Debates of 15 Dec 2006

MR. SPEAKER
PRAYERS 10 a.m.

CORRECTION OF VOTES 10 a.m.

AND PROCEEDINGS AND 10 a.m.

THE OFFICIAL REPORT 10 a.m.

Mr. Speaker 10 a.m.
Order! Order! Correction
of Votes and Proceedings of Thursday, 14th December, 2006. Pages 1…38. [No correction was made in the “Votes and Proceedings”.] Hon. Members, we do not have the Official Report for today. Item 3 -- Business Statement for the First Week of the First Meeting of the Third Session.
Mr. F. A. Agbotse 10 a.m.
Mr. Speaker, sorry to take you back to the Votes and Proceedings. Mr. Speaker, I am one of the people who voted for the Report of the Privileges Committee on hon. Eric Amoateng, expecting that the Americans would give a quick judicial decision. But up till now, we have not heard anything from the Privileges Committee; but he is still being marked as absent with permission. Is there any explanation to this?
Mr. Speaker 10 a.m.
Hon. Member for Ho West, certainly there is explanation for that. If you want further explanation you may do so through the Leadership of the House.
Item 3 -- Business Statement for the First Week of the First Meeting of the Third Session.
BUSINESS OF THE HOUSE 10 a.m.

Majority Leader/Minister for Parliamentary Affairs (Mr. F. K. Owusu-Adjapong) 10 a.m.
Mr. Speaker, the Business Committee met on Thursday, 14th December 2006 and determined Business of the House for the First Week of the First Meeting of the Third Session, ending Friday, 2nd February, 2007.
Mr. Speaker, the Committee presents its report to this honourable House as follows 10 a.m.
Arrangement of Business
Question(s)
Mr. Speaker, the Committee has scheduled eighteen (18) Questions to be answered by various Ministers of State during the week under reference.
The details are as follows:
No. of Question(s)
i. Minister for Education, Science and Sports 6
ii. Minister for Food and Agriculture 5
iii. Minister for Transportation 7
Total No. of Questions 18
Statements
Mr. Speaker may allow Statements duly admitted to be made in 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 submitted, may be taken through their various stages of passage.
Motions and Resolutions
Mr. Speaker, Motions may be debated and the appropriate Resolutions taken where required.
Mr. Speaker, there has been the need to work on the electrical system of the Chamber Block. The work would be carried out during recess. However, Mr. Speaker, the contractors have asked for ample time to do a thorough job. In response to this, it has been decided that the House will reconvene on 30th January, 2007 all things being equal, to allow time for the work to be executed.
Mr. Speaker, as has been the practice, all outstanding Businesses and referrals which are not completed at the end of a Meeting are deemed deferred to the succeeding Meeting.
To this end, the following Bills which are still outstanding would be considered during the next Meeting.
a. Criminal Code (Amendment) Bill
b. Domestic Violence Bill
c. Transfer of Convicted Persons Bill
d. Data Processing Control Board Decree (Repeal) Bill
e. Central Securities Depositary Bill
f. Restriction on Use of Military Uniforms and Equipment (Amendment) Bill.
Mr. Speaker, the Business Committee wishes to express gra t i tude and appreciation to Mr. Speaker and all hon. Members for their sterling performance during the Session.
Mr. Speaker, the Committee presents its report to this honourable House as follows 10 a.m.
Conclusion
Mr. Speaker, in accordance with Standing Order 160 (2) and subject to Standing Order 53, the Committee submits to this honourale House the order in which the Business of the House shall be taken during the week.

Ceremonial Opening of the Third Session

Questions --

Minister for Education, Science and Sports -- 620, 681, 682, 683,

685 & 719

Statements

Motions --

Report of the Public Accounts Committee on the Report of the Auditor-General on the Public Accounts of Ghana (Consolidated Fund) for the year ended 31 st December 2005.

Committee Sittings.

Questions --

Minister for Food and Agriculture

-- 618, 619, 763, 764 & 906

Statements

Committee Sittings.

Questions --

Minister for Transportation --

381, 383, 479, 483, 484, 497 & 498

Statements

Committee Sittings.
rose
Mr. Speaker 10:10 a.m.
You were not in your seat.
Mr. Charles Hodogbey 10:10 a.m.
Mr. Speaker, my concern is about Question No. 618 which was something I proposed more than six months ago. It was an Urgent Question that has been scaled down to an ordinary Question, concerning the Aveyime project. It appeared last week but it is understandable that this week we have been very busy.
My concern is the deterioration of the machinery at Aveyime. It is understood that the former Minister for Food and Agriculture started the process and all due diligence has been done on the project. I cannot understand why it has taken the Minister for Food and Agriculture that long to revamp the whole process so that the delays being caused are reduced. So I pray the Business Committee to ensure that this time the Question is not scaled back when we come back from our recess.
Mr. H. Iddrisu 10:10 a.m.
Mr. Speaker, I have been following with interest the Business Statement in the last few weeks and want to raise issue with three items. One has to do with the Polytechnics Bill. Even as the Majority Leader lists the number of important Bills that would be taken through, it is conspicuously lost in his
Mr. Alfred Agbesi 10:10 a.m.
Mr. Speaker, my concern is that in March next year, we would be celebrating the 50th Anniversary of Ghana. I put an Urgent Question regarding the Ghana @ 50 Secretariat and the usage of the money that has been voted. Mr. Speaker, as at now, that
Question is not featured for the next Meeting; it is even not featured now.
Mr. Speaker 10:10 a.m.
Hon. Member, these are matters I wish you would take up with the Leadership of the House.
Mr. Agbesi 10:10 a.m.
Mr. Speaker, I think that once it is a matter -- [Interruption.]
Mr. Speaker 10:10 a.m.
I want you to take it up with the Leadership of the House.
Deputy Minority Leader (Mr. Doe Adjaho): Mr. Speaker, as you have directed, we will take it up at leadership level and if we are not satisfied we will get back to you.
Mr. Speaker 10:10 a.m.
Hon. Members, we have in Parliament Members of Parliament from Tanzania, Uganda and Malawi. There are three from Tanzania; if they are here they may be upstanding. And we have four from Uganda -- [Hear! Hear!]-- and we have four from Malawi -- [Hear! Hear!]-- and we have two committee Clerks, one from Uganda and the other from Malawi. On behalf of the Leadership of the House, I welcome you to Parliament. We wish you a pleasant stay.
At the Commencement of Public Business, item 5 -- Laying of Papers.
PAPERS 10:20 a.m.

