Minister of Energy and Green Transition, John Abdulai Jinapor, has raised serious concerns over irregularities in the Electricity Company of Ghana’s (ECG) financial report for January 2025.
This follows a significant financial crisis revealed by an audit report from PricewaterhouseCoopers (PwC), which uncovered a GHS 567 million revenue discrepancy for the period from October to December 2023.
In an interview on TV3, Jinapor revealed that ECG had under-declared cash collected from customers. He pointed out that despite collecting GHS 1.5 billion, the company declared only GHS 1 billion, a direct violation of the cash waterfall mechanism policy.
“ECG collects about GHS 1.5 billion, and of that amount, about GHS 500 million is not declared, which is against the policy,” Jinapor said.
He also noted that ECG’s numerous contractual obligations and deductions at source, including fees taken by banks and payment apps, further diminish the company’s financial resources.
Jinapor emphasized that ECG must follow the correct procedure by depositing all collected funds into a holding account, allowing the cash waterfall mechanism committee to allocate the funds appropriately. The failure to do so could hinder the company’s ability to meet statutory levies and pay generators, among other financial obligations.