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AGI blasts ECG over unpaid local manufacturers amid mysterious cable imports

Tue, Apr 8 2025 3:09 AM
in Ghana General News
agi blasts ecg over unpaid local manufacturers amid mysterious cable imports
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AGI President Seth Twum Akwaboah

The Association of Ghana Industries (AGI) has launched a scathing critique of the Electricity Company of Ghana (ECG), demanding immediate payment for local manufacturers who are owed huge sums.

This comes in the face of ECG reportedly prioritising questionable imports of electrical cables in defiance of Ghana’s local content laws.

In a sharply worded statement issued on April 5, AGI expressed outrage over reports that ECG imported a massive number of containers—allegedly over a thousand—of electrical cables, including aluminium conductors, despite Ghana’s full capacity to produce such materials locally.

Even more troubling, AGI says, is the rumour that many of these imported containers have gone missing.

“Pay us, not importers,” AGI declared, calling the situation “most unfortunate” for a debt-strapped state institution.

“It is sad to note that our local manufacturers of aluminium conductors, who continue to create jobs, are owed huge sums of money, yet importers are promptly paid,” the association fumed.

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AGI’s Chief Executive Officer, Seth Twum-Akwaboah, did not mince words.

“For a state institution that is already saddled with huge debts, this is most unfortunate,” he said, though he acknowledged the Energy Minister’s ongoing efforts to address the mess.

The group pointed to ECG’s own past leadership in promoting local content, saying ECG had once encouraged Ghanaian businesses to establish factories for producing aluminium conductors, treating wooden poles, and assembling meters and transformers.

This, the AGI noted, led to the passing of L.I. 2354 in 2017—a local content law that cemented policy uniformity and helped create thousands of jobs.

“Indeed, this was a classic example of local vertical integration, which could have served as a model for the country,” the release stated.

“Today, Ghana has 100% LOCAL production capacity for aluminium conductors with raw material from VALCO.”

In that context, AGI finds the importation of aluminium conductors not only unnecessary but also a breach of the law. “Importing such huge volumes breaches L.I. 2354,” the statement said bluntly, calling for investigations into all imports that contradict the regulation.

AGI has laid out three specific demands: First, it wants the Ministry of Energy and Green Transition to strengthen public financial management systems and conduct frequent audits to ensure compliance.

Second, it is calling for a full investigation of the reported imports and a rejection of any illegal contracts that result.

And third, it is demanding prompt payment of arrears owed to local manufacturers, saying payments should be treated with the same urgency given to local power producers.

AGI is also drawing a clear distinction between true local manufacturers and entities that merely import and resell finished goods.

“Local suppliers who merely import finished items do not qualify to be classified as local content suppliers,” the statement emphasized.

The group concluded with a warning: without strict adherence to local content laws and a shift toward rewarding domestic manufacturing, Ghana’s dream of industrialisation will remain elusive.

AGI says it awaits swift government action and remains open to engaging further on the matter. But for now, the message is clear: stop ignoring local industry, stop the imports, and start paying those building the future from within.

DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.

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