Mr. Speaker 10:20 a.m.
Item 6.
Mr. Owusu-Adjapong 10:20 a.m.
Mr. Speaker, since we are all patiently waiting for the Report of the Finance Committee on the Appropriations Bill, can we encourage the Finance Committee members to leave so that they can do an urgent work? I am making this appeal because occasionally, when people see hon. Members outside working, they think that they are not in the Chamber. So if they can leave and maybe help us to finish in time.
Chairman of the Committee (Mr.
Kofi Osei-Ameyaw): Mr. Speaker, I believe your Committee's Report is now about to be distributed. I am not sure hon. Members have the Report as yet so if the matter can stand over.
Mr. Speaker 10:20 a.m.
Majority Leader, which item are we to take next?
Hon. Members, can we take item 4
-- Statements.
STATEMENTS 10:20 a.m.

Mr. A. K. Mensah (NPP -- Abura- Asebu-Kwamankese) 10:20 a.m.
Mr. Speaker, thank you very much for the opportunity to make this Statement on the situation at Fruits and Flavour Company Ltd. at Asebu in the Central Region, precisely in the Abura-Asebu-Kwamankese consti-tuency.
Pursuant to its agenda of ensuring good governance, Government is purposed, through various interventions to bring about a vibrant, buoyant and stable economy. Examples of such interventions -- by way of employment creation are: Ayensu Starch Company at Bawjiase in the Central Region; Oil Palm Projects in certain parts of the country and the general strengthening of the Private Sector as the main engine of growth through the grant of low interest loans.
Mr. Speaker, while such laudable initiatives are achieving profound results at the macro level, it is very important that we take a critical look at activities at the grass roots that will further deepen the macro economic level achievement. One such activity is in the area of citrus farming and processing in the Abura- Asebu-Kwamankese constituency.
One thing that must immediately engage the attention of the Government is to intervene and bring the Fruits and Flavour Company back on its feet.
Mr. A. K. Mensah (NPP -- Abura- Asebu-Kwamankese) 10:30 a.m.
Mr. Speaker, Fruits and Flavour
Company Ltd, formerly L. Rose and Company Ltd. was established in 1936 at Asebu to process lime fruits for export. Its main job is purchasing lime fruits from the outgrowers in its catchment area and processing the lime fruits for export to the United Kingdom. Products for export by the factory include concentrated clarified Lime Juice, distilled lime oil and dried lime peel.
Mr. Speaker, with installed capacity of 30,000 metric tonnes of fruits per annum, the factory at its peak was the major agro-processing factory in the Central Region until 1987 when it began to have a nose-dive due to a number of factors which culminated in its liquidation and subsequent change of ownership in 1993.

Mr. Speaker, the factors which have currently contributed to the collapse of the factory are:

It has no Board and as a result, the owner who is domiciled in the United Kingdom takes unilateral decisions that are not beneficial to the smooth running of the factory.

The frequent breakdown of the factory's obsolete equipment and machinery.

The drop of the factory's installed processing capacity of 30,000 metric tonnes at its peak level to 1,500 metric tonnes.

Farmers have their lime produce bought on credit without proper payment made to them.

Majority of the workforce have been laid off and those lucky ones remaining at post have not been paid for several months now.

Mr. Speaker, the effect of the collapse of the factory is likely to threaten the livelihood of thousands of farmers from the factory's catchment areas that include: Asebu, Abura, Kwamankese, Nkusukum, Oguaa, Denkyira and Mankessim Traditional Areas.

Mr. Speaker, several hectares of farm lands in the above-mentioned catchment areas are under lime cultivation and should the factory collapse; the majority of the farmers there will face economic hardship. Indeed, lime farmers will then have no market for their lime fruits since the factory is the only one in the whole country that processes lime fruits.

Mr. Speaker, it is my strongest belief that the Government must be concerned about the prospect of lime farmers losing their livelihoods through improper management of a major agro-processing factory that has operated for well over half a century now. It is therefore worthy to note that such a situation will aggravate the already high poverty level in the area. Again, it will make mockery of Government's efforts at eradicating poverty in the country.

Mr. Speaker, I do not intend to advocate Government taking over the factory because the Government itself is encouraging private ownership of firms. However, I am only advocating a governmental intervention to get to the bottom of the circumstances surrounding the sale of the factory to the present owner.

