Debates of 10 Mar 2006

MR. SPEAKER
PRAYERS 10:05 a.m.
CORRECTION OF VOTES 10:05 a.m.
AND PROCEEDINGS AND 10:05 a.m.
THE OFFICIAL REPORT 10:05 a.m.
Mr. Speaker 10:05 a.m.
Order! Order! Correction of Votes and Proceedings for Thursday, 9th March, 2006. Pages 1…7?
Mr. Osei Kyei-Mensah-Bonsu 10:05 a.m.
Mr.
Speaker, on page 6, two hon. Members have been listed as absentees. The hon. Member for Akim Abuakwa South who doubles as the Minister for Foreign Affairs (Nana Akufo-Addo) is out of the country. He sent a Leave of Absence Form, which I forwarded to your office, Mr. Speaker. In the same vein, the Member for Nhyiaeso, hon. Dr. Richard W. Anane was indisposed yesterday and he filled a form to that effect. I hope the Table Office will take note of that.
Mr. Speaker 10:05 a.m.
We shall take note accordingly. Hon. Member for Amenfi West?
Mr. John Gyetuah 10:05 a.m.
Thank you, Mr. Speaker. Yesterday, I raised an objection that I was not absent three days ago but it looks as though the correction was not made. I want to register my --
Mr. Speaker 10:05 a.m.
Thank you, we shall make the necessary corrections. Thank you for that. Page 7 … 12. Hon.Members,
we have the Official Report for Thursday, 2nd March, 2006. If there are any omissions or corrections to be made, you may bring them to the attention of the Table. Item 3 - Business Statement for the Ninth Week. Chairman - Business Committee.
BUSINESS OF THE HOUSE 10:05 a.m.
Majority Chief Whip (Mr. Osei Kyei-Mensah-Bonsu) 10:15 a.m.
Mr. Speaker, the Business Committee met yesterday, 9th March 2006 and determined Business of the House for the Ninth Week ending Friday, 17th March 2006. I stood in for the Chairman because he and his Deputy are both out of the country.
Mr. Speaker, the Committee accordingly presents its Report to this august House as follows:
Arrangement of Business
Questions
Mr. Speaker, the Committee has programmed thirty-five (35) Questions to be answered by various Ministers during the week.
The details are as follows:
No. of Question(s)
i. Minister for Energy -- 7
ii. Minister for Local Government and Rural Development -- 7
iii. Minister for Health -- 7
iv. Minister for Road Transport -- 14
Total Number of Questions -- 35
Statements
Mr. Speaker may allow Statements which have been duly admitted to be delivered on the floor of the House.
Bills, Papers and Reports
Mr. Speaker, Bills, Papers and Reports may be presented to the House for consideration and those which have already been presented may be taken through the various stages of passage.
Motions and Resolutions
Mr. Speaker, motions may be debated and the relevant Resolutions taken where and when required.
Committee of the Whole
Mr. Speaker, the Committee of the Whole is expected to be briefed on the National Identification System on Tuesday, 14th March 2006 upon adjournment.
Conclusion
Mr. Speaker, in accordance with Standing Order 60 (2) and subject to the Standing Order 53, the Committee submits to this honourable House the order in which the Business of the House shall be taken during the week.

Questions --

Minister for Energy -- 193, 240, 241, 243, 244, 245 and 298.

Statements

Laying of Papers

Report of the Committee on Subsidiary Legislation on the Civil Aviation Regulations, 2005 (L.I

1818).

Committee Sittings --

Committee of the Whole to be briefed on the National Identi- fication System.

Questions --

Minister for Local Government and Rural Development - 451, 452, 453, 454, 454, 479 and 511

Statements

Laying of Papers --

Report of the Committee on Mines and Energy on the Petroleum Agreement amongst the Republic of Ghana, Ghana National Petroleum Corporation (GNPC) and Heliconia Energy Ghana Limited in respect of Blocks Offshore Cape Three Points Basin, Ghana.

Report of the Finance Committee on the Customs, Excise and Preventive Service (Management) (Amend- ment) Bill, 2006.

Report of the Finance Committee on the Loan Agreement between the Government of Ghana and Social Security and National Insurance Trust (SSNIT) for an amount of

US$20 million (cedi denominated) for the financing of Government Equity Shares in Ghana International Airlines Limited.

Report of the Joint Committee on the Constitutional, Legal and Parliamentary Affairs, Local Government and Rural Development and Defence and Interior on the National Identification Authority Bill.

Motion --

Adoption of the Report of the C o m m i t t e e o n S u b s i d i a r y Legislation on the Civil Aviation Regulations, 2005 (L.I. 1818).

Committee Sittings.

Questions --

Minister for Health - 285, 286, 469, 470, 471, 472 and 473.

Minister for Road Transport - 246, 247, 248, 249, 251, 252 and 253.

Statements

Committee Sittings.

Questions --

Minister for Road Transport - 254, 311, 312, 313, 314, 315 and 316.

Statements

Motions --

Adoption of the Report of the Committee on Mines and Energy on the Petroleum Agreement amongst the Republic of Ghana, Ghana National Petroleum Corporation (GNPC) and Heliconia Energy Ghana Limited in respect of Blocks Offshore Cape Three Points Basin, Ghana.

Adoption of the Report of the Finance Committee on the Loan Agreement between the Government of Ghana and Social Security and National Insurance Trust (SSNIT) for an amount of US$20 million (cedi denominated) for the financing of Government Equity Shares in Ghana International Airlines Limited.

