The government has launched a wide-ranging recovery and reform programme in the premix fuel sector following the release of an audit report that uncovered serious financial mismanagement and governance breaches in the Community Development Fund (CDF), which supports coastal fishing communities.
The audit, commissioned by the Ministry of Fisheries and Aquaculture (MoFA) and conducted by its Internal Audit Unit, revealed that between 2017 and 2024, 132 Landing Beach Committees (LBCs) failed to properly account for premix fuel funds allocated to them. As a result, losses amounting to GH₵13.75 million were recorded, with the total recovery target—after factoring in other irregularities—standing at GH₵27.7 million.
According to the report, the irregularities included unauthorised withdrawals, failure to comply with approved fund distribution formulas, and weak documentation practices. These lapses undermined the use of funds for critical community projects such as drainage systems to prevent flooding, sanitation facilities to curb open defecation, schools, and other essential infrastructure in coastal areas.
MoFA noted that the mismanagement significantly stalled development in fishing communities, many of which depend on the CDF to improve living standards and advance the Sustainable Development Goals (SDGs).
The Minister for Fisheries and Aquaculture stated that the government would not overlook the institutional weaknesses inherited, stressing that firm steps are being taken to recover public funds, restore confidence in the premix fuel system, and safeguard resources meant for fishing communities.
Recovery efforts are already underway, according to Mr Ebow Mensah, Administrator of the National Premix Secretariat. He confirmed that repayment arrangements are being pursued where necessary, noting that the audit provides the legal and moral basis to close long-standing governance gaps. Demand notices have been issued to affected LBCs, with severe cases referred for further action, while governance structures at landing beaches are being restructured to strengthen oversight.
In response to the findings, MoFA and the National Premix Secretariat have rolled out a series of reforms aimed at preventing future losses. These include the introduction of a nationwide CDF accountability and protection framework from February 2026, clearer signatory requirements, mandatory reporting by LBCs, integration of CDF management into the Premix Fuel Automation System, enhanced training for LBC executives, and stricter compliance monitoring.
Officials say the reforms are intended to ensure that premix revenues are reinvested directly into community development projects, supporting poverty reduction, education, clean water and sanitation initiatives.
The government has described the audit and recovery process as a turning point for the premix fuel programme, emphasising transparency, accountability and long-term reform. By combining public disclosure with decisive recovery actions and strengthened safeguards, authorities aim to rebuild public trust and ensure sustainable development outcomes for Ghana’s coastal fishing communities.
Source: 3news