In conclusion, Mr. Speaker, I am appealing to the Government, through the appropriate agency (Ministry of Trade and Industry) to go into the affairs of Fruits and Flavour Co. Ltd. at Asebu with the view to making recommendations to save the
Mr. Albert K. Obbin (NPP -- Prestea-Huni Valley) 10:30 a.m.
Mr. Speaker, thank you for giving me the opportunity to make a Statement on the attack on small-scale mining operators in Prestea and Heman.
Mr. Speaker, mining activities has been going on in the Prestea area for a century, primarily as an underground operation. The first formal mining lease was granted in the late 1870s and the Ghana Chamber of Mines has recorded that some nine million ounces of gold has been produced from the Prestea concession since 1877. This makes Prestea one of the most productive gold mining towns in Ghana.
Mr. Speaker, this once rich and prosperous mining town has been bedevilled with conflicts since 1998 when JCI/BARNEX which bought the mining lease from State Gold Mining Corporation (SGMC) decided to close down the underground mining and started surface mining operations.
Mr. Speaker, when the public hearing was organized by the Environmental Protection Agency (EPA) in Prestea in 2002, for the environmental impact assessment (EIA) which is a prerequisite for the beginning of the surface-mining operation, the people vehemently opposed the project and demonstrated against it. That was against the background of heavy police and military presence. My own vehicle was destroyed in the process.
On 31st October 2006, at exactly 8.00 am, there was a joint military-police exercise at Prestea to exit galamsey operators from the concession of the Golden Star Resources (GSR) (Bogoso- Prestea) Ltd.
The operation went on successfully without any confrontation. Their machines were seized; pits sealed and their huts burnt. Monies were allegedly looted.
Mr. Speaker, I had information that GSR had ordered some soldiers to go and collect the tailings of the small scale mines and dismantle their processing plant. I wrote to the General Manager to stop that action since it would plunge the area into serious confusion. He ignored my advice. Their operation was carried out and it led to the shooting of five people by the soldiers.
Indeed, on that fateful day, Tuesday, 5th December 2006, around 10.00 am, a truck loaded with men believed to be military and police personnel descended on Prestea to evacuate the waste material. The people fearlessly resisted this as they believed that the tailings were a product of their hard work.
Mr. Speaker, some people have small scale mining licence from the Minerals Commission. They have concessions outside BGL's concessions and therefore can own processing plants and tailings. This means that not all the tailings come from materials taken from GSR concession. Secondly, the core objective of the police and the military was to stop the people working on their concessions which they had achieved. The latter action to collect their tailings and processing plant was unlawful and against the rights of the people of Prestea and Heman, Bogoso and Domase.
May I, Mr. Speaker, use this opportunity to appeal to GSR to stop this unlawful operation because it will deepen the Company-Community conflict and create insecurity in the area. In the meantime, it is important to request the following:
Mr. Lee Ocran (NDC -- Jomoro) 10:40 a.m.
Mr. Speaker, I rise to associate myself with the Statement made by the hon. Member for Prestea/Huni Valley.
Mr. Speaker, gold mining was being carried on in the Gold Coast long before Don Diego d'Azambuja arrived at Elmina in 1472. It was the gold that he saw that attracted him and his people to come back and build a castle at Elmina. So it is very wrong to prevent our people from mining gold just because concessions have been given to foreign companies. What we have to do is to regulate the operations of our indigenous gold miners.
I am very much familiar with the problem in Prestea. I have been there as a member of the Parliamentary Select Committee on Environment and Science with the Member of Parliament to settle issues between Golden Star Resources, the townsfolk and the galamsey operators.
Mr. Speaker, there was a time we visited the place and we agreed that the mining company should allow the galamsey operators to process the tailings so that they would stop digging in the concession. They agreed. Therefore, it is quite surprising that they would go back and try to prevent the galamsey people from even processing the tailings to the extent that they would even take materials that the galamsey people have mined. When you are operating in a community you must try to establish good relationship with the community.
During our visit, Mr. Speaker, your Committee made it clear to the company that it was improper to adopt a hostile stance while working in a community; you will never have peace. By all means you will go and sleep and these people will always try to attack you. Therefore, Mr. Speaker, I would wish that this issue be looked into properly by the Parliamentary Select Committee on Defence and Interior because it borders on security. Shooting four people because they have taken some
Minority Leader (Mr. A. S. K. Bagbin) 10:40 a.m.
Mr. Speaker, I think that I will start by congratulating the hon. Member who made the Statement because a few days ago I had a very chilling revelation of what took place in Prestea, and I was extremely shocked at the behaviour of the security agents.
Mr. Speaker, it is well known that if I am insecure it means that others too are insecure. If the community in Prestea is not at peace, is facing a serious security threat, the company itself will be experiencing the same security threat and lack of peace.
There are some basic things in life that we cannot compromise. A community cannot compromise its water; a community cannot compromise the air and cannot compromise the land. We have these communities that have been deprived of not just the land but even safe drinking
water and there is no alternative for them to survive. And it has taken this country some dialoguing, some process to license the private sector to do this small-scale mining. Therefore, it is wrong for the company to think that anybody doing small-scale mining is operating on galamsey -- illegal mining.
Mr. Speaker, the story that I was told was a story that had not even been perpetrated in the military regime. For the military to be brought in to forcefully take these people out and collect the tailings that they have mined from other concessions, not just from the Golden Star Resource's concession; and for them to come and start using tear-gas, and when the people responded with stones, they were ordered to open fire on them is unacceptable.
Mr. Speaker, one of them had his stomach split open and his intestines came out. This was shown live. The person is now in the hospital. I cannot imagine another human being just opening fire on a defenceless citizen -- somebody struggling to survive.
I think it is important that we take this matter seriously and that the two Committees -- Mines and Energy and Defence and Interior, should take up this matter and investigate it. We could then communicate to the various companies and the security agencies that they should not allow our brothers and sisters to be used against us. It was really an eye- witness story and I was very sad that this took place in a democratic state like Ghana.
Mr. Speaker, it is something that we should all condemn. I believe that we should just not allow them to be
Majority Leader (Mr. F. K. Owusu- Adjapong) 10:40 a.m.
Mr. Speaker, it is good that our hon. Colleague has brought this matter to the attention of Parliament. It is part of our duty to ensure that wherever we perceive injustice we become interested; and I share the view of the hon. Minority Leader that we should get our committees responsible for Mines, Defence and Interior involved.
I would have wished the Minister responsible for Mines were around so that we could also hear something from him. Whatever it is, I would communicate this to him and find out whether at an opportune time, it would not be right for him even to brief the House on the matter.
Whilst Mr. Speaker may direct the Joint Committee to be in motion, perhaps when the Committee is set up, there would be the need to involve the District Assemblies in the areas concerned so that they could also play a role in these matters. After all, they are responsible for security within the districts.
I congratulate the hon. Member who made the Statement.
Mr. Speaker 12:40 p.m.
Hon. Members, at this stage I will direct that the Sitting of the House be suspended for 30 minutes. We will come back in 30 minutes' time.
The Sitting was suspended at 10.49 a.m.