Second Reading of Bills --

National Identification Authority Bill.

Committee Sittings.

But I may say Mr. Speaker, that with your permission and subject to the indulgence of this House, the Second Reading of the National Identification Authority Bill could be taken on Thursday instead of Friday. Mr. Speaker, I so submit the Business Statement for next week.
Mr. Ibn Mohammed Abass 10:15 a.m.
Mr. Speaker, indeed, in the first week of this Session, I submitted an Urgent Question on the public safety situation in Bimbilla and what the Minister of the Interior was doing to ensure the return of normalcy and the possible lifting of the curfew. Up till now, that Question has not come up. I drew the attention of the House and of
the Business Committee on one occasion when you had travelled and it was the First Deputy Speaker who was in the Chair. I am not very comfortable with the undue delay and I want to, once again, draw the attention of this House and your attention to the public safety situation in Bimbilla.
Mr. Kyei-Mensah-Bonsu 10:15 a.m.
Mr. Speaker, I have taken due notice of the point raised by my hon. Colleague. It did not come before the Business Committee yesterday but we will look further into that and liaise with the hon. Minister to see if it would be possible for him to come and answer the Question.
Indeed, at the committee level, I said that there were some Questions which were not marked as urgent but their relevance may cease if Parliament should recess. So we are minded to look at those Questions and see if we could programme them, of course, after we have liaised with the various hon. Ministers to see if we could have them answered before we adjourn sine die.
Mr. Haruna Iddrisu 10:15 a.m.
Mr. Speaker,
mine is a related issue but I can rely on the assurance of hon. Kyei-Mensah-Bonsu. Mr. Speaker, before the end of the last Session, I filed an Urgent Question to ask the Minister for Information what he was doing about the status of the Ghana Institute of Journalism (GIJ) and the National Film and Television Institute (NAFTI) as institutions. I repeatedly have sought to know what the status is.
Regrettably, in one of the published details of the House, the Question was rather treated as a non-urgent question. Mr. Speaker, the urgency of Questions might stand defeated, as rightly indicated by him, and I think it is important that this was attended to.
Mr. Speaker, with your indulgence, I
have a second issue to raise, if you will give me leave to do that.
Mr. Speaker 10:15 a.m.
Which issue is that?
Mr. H. Iddrisu 10:15 a.m.
Mr. Speaker, the issue is that I would like to refer you to article 106 (7) of the Constitution and then to raise the related issue. Mr. Speaker, article 106 (7) provides, and with your permission, I quote:
“Where a Bill passed by Parliament is presented to the President for assent he shall signify, within seven days after the presentation, to the Speaker that he assents to the Bill or that he refuses to assent to the Bill, unless the Bill has been referred by the President to the Council of State under article 90 of this Constitution.”
Mr. Speaker, this august House on 14th December 2005 passed the Minerals and Mining Bill. It is over 60 days. Mr. Speaker, the haste with which other Bills have been signed, with urgency, such as the Representation of the People (Amendment) Bill (ROPAB), same has not been applied to the Minerals and Mining Bill, and I need your guidance on the matter.
Mr. Speaker 10:15 a.m.
Hon. Member, we are dealing with the Business Statement; you know it yourself.
Mr. G. K. B. Gbediame 10:15 a.m.
Mr. Speaker, sometime within this Meeting, it was scheduled that we were going to meet as a Committee of the Whole to discuss issues relating to welfare matters. Mr. Speaker, going through the Business Statement the Committee of the Whole meeting is to be briefed on the National Identification Project. I want to know from the Leader when this House is going to meet to
Mr. G. K. B. Gbediame 10:15 a.m.


