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Minority accuses Boakye Agyarko, others of causing financial loss

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Minority accuses Boakye Agyarko, others of causing financial loss 5
Minority accuses Boakye Agyarko, others of causing financial loss 6

The Minority in Parliament has accused the former Energy Minister, Boakye Agyarko and other government officials of causing financial loss to the state.

According to the group, the former Energy Minister and other officials allegedly terminated an Emergency Power Agreement between the government and Emergency Power Agreement with Ghana Power Generation Company (GPGC) limited against experts’ advice.

This, they claimed, has resulted in the country having to pay $164 million as judgment debt over the illegal termination.

This follows a ruling by the International Court of Arbitration against the Government of Ghana over the termination of an Emergency Power Agreement with GPGC Limited.

The court, in its ruling, ordered the Government of Ghana to pay the full value of the early termination in the amount of $134,348,661 as well as the accrued interest of $30,000,000.

Government was also ordered to pay other related costs of US$ 3,309,877.74 at the rate of Libor for three-month US dollar deposits, compounded quarterly.

Minority accuses Boakye Agyarko, others of causing financial loss 7
John Jinapor

Member of Parliament for Yapei-Kusawgu, John Jinapor, who addressed the media on behalf of the Minority Leader, said the government could have opted for a negotiated settlement which would have resulted in a settlement cost of not more than $18,000,000 and saved a whopping $146 million for the country.

Mr Jinapor added that the government officials involved in the illegal termination of the contract should be held liable and punished for committing such a crime.

He also questioned why Mr Agyarko rushed to terminate the agreement by a letter dated 13th March 2018.

“This ruling that comes in the wake of a struggling economy which is already choking with huge and unsustainable debt will only contribute largely to the suffering of the ordinary Ghanaian and also jeopardise our future international agreements.

“This abrogation clearly demonstrates lack of respect for the sanctity of contracts and has the potential of scaring away investors,” he noted.

“We are highly disappointed in this development, it is becoming obvious that the Akufo-Addo government has failed Ghanaians. Not only has it failed to live up to its promise it has brought the Energy sector on its knees with crippling debt running into billions of dollars due to inefficiency and managerial incompetence.

“Those responsible for this avoidable judgment debt and financial loss to the State must be held liable and punished for this crime against the State,” he stated.

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