The directive from the Public Utilities Regulatory Commission (PURC) to charge and sanction the Board of Directors of ECG is justified and appropriate. As an independent regulator in the utility sector, it is imperative for PURC to assert its authority with decisive actions.
Nana Yaa Jantuah, the former Convention People’s Party (CPP) General Secretary, expressed this sentiment on the Adekyee Mu Nsem morning show on Ahotor 92.3 FM in Accra.
“It’s time we allowed the institution to work. It’s very unfortunate and bizarre that we are experiencing power shedding without any official communication, which shows disrespect to consumers,” she stated.
Jantuah emphasized that corporate bodies like ECG, responsible for the utility sector, must operate truthfully and factually. She urged ECG to provide a timetable to help consumers plan their daily activities, rather than keeping them in the dark, which is never justified.
She believes that any punitive measures taken by the PURC against ECG and VRA will serve as a lesson for the future, guiding them to do the right thing.
Jantuah also highlighted the major financial challenges facing the utility sector, particularly regarding settling outstanding debts with independent power producers and other financial obligations such as loans and credit facilities.
In another development, the former Minister of Power, Dr. Kwabena Donkor, also supported the decision by the PURC to sanction the board of directors of ECG in addition to the company itself.
Dr. Donkor explained that, according to corporate governance structures, the board holds ultimate responsibility for all company decisions. Therefore, attaching them to the sanction was a step in the right direction.
He further emphasized the importance of directors taking their responsibilities seriously and encouraged them to appeal the decision if necessary.
The PURC has given a six-week ultimatum to the Board Members of ECG to pay a fine of Five Million, Eight Hundred and Sixty-Eight Thousand Ghana Cedis (GHS 5,868,000.00). This fine was imposed due to ECG’s failure to notify its customers about power outages between January and March of the current year.
The PURC stated that the Board Members who were in office during this period would be held liable for the payment of the fine. They have until May 30th, 2024, to pay the regulatory charge into a dedicated account under the joint control of the Ministry of Energy and the Ministry of Finance.