discuss issues that have been raised time and again.
Mr. Speaker 10:25 a.m.
Hon. Member, I suggest you raise this matter - [Interruptions] -- Order! Order! Hon. Member, I hope you would raise this matter when the Committee of the Whole meets. Item 4 - Statements. The hon. Member for North Dayi -
Mr. A. S. K. Bagbin 10:25 a.m.
Mr. Speaker, I am sorry for coming in late because I understand our practice is always to listen to our Members behind before -- I realise that there is no indication in the Business Committee Report on the fact that we have programmed to recess on Friday, 17th March, 2006. I think that that notice should be given to the whole world. It is not captured by the Report and I want that to be captured.
Mr. Speaker 10:25 a.m.
Chief Whip, could you confirm that statement?
Mr. Osei Kyei-Mensah-Bonsu 10:25 a.m.
Mr. Speaker, this matter really was not resolved at the Business Committee level. If it is possible and we are working towards that, we shall adjourn sine die next week Friday, that is, if we are able to exhaust the business being put before us. We are working towards that, but I do not want to be very definitive on it. We shall confer on that and see the way forward.
Mr. Speaker 10:25 a.m.
Are you saying you want
to confer on that? Are we not closing next week Friday?
Mr. Kyei-Mensah-Bonsu 10:25 a.m.
Mr. Speaker, I unfortunately do not have any handing-over notes to that effect - [Laughter.] But as I said, ultimately, we need to exhaust the business, and if we are
Mr. Speaker 10:25 a.m.
Chief Whip, that is the feeling of the House. Hon. Member for Tamale North, do you have any point to raise?
Alhaji Sumani Abukari 10:25 a.m.
Mr. Speaker, the Majority Chief Whip seems to be making this conditional. Let us fix a date so that we all know that on that day we would rise. In fact, the initial indication was that we were going to rise on the 17th -
Mr. Speaker 10:25 a.m.
Hon. Member for Tamale North, I thought I had resolved this matter.
Alhaji Abukari 10:25 a.m.
I did not hear, sir. So 17th should be the date. Thank you, sir.
STATEMENTS 10:25 a.m.
Ms. Akua Sena Dansua (NDC - North Dayi) 10:25 a.m.
Thank you, Mr. Speaker, for the opportunity to make this Urgent Statement on the acute water problem in Kpando and its environs. Mr. Speaker, as you can see from my attire I am in a very deep state of mourning. It is therefore with a heavy heart that I make this Statement.
Mr. Speaker, before I make this Statement, I wish first of all to extend my condolences to the family of the little boy who drowned in the Volta Lake at Kpando Torkor a few days ago in an attempt to look for water for the use of his household. Water, a basic necessity of life has become a very scarce commodity now in Kpando. May his soul rest in peace and may his death not go unrewarded, and may the authorities concerned be moved by this unfortunate loss of life of an innocent
boy to respond to appeals by the people of Kpando and its environs to address the perennial water problem now.
Mr. Speaker, the water problem in Kpando, my constituency and district capital resulted from population explosion over the years since the first system of supply of boreholes in 1954. Apart from being a district and constituency capital, Kpando also plays host to three big second-cycle institutions, several basic schools, the popular Margaret Marquart Hospital, several business and financial institutions and many decentralized and non-decentralized departments.
Additionally, Kpando serves as a transit point for commuters to Eastern Region through Kpando Torkor, the Northern part of Ghana through Dambai and to neighbouring Togo through Hohoe.
Mr. Speaker, colleagues, will agree with me that this peculiar status of Kpando puts a lot of pressure on basic infrastructure in the town and particularly water.
About seven years ago, while serving as District Chief Executive, I managed to get the Kpando water problem on the national agenda as a result of which feasibility study was done, project implementation proposals completed and the financial proposals were being worked on when government changed.
Mr. Speaker, looking at the extent to which the preparations towards the commencement of the new water project had gone, I thought the new Government will proceed to implement the project. That was not to be.
Two years into the new administration, in 2002, I drew the then Minister for Works and Housing, hon. Kwamina
Bartrel's attention to the problem by way of a Question in this House.
The Minister admitted in his response that the installed capacity as well as the coverage of the distribution system was inadequate to meet the current and future needs of the town, hence the need for expansion.
Mr. Speaker, four years down the line, the situation has not changed for the better. If anything, it was worsened.
Mr. Speaker, the irony of Kpando's situation is that Kpando is situated close to the Volta Lake - only about 3 km away. It is so near and yet far from benefiting from this crucial resource. It will thus not be difficult to abstract water from the Volta Lake at Kpando Torkor for the use of the people at Kpando as well as the entire constituency.
Alternatively, water could be abstracted from the Kpeve headworks which the Minister for Water Resources, Works and Housing (Mr. Hackman Owusu- Agyemang) said in this House a few days ago, has more than enough capacity to meet future demands.
In both cases, what is left is the political will to implement this project and solve this perennial water problem of Kpando once and for all.
Mr. Speaker, as I said in my introduction, the death of this innocent boy as well as those of several others in search of water in my constituency call for immediate redress of Kpando's water problem.
Thank you. Mr. Kenneth Dzirasah (NDC - South
Tongu): Mr. Speaker, I rise in support of the Statement presented by my hon. Colleague. As an old boy of Bishop Herman College which is located in the Kpando District, I had the benefit of first- hand information on the enormity of the water problem that faces Kpando. Mr.
Ms. Akua Sena Dansua (NDC - North Dayi) 10:25 a.m.


Speaker, the situation is almost in crisis and I do recall that anytime, whilst we were in school in the late 1960s, water flowed through the pipes, there was almost jubilation.

Mr. Speaker, the Kpando situation typifies the biblical piece which talks about water here, water there and yet not a drop on the tongue. Mr. Speaker, it is regrettable and very disturbing that this little boy in his quest to quench his thirst has met his untimely death. Indeed, may his death, unfortunate as it is, serve as a watershed. May it represent a real breakthrough for Kpando and its environs. Mr. Speaker, may this even ginger the relevant authorities to do exactly what has been on the drawing board for a very long time.

Indeed, about seven years ago, as was mentioned, the then Ministry of Works and Housing entered into a turnkey agreement with a Czechoslovakian firm to build, operate and transfer potable water treatment facilities to serve the Kpando District. I am reliably informed, Mr. Speaker, that the technical appraisal report is gathering dust on the shelves of the Ministry and also crying for the attention of the relevant authorities.

