The Controversial Resignation of ECG Managing Director Dubik Mahama – The sudden resignation of Samuel Dubik Mahama as the Managing Director of the Electricity Company of Ghana(ECG) has sent shockwaves through the country’s energy sector. Mahama’s departure, which has been attributed to “personal reasons,” has unveiled a complex web of political interference, financial mismanagement, and allegations of corruption that plagued his tenure.
The Controversial Resignation of ECG Managing Director Dubik Mahama
Samuel Dubik Mahama’s appointment in May 2022 was initially celebrated as a strategic move by the Akuffo-Addo government, positioning a competent and experienced professional to revitalize the struggling state-owned utility. However, his time at the helm of ECG was marred by controversies that ultimately led to his downfall.
One key issue contributing to Mahama’s resignation was his resistance to political pressure from the Akuffo-Addo administration, particularly from former Finance Minister Ken Ofori-Atta, now a Senior Advisor on the Economy. Mahama reportedly clashed with Ofori-Atta over the procurement of light crude oil for power generation, advocating for transparency and adherence to the established Cash Waterfall mechanism.
However, Ofori-Atta and his allies within the government allegedly pushed for a more opaque procurement process, where the ministry would directly oversee the purchases, bypassing the established protocols. Mahama’s refusal to comply with these demands led to a tense standoff, with the president’s own family members reportedly exerting pressure on him to step down.
Mahama’s management style and decision-making process were met with opposition from ECG workers, who accused him of running the company based on his “whims and caprices.” One of the most contentious issues was the $25 million contract awarded to Hubtel for the development of a mobile payment app, which was widely criticized as being “outrageous and criminal.”
Mahama’s attempts to silence dissent within the company by using the National Security and the Economic and Organised Crime Office(EOCO) to intimidate workers who disagreed with his decisions further eroded his credibility and trust among ECG employees.
MUST READ: Rising Fibre Cuts Threaten Ghana’s Telecom Infrastructure.
Also, his tenure was marked by allegations of inflated exchange rate deals with Fidelity Bank, where ECG was reportedly buying dollars at a rate significantly higher than the market rate. This issue led to a public confrontation between Mahama and the Public Utilities Regulatory Commission(PURC), which accused him of flouting recommendations on the price waterfall mechanism.
Manama is also said to have established close ties with politicians from both the governing New Patriotic Party (NPP) and the opposition National Democratic Congress (NDC), who were “very protective of him and had refused to question his many multi-million-dollar contracts.” This political interference and lack of oversight appear to have contributed to the controversies that ultimately led to Mahama’s resignation.
In the wake of Mahama’s departure, the African Center for Energy Policy (ACEP) has renewed its call for the dissolution of the ECG board, arguing that they should be held accountable for the company’s mismanagement. ACEP has also urged the government to appoint a new management team to clear key performance indicators (KPIs) to address the financial and operational challenges facing ECG.
The resignation of the ECG Managing Director has exposed the deep-rooted issues plaguing the power utility company. As the government and stakeholders navigate this leadership transition, it is imperative to address these underlying problems and implement reforms to restore public trust and ensure the reliable delivery of electricity to Ghanaians.