Sitting resumed.
MOTIONS 12:40 p.m.

Mr. K. Osei-Ameyaw 12:40 p.m.
Mr. Speaker, I beg to move, that this honourable House adopts the Report of the Joint Committee on Finance and Constitutional, Legal and Parliamentary Affairs on the International Convention on the Harmonized Commodity Description and Coding System (Brussels on 14 June
1983).
1.0 Introduction
The above International Convention was laid in the House on Friday, 10th
RESOLUTION 12:40 p.m.

Minister for Finance and Economic Planning (Mr. Kwadwo Baah-Wiredu) 12:50 p.m.
Mr. Speaker, I beg to move, that
WHEREAS by the provisions of article 75 of the Constitution any treaty, agreement, or convention executed by or under the authority of the President in the name of Ghana is made subject to ratification either by an Act of Parliament or by a resolution of Parliament supported by the votes of more than one-half of all the Members of Parliament.
IN ACCORDANCE with the said article 75 of the Constitution the President has caused to be laid before Parliament through the Minister responsible for Finance and Economic Planning the International Convention on the Harmonized Commodity Description and Coding System (Brussels on 14 June 1983).
N O W T H E R E F O R E , t h i s honourable House hereby resolves to ratify the said International Convention on the Harmonized Commodity Description and Coding System (Brussels on 14 June 1983).
Deputy Minister for Finance and Economic Planning (Prof. Gyan- Baffour): Mr. Speaker, I beg to second the motion.
Question put and motion agreed to.
Resolved accordingly.

Suspension of Standing Order 80(1)

Chairman of the Committee (Nii Adu

Daku Mante): Mr. Speaker, I beg to move, that notwithstanding the provisions of Standing Order 80 (1) which require that no motion shall be debated until at least forty-eight hours have elapsed between the date on which notice of the motion is given and the date on which the motion is moved, the motion for the adoption of the Report of the Finance Committee on the Agreement Amending the Partnership Agreement between the Members of the African, Caribbean and Pacific Group of States, and the European Community and its Member States (Cotonou, 23rd June 2000) may be moved today.
Prof. G. Y. Gyan-Baffour 12:50 p.m.
Speaker, I beg to second the motion.
Question put and motion agreed to.
Resolved accordingly.
Agreement Amending the Partnership Agreement between ACP Group of
States and the European Community and its Member States
Chairman of the Committee (Nii Adu
Daku Mante): Mr. Speaker, I beg to move, that this honourable House adopts the Report of the Finance Committee on the Agreement Amending the Partnership Agreement between the Members of the African, Caribbean and Pacific Group of States and the European Community and its Member States (Cotonou, 23rd June
2000).
Mr. Speaker, in so doing, may I present to this House the Report of your Committee. Mr. Speaker, for want of time, I will read the Observations, Recommen-dations and Conclusion in your Committee's Report, and I crave your indulgence to allow the Hansard Department to capture the rest of the Report as having been read in extenso.
1.0 Introduction
The above Partnership Agreement was laid in the House on Tuesday, 5th December 2006 and referred to the Finance Committee for consideration and report in accordance with article 75 of the Constitution and the Standing Orders of the House.
To consider this agreement, the Committee met with the Deputy Minister for Finance and Economic Planning, hon. Dr. A. Akoto Osei and officials from the Ministry of Finance and Economic Planning and reports as follows:
2.0 Background
The African, Caribbean Partnership and European Union (ACP-EU) Agreement provided for the conclusion between the African, Caribbean and Pacific (ACP) group of States and the European Union (EU) a “new World Trade Organization (WTO) compatible trading arrangements, that would progressively remove barriers to trade between them and enhance co- operation in all areas relevant to trade”. The Agreement also substantially strengthened the notion of political dialogue particularly dialogue on development policy and specific political issues) between the signatory states.
The evolution partnership between Europe and the ACP countries spans a period of some (40) forty years. On 25th March, 1957 the embryo European Community signed the Treaty of Rome with a group described as the Association of Overseas Territories (OCTs).
Significantly, that treaty established the first European Development Fund (EDF) for overseas countries and Territories. By 1960 the majority of the OCTs had gained independence. This led to the signing of Yaounde I (1963) and Yaounde II (1969) with eighteen (18) “Associated” African states and Madagascar. The Yaunde Conventions constituted a learning process not only in terms of partnership but also in terms of contractual systems. They focused on trade, financial and technical co-operation.
The accession of the United Kingdom to the European Community in 1973 changed the face of co-operation since it created problems for the Commonwealth countries in Africa, the Caribbean and the Pacific. After a period of uncertainty and negotiations, the first Lome Convention was signed in 1975 between nine (9) European countries and forty-six (46) ACP countries. At that time it was considered a new model for North-South development
based on partnership and solidarity.
After almost four (4) years of long and difficult negotiations, particularly after the issuing of an European Union (EU) Commission Green paper on the future of the relations between the European Union and the ACP countries on the eve of the 21st Century, the new Cotonou Partnership Agreement was signed in Cotonou, Benin on 23rd June 2000, between fifteen (15) European countries and seventy-seven (77) ACP countries.
3.0 Principles of the Cotonou Agreement
The Cotonou Agreement was based on the following five (5) pillars:
1. Reinforcement of the political dimension of the relations between ACP countries and the European Union.
2. Involvement of Civil Society, the private sector and other non-state players.
3. Poverty reduction, confirmed as a key objective within the context of the objectives and strategies agreed at the international level (United Nations).
4. An innovative economic and trade co-operation framework.
5. Rationalization of financial instruments and a new system of “rolling programmes”.
4.0 Observations and Recommendations
The Committee observed that the Agreement covered a period of twenty (20) years commenced on 1st March, 2000 had a clause allowed for revision every
five (5) years and a financial protocol for each five (5)-year period. Indeed ten (10) months before the expiry of the five-year period, the parties were required to enter into negotiations with a view to examining any possible amendments to the provisions of the Agreement.
The Committee was informed that the process for the first revision of the Cotonou Agreement commenced in May 2004 when the ACP Council of Ministers at its 79th Session in Gaborone, Botswana mandated the Committee of Ambassadors to consider proposals for the amendment of the Cotonou Agreement in accordance with Article 95 of the Agreement.
The Committee was informed that the process was driven by the following considerations:
The need to concretize recent commitments, particularly, on Financial Protocols and political initiatives, notably on international security, undertaken mainly by the European Union.
The need to improve the modalities f o r t he imp lemen ta t i on o f European Union aid and assistance programmes.
The need to harmonize the procedures and working methods that have been the basis of the relationship between the EU and the ACP.
The Committee noted that the preamble has been amended to include the following:
serious crimes concerning the International Community must not go unpunished;
the establishment and effective functioning of the International Criminal Court constitute an