It is in this vein, Mr. Speaker, that I wish to add my voice to the concerns raised by my Colleague and also to strongly urge the authorities to come to the aid of Kpando and its environs.
Mr. J. K. Gidisu (NDC - Central Tongu) 10:35 a.m.
Mr. Speaker, I equally want to associate myself with the Statement on the floor of the House.
Mr. Speaker, the situation of Kpando is not different from a lot of communities
which are located in river basins. As noted, Kpando is only three kilometres away from Torkor, where we have very large access to the Volta Lake. One would have expected that in those areas, it would not have been very difficult to draw water to serve communities of the type that are generally neglected when it comes to the extension of potable water. Mr. Speaker, it is therefore very, very unfortunate that a young child in the pursuit of getting water for the use of the home got drowned.
Mr. Speaker, as the Minister for Water Resources, Works and Housing is in the House, I would want to use this platform to say that there is the need for the Ministry to look at integrating water schemes into a larger pool to serve larger communities, rather than the present approach where boreholes are constructed in individual communities.
Mr. Speaker, my own constituency and, for that matter, my own district, North Tongu, is traversed by the Volta River, but it is one of the very few areas where water is a problem, just like Kpando. It is in this wise that it would be very prudent for the Ministry to look at integrating water schemes to serve those communities, especially when it is even cheaper in the long-run to draw water to such communities. It is unfortunate that those of us who are located in those areas are the biggest sufferers.
Mr. Speaker, last week, there was opportunity in the House here to draw the attention of the Volta River Authority (VRA) to situations in their catchment areas. Mr. Speaker, it is very, very necessary for us to look beyond the ministerial responsibility, and more especially to those communities that VRA, through its activities, in one way or the other, has affected the socio-economic lives of the people.
The Ministry and for that matter
Government should find a way of drawing them into partnership in the provision of facilities of the type that we are talking about. This will go a long way to address, if not minimize, the frustrations which drive innocent children to their untimely deaths at such odd hours.
With this short comment, I want to associate myself with the Statement, hoping that as the Minister looks at me pensively he would be addressing the issue alongside the other pressing ones that are confronting him in that Ministry.
Mr. I. K. Asiamah (NPP - Atwima/ Mponua) 10:35 a.m.
Mr. Speaker, I rise in support of the Statement on the floor.
Mr. Speaker, water is critical to the survival of every human being. Mr. Speaker, we just celebrated our 49th Anniversary as a country. Mr. Speaker, let us ask ourselves, as a country, where do we stand today? Forty-nine years of independence, water supply is inadequate. Let us ask ourselves -- Mr. Speaker, in all these one political tradition has taken over 20 years to be in power.
Mr. Speaker 10:35 a.m.
Hon. Member for Atwima/Mponua - [Uproar] -- Hon. Member, do not provoke any debate. Only comment on the Statement.
Mr. Asiamah 10:35 a.m.
Mr. Speaker, I am
raising this critical questions. As a country, where are we today, after all these years -- 49 years of independence? I am talking about leadership in this case, leadership by example. If for 20 years, we still do not have basic water supply, pipelines have broken down - [Interruptions] - [Some
Mr. Yieleh Chireh 10:35 a.m.
On a point
of order. Mr. Speaker, I think that the Statement is an appeal on an urgent matter, but where the hon. Member is sending the debate and creating tension is absolutely out of order. Mr. Speaker, I would want you to give a firm ruling on the matter for him to either discontinue his contribution - [Interruption] -[Some hon. Members: Sit down!] -- or do the right thing. I thank you, Mr. Speaker for the opportunity to raise this point of order. [Laughter.]
Mr. Speaker 10:35 a.m.
Hon. Member, for Wa
Mr. Asiamah 10:35 a.m.
Mr. Speaker --

Some hon. Members: Sit down! Sit

down!
Mr. Speaker 10:35 a.m.
Hon. Member, if you do not have any contribution, I might as well call on hon. Member for Chiana/Paga.
Mr. Asiamah 10:35 a.m.
Mr. Speaker, I was still

Some hon. Members: Sit down! Sit

down!
Mr. Speaker 10:35 a.m.
I was saying that if you
did not have any further comments, then you could sit down.
rose
Mr. Abuga Pele 10:35 a.m.
Mr. Speaker, thank you for the opportunity to make a contribution to - [Interruption] -- Has
Mr. Abuga Pele 10:35 a.m.


Mr. Speaker, called you?
Mr. Speaker 10:35 a.m.
Chief Whip, let us hear him.
Mr. Kyei-Mensah-Bonsu 10:35 a.m.
Mr. Speaker, I believe my hon. Colleague sat down in deference to your own intervention. He sat down to listen to you. Apparently, he just put a punctuation mark waiting for you to finish and then he would continue. So I believe he has a lot to say.
Mr. Speaker, but beyond that, my hon. Colleague, the hon. Member for Wa West (Mr. J. Y. Chireh) made a point. Mr. Speaker, our Standing Orders are clear. Order 72 talks about this, and I quote:
“By the indulgence of the House and leave of Mr. Speaker a Member may, at the time appointed for Statements under Order 53 (Order of Business) explain a matter of personal nature or make a Statement on a matter of urgent public importance. Any Statement other than a personal statement may be commented upon by other Members for a limited duration of time not exceeding one hour. The terms of any such proposed Statement shall first be submitted to Mr. Speaker.”
Mr. Speaker, that is all that this Order says. But by convention we have been applying 70 (2), which says that a Statement from a Minister of State should not be designed to provoke debate at this stage. Mr. Speaker, we import this onto 72.
So it is a convention that is developing, even though strictly, the Standing Orders do not talk about this. But I agree that is the convention and hon. Members may take note and not generate debate by raising contentious matters, because this is a very serious matter which really should attract the sympathy of this House.
Mr. Speaker 10:45 a.m.
Hon. Member for Atwima Mponua, if you have any other comments --
Mr. Asiamah 10:45 a.m.
Mr. Speaker, thank
you, I have more comments.
Mr. Speaker, I was only raising an
issue of leadership by example, but I take your advice.
Mr. Speaker, I think there is another
issue of inefficient management of water delivery. Mr. Speaker, this problem has been there all this while and I am happy that for now, the hon. Minister for Water Resources, Works and Housing has taken bold measures to resolve all these issues.
Mr. Speaker, my major concern is
about rural water supply. My constituency, Atwima Mponua, has about three hundred and thirty-two communities and out of this number, only twenty or so have potable water.
Mr. Speaker, it would surprise you to
know that this provision had been made available only within the last five years; and that was why I was raising this issue of leadership by example. It is key in this whole water delivery issue.
Mr. Speaker, my constituency needs
about two hundred boreholes.
Mr. Speaker 10:45 a.m.
Hon. Member, please speak to this matter. Speak to it.
Mr. Asiamah 10:45 a.m.
Mr. Speaker, it is all
about water.
Mr. Abuga Pele (NDC -- Chiana
Paga): Thank you, Mr. Speaker, for the opportunity to contribute to this very important Statement.

