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Suspension of GECOL Board and Referral for Administrative Investigation

26-06-2022ยทุฑุฆูŠุณ ู…ุฌู„ุณ ุงู„ูˆุฒุฑุงุกยทุงู„ุนู…ู„ ูˆุงู„ุชูˆุธูŠู
Analysis
Summary

Prime Minister al-Dabaiba suspended the entire Board of Directors of the General Electricity Company of Libya (GECOL) on June 26, 2022, appointing an interim General Manager reporting directly to him. An investigation committee was formed to examine the board's handling of persistent power outages, delayed power station connections, misuse of 2021 crisis funds, and failure to complete maintenance contracts.

Business Implication

This decision signals acute governance dysfunction at Libya's sole electricity utility and continued infrastructure crisis. For power generation contractors, equipment suppliers, and project developers, the investigative focus on delayed station connections and incomplete procurement suggests contract execution risk and potential payment disputes. The direct Prime Ministerial control and investigation into fund allocation creates uncertainty around existing agreements and future procurement processes until GECOL's governance stabilizes.

Key Provisions
Entire GECOL Board suspended and referred for administrative investigation into crisis management failures
Interim General Manager appointed with direct reporting line to Prime Minister, bypassing normal governance structures
Investigation to examine delays in connecting new power stations to grid per approved schedules
Scrutiny of 2021 allocated funds usage and absence of corresponding results in resolving power crisis
Review of failures to complete contractual procedures for maintenance and new projects
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