important development for peace and international justice;

the Millennium Development Goals adopted by the UN General Assembly in 2000 provides a clear vision and must underpin ACP-EU co-operation.

The Committee observed that the amendments include the provision that ACP states have the sovereign right to determine the development principles, strategies and models of their economies and societies.

The Committee also noted that there is the need to recognize the role of non-state actors and local decentralized authorities in the development process and these amendments made provision for this.

The Deputy Minister informed the Committee that one of the objectives of this revised dialogue is to facilitate the exchange of information, and to foster mutual understanding between parties. The Agreement would also facilitate the establishment of agreed priorities and shared agendas and in particular by recognizing existing links between the different aspects of the relations between parties.

The Committee observed that another benefit of the revision is that parties to the Agreement would co-operate in the prevention of mercenary activities and fight against crime in accordance with their obligations under the international conventions and instruments and thereby promote the strengthening of peace and international justice.

The Committee was informed that the revised agreement now enjoins parties to endeavour to promote the fight against HIV/AIDS and ensure that sexual and

reproduction health and rights of women are protected. Parties are also enjoined to fight against other poverty-related diseases particularly malaria and tuberculosis.

5.0 Conclusion

The Committee after crit ically examining the Agreement is of the opinion that the amendments will be of immense benefit to the country. The Committee therefore recommends to the House to adopt its report and approve by resolution, the Agreement Amending the Partnership Agreement between the Members of the African, Caribbean and Pacific Group of States, and the European Community including its Member States (Cotounou, 23rd June, 2000) in accordance with article 75 of the 1992 Constitution.

Respectfully submitted.

Deputy Minister for Finance and Economic Planning (Prof. Gyan- Baffour): Mr. Speaker, I beg to second the motion.

Question put and motion agreed to.
RESOLUTION 12:50 p.m.

Minister for Finance and Economic Planning (Mr. Kwadwo Baah-Wiredu) 12:50 p.m.
Mr. Speaker, I beg to move, that
WHEREAS by the provisions of article 75 of the Constitution any treaty, agreement, or convention executed by or under the authority of the President in the name of Ghana is made subject to ratification either by an Act of Parliament or by a resolution of Parliament supported
by the votes of more than one-half of all the Members of Parliament.
IN ACCORDANCE with the said article 75 of the Constitution the President has caused to be laid before Parliament through the Minister responsible for Finance and Economic Planning the Agreement A m e n d i n g t h e P a r t n e r s h i p Agreement between the Members of the African, Caribbean and Pacific Group of States, and the European Community and its Members States (Cotonou, 23rd June 2000).
N O W T H E R E F O R E , t h i s honourable House hereby resolves to ratify the said Agreement Amending the Partnership Agree- ment between the Members of the African, Caribbean and Pacific Group of States, and the European Community and its Member States (Cotonou, 23rd June 2000).
Deputy Minister for Finance and Economic Planning (Prof. Gyan- Baffour): Mr. Speaker, I beg to second the motion.
Question put and motion agreed to.
Resolved accordingly.
Mr. Speaker 12:50 p.m.
Hon. Members, let us turn to page 2 -- Laying of Papers, (c)(i).
PAPERS 12:50 p.m.