Mr. Speaker, the water problem of this country is really a very big one and once again, a Statement about a community that is suffering acute water problems has been made in this House.

Mr. Speaker, I would want to say that

it is the story of many other communities. But my only hope is that a Statement of this type would be taken very seriously and that there will be some response.

Mr. Speaker, it would be recalled that

I made a similar Statement on the Paga water problem in this House.

Mr. Speaker, the community of Paga is

still living with this acute water problem, even today. Mr. Speaker, one feature of many of the Statements we make in this House is the big difference between what happens in the House here and the response that it evokes from the various Ministries and Departments.

Mr. Speaker, it is my hope that the Kpando water situation or the Kpando area will not suffer the same fate which the people of Paga suffered and continue to suffer. It is also appropriate to use this occasion to ask the hon. Minister for Water Resources, Works and Housing to be very fast in his response to some of these issues, because we do not want many more deaths before we start responding. He should also put in place a national water policy, since the Ministry is now even called “Ministry of Water Resources . . .” for the whole country, both the rural areas and urban areas, and so that we can have a predictable response to some of these situations.

It is also important for the hon. Minister to, at times, indicate on several occasions how the various regions are moving towards solving these water problems. We

know there is something being done about the Tamale Water situation. But if we move between Kintampo and Tamale, we will see people travelling long distances, at times kilometres to go and fetch water. One time, on my way to the constituency, I stopped by a group of children who were carrying water, and I asked them whether they were going to drink the water; they told me that they were going to drink it.

Mr. Speaker, it is pathetic to see the type of water, the colour and the nature of the water, that these children had trekked several miles to go and fetch and go back to their communities to drink. I think that it is a very serious problem and it is very urgent; and the earlier we started tackling it by a well-designed policy, the better for the whole country.

Minister for Water Resources, Works

and Housing (Mr. Hackman Owusu- Agyemang: Mr. Speaker, I thank you for the opportunity. First of all, let me add my words of sympathy for the loss of this precious life. I believe these accidents do happen, but when they happen to children, then all hearts bleed. I have taken on board the concerns of the distinguished Member of Parliament for the area.

But I would want to state, Mr. Speaker, that it is not for lack of goodwill. Indeed, the infrastructure we have for water delivery has hardly changed from the time when it catered for seven million people in this country to now, at a level of twenty million. And I have stated in this august House time and again the Government's determination to address these issues.

Kpando has not been singled out for any bad treatment. My own Koforidua, Mr. Speaker, has been on the drawing board for more than fifteen years and still thirteen years down the line after constructing a house, I do not have a single drop of water through the taps. But the amount of investment required is so huge, it is so massive that we have to
Mr. Asiamah 10:55 a.m.
start doing this.
Indeed, we have started the programme nationwide of trying to improve the water supply to the people. As I speak now, Mr. Speaker, less than 57 per cent of our people have access to potable water. This situation is so as a result of lack of expansion of the system all these years. It did not happen in the last four years; it has happened since independence.
Mr. Speaker, concerning what we are doing to tackle the issue, specifically as far as Kpando water is concerned, I am not unaware of the difficulties there because we have Colleagues from both sides of the House who are forever asking. Indeed, there is not one single constituency in this House, in this country where the water situation is adequate; not one. And that means that we have to invest a lot more money into it. And that was why I said that by the end of this year, with the accelerated development of the water sector, we would have invested about five hundred and thirty million dollars in urban water alone.
For Kpando, Mr. Speaker, the boreholes are not yielding enough water and so what we are doing as a short-term measure is to rehabilitate these boreholes. We have not found the money for it but I have directed the Ghana Water Company to do something about it; and they assured me about a month and a half ago that ¢2.5 billion will be taken out of their internally-generated funds (IGF) to address the immediate concerns of the Kpando area. For the long-term measure, we intend to take the water from Tokpor - [Interruption] -- Tokor, they are all Tokor - [Laughter.]
Mr. Speaker, so we take it from there
and treat it and that would then see the end of the water blues to the year 2020. We are looking for funding for the feasibility studies to go on. But I was quite excited
by what the hon. Member for South Tongu (hon. Kenneth Dzirasah) said about the Czechoslovakian firm and this, I did not know. So I tried immediately to contact the Ghana Water Company Limited and they did not seem to have an immediate answer. So I have asked them to look into the files and see whether indeed there was a build, operate and transfer (BOT) almost completed for the system there.

