The Energy Minister, Mr. John Abdulai Jinapor, has unveiled a startling scandal involving the illicit sale and auction of containers owned by the Electricity Company of Ghana (ECG), urging urgent reforms to address what he deems an “unacceptable” trend of mismanagement within the organization.
In a shocking revelation that has sent ripples through the energy sector, Mr. Jinapor disclosed that high-value ECG cables, procured with taxpayer money, were auctioned off at appallingly low prices, without any semblance of a competitive bidding process.
“When we consider these auctions, and you discover that ECG’s containers, imported with public funds, were sold off at laughably low prices, it raises the question: Can such auctions happen without the awareness of key officials, like the managing director?” he challenged during an appearance on The KeyPoints on March 29.
He elaborated that typically, auctions are conducted only when goods have been confiscated or forfeited, indicating a level of oversight generally expected in public dealings.
However, he contended that crucial public assets such as ECG cables should never have been subjected to such a fate.
“For items of such significant value, the logical first step should have been for the state to reclaim them, hand them over to the Ministry of Energy, and utilize them for vital rural electrification projects,” he asserted.
The Minister pointed out the irony of government expenditures, as funds are continually allocated for the purchase of new cables for electrification initiatives, making the sale of existing ECG-owned cables even more perplexing.
“This very government spends taxpayers’ money to procure these cables for rural electrification. Furthermore, certain materials serve a singular purpose—cables are exclusively intended for the expansion of electricity access and nothing else,” he stressed.
According to Mr. Jinapor, auctioning off such indispensable materials effectively serves only to benefit illegal smelting operations, where the cables are melted down into aluminum rods, undermining the primary rationale behind their initial acquisition.
“If these items are auctioned off, they inevitably end up at these underground aluminum factories, where they are melted for a mere fraction of their true value,” he lamented.
Mr. Jinapor did not hold back in condemning the apparent lack of transparency surrounding these auctions, emphatically asserting that they should be conducted through a competitive framework with proper public notifications.
“Auctions ought to follow a traditional process focused on competition, rather than reverting to sole sourcing once more.
There should be announcements made to ensure that everyone has the chance to participate,” he asserted.
Mr. Jinapor reassured the public that the National Security Coordinator is actively working to secure all remaining ECG containers.
“We are in the process of safeguarding these containers and will collaborate with the Ghana Revenue Authority, GHAPOHA, and relevant government entities to establish a structured payment plan,” he added.
The Minister proposed a more fiscally responsible solution that would allow the state to reclaim the auctioned cables and deploy them for their intended purpose.
“Rather than awarding a new contract for cable procurement, why don’t we recover these cables and use our budget to cover the duties and associated costs?” he suggested.
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