Mr. Speaker 12:50 p.m.
Hon. Members, we will go back to item 24 -- Chairman of the Committee of the Whole.
Mr. Abraham Ossei Aidooh 1 p.m.
Mr. Speaker, if you would permit me, I will move the motion on the Chairman's behalf.
Mr. Speaker 1 p.m.
All right, go ahead.
Suspension of Standing Order 80 (1)
Deputy Majority Leader (Mr. A. O. Aidooh) (on behalf of Chairman of Committee of the Whole): Mr. Speaker, I beg to move, that notwithstanding the provisions of Standing Order 80 (1) which require that no motion shall be debated until at least forty-eight hours have elapsed between the date on which notice of the motion is given and the date on which the motion is moved, the motion for the adoption of the Report of the Committee of the Whole on the proposed Formula for the Distribution of Subsidies to be paid to licensed District Mutual Health Insurance Schemes for the year 2007 may be moved today.
Deputy Attorney-General and Minister for Justice (Mr. K. Osei- Prempeh): Mr. Speaker, I beg to second the motion.
Question put and motion agreed to.
Resolved accordingly.
Proposed Formula for Distribution of Subsidies to Licensed DMHIS
Mr. A. O. Aidooh 1 p.m.
Mr. Speaker, I beg to move, that this honourable House adopts the report of the Committee of the Whole on the Proposed Formula for the Distribution of Subsidies to be paid to licensed District Mutual Health Insurance Schemes for the year 2007.
Mr. Speaker, and in doing so I beg to present the Report of the Committee of the Whole on the Proposed Formula for the

[NII ADU MANTE] [NII ADU MANTE]

Distribution of Subsidies to the licensed District Mutual Health Insurance Scheme for the year 2007.

Mr. Speaker, I seek your permission to read just the Observations and Recommendations and hope that the whole of the Report will be captured as having been read in the Hansard.

1.0 Introduction

The National Health Insurance Fund (NHIF) Allocation Formula for 2007 was laid before the House on Monday, 4th December, 2006 and referred to the Committee of the Whole for consideration and report in accordance with the Standing Orders of the House and the Constitution of the Republic of Ghana.

The Committee in its deliberations met with Mr. Samuel Owusu-Agyei, Deputy Minister for Health, Prof. G. Y. Gyan- Baffour, Deputy Minister for Finance and Economic Planning, Mr. Ras A. Boateng, Chief Executive Officer of the National Health Insurance Council (NHIC), Mr. Adu Anane Antwi, Director of Fund Management and Investment, NHIC and Mr. Ahmed A. Imoro, Deputy Director of Finance, NHIC and reports as follows:

2.0 Reference Documents

i. The National Health Insurance Act 650

ii. The Standing Orders of the House

iii. The 1992 Constitution of the Republic of Ghana

3.0 Background

The National Health Insurance Council (NHIC) was established by the National

Health Insurance Act, 2003 (Act 650). The core function of the Council under Act 650 is to secure the implementation of a National Health Insurance Policy that ensures access to basic health care services to all residents.

Section 76 of Act 650 established the National Health Insurance Fund (NHIF) and made the NHIC responsible for its management.

3.1 Sources of Funds to the NHIF:

Section 78 of the National Health Insurance Act, 2003 (Act 650)

a. The National Health Insurance Levy (NHIL);

b. Two and one-half per cent (2.5%) of each person's seventeen and one-half percent (17.5%) contribution to SSNIT Pension Fund;

c. Funds allocated by Parliament;

d. Money that accrues to the Fund from investments made by the Council; and

e. Grants, donations, gifts and any other voluntary contributions made to the Fund.

4.0 Object of the Fund

The object of the Fund is to provide finance to subsidize the cost of provision of health care services to members of District Mutual Health Insurance Schemes (DMHISs) licensed by the Council.

For the purpose of implementing the object, the monies from the Fund shall be expended as follows:

a. to provide subsidy of such level as the Council shall determine to District Mutual Health Insurance Schemes (DMHISs);

b. to reinsure District Mutual Health Insurance Schemes (DMHISs) against random fluctuations of cost under conditions to be determined by the Council;

c. to set aside some monies from the Fund to provide for the health care of indigents;

d. to provide support to facilitate provision of or access to health services; and

e. to invest in any other facilitating programmes to promote access to health services; as may be determined by the Minister in consultation with the Council.

5.0 General Assumptions for the 2007 Allocation

5.1 Budgetary Allocation

Based on projections contained in the 2007 Budget Statement, the NHIC estimates that the NHIF would realize an amount of one trillion, seven hundred and fifty-nine billion, ten million cedis (¢1,759,010,000,000.00) in the year 2007 from its two major sources of funds, namely the NHIL (VAT & CEPS) and SSNIT contribution.

5.2 Registration Coverage

A registration target of fifty-five per cent (55%) is set for 2007 and it is expected that this percentage will access benefits under the Scheme in 2007.

5.3 Number of Schemes

The allocation of the Fund is based on the assumption that, one hundred

and forty-eight (148) Schemes will be operating next year.

5.4 Per Head Subsidy

Figures received from the various Schemes as at the end of June 2006 indicate that the average per capita cost of an encounter with a health service is sixty-three thousand, three hundred and fifty-five cedis (¢63,355.00). It is assumed that on average a person makes two encounters with health service providers in a year given an average cost of one twenty-six thousand, seven hundred and ten cedis (¢126,710.00) per person per year. The NHIC has accordingly proposed to increase the subsidy from hundred thousand cedis (¢100,000.00) in 2006 to one hundred and twenty thousand cedis (¢120,000.00) next year.

