Mr Mutawakilu
Ranking Member of Parliament’s Mines and Energy Committee, Adam Mutawakilu, has stated that the executive order approving the controversial renegotiated AMERI power deal prior to Parliament’s blessing vindicates concerns about its soundness.
He noted that had the deal received Cabinet approval before reaching Parliament, proper scrutiny would have been done.
The assertion by Mr Mutawakilu, the National Democratic Congress (NDC) Member of Parliament (MP) for Damango, was in reaction to revelations that the President approved the renegotiated agreement despite concerns by civil society and the Minority in Parliament that the new deal does not make financial sense.
However, a Deputy Information Minister, Kojo Oppong Nkrumah noted that the public scrutiny, review and reaction, would rightly inform the final decision on whether or not to extend the deal, and in the end the nation would be the ultimate winner.
The Minority, think-tank, Africa Centre for Energy Policy (ACEP) and energy experts are all in agreement on the view the amended power deal with Mytilineous will cost the country in excess of $1 billion if it comes into force.
According to the critics, who indicated that they had studied the new agreement in detail, the current AMERI contract would have terminated within the next two years after which the country would own the power barges, but the proposed deal would push ownership period to 15 years, albeit a marginal reduction in yearly payments for the barges.
Also, under the new agreement, critics insisted, the current tariff of 10.4 cents charged on power produced would increase to 11.7 cents for the same amount of power produced within the 15-year period, possibly translating into a higher cost of electricity for the consumer.
Parliament is currently considering a proposal to amend and extend one of the most controversial power supply deals, following the approval of the new deal by Cabinet.
The deal under review, approved by the NDC government was heavily criticised by the then opposition NPP for being overpriced and a rip off.
The public is also questioning why the New Patriotic Party (NPP) government, which vehemently opposed the initial deal and threatened to abrogate it if it gained power, was now fronting a possible extension, which would cost the nation more.
But Mr Nkrumah insisted that even though the NPP held the Majority in Parliament, it would ensure that the process of government runs smoothly and all the data examined to make sure there was value for money.
He urged Ghanaians to relax and keep expressing their views on the new deal as part of the democratic process, in the end government would come to an informed decision on the extension of the deal. –myjoyonline.com/ghanaweb.com
Read Full Story
Facebook
Twitter
Pinterest
Instagram
Google+
YouTube
LinkedIn
RSS