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Friday, September 2, 2011

Ghana: Majority Voice Seals U.S.$3 Billion Chinese Deal

"Mr. Speaker, I just want to make one preliminary point before I move - That I am very surprised that my colleagues from the other side are bringing

in the regional debate. When the issue of SADA, SEDICOM and other development organisations were lined up for the regions, we all supported

it. And, we all said it was important to find something for the Western Region, particularly, because of the oil.

It was that basic reason that informed us to suggest that 10% of the oil revenue be given to the Western Region - all MPs from this side of the

House. And, over the period of the life of this oil resource, it would have inured to the benefit of the Western Region more than the US$1.8 billion

that is currently being given to them. Mr. Speaker, we all fully support the programmes that are embedded in this loan agreement. But, there are

problems, and it is the duty of us as Parliamentarians to point out these problems to government and to the Executive, and it is the duty of the

Executive to correct them, so that we have a unified and sustained and compromised agreement for the Chinese to see that we are united.

"At least, STX has thought us a lesson. That is why I am urging the government not to rush on this particular loan, but to take the discussion and the

points we are churning out very seriously. Mr. Speaker, what are we being asked to approve?

"Four things - We are being asked to give government the opportunity to go and sign for a loan; we are being asked to give the government the

opportunity to use the ABFA to pay for this loan; We are also being asked to allow the government to lend the money to the government agencies;

And, to the last point, to use 40% to give to subsidiary agreements.

"But, Mr. Speaker, all the other three we agreed not to deal with them in this House. So, we are virtually dealing with one agreement - that is to give

government the opportunity to go and sign for an agreement with the Chinese.

But, Mr. Speaker, if we sign this agreement with the Chinese today, does it mean that we are ready to take the money? No. The agreement that

has been granted to us - Schedule 1.3.2 tells us that until we sign the subsidiary agreements, and they are twelve in general, we are not going to

lay our hands on the cash. We are not going to lay our hands on the money. So, why don't we bring all these agreements to Parliament, plus the

main loan, and then we can all move and sign this agreement. What is the rush for?

"The only beneficiary in what we are doing today is the person who will get this upfront payment - that is the only beneficiary. And, that person, in

twenty days time, will go to the bank and collect US$3.7 million cash, that is, if we pay upfront. But, if we don't pay upfront, and we deal with the

Cabinet memo, the person will go to the bank and collect US$47 million cash. That is the only beneficiary. Mr. Speaker, are we rushing just

because we want somebody to get cash into his pocket when we are not ready to take the cash? Mr. Speaker, with gas infrastructure, we are

being told that Parliament should give government the opportunity to use US$100 million to purchase helicopters, and I hope my friend, Hon.

Asiamah, is listening. We remember a month ago, government brought a deal to buy aircrafts. At that time, we knew the cost of these aircrafts, we

knew where they were coming from, and we knew the types and specifications.

"Today, we are now being told that we need US$100 million to buy helicopters; we don't know how many we are buying, we don't know. The

specifications, we don't know, the country we are buying from, in fact, we don't even know how much each helicopter will cost. Is that how

Parliament of the Republic of Ghana should operate? Is that what the people of Ghana have asked us to come and do here? No. Let us go and

get these details and come, and we will approve the loan. But, this way, it is not good for the Republic of Ghana.

"Mr. Speaker, when you go to another aspect of this loan, what we usually call the Accra Metropolitan ICT Enhanced Management, we are being

told that government is requesting us to approve between US$150-200 million to do what we call the stranded road construction, and what are the

stranded road construction?

"Mr. Speaker, let me read it and quote; Accra Metropolitan ICT Enhanced Traffic Management - These include an additional financing to enable us

relatively complete the stranded road construction work on key congested roads at risk in the metropolis, especially, 1) Nsawam Road - Achimota

- Ofankor segment. 2) Dodowa Road - Tetteh Quarshie - Haatso segment. 3) La Beach Road - The project developer is the Urban Road

Department, and the amount is US$150-200 million. But, Mr. Speaker, the Minister of Finance on the 12 of August, 2011, a Friday, went to the

Castle, seat of government, to inform the government that he has raised a bond of GH ¢305 million to complete these very roads.

"And it was captured in the following day's Daily Graphic. Mr. Speaker, let me read - it says the amount will cover the roads in Kumasi and Accra,

and the government has released US$23 million for the Achimota-Ofankor road, which is captured here, thus, the same road. Tetteh Quarshie -

Madina road which is captured here - the question, Mr. Speaker, I am asking is why are we being asked to approve a loan that government has

already sourced money for? What are we going to use the US$200 million for? Is the US$200 milion going to enter somebody's pocket or what?"

"Mr. Speaker, what is more worrying is what is called the Eastern Corridor Multi-Moda Transport. What this simply means is that the port

movement of goods, especially, petroleum and other goods, from the south to the north, normally the road that is through Kumasi to the Central

Corridor - the idea is to have alternative movement through water - Akosombo to Buipe - and this project was started in 2007 under Professor

Ameyaw Akumfi."

Minister of Roads and Highways Joe Gidisu makes intervention: "Mr. Speaker, my point of order is on the situation of those roads that were

mentioned. "

Speaker makes an intervention: "Hon. Minister of Roads and Highways, the honourable member quoted the Graphic publication. He quoted the

publication and attributed it to the Minister of Finance, not to you. The Hon. Minister of Finance is here. So, what is the point of order?"

Majority Leader Cletus Avoka makes an intervention: "Mr. Speaker, my honourable colleague said, among things, that in the light of the fact that

there was earlier provision for some of these roads, the current loan agreement that we have also provided for the same roads, whether the

money is going to go into somebody's pocket. That is wrong. He is imputing ..."

Speaker makes an intervention: "Honourable Majority Leader, a statement has been attributed to the honourable Minister of Finance and

Economic planning, and he is here. He might want to respond when it comes to winding up, when he is to explain, or if he can, may be decide not

to respond, or he want to respond when he is winding up. But, he doesn't want to rise up on point of order. So, it was attributed to him alone, and

not the honourable Minister of Roads and Highways."

Majority Leader: "Mr. Speaker, with due respect, you don't want to appreciate my intervention. I am saying among other things, he wondered

whether the money was going to go into somebody's pocket. That is un-parliamentary."

Speaker: "Hon. Majority Leader, for purpose of argument, assuming that that statement has actually been made, and those things have also been

captured in this loan agreement, is it not a legitimate issue to be raised? Assuming the statement is true, I am not saying. Assuming the

publication is true, that publication could be true, it could be false, but assuming it is true, that same project is also captured in the report, is it not a

legitimate issue to be raised in this House?"

Minority Leader Osei-Kyei Mensah-Bosu makes an intervention: "Mr. Speaker, I will plead with my colleague Majority Leader. I think thus far, we

have not resorted to the use of foul language. So, you may allow the debate to flow. If we were to pursue it in that direction, what the Minister

responsible for Water Resources, Works and Housing said when he alluded to his experiences in the basic school that he was doing his people

were heckling him down.

Contribution by Dominic B. A. Nitiwul, MP for Bimbilla

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