ECG Boss Resigns Barely 2 Years In Office

The Managing Director (MD) of the Electricity Company of Ghana (ECG), Samuel Dubik Mahama, has officially tendered in his resignation letter.

Mr Mahama, who was appointed in May 2022, resigned over personal reasons.

In his resignation letter addressed to the Board Chairman of the Company and Member of Parliament (MP) for Effutu constituency, Alex Afenyo-Markin, he admitted the decision did not come easy.

Not many had expected the MD to leave office at this time, given the intermittent power challenges. Players in the sector are surprised at the decision.

“I am writing to formally resign from my position as Managing Director of the Electricity Company of Ghana, effective two weeks from the above date. This decision has not come easily, nut after much reflection, I have concluded that it is in my best interest to step away for personal reasons.

Over the past two years and four months, I have had the profound honour of serving this esteemed organization, and I am truly grateful for the opportunities I have received, I want to extend my heartfelt thanks to the Board for your unwavering support and guidance throughout my tenure. I also wish to express my sincere gratitude to the President for the trust placed in me which has been significant aspect of my journey here” part of his letter read.

Before taking on the role of MD of ECG, Mr Mahama, had served as a non-executive director at ECG. He also brought with him extensive experience in both the private and public sectors.

His previous roles, include non-executive director at GIHOC Distilleries, country representative for Gulfsouth Forest Products, and partner at Dubik & Associates and Wilkins Engineering.

In addition to his professional background, Mahama is a legal practitioner and a graduate of the University of Ghana.

His final days were marred by seeming bad blood between the Company and the Public Utilities Regulatory Commission (PURC).

One of them is the latest PURC report in relation to the Cash Waterfall Mechanism (CWM) over potential bankruptcy.

In a PURC letter addressed to the Presidency, the Energy and Finance Ministers, and other key stakeholders, the Commission’s Executive Secretary, Dr Ismael Ackah, highlighted the crisis that is also impacting the operations of the Volta River Authority (VRA), Ghana Grid Company (GRIDCo), and the Bui Power Authority.

According to Dr Ackah, these challenges have led to delays in salary payments and difficulties in covering administrative costs, underscoring the urgency for immediate action.

Despite efforts to improve cash collection through digital and metering programmes and significant tariff increases of over 75% since September 2022, ECG’s financial instability persists.

But the ECG said the report left much to be desired.

In expressing disappointment with the PURC’s review of the CWM, ECG said in a statement issued Thursday that the report misrepresents key issues.

According to the ECG, its fuel costs, crucial to maintaining operations, were inaccurately labelled as a “variance,” and while ECG has made significant progress, such as independently procuring fuel, it is framed negatively in the report.

Additionally, ECG said the review overlooks forex losses and delays in payments to Independent Power Producers (IPPs), creating a misleading narrative.

ECG, has consequently called for more constructive leadership and accurate reporting from the PURC to foster progress in Ghana’s energy sector.

His appointment followed the statutory retirement of the former Managing Director, Kwame Agyeman-Budu.

Source: Anchorghana.com