Energy Minister John Jinapor Uncovers $500,000 Auction Fraud at ECG
Energy Minister John Abdulai Jinapor has exposed a fraudulent scheme within the Electricity Company of Ghana (ECG), revealing that critical electrical equipment valued at $500,000 was improperly auctioned for just GHS 100,000—only to be resold to ECG for $300,000.
Speaking on Hot Issues on TV3 on February 16, 2025, Jinapor expressed deep concern over ECG’s failure to clear essential equipment from the port on time, leading to financial losses and operational inefficiencies.
“I checked with the port, and the security report shows that a container worth about $500,000 was imported. ECG failed to clear it, and somehow, it was auctioned for GHS 100,000. The same equipment was then resold to ECG for $300,000,” he disclosed.
Calls for Urgent Reforms
Describing the situation as unacceptable, Jinapor vowed to put an end to such fraudulent activities.
“This must stop. And I mean it will stop. Whatever it takes to put an end to this practice, we will do it—no matter how unpopular it may be,” he asserted.
His revelations have sparked public outcry, with stakeholders calling for urgent investigations into ECG’s procurement and auctioning procedures. Many are demanding stringent reforms to prevent financial mismanagement and safeguard public funds.
ECG’s Costly Procurement Issues
Beyond the fraudulent auctioning, Jinapor highlighted further inefficiencies, revealing that ECG currently has 3,000 containers stuck at the ports due to procurement mismanagement. These delays have resulted in demurrage costs amounting to GHS 1.5 billion.
“It’s all because they are engaged in what I call very frivolous procurements,” he stated. “Now, they have about 3,000 containers stuck at the ports, generating GHS 1.5 billion in demurrage. Some of the items they’ve procured will last ten years, while others will expire in five years.”
Investigations Underway
In response to these irregularities, Jinapor has commissioned a committee to investigate ECG’s procurement activities under the Akufo-Addo administration. The committee’s mandate includes assessing procurement lapses and identifying financial losses caused by mismanagement.
“So we’ve set up a committee to probe ECG’s procurements and the cost of these containers at the ports. The committee is doing a great job,” he noted.
Early findings from the investigation indicate widespread irregularities, with Jinapor asserting that former ECG management failed to adhere to proper procurement protocols.
“The preliminary reports I have received suggest there is massive rot at ECG,” he concluded.
The investigation is expected to drive major reforms aimed at restoring accountability and transparency within ECG’s procurement and financial management systems.