6.0 Investment Income

It is expected that an amount of five hundred and fifty billion, one hundred and twenty million cedis (¢550,120,000,000.00) will remain in investment at the end of 2006. Further amount of twenty-six billion, four hundred and sixty million cedis (¢26,460,000,000.00) has been allocated for investment in 2007. These investments are expected to generate an average return of ten per cent (10%) amounting to fifty- seven billion, sixty-six million cedis (¢57,066,000,000.00). This amount will however not be available for allocation as it will be retained in the investment account to grow the fund.

The total inflow to the NHIF in 2007, including the expected investment income is therefore estimated to be one trillion, eight hundred and sixteen billion, seventy- six million cedis (¢1,816,076,000,000.00).
Mr. A. O. Aidooh 1 p.m.


7.0 Determination of Allocation of Funds

7.1 Subsidies for the Exempt Groups and SSNIT Contributors

The law proposes subsidies to District Mutual Health Insurance Schemes (DMHISs) to cover the healthcare cost of those exempted by law. The exempt groups are:

a. indigents

b. those under 18 years of age

with both parents or guardians as contributors

c. those under 18 years of age with community-approved single parents

d. pensioners under the SSNIT Scheme

e. the aged (70 years of age and above).

Allocation Formula for the exempt groups (subsidy variables) is Allocation = (a+b+c+d+e) x 120,000 +Administration

Cost & Investments. 7.2 Proposed Allocation of Funds to the Various Activities
ITEMS 1 p.m.

EXPENDITURE ITEM AMOUNT 1 p.m.

Mr. Lee Ocran (NDC -- Jomoro) 1 p.m.
Mr. Speaker, I rise to second the motion.
Mr. Speaker, when we met yesterday, we drew the attention of the hon. Minister and the Insurance Committee to the fact that moneys that come from SSNIT should no more go to the Ministry but should go directly to the bank, as specified by the law. This year much of the money has been locked up at the Ministry of Finance and Economic Planning, the reason given is that the allocation formula has not been approved. Now, we have taken the opportunity to approve the Formula early enough.
So we expect that all monies collected from SSNIT should go directly to the

fund and not pass through the Ministry of Finance and Economic Planning anymore. We also made it clear that a certain amount of money advanced to certain health providers should make us happy that eventually they have been captured. Therefore, Mr. Speaker, I do support the motion on the floor.

Question propsed.
Alhaji M. M. Mubarak (NDC -- Asawase) 1 p.m.
Mr. Speaker, I rise to support the motion before the House, that this House do approve the Formula from the Committee of the Whole for the Distribution of Subsidies to be paid to licensed District Mutual Health Insurance Schemes for the year 2007.
Mr. Speaker, in doing so I would want to draw the attention of the House to some of the issues in the Report.
Mr. Speaker, if you look at the Committee's Report, page 5, paragraph 7.1, you would see that the exempted group have been stipulated as follows:
a. Indigents;
b. those under 18 years of age with both parents or guardians as contributors; and
c. those under 18 years of age with community-approved single parents.
Mr. Speaker, I have a little worry about this. If you look at the problem this country had before the coming into effect of the National Health Insurance Scheme -- During the “cash and carry”, children under five years, pregnant women and the aged were taken care of but we decided to
adopt this National Health Insurance to ease access to health.
Unfortunately, in doing this we have now made a provision that children under 18 and the aged will have to register and wait for six months before they can access healthcare. Mr. Speaker, I think this will not really give us the desired results that we anticipated in introducing the National Health Insurance Scheme.
Mr. Speaker, currently the situation that pertains on the ground with regard to claims is that most of the service providers are complaining about the rate at which -- There is so much delay in getting their claims paid to them and if we are not careful the tendency for these health institutions to deliberately or indirectly deny people the use of National Health Insurance card could be very high.
I will suggest that, Mr. Speaker, instead of each and every district having a scheme, trying to process claims, we should centralise the payment of claims. Because, if you look at majority of people who have to be catered for -- children under 18, the aged and people who are SSNIT contributors -- all these are processed at the national level. Yet providers will have to first write to the individual schemes and the schemes will then forward it to Accra; and it takes so much time.
Mr. Speaker 1 p.m.
Order! Order!
Alhaji Mubarak 1:10 p.m.
Mr. Speaker, if you look at the issue of the ID cards, a Member in this House has complained that for over one year since he registered he has not had his card. I remember that it was the former Deputy Minister for Health.
Mr. Speaker, the problem that we have is that each of the schemes has its own ID card but we anticipate that this National Health Insurance should be able to work across the country; if you move from Bole to Accra you should be able to access healthcare. If you are moving from Walewale to Tamale, you should be able to access healthcare. But these I.D. cards are so different and this creates problems when people pay. There are so many technologies today that can help facilitate this thing.

Mr. Speaker, currently if you look at the registration, close to 30 per cent have registered but only about 18 per cent are accessing healthcare. Those who have access, at the end of this year a lot of them will have to go back and be registered. Already we have a backlog of over 20 per cent of the I. D. cards that are not ready. If this 18 per cent who can currently access healthcare, when their registration expires they will have to go back with their pictures to register again, then the tendency we are likely to have is that most of the time less than 20 per cent of the population would be able to access healthcare.

