Armies of Liberation

Jane Novak's blog about Yemen

Yemen rented electric generators for more than their purchase price

Filed under: Corruption, Electric — by Jane Novak at 10:06 am on Sunday, September 30, 2012

Every ministry is like this, the sums are enormous, but without holding anyone accountable (all crimes were forgiven in the amnesty), there is little incentive to change practices or be more transparent. Also this scam (where generators were rented for greater than the amount of purchase, and the funds allocated exceeded the amount billed) is coming to light via the SEMC not COCAO or SNACC.

The strain on the majority of the populace which lacks of electricity is tremendous. For the origins of the electric shortage, mismanagement and overt theft of allocated funds, see my category Electric. Its also pathetic that all these scandals are only receiving serious scrutiny years after I first wrote about them, whether its the Port of Aden, the oil smuggling, the LNG deal, the diversion of medical supplies; the point being grand corruption was never a secret, and the starvation now is not due to a lack of aid or money but corruption and malfeasance.

Economists and journalists accuse Minister of Electricity and energy of tampering funds allocated for providing power

The Studies and Economic Media center (SEMC) has urged the Yemeni government to uphold transparency in clenching power purchase contracts to offset the electricity shortage across the country.

The Center criticized the violations committed by the government when it bought a total of 60 megawatts over the past few months at the price of of 35.5 million to offset electricity shortage in Aden for two years.

The amount, which is much higher than the real value of the leased generators generating the purchased power, also includes 3.5 million in insurance to be paid for maintenance and fuel, it highlighted. It pointed out that the power bills handed over to Aden port and free zone customs authorities amounted to only 10 million while the value of the purchased power stood at 35.5 million dollars. (Read on …)

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