The Electricity Company of Ghana (ECG) is facing intense scrutiny following revelations of unapproved spending amounting to GH¢189.2 million, prompting the Public Accounts Committee (PAC) of Parliament to recommend prosecution of responsible officials.
During a PAC hearing on October 28, Ranking Member Samuel Atta Mills expressed deep concern over ECG’s financial conduct, citing findings from the 2024 Auditor-General’s report. The report revealed that ECG exceeded its approved budget across thirteen expenditure items without securing board approval, a breach of financial governance protocols.
Among the flagged expenditures were foreign training, which was budgeted at GH¢31 million but ballooned to GH¢91 million, and cleaning services, which saw a jump from GH¢2.8 million to GH¢3.6 million. Other notable overruns included:
- Communication expenses: Budgeted at GH¢4.2 million, actual spending reached GH¢7.9 million
- Consultancy services: Budgeted at GH¢40 million, overspent by GH¢18.6 million
- Industrial relations: Budgeted at GH¢2 million, actual spending hit GH¢13 million
- Stakeholder engagements: Budgeted at GH¢3.1 million, exceeded by several million
Atta Mills questioned the rationale behind the excessive spending, describing it as “blatant financial indiscipline.” He challenged ECG officials to explain how such expenditures were authorized without board oversight, warning that the committee would refer the matter to the Attorney General for prosecution.
“This level of disregard for financial controls cannot be tolerated,” he stated. “Before I refer you to the Attorney General, let’s go through some of these items. Who approved GH¢91 million for foreign training when the budget was GH¢31 million?”
The PAC’s directive signals a firm stance against fiscal mismanagement in public institutions. ECG executives, including the Chief Executive, were present at the hearing and are expected to respond formally to the committee’s findings.
The development has sparked public concern over accountability in state-owned enterprises, with calls for stricter enforcement of financial regulations and transparency in budget execution.