$2.2 Million Blunder: Public Funds Wasted on Batteries

The Auditor General has highlighted a significant issue regarding the disposal of $2.2 million worth of unused Redflow batteries by Walesi Pte Ltd in 2021, describing it as a mismanagement of public funds. According to the Auditor General’s recent report presented in Parliament, the Walesi Board of Directors approved the disposal of the batteries on July 28, 2021.

The report indicates that a consulting firm, selected by Walesi’s Project Management Company, initially recommended these Redflow batteries for solar backup power. Walesi acquired a total of 162 batteries between 2017 and 2018 at a cost of $2.6 million, but only 26 of these batteries were deployed at various sites, leaving 136 batteries stored improperly.

The audit revealed that improper storage led to leakage from the unused batteries, necessitating their disposal and resulting in a waste of considerable public funds. The Auditor General has urged the management and board of Walesi to conduct an inquiry to determine any negligence by the Project Management Company or Walesi itself, and to take appropriate action based on the findings.

Walesi has responded by stating that it was the responsibility of the project manager at the time to ensure proper management of storage and deployment. Furthermore, it noted that until 2019, the company was overseen by the Ministry of Communication, and that it adhered to the ministry’s asset management policies.

This unfortunate situation serves as a reminder of the importance of accountability in public enterprises. By addressing these mistakes head-on, Walesi has an opportunity not only to correct the issues from the past but also to improve its operational practices moving forward, ensuring better management of public resources in the future.

Summary: The Auditor General criticized Walesi Pte Ltd for improperly disposing of $2.2 million worth of unused Redflow batteries, due to negligence in storage leading to battery leakage. An inquiry is recommended to investigate possible mismanagement. This incident highlights the need for better oversight and accountability in public enterprises, and Walesi can improve its practices going forward.