management did not follow proper procurement processes.

“So far, the preliminary reports I have gotten indicate that there’s massive rot at ECG,” he added.

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