The Ghana government has since initiated investigations to help find an early resolution of the dispute that has led to the suspension of the power distribution concession agreement with PDS.

This followed the discovery of problems with a fundamental part of the agreement which required that the PDS put up a guarantee to cover some $400 million.

Following that, the government has since suspended the agreement with PDS and asked that it return the assets to the control of the Electricity Company of Ghana (ECG) whilst a process of investigation was being carried out.

Minority's concerns

But according to the Minority Members of Parliament (MP), the Ghana government cannot be trusted to probe the matter.

The Minority spokesperson on Foreign Affairs, Mr Samuel Okudzeto Ablakwa who is also MP for North Tongu, who made this known said the petition was formally submitted on Wednesday morning [August 14, 2019] to the US Ambassador to Ghana.

Already, the Embassy of the United States of America (USA) in Ghana has urged the government to conduct a thorough forensic audit into claims of fraud regarding its contract with the Power Distribution Services (PDS).

The move, the US believes, will help establish the full facts surrounding the contract.

In an email response to enquiries, the Daily Graphic made regarding the suspension of the PDS contract by the government and its impact on the Compact II, the Press Attache of the US Embassy in Accra, Ms Naomi Mattos, stated: “The U.S. Government strongly encourages the Government of Ghana to conduct a thorough forensic audit into claims of fraud in order to fully establish the facts of the matter."

“Only then can all relevant parties make a transparent and evidence-based decision in the best interests of the citizens of Ghana,” she said.

Background

The NPP government inherited an arrangement in which the United States government, through the Millennium Challenge Corporation (MCC), offered Ghana $500 million for the reform of the energy sector.

It was decided to incorporate it largely into the reform of the Electricity Company of Ghana.

One of the conditions of the money was that Ghana should get a private electricity coordinator to partner the nation to manage the electricity generation and distribution system.

After a process of bidding and tendering which left Ghana with one company in the field, an arrangement was made for that company to take over the running of the assets of ECG.

Subsequently, the government recently discovered that some of the financial instruments the company [PDS] put down, were not in order, and, as a result of that, the government suspended the concession until all the facts were established.

Below is a copy of a statement issued by Mr Okudzeto Ablakwa on the petition

MINORITY PETITIONS US AMBASSADOR ON PDS SCANDAL

The Minority in Parliament has this morning petitioned the United States Ambassador to Ghana, Her Excellency Stephanie S. Sullivan demanding formal investigations by the United States Government into the PDS scandal which has rocked the nation.

The petition signed by the Honourable Minority Leader, Haruna Iddrisu was personally hand-delivered at the US Embassy in Accra by the Honourable Ranking Member on Parliament's Committee on Foreign Affairs, Samuel Okudzeto Ablakwa.

The Minority seeks to trigger investigations under the Foreign Corrupt Practices Act of the United States of America especially after a clearer picture is now emerging that the Akufo-Addo Government stands complicit with top functionaries and cronies neck-deep in the putrescent sleaze.

The Akufo-Addo Government, therefore, cannot be trusted to conduct thorough and independent investigations into this scandal of monumental proportions.

Besides, the Minority like most Ghanaians have grown sceptical about so-called investigations by the Akufo-Addo Administration since a countless number of these investigations only end up clearing appointees. The reports are never published and the real culprits are never identified and punished.

Furthermore, the Minority is of the firm conviction that every possible option must remain on the table in our collective sacred duty to protect a strategic national interest, the Electricity Company of Ghana, from being balkanized by a marauding greedy cabal in questionable arrangements.

We are additionally fortified by the knowledge that United States Authorities would not adopt a nonchalant attitude and allow millions of US taxpayer Dollars under the signed Compact II of the Millennium Challenge Account to be recklessly misapplied and squandered.

Kindly find attached to this release a copy of the petition in issue submitted to the US Ambassador at 11 am today.

Signed,
Samuel Okudzeto Ablakwa (MP)
Ranking Member, Parliament's Committee on Foreign Affairs.