Samuel Dubik Mahama, Managing Director of the Electricity Company of Ghana (ECG), has tendered his resignation, citing personal reasons for his departure.
In a letter to the presidency, Mr Mahama stated, “I have concluded that it is in my best interest to step away for personal reasons,” while expressing gratitude to President Akufo-Addo for the opportunity to serve since his appointment in May 2022.
His exit comes at a tumultuous time for ECG, which has been embroiled in a dispute with the Public Utilities Regulatory Commission (PURC) over its financial standing.
A recent PURC report warned of potential bankruptcy under the Cash Waterfall Mechanism (CWM), noting the financial strain not only on ECG but also on the Volta River Authority (VRA), Ghana Grid Company (GRIDCo), and the Bui Power Authority.
The report, authored by PURC Executive Secretary Dr. Ismael Ackah, highlighted delays in salary payments and administrative cost burdens, prompting calls for urgent intervention.
Despite a 75% tariff hike since September 2022 and efforts to digitize payment systems, ECG continues to face significant financial challenges.
In a strongly worded response, ECG criticized the PURC report, accusing it of misrepresenting key issues. The utility company took particular issue with the classification of fuel costs as a “variance” and defended its progress in independently procuring fuel.
ECG also pointed out that the report overlooked crucial factors such as forex losses and delayed payments to Independent Power Producers (IPPs), painting an incomplete picture of the company’s financial health.
ECG has therefore called for more balanced and constructive leadership from the PURC, urging for better collaboration to address the challenges facing Ghana’s energy sector.
Source:norvanreports.com