Audit Exposes ECG’s $145 Million Procurement Violations and Electricity Theft Oversights

A recent report by the Auditor-General (A-G) has revealed significant irregularities in the Electricity Company of Ghana’s (ECG) procurement practices, specifically regarding the acquisition of metres that totaled over $145 million. The findings indicate that ECG’s actions contravened the Public Procurement Act.

The audit, conducted between August and December 2022, focused on ECG’s operations from 2016 to 2021 across various locations, including the headquarters, the Metering and Technical Services (MTS) Division, and several regional and district offices in the Greater Accra Region.

The report highlighted that ECG entered into 50 contracts for the purchase of 862,750 metres and related accessories, amounting to USD 145,010,153.92, without adhering to the necessary procurement regulations.

Additionally, the ECG failed to recover a total of GH₵53.9 million identified during monitoring efforts and did not pursue legal action against customers involved in electricity theft, which could have deterred further incidents.

In a letter addressed to the Speaker on June 2, 2023, A-G Johson Akuamoah Asiedu urged the ECG to ensure compliance with the Public Procurement Act in all future procurement activities to enhance accountability and achieve better value for public funds.