The government has initiated a recovery and reform campaign in the premix fuel sector, following the publication of an audit report that uncovered severe financial mismanagement and governance breaches related to the 53 percent Community Development Fund (CDF). This fund, allocated to Landing Beach Committees (LBCs), was meant to improve infrastructure and living conditions for coastal fishing communities between 2017 and 2024. According to the report, the shortfall in terms of losses to the government amounts to GH₵13,753,300.00. This amount was identified as the failure of 132 Landing Beach Committees (LBCs) to account for the 53% Community Development Fund (CDF) despite receiving premix fuel during the period from 2017 to 2024.
This significant loss stems from the failure to allocate these funds correctly for community projects such as the construction of drains to address flooding, toilets to combat open defecation, schools to improve access to education, and other vital infrastructure. These projects could have brought substantial improvements to the fishing communities, addressing critical issues such as cholera outbreaks, flooding, and educational access. These losses, therefore, represent a massive setback to the government’s development efforts, particularly in remote and underdeveloped regions that rely heavily on these resources for growth.
The audit, commissioned by the Ministry of Fisheries and Aquaculture and carried out by its Internal Audit Unit, revealed substantial infractions, including mismanagement of funds, lack of proper documentation, unauthorized withdrawals, and non-compliance with the approved distribution mechanisms. The Ministry emphasized that these lapses largely reflect weak controls and non-compliance during the previous administration.
In response, the Minister for Fisheries and Aquaculture stated, “This government will not look away from the institutional weaknesses we inherited. We are taking firm steps to recover public funds, restore confidence in the premix system, and ensure that resources meant for fishing communities are properly protected.” She also disclosed that recovery actions have already begun, including the issuance of demand notices to affected LBCs and engagement efforts aimed at restitution and compliance. The Minister stressed that the goal is corrective, not punitive, focusing on safeguarding livelihoods while enforcing accountability.
The Administrator of the National Premix Secretariat, Mr. Ebow Mensah, confirmed that recovery processes are now underway, supported by new enforcement measures. “Recoveries have started, and structured repayment arrangements are being pursued where appropriate,” Mr. Mensah said. “This audit gives us the moral and legal authority to act decisively and fix long-standing governance gaps.”
As part of the broader reform, the Secretariat is restructuring governance at the landing-beach level, tightening controls over community funds, and aligning CDF management with the Premix Fuel Automation System to prevent future leakages. These measures are intended to ensure that resources allocated to these communities are spent on essential development projects.
The government has also announced plans to introduce a nationwide Community Development Fund accountability and protection framework starting in February 2026. This framework will introduce clearer signatory rules, mandatory reporting, and enhanced oversight to ensure that premix revenues are reinvested in community development projects.
This audit is being positioned as a turning point in the management of the premix fuel programme. It highlights the government’s commitment to transparency, recovery, and long-term reform, seeking to turn past governance challenges into an opportunity to rebuild public trust. The Secretariat notes that by combining the disclosure of these findings with concrete recovery actions and forward-looking safeguards, the government aims to ensure that similar lapses do not occur in the future.
The unaccounted losses highlighted in the report could have funded vital community development projects, including drainage systems, sanitation facilities, schools, and infrastructure, all of which would improve living conditions and support the SDGs, particularly those focused on poverty alleviation, education, and clean water. These initiatives would have empowered communities, boosted local economies, and driven widespread development.
To prevent future losses, the National Premix Fuel Secretariat is strengthening its transparency and accountability drive, which began last year. The Secretariat is ensuring that all LBCs comply with new guidelines, using resources effectively and aligning with the government’s commitment to safeguarding public funds and delivering meaningful community development.
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Source: www.myjoyonline.com