John Jinapor, a member of Parliament’s Mines and Energy Committee, has warned that the Electricity Company of Ghana (ECG) faces collapse if efforts are not made to solve the company’s difficulties.
His remarks follow the Public Utility Workers Union’s (PUWU) call for the company’s Managing Director, Kwame Agyemang Budu, to be fired on Monday.
Speaking on JoyFM, Tuesday, John Jinapor while referencing an estimated loss of GH₵8b by the company in 2021 said ECG is nearing collapse.
“In the 2020 annual report of ECG, they made a cumulative loss of GH₵5b. In 2021, it was estimated at around GH₵8b and so the company is going down. Today if you want meters, the PURC has even approved an amount of GH₵1,300 you no longer can get meters for free, if you want the pole, just an extension you ought to pay GH₵4,000 even with that, when you have the money, you cannot get it.
“Today the workers are telling us that about 30 percent of commercial and technical losses, any company that cannot recoup 30 percent of its sales or revenue expectation is dead and that is what is happening to ECG,” he told Evans Mensah.
The Yapei Kusawgu MP questioned the competence of the Managing Director, Kwame Agyemang Budu stressing that the Board of ECG must take action.
“ECG is over GH₵20b so you need a person who is committed, dedicated and not involved in our everyday politics to pay attention to ECG, but the crust of it is that ECG is on its knees, if nothing is done ECG will collapse,” he added.
The Public Utility Workers Union (PUWU) on Monday called for the immediate removal of the Managing Director of the company, Kwame Agyemang Budu.
At a press conference held at the Trades Union Building, Accra, the Union said the Managing Director has exhibited too much incompetence and does not deserve to continue being in office.
“ECG is bleeding”, “Don’t impose this incompetent MD on ECG”, “lack of electricity poles and cables”, and “acute shortage of meters”, among others were the inscriptions on the placards.
Meanwhile, ECG has warned that it is embarking on a nationwide exercise to disconnect all customers, who are indebted to the company.
