PAC orders prosecution of ECG officials over unapproved GH¢189 million expenditure

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

According to the Auditor-General’s report, ECG exceeded its approved budget in 13 expenditure categories without the board’s authorisation, leading to an excess of GH¢189.2 million. The affected areas included staff fuel, communication, consultancy, and stakeholder expenses.

At a public hearing in Parliament House on Tuesday, Mr Samuel Atta-Mills, Ranking Member of the PAC, expressed strong disapproval over what he described as blatant financial indiscipline, questioning the justification for such excessive spending.

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

Mr Atta-Mills recommended that all managers responsible for the infractions be referred to the Attorney-General for prosecution. “Those managers who were involved, I’m recommending that they face the Attorney General for prosecution,” he stressed.

The PAC’s directive, he noted, was aimed at reinforcing financial discipline, accountability, and transparency across state-owned enterprises.

This development comes amid growing concerns about ECG’s financial management and its effect on the broader power sector.

Earlier, ECG’s Acting Managing Director, Mr Julius Kpekpena, admitted before the Committee that the company had indeed overspent in some areas but assured that corrective measures had since been introduced to strengthen financial controls.