Newly appointed board chairman of the Electricity Company of Ghana (ECG) and managing director of Tropical Cables & Conductors Limited (TCCL) says he has resolved to recuse himself from the ECG board when taking decisions which could affect TCCL.

In a press statement issued in Accra on Monday, Tony Oteng-Gyasi, described the allegation of possible conflict of interest leveled against him in a section of the media after his appointment by the president as derisory and unwarranted.

Mr Oteng-Gyasi argued that there have precedents where board members, including the managing director of the ECG have recused themselves from the board in taking decisions that could directly or indirectly affect them.

Mr Oteng-Gyasi’s appointment as board chairman of the ECG has attracted widespread criticisms from some industry players, who believe he could use his influence to take decisions that would benefit TCCL.

Below is the full statement of Mr Tony Oteng-Gyasi

Subject: Statement by Tony Oteng-Gyasi, newly appointed board chair of ECG on possible conflict of interest issues.

My attention had been drawn to a couple of write ups and a few commentaries in the press about a potential conflict of interest in my newly assigned role as board chair of ECG.

This potential conflict is due to my other role as managing director of tropical cable (TCCL) a local manufacturer and supplier of cables to ECG.

I wish to comment as follows: TCCL has been dealing with ECG for nearly 15 years. Over that period, all supply contracts have been through a well structured and transparent tendering system.

The robust system is operated by the relevant departments within ECG and only comes to the ECG board for approval. At that stage, as is appropriate in good corporate governance practise globally, any ECG board member with an interest in any of the suppliers is required to declare his interest and recuse himself from taking part in that final decision making. It is in this vein that I will recuse myself from all decisions which will affect TCCL.

It is my belief that this mode of conduct is appropriate and has worked well for ECG in the past that made me accept to chair the board.

It is the same belief in this mode of conduct that made it possible for me to accept the fact that the MD of ECG is also the board chairman of another local cable manufacturer, namely Nexans kabelmetal. Whoever is made MD of ECG has always served on the board of Nexans kabelmetal for the entire 30 years plus that this respected multinational cable manufacturer had operated in our country. In fact ECG is a shareholder in Nexans.

As long as the MD of ECG recuses himself when matters concerning Nexans kabelmetal come up before the board of ECG, no conflict of interest situation arises despite all the above.

I will thus be following accepted precedence and more importantly, good corporate governance principles, if I also recuse myself.

The purchase of locally manufactured cable is a fraction of the procurement expenditure of ECG. I am confident that my colleague board members will make the correct decisions in my absence.

Finally, I did not seek or pursue this appointment. However having accepted and been thus appointed, I owe it to my country, the appointing authority and my own conscience to contribute my quota to the best of my ability. That has always been my highest principle, and will continue to be.

Tony Oteng-Gyasi