Mr. Kenneth James Miller, the Resident Country Director of the Millennium Challenge Corporation (MCC), has said Ghana risks losing US$119 million if the nation fails to meet the deadline for taking certain decisions required under the Compact II.
He said the implementation of the Compact II was behind schedule and urged the key stakeholders involved to expedite action to ensure a smooth take-off.
He explained: “We have three years, six months and 30 days until we close and have September 6 this year, for the Government of Ghana to pull a specific trigger on the ECG concession on a private firm to partner Ghanaian partners.
“If the date is not achieved, the way the Compact was negotiated between the two governments, US$119 million dollars would be pulled back from the table.”
Mr Miller gave the caution at the signing of the Implementing Entity Agreement (IEA) between the Millennium Development Authority (MiDA) and the Lands Commission, in Accra.
The government and the United States of America signed the Compact II, under which the former would receive US$498 million dollars to support the improvement of its power sector.
Mr Miller said he did not wish the country to lose the money because those funds were supposed to go into creating jobs, building local infrastructure and many other things that would improve the lives of Ghanaians.
He said for the Compact to be successful, there was the need for the private sector participation in the operations of the Electricity Company of Ghana (ECG), to revitalise it and expressed the hope that the ECG Concession would be signed by the end of this year.
Mr Miller said the commitment of the government would go a long way in ensuring the successful implementation of the Compact.
“We’re where we’re with delays and so we’re doing a bit more to change the narrative and be much more proactive and aggressive in how we do our work,” he said.
“We need to focus on it if this is really a priority for Ghana and everyone has to get involved and make things quicker with urgency,” he advised.
The MCC Resident Country Director said releasing the funds was not a problem because the US Government was determined to help Ghana resolve its energy challenge.
The MCC, he said, took land acquisition and payment of compensation seriously and commended the Lands Commission for its efficiency in implementing the Compact I.
Mr Miller commended the Lands Commission for facilitating the acquisition of land at Pokuase for the Bulk Supply Point Sub-station under the Compact II.