December 14 ,2021
Kaieteur News – The Ministry of Public Works is unable to account for over $1.3 billion spent on electricity, and a series of unverifiable transactions, according to the Ministry of Finance’s Auditor General (AG) 2020 Report.
The Table showing the difference of the Ministry of Public Works spending.
The Ministry of Public Works replaced the Ministry of Public Infrastructure in August 2020 and the expenditure that was highlighted in the Auditor General’s report for the first nine months were budgeted under the Ministry of Public Infrastructure, which was headed by former Minister, David Patterson. While the expenditure for October to December was budgeted under the Ministry of Public Works, which is being headed by Minister Bishop Juan Edghill.According to the report, the Ministry spent the sum of $490,162,000 for the payment of utility services, that is, telephone, electricity and water charges.However, an examination of the three utilities registers revealed that they were not properly written up to reflect pertinent information. It was highlighted in the report that as a result of not all of the payments being entered into the registers – the accuracy and propriety of the payments could not be determined.
Former Minister of Public Infrastructure, David Patterson.
A table in the report illustrated that the sum of $457,572,000 was expended on electricity. Nevertheless, the sum of $148,000 was entered into the register, making a difference of $ 457,424,000. It was further illustrated that the sum of $17,495,000, was expended on telephone charges, but only the sum of $4,692, 000 was entered into the register, leaving a difference of $12, 803,000; and for water charges, the sum of $15,095,000 was expended but the sum $12,867,000 was entered into the register making a difference of $2,228,000.
Minister of Public Works, Bishop Juan Edghill.
In response to the Auditor General remarks on the Public Works Ministry spending, the Ministry’s Head of Budget Agency stated that for the electricity bill “It should be noted that the amount stated/reflected as difference in the (?) was recorded separate in an electricity file and will be provided for audit purposes.”
It was stated in the response that the telephone expenditure was accumulated by both the Ministry and the Works Services Group (WSG). The Ministry explained that some payments were omitted from the registers owing to the fact that several vouchers were processed at various times, and some were missing. The Ministry then pointed out that steps have been taken to have this corrected and all payments recorded.As for the water difference, the Ministry said that it is being updated and reconciled. To this end, it was noted that the format of the registers is being reviewed so that accurate information can be easily retrievable.
The Audit Office recommended to the Ministry that the Head of Budget Agency ensure that its Utility Registers are properly maintained and reconciled periodically.
Additionally, another finding by the Auditor General revealed that 94 transactions totaling $912,355M for the period December 30, 2020 to January 2, 2021, was processed without supporting documentations – it was highlighted that this amounts to a breach of the Fiscal Management and Accountability Act 2003.
The Auditor General reported that the basis on which these transactions were processed could not have been determined at the time, and it could also not be determined whether the Ministry complied fully with Section 31 (3) of the FMA Act, as it related to the processing of these transactions.
Accounting for Expenditure.
That section stipulates that “No requisition for the payment of public moneys shall be made in respect of any part of the Government, unless the head of the budget agency concerned, or an official authorised in writing by that head for the purpose certifies – in the case of a payment for the performance of work, the supply of goods or the provision of services…”
In response to the findings, the Ministry’s Head of Budget stated that documents to support payments were subsequently received and affixed to the payment vouchers, and that the vouchers have since been presented for audit examination. However, nothing further was mentioned, regarding whether or not the transactions were later verified.The Audit Office recommended that the Head of Budget Agency ensure that payments are prepared and processed, based on the relevant supporting documents, and that the same should be attached to the vouchers.