ECG officials to face prosecution over GH¢180m unapproved expenditure

The Public Accounts Committee (PAC) of Parliament has directed the Electricity Company of Ghana (ECG) to submit its officials for prosecution over unapproved expenditure amounting to over GH¢180 million in 2023.

According to the Auditor General’s report, ECG exceeded its budget in 13 expenditure items without the board’s approval, resulting in excess spending of GH¢189.2 million.

The affected areas include staff fuel, communication, consultancy, and stakeholder expenses.

Mr Samuel Atta-Mills, the Ranking member of the PAC, at a public hearing in Parliament House on Tuesday expressed dismay at the financial indiscipline, questioning the rationale behind the excessive spending.

“Staff fuel, did they drive around the world? The budget was 2.8, you spent 3.6 million. ECG’s communication expenses were 4.2, but you spent 7.9 million. Consultancy, the budget was 40 million, but you spent 58.6 million. All these you did on your own without even board approval. Stakeholders’ expenses, your budget was 3.1 million, and you spent 49 million, and you want to increase our tariffs,” he remarked.

Mr Atta-Mills recommended that the managers involved face prosecution due to financial indiscipline. “Those managers who were involved, I’m recommending that they face the Attorney General for prosecution,” he added.

The PAC’s decision aims to promote accountability and responsible financial management in state-owned institutions.

This development comes amid concerns about ECG’s financial management practices and its impact on the power sector.

Mr Julius Kpekpena, ECG’s acting Managing Director, had earlier admitted to the Committee that the company had overspent in certain areas but assured us that corrective measures had been implemented to tighten financial control.

Source: GNA

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