Mr. Speaker, so we should be able to start with the ¢2.5 billion intervention latest by July. This is because we have to put the money together and we have to go through the procurement process to rehabilitate the boreholes. As far as the major one is concerned, my briefing notes -- and I am visiting the Volta Region next two weeks -- was that they are now to do the technical details. But in view of the information that I have now got from the hon. Member, I have asked them to check immediately. I got them on the phone to check on this. And I hope that like all the other water systems, we will be able to make progress.

As far as Paga is concerned, Mr. Speaker, the story is the same. We are now doing the Tamale water; the Wa water is almost complete for Cabinet decision and so are Bawku and everywhere. But we have to take them one step at a time because there is a limit to the amount of investment we will do.

The same would apply to rural water; we are investing in it and I believe that by the year 2015 we would have achieved, at the minimum the Millennium Development Goals (MDGs) of seventy- five per cent but more preferably, the Growth and Poverty Reduction Strategy goal of close to eighty-five per cent. This is what is the commitment. In fact, last night up to half past nine I was with the President discussing three water systems
Mr. Asiamah 10:55 a.m.
and the need for money to do that, personally. So the President has taken a personal interest in the water supply system.
We are aware of the difficulty that it gives to our people; I want to assure the hon. Member for North Dayi (hon. Akua Sena Dansua) that we would certainly take this on board and within the shortest possible time, we will see what we can do. It is not absolutely for lack of goodwill, otherwise, I would have said that my town is the first to suffer; it is just that we have to do it systematically and find the funds for it. And thanks to the good governance; with the cancellation of the debts, some money will be made available and I think we can tackle the issue a lot more vigorously. The strategic investment plan foresees $1.5 billion for urban water and about four trillion dollars for rural water and I think we are on course; but it takes time.
When we do it, to the hon. Member for North Dayi, it will take about two years to finish that project and so given the time lag that we need to put the money together -- three years. Meanwhile, we will do this quality measure. I hope it will succeed.
Meanwhile my condolences go to the family who lost the young boy.
Thank you very much, Mr. Speaker.
Minority Leader (Mr. A. S. K.
Bagbin): Thank you, Mr. Speaker, for the opportunity to also sympathise with the bereaved family for the loss of an infant of about seven years old who had to be sent to fetch water.
Mr. Speaker, the Statement reminds me of the poem “Patient Mariner”, where the foundered mariners in the sea were crying for water and shouting “water, water
everywhere but none for us to drink”. Here we have Kpando just by water and yet there is none for them to drink. Mr. Speaker, it is sad that we lost such a future leader and I think that all of us will have to do well to make sure that we also take good care of our children.

Mr. Speaker, I believe that, yes, we still need up to about two billion dollars to invest in urban water. But even before we got to urban water; they were all lumped together as Ghana Water and Sewerage Corporation and we had to de-link them to have community water, rural water and urban water; and a lot of dams have been constructed.

We also had to get the Water Resources Commission and they are doing a lot of work in that area. So the infrastructure would need to be improved but at least, let us admit that a lot has been done even since 2001. So I am surprised that the hon. Minister said not much has changed since the time we were seven million and now we are about twenty-one, twenty-two million. That is incorrect.

Mr. Speaker, we have to thank the hon. Member for drawing our attention to this and at least urge the hon. Minister to go to the water company and look at the initial agreement to try to construct the turnkey project in Kpando. There were efforts
rose
Mr. Speaker 10:55 a.m.
At the commencement - [Interruptions.] You may come back again.
Mr. Owusu-Agyemang 10:55 a.m.
Mr. Speaker, I think that I have to correct my dear Friend. The point that I was making --- and I chose my words very well -- If at the time of independence the coverage was in excess of sixty per cent and now we are down to a national coverage of fifty-three per cent, then obviously, there has not been any improvement vis-à-vis on a per capita basis. That means our investment over the years have not coped with population increases.

Some hon. Members -- rose -
Mr. Speaker 10:55 a.m.
Hon. Members, this is only a Statement and I do not want it to generate into a debate.
Mr. Owusu-Agyemang 10:55 a.m.
There is no need for a debate on this. It is true that we have to invest and we are going to
invest. So there is no need for a debate on this at all.
PAPERS 10:55 a.m.
Chairman of the Committee on Finance (Mr. Kwadwo Agyei 10:55 a.m.
None

