Hubtel Refutes Financial Impropriety Accusations in ECG Deal

Hubtel, a leading financial technology solutions provider, has strongly denied recent accusations from certain Civil Society Organizations (CSOs) and media commentators regarding its collaboration with the Electricity Company of Ghana (ECG).
The allegations suggest Hubtel was involved in a procurement scheme and received payments for uncompleted work.
In an official statement, Hubtel categorically rejected these claims, labeling them as “false and misleading.”
The company emphasized that the allegations were an attempt to undermine its role in driving significant improvements in ECG’s revenue collection and commercial operations.
Responding to claims that ECG paid Hubtel $25 million for its ECG PowerApp software, the company clarified that this figure was only a budgetary limit set by ECG’s Board of Directors.
So far, Hubtel and other service providers have only utilized approximately $12 million of that amount, which went towards upgrading outdated systems that had previously led to revenue losses and operational downtime.
Key upgrades undertaken by Hubtel included modernizing ECG’s core databases, introducing a new balance management system, hybridizing metering infrastructure, and overhauling both staff and customer service systems, among others.
Hubtel also addressed concerns about its ownership, categorically denying any ties to government officials or political parties.
The company stated, “At no point since the founding of the company has it had any contract with the Government of Ghana.”
On the issue of transaction fees, Hubtel refuted claims that it receives 3% of every electricity unit purchased.
The company explained that it charges a 1.95% fee on transactions processed through its payment platform, with 1% of that going to mobile money and card providers, leaving Hubtel with a 0.95% share.
Additionally, Hubtel clarified that its contract with ECG is for five years, not the 30 years as previously reported.
Finally, Hubtel highlighted the positive results of its work with ECG, noting that the power utility had achieved a 210% increase in revenue since the partnership began. Even after accounting for an 80% tariff increase, the company pointed to a net monthly revenue growth of 72%—the highest since 2001.
Hubtel reaffirmed its commitment to transparency and integrity in its business dealings and expressed hope that the truth behind its efforts would prevail amidst the controversy.