The Minister for Energy and Green Transition, John Jinapor, has revealed that the Electricity Company of Ghana (ECG) has cancelled over 202 supply contracts worth more than $227 million as part of a major clean-up exercise to improve efficiency and reduce financial waste in the energy sector.
Speaking at the Government Accountability Series in Accra on Wednesday, July 16, 2025, Mr. Jinapor said the cancelled contracts were part of a broader review of 347 agreements entered into by ECG, many of which had failed to meet agreed delivery timelines.
“To reduce ECG’s contingent liabilities and streamline inventory control and cost savings, the government initiated a comprehensive review of all ECG contracts,” he said. “The review identified 347 supply contracts in which the suppliers had failed to deliver the contracted goods within the specified delivery periods.”
He clarified that the terminated contracts were not part of materials stuck at the country’s ports but involved new supplies that had not yet been delivered. The cancelled deals amount to $227.6 million, £1.17 million, and €4.08 million in total.
The Energy Minister further indicated that an additional 145 contracts are under further scrutiny and could also be terminated based on the outcome of ongoing assessments.
“This action is in line with our commitment to clean up the energy sector, improve value for money, and ensure that procurement processes are strictly adhered to,” Mr. Jinapor said.
The announcement is part of broader reforms under the government’s efforts to reposition the energy sector for greater transparency, accountability, and reliability in service delivery.
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