Report of the Finance Committee on the request for exemption from payment of duties, taxes, levies and fees totalling two million, four hundred and thirty-six thousand, eight hundred and fifty-six euros (€2,436,856) on plant, medical equipment, construction materials, vehicles and other accessories required for the Gushiegu District Hospital Project financed by Fortis Bank N.V. and F.M.O. of The Netherlands.
MOTIONS 10:55 a.m.
Mr. Maxwell Kofi Jumah 10:55 a.m.
Mr. Speaker, I rise to second the motion.
Question put and motion agreed to.
Resolved accordingly.
Exemption from the Payment of Duties, Taxes, Levies and Fees --
Gushiegu District Hospital Project
Mr. Kwadwo Agyei-Addo 10:55 a.m.
Mr.
Speaker, I beg to move, That this honourable House adopts the report of the Finance Committee on the request for exemption from payment of duties, taxes, levies and fees totalling two million, four hundred and thirty-six thousand, eight hundred and fifty-six euros (€2,436,856) on plant, medical equipment, construction materials, vehicles and other accessories required for the Gushiegu District Hospital Project financed by Fortis Bank N.V. and F.M.O. of The Netherlands.
Mr. Speaker, I wish to present the Report of the Finance Committee.
1.0 Introduction
The above-mentioned request for tax exemption was laid in the House on Thursday, 2nd March 2006 and referred to the Finance Committee for consideration and report in accordance with article 181 of the Constitution and Order 169 of the Standing Orders of the House.
The Committee, in deliberating on the tax exemption met with the hon. Deputy Minister for Finance for Economic Planning, Mr. Kwaku Agyemang-Manu, officials from VAT Service, CEPS, the Ministry of Finance and Economic Planning and Ministry of Health and, accordingly reports as follows:
2.0 Background
Mr. Speaker, on Thursday, 8 th December 2005 the House approved by Resolution the sourcing of a Mixed Credit amounting to seventeen million, one hundred and seventy-six thousand and sixty euros (€17,176,060) comprising
a loan component of ten million, two hundred and two thousand, one hundred and thirty-two euros (€10,202,132) and a grant of six million, nine hundred and seventy-three thousand, nine hundred and twenty-eight euros (€6,973,928) for the financing of the Gushiegu District Hospital Project.
The loan component which is 59 per cent of total finacing was sourced from Fortis Bank of The Netherlands while the grant (41 per cent) is from the ORET Grant Offer.
The main condition attached to the Grant requires that the Government of Ghana grants exemption from the payment of duties, taxes (VAT), levies and fees as stipulated in clause 7.2 of the Buyer Credit Facility Agreement.
Clause 7.2 of the Agreement states that:
“If the Borrower is required by law or regulation to make any deduction or withholding (on account of tax or otherwise) from any payment whatsoever to the Lender, the Borrower shall, together with such payment, pay such additional amount as will ensure that the Lender receives (free of any tax or other deductions or withholding) the full amount which it would have received if no such deduction or withholding has been required.
The Borrower shall promptly forward to the Lender available copies of official receipts or other evidence showing that the full amount of any such deduction, withholding or other duties has been paid to the relevant taxation or other authority, without prejudice to the Borrower's sole liability for such payment.”
3.0 Reference Documents
Mr. Kwadwo Agyei-Addo 10:55 a.m.


The Committee referred to the following documents:

The 1992 Constitution

The Standing Orders of the House

The Buyer Credit Agreement for the Financing of the Gushiegu District Hospital Project.

4.0 Observations and Recommendations

1. The Committee, in its deliberations observed that the project included the installation and construction of the following facilities and services:

Facilities for Laboratories

Radiology and Blood Bank

Diagnostic facilities

Gynaecology, ophthalmology and paediatrics

In-patient care

Two (2) detached medical officers' flats

Sixteen (16) nurses' quarters.

2. The Committee noted that the project when completed, would cater for the health care of approximately 135,000 people. Benefits expected to be derived from the project include the following:

Improvement in health service delivery;

Reduction in infant mortality through better pre-natal care;

Increased access to basic health care;

Early diagnosis and successful treatment of diseases such as guinea- worm;

Serving as a supplementary training health facility for the University of Development Studies' Medical School; and

Reduction in the incidence of poverty through improved health standards.

3. The Committee was further informed that the grant would be received from the Government of The Netherlands through The Netherlands Development Finance Company (FMO). In order for the Government of Ghana to access the grant, the project is to be exempted from payment of duties, taxes (VAT), levies and fees that may be imposed in the Republic of Ghana for materials, equipment and services.

4. Hon. Members expressed concern about some of the items submitted for tax exemption. They were of the view that these items could be procured locally. Such items include: furniture for living room, cement, clothing, et cetera.

5. The Committee observed that when these items are procured locally they could reduce the total cost of the project, create market for local entrepreneurs and thereby generate employment. The Committee recommends that in future loan negotiations, the Ministry should carefully consider the foregoing concerns and factor them into the agreements.

6. The hon. Deputy Minister assured Members that the relevant Ministry would be guided by the Committee's recommendat ions in fu ture loan agreements.

However, the tax exemption being requested for is in line with the terms and conditions of the main loan which was approved earlier by the House.

7. The technical team informed the Committee that the total duties and taxes payable have been verified and certified by Customs, Excise and Preventive Service (CEPS) and amounts to two million, four hundred and thirty-two thousand, eight hundred and fifty-six euro (€2,436,856). (Find attached Tax Assessment as Appendices 1-5).

5.0 Conclusion

The Gushiegu District Hospital Project is expected to play an important role in alleviating poverty and providing health care in the Gushiegu township and its surrounding areas.

In addition, the House has already affirmed the loan in which the agreement stipulates in clause 7.2 that the borrower should bear this cost anyway.

The Committee, taking into account the above, accordingly recommends to the House to adopt its Report and grant the request for exemption from the payment of duties, taxes (VAT), levies and fees amounting to two million, four hundred and thirty-six thousand, eight hundred and fifty-six euros (€2,436,856) in accordance with article 181 of the Constitution and section 7 of the Loans Act, Act 335.

