The Vice President of IMANI Africa, Bright Simons, has called out the Electricity Company of Ghana (ECG) for allegedly using single sourcing to buy tens of millions of dollars of items against the procurement law.
In a tweet shared on August 2, 2023, Simons alleged that the ECG procured metres worth over $150 million without tendering which is against the procurement laws of the country.
He added that the company is now pushing for exemption from Ghana’s procurement laws.
“Regular readers might recall our recent banter with the head of Ghana’s state-owned electricity utility, ECG, about whether new mgmt is improving on inefficiencies.
“ECG is aggressively pushing for exemption from all procurement laws… It’s spent ~$150m on meters without tender!” parts of the tweet read.
Bright Simons shared a letter signed by the Managing Director of the ECG, Samuel Dubik Mahama, with the title, ‘Request for Documentation on ECG’s position on the Public Procurement Act, addressed to the Executive Secretary of the Energy Commission.
The content of the letter was about a procurement the Attorney General and Minister for Justice has given a legal opinion on.
“As you are aware. ECG is a private limited humility Company, wholly-owned by the Government of Ghana, The Company, in accordance with its legal status as a private incorporated company, has as a matter of corporate policy been operating without strict adherence to the provisions of the Public Procurement Act 2003 (Act 665) although the principles underpinning Act 663 have been incorporated in the Procurement Policy of ECG to ensure a judicious, economic and efficient use of the financial resources of ECG.
“In this regard, please find attached a Position Paper prepared which outlines the legal position that has been taken by the Company acting on the instructions of our Bord and of Directors. Also attached is a Legal Opinion issued by the Office of the Attorney-General to the Ministry of Finance on the subject matter,” parts of the letter read.