The Public Utilities and Regulatory Commission (PURC) has come under fire from lawyers representing the board members of the Electricity Company of Ghana (ECG).
According to the lawyers, the PURC has overstepped its bounds by imposing a sentence on the board members without giving them the opportunity to defend themselves.
The lawyers argue that the directors are not responsible for the day-to-day operations of the company and should not be held personally liable for any defaults on the part of ECG. They point out that under Company Law, the officers of a company cannot be held accountable for the actions of the company unless in exceptional cases and by a court of competent jurisdiction.
The PURC had issued a regulatory order demanding a fine of Five Million, Eight Hundred and Sixty-Eight Thousand Ghana Cedis (GHS 5,868,000.00) from the board members of ECG for failing to notify customers of power outages between January and March this year. The regulatory body justified the fine by stating that the board members were responsible for providing strategic direction to ensure the provision of efficient services to consumers.
In response, the lawyers representing the board members of ECG have rejected the contents of the regulatory order, calling it unlawful and null and void. They argue that the PURC does not have the jurisdiction, power, or authority to impose regulatory charges personally on the board members without giving them a fair hearing.
The PURC has given the board members a six-week ultimatum to pay the fine, stating that failure to comply would result in further regulatory action. This recent development comes amidst public outcry over the erratic power supply situation in the country, locally known as ‘Dumsor’, with both ECG and the Ghana Grid Company (GRIDCo) playing the blame game.
The situation was further exacerbated by the resignation of the ECG Board Chairman, Mr. Keli Gadzekpo, for personal reasons.