Madagascar: State Water and Electricity Company Embroiled in Fresh Corruption Scandal

Soukaina Sghir
Soukaina Sghir
2 Min Read
Madagascar

The Independent Anti-Corruption Bureau (Bianco) unveiled a systematic embezzlement scheme involving several high-ranking officials within the company. These illicit practices have allegedly siphoned off at least eight billion ariary, while consumers endure persistent power outages and water shortages.

According to the findings of the investigation, Bianco exposes a well-orchestrated system of abuse of power and misappropriation of funds. The report centers around the procurement of generators intended for operating Jirama’s stations.

During the tender process, the state-owned enterprise cited an urgent need to address water distribution issues. Consequently, the standard procedure governed by transparency and fair competition principles outlined in the public procurement code was circumvented. A Jirama official certified the urgent nature of the situation, while another awarded the contract to a front company.

A third player, the complicit company executive, purchased the generators from the actual supplier before massively inflating their prices for sale to Jirama.

In total, fifteen individuals suspected of involvement in the scandal have been brought before the Antananarivo Anti-Corruption Unit’s prosecution department. Three of them, including a senior Jirama official, a board member, and the complicit supplier, are currently in provisional detention.

Bianco contends that it is imperative to “halt the hemorrhage” within the state-owned company, which has been plagued for years by scandals of misappropriation of public funds. These funds, diverted from consumers, exacerbate the daily struggles with water and electricity shortages.

The revelation of yet another corruption scandal underscores the urgent need for decisive action to root out systemic corruption within Madagascar’s institutions, safeguard public resources, and restore trust in governance.

Weafrica24

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