The State Enterprises Commission (SEC) was established to oversee and coordinate activities of State-owned Enterprises to ensure targets are met. Its impact on the performance of the SOEs, however, has not been felt in the sector.
This has led to its diminished importance over the years. Presently, Government holds varying equity interests in about eighty-four (84) companies, comprising forty-four (44) wholly-owned State-Owned Enterprises (SOEs) and forty (40) Joint Venture Companies (JVCs)
Many of these companies have been underperforming compared to their own objectives, while others are incurring losses. Furthermore, the expected returns to Government from the SOEs and JVCs have not been commensurate with the level of investments that have been channeled into them.
Majority of these public enterprises operate in critical sectors of the economy and are important to the management of public finances and public policy more broadly. To date, these companies provide vital services and products as well as employment to the people of Ghana. Notwithstanding their importance, many of these companies have been underperforming compared to their own objectives, while others are incurring losses.
My vision is to substantially improve the governance and efficient management of all SOEs and other companies with government equities and, to administer the State’s interest to generate profitable return on investments to boost our economy as well as provide high standards of service to the people. It is also my vision to guide and assist, at least, two (2) SOEs to develop to the level of Fortune 500 listed companies within the next 10 years.
This will entail the redesign and re-engineering of the current structure of SEC to one that place emphasis on the need to streamline and centralize government’s oversight and management of SOEs in a transparent manner that raises the corporate governance standards to a new enviable levels on the international stage.
The New SEC will be more sensitive to the challenges of the SOEs and will help to remedy them with speed. It will help on the issues of good governance and facilitate the smooth operation of the SOE.
The New State Enterprises Commission will be proactive, innovative in building beneficial relationships to bring continuous improvements in SOEs operations. There will be a unified, centralised and digitised Performance Monitoring and Evaluation Framework for the effective, real time tracking of all SOEs operations. The New SEC will also be coming up with a model inter-SOEs trading arrangements that will be backed by law, so as to maximise your operational and financial opportunities. The proposed amendment to the Public Procurement Act, 2003 ( Act 663) will be made to ensure business-to-business (B-2-B) trading activities amongst SOEs.
To you, who are at the receiving end of SOEs services as well as customers of their products, I humbly entreat you to be part of assessing the performance of our SOEs and to assist the New SEC monitor and evaluate their impact on the lives of our people. Please make effective use of the channels of communication, including the social media outlets and visiting us on the public open days to give us your input to enhance SOEs performance. As citizens too, we should take our individual and collective responsibilities seriously in patronizing the goods and services of our own Ghanaian SOEs and, most importantly, honour our obligations for services provided promptly in order to keep our SOEs in business for our mutual benefit.