Majority Leader Mahama Ayariga has stated that Ghana’s planned 24-hour economy cannot begin until the problems at the Electricity Company of Ghana (ECG) are resolved. He blamed the previous New Patriotic Party (NPP) government for mismanaging the energy sector.
Speaking in Parliament on Thursday, November 27, Ayariga accused the former administration of causing significant financial losses and operational failures at ECG.
Key Allegations of Mismanagement
The Bawku Central MP pointed to several specific issues:
- Millennium Challenge Account Failure: Ayariga claimed that the mismanagement of the Millennium Challenge Account Energy Compact 2 led to a loss of $190 million for Ghana. He alleged that a company named PDS, which was given control of distribution, used forged documents.
- Port Demurrage Charges: He cited a recent ECG investigation report that revealed demurrage charges of over GH¢909 million were incurred at the port due to negligence.
- Irregular Contract Awards: Ayariga stated that clearing contracts worth GH¢159 million were improperly awarded. He highlighted that a single contract worth GH¢127.6 million was given to a company that did not have the required customs house agent registration.
- Budget Deviations: He also pointed to major differences between budgeted costs and the actual amounts spent on procurements.
Linking Energy to the 24-Hour Economy
In response to questions about the timeline for the government’s flagship 24-hour economy policy, Ayariga was clear. He argued that a round-the-clock economy requires a stable and reliable power supply first.
“You stand here and you ask when is the 24-hour economy starting,” Ayariga said. “The 24-hour economy will start when we have cleared the mess at ECG and we have created a 24-hour energy system.”
His comments underscore the government’s position that fixing the foundational issues in the energy sector is a critical first step before ambitious economic policies can be successfully implemented.
