EGTC & EDSA Urge PAC To Facilitate Cross Debt Settlement

By Desmond Isaac Macauley
During the Public Accounts Committee (PAC) hearing on the Auditor General’s 2023 reports, officials from the Electricity Generation and Transmission Company (EGTC) and the Electricity Distribution and Supply Authority (EDSA) strongly advocated for a cross debt settlement mechanism.
They called on the Ministry of Finance to allocate funds during budget appropriations directly to offset debts owed by Ministries Departments and Agencies (MDAs) for electricity consumption.
EGTC officials emphasized the need for a structured agreement to prevent MDAs from redirecting allocated funds. They cited the health sector as an example, where funds appropriated for specific purposes remain untouched, arguing that electricity payments should follow a similar protected mechanism.
Hon. Aaron Aruna Koroma expressed PAC’s commitment to supporting EGTC, noting that electricity supply is a key government service. He acknowledged that EGTC must provide power to certain MDAs regardless of payment status, making financial support critical.
He also highlighted the political importance of electricity, stressing that Parliament has a duty to ensure EGTC remains operational. He pointed to the role of the Energy Committee in driving this agenda forward and suggested a full list of indebted MDAs be prepared for debate.
He concluded by stating that any Energy Committee report tabled in Parliament becomes part of legislation. He encouraged collaboration between EGTC, EDSA, and the Committee to ensure lasting solutions to chronic nonpayment issues by government institutions.