APPENDIx 1

Item 1
Alhaji Sumani Abukari (NDC -- Tamale North) 11:05 a.m.
Mr. Speaker, I beg to second the motion and to add that having examined the request, we realized that it is a normal request for tax exemptions and whatnots and we did not find anything contentious about this request so we did not debate it even extensively.
Mr. Speaker, we however noticed that - [Interruptions] - I was there, I was at the meeting - Mr. Speaker, we however noticed that the loan which was approved earlier was not scrutinized as well as we ought to have done but because the House had already approved it, we did not want to go into that area. However, we advised the Ministry that in future, when they
Alhaji Sumani Abukari (NDC -- Tamale North) 11:05 a.m.
Item 5
Item 6
Item 7

we can buy here and give work to our unemployed youth and whatnot should be factored into whatever loan, no matter who is giving the loan to us. We should let them understand that some of those things can be produced locally here and therefore we are not going to buy it from them.

So Mr. Speaker, these were the observations we made and the Ministry of Finance and Economic Planning said they were going to look at it seriously and ensure that in future those errors are not made.

Otherwise, Mr. Speaker, there is nothing contentious about the request

With this, Mr. Speaker, I support the motion.
Mr. Speaker 11:05 a.m.
Chairman of the Committee, do you wish to wind up?
Mr. Agyei-Addo 11:05 a.m.
Yes, Mr. Speaker. Mr. Speaker, at this stage, I would want to thank each hon. Member who has contributed to the motion. All the comments made have been duly noted and I believe they will inform the Committee when we have the chance of looking at a similar motion. On this note, I would like again to thank each one of you.
Question put and motion agreed to:
That this honourable House adopts the report of the Finance Committee on the request for exemption from payment of duties, taxes, levies and fees totalling two million, four hundred and thirty-six thousand, eight hundred and fifty-six euros (€2,436,856) on plant, medical equipment, construction materials, vehicles and other accessories required for the Gushiegu District Hospital Project financed by Fortis Bank N.V. and F.M.O. of The Netherlands.
RESOLUTIONS 11:05 a.m.
Minister for Finance and Economic Planning (Mr. K. Baah-Wiredu) 11:05 a.m.
Mr. Speaker, I beg to move, that
WHEREAS by the provisions of article 174 (2) of the Constitution, Parliament is empowered to confer power on any person or authority to waive or vary a tax imposed by an
Minister for Finance and Economic Planning (Mr. K. Baah-Wiredu) 11:05 a.m.
Item 8
Item 9

and I happily say that we should approve the request.

Question proposed.
Mr. E. A. Agyepong (NPP - Abetifi) 11:05 a.m.
Mr. Speaker, on the report itself we looked at every bit of it, but on these pieces of furniture, what we were not sure of was whether they were metal furniture or wooden furniture. If they were metal furniture, then definitely they would not be produced in Ghana; this is why that leeway was given. I think a list has been attached and hon. Members are asked to look at that and then decide.
But when we looked at the whole loan and the exemption being sought, it was believed it was for a good purpose and hon. Members should be asked to support it. So Mr. Speaker, we must all give our support so that the hospital - Gushiegu District Hospital - will come on board as soon as possible. We thank you, Mr. Speaker.
Alhaji Seidu Amadu (NDC -- Yapei/Kusawgu) 11:05 a.m.
Mr. Speaker, every bilateral or multilateral donor has what we call disbursement procedures; there are standardized procedures that are accepted between countries. So it is not easy to unilaterally take a decision and to say that because a clause does not favour us, we should reject it. I think the hon. Minister for Finance and Economic Planning knows this. Maybe, in future some of these arguments would have to be negotiated across board or else it will be difficult for us to say that what is here should not be accepted.
Having said that, Mr. Speaker, if you look at appendices 1, 2 and 3, there is this exemption of ECOWAS levy. What I am not very sure about is whether Ghana as an individual country has the right to take a decision to waive a levy that is applicable to the ECOWAS subregion.
With this, Mr. Speaker, I support the motion and I think that the Minister for Finance and Economic Planning should probably update us whether it is not correct to do that. This money goes to benefit all of us in the subregion and I strongly oppose the exemption given on this ECOWAS levy. Other levies that are locally applicable to Ghana I agree, but something that is of international connotation, I do not think that it is right for us to do that.
Mr. Agyei-Addo 11:05 a.m.
Mr. Speaker, I second the motion.
Question put and motion agreed to.
Resolved accordingly.
Mr. Speaker 11:05 a.m.
Item 9 - Committee Sittings.
Mr. Kyei-Mensah-Bonsu 11:05 a.m.
Mr. Speaker, there are very important committee sittings for the day; the Committee on Subsidiary Legislation is meeting to consider the Civil Aviation Regulations, which is very important; the Committee on Foreign Affairs is meeting; Committee on Works and Housing, Committee on Health, Committee on Employment, Social Welfare and State Enterprises - Mr. Speaker, may I remind the House once again of the Committee of
the Whole's meeting slated for Tuesday next week upon adjournment.
May I also remind the members of the Committee on Mines and Energy that they are required to meet on Monday to consider the petroleum agreement which has been laid and referred to them.
Mr. Speaker, on that happy note, and today being Friday and having exhausted the business for the day, may I move that this House do now adjourn till Tuesday next week at 10.00 o'clock in the forenoon. Mr. Speaker, I so move.
Mr. J. A. Tia 11:05 a.m.
Mr. Speaker, I beg to second the motion.
Question put and motion agreed to.
ADJOURNMENT 11:05 a.m.