A shocking revelation has emerged from an audit report carried out by PricewaterhouseCoopers (PwC) on the accounts of the Electricity Company of Ghana (ECG) for the 2024 financial year. The report uncovered that ECG under-declared a staggering GH¢5.3 billion in revenue, raising serious questions about the company’s financial practices and the broader implications for Ghana’s energy sector.
According to the PwC report, ECG’s accounts showed revenue collections of GH¢15.8 billion in 2024, but the company only declared GH¢10.4 billion to the regulator through the Cash Waterfall Mechanism (CWM). This discrepancy of GH¢5.3 billion is a significant concern, as it suggests that ECG may have been hiding a substantial portion of its revenue from official records.
The audit report also revealed that ECG failed to properly disburse payments to key players in the power value chain. Out of the GH¢10.4 billion it officially declared, ECG paid only GH¢6.5 billion, leaving a GH¢3.9 billion shortfall that remains unaccounted for.
The under-declaration of revenue and the failure to make timely payments to stakeholders in the power sector have serious implications for Ghana’s energy sector. The sector has long struggled with liquidity challenges, unpaid debts to Independent Power Producers, and inefficiencies in revenue collection.
The PwC report’s findings are a wake-up call for ECG and the government to take immediate action to address these issues. The company must be held accountable for its financial practices, and measures must be put in place to ensure transparency and accountability in the energy sector.
CNR/Ruth Abla ADJORLOLO