And I think we should have come out with a mechanism where these I. D. cards would not necessarily be changed annually but -- Even the cost of printing these I.D. cards when it comes to the indigents, the under 18 year-olds and the sick people who are contributing to SSNIT, it is a huge cost to the State; and I believe the Council should come out with a mechanism where, for a particular I.D. card, you could only pay the premium and still keep the I.D. card instead of changing these I.D. cards and returning them for new ones every
Mr. E. T. Mensah 1:10 p.m.
On a point of order. Mr. Speaker, the issue that the hon. Deputy Minister is responding to was an issue which was raised here and which had no relation whatsoever to the subject-matter that was discussed. It was not captured in the Hansard so whatever response he would be giving us would be hanging. I suggest he goes straight to the issues which pertain to the National Health Insurance Scheme (NHIS).
Mr. Owusu-Agyei 1:10 p.m.
Thank you very much, Mr. Speaker. This particular issue dragged on yesterday, for sometime; that is the reason why I wanted to respond to it. But as he said, I would step this one down.
Mr. Speaker 1:10 p.m.
All right.
Mr. Owusu-Agyei 1:10 p.m.
The issue about rehabilitation of Tamale Hospital -- It was mentioned yesterday that work on the Tamale Hospital has been programmed to start next year. So that issue should also be taken note of . The third issue regarding Bolgatanga Hospital, the information I
Mr. John Tia 1:10 p.m.
Mr. Speaker, I have two concerns. One is that hon. Members here are surprised. They do not know whether the hon. Deputy Minister is winding up the debate on this issue or he is contributing. Please, we want to find out because he is responding to items. So if he is winding up -- [Interruptions.] So if he is not winding up we are all right.
Then the second one is about Bolgatanga Hospital. The issue is not about whether the project is 50 per cent or 60 per cent complete, but the fact is that the contractor has said he would not go back to site because he has not been paid; and no work will be done. That is what we thought he should be addressing and not that it is 60 per cent or 100 per cent complete.
Mr. Owusu-Agyei 1:10 p.m.
Mr. Speaker, if there are any bottlenecks on that particular project it should be understood. It is a foreign-funded project. Mr. Speaker, the issue regarding different I.D. cards for different schemes, I think the hon. Member for Asawase is a member of the Health Committee and this had been well explained to all of us when the scheme started -- It started in phases, all the schemes did not start at a go; they started it in the various districts at different times. And different computers were used in producing the I.D. cards; that is the reason why there is no common I.D. card for all
the schemes.
When we met at the committee level the Council explained this to us, and we are also made aware in the budget, in the formula that we have a common I.T. platform, in which case there is going to be a common I.D. card, to be issued in all schemes. So that particular issue has been brought to our notice and we are all aware of it. So I am a bit surprised that the hon. Member for Asawase is still bringing up this particular issue.
I think he raised an issue regarding the under-8 -- That also has been discussed and hon. Members, I think, are very much aware of how we addressed that particular issue.

Maj. (Dr.) (Alhaji) Ahmed (retd): On a point of order. Mr. Speaker, the response that the Deputy Minister is giving to the issues raised by the hon. Member for Asawase relates to the fact that what was discussed at the committee level borders on the issue of loss of funds to the State because of the duplication in the issuance of the I.D. cards and the fact that they only last for one year, and every year they have to be renewed.

Therefore, the suggestion was made that we should now have I.D. cards that can last for a long period of time which can be electronically renewed instead of changing the I.D. cards at such high cost.
Mr. Owusu-Agyei 1:10 p.m.
Mr. Speaker, I think that we are aware, as I have already said -- [Interruption.]
Mr. Speaker 1:10 p.m.
Deputy Minister, you should be called upon first.
Mr. Owusu-Agyei 1:10 p.m.
Mr. Speaker, the issue regarding the common I.D. card has been discussed and we now are going to have a new technology platform which is going to cover a group of schemes for one I.D. card; and it is going to be so portable that you can move from one scheme to another. Currently, when a patient or a client moves from one scheme to another there should be communication between the place that he is obtaining the benefit from and the mother scheme. That issue is resolved.
Then also the delay in the payment of claims -- This particular issue has also been discussed and we know how it is being resolved because the claims will have to be vetted. If we want to make the scheme sustainable, the claims must be properly vetted and we are trying as much as possible to reduce the lag in the submission of the claims into the centre of the payment.
Mr. Haruna Iddrisu (NDC -- Tamale South) 1:20 p.m.
Mr. Speaker, thank you for the opportunity to support the motion for the approval of the Formula for Distribution of Subsidies to District Mutual Health Insurance Schemes. Mr. Speaker, in doing so I would like to refer you to page 5 of your Committee's Report, in particular the paragraph before paragraph 7.2.
Mr. Speaker, if you look at the allocation, the formula for the exempt group, the subsidy variable, we have seen a gradual increase in the figure -- 100 to 120. Meanwhile, the official figure is seventy-two thousand. Only
last three weeks when they brought this same formula for the 2006 financial year the figure was 100; and this 120 further includes administrative cost. I think we need some further clarification on that issue as to why we cannot operate with one figure. We do know that the official rate is ¢72,000. For last year, they came with ¢100,000; within one month they want to increase it to ¢120,000.

Mr. Speaker, I would need some clarification. Mr. Speaker, still on the same page, I want to make a special case for pregnant women and hope that I will have the support of hon. Members. Mr. Speaker, the law makes a category for indigents. Indigents properly defined will mean persons with poor backgrounds who are unable to bear their medical expenses.

Mr. Speaker, we have reported cases of mothers having delivered and being held hostage in many hospitals across the country because of their inability to pay the medical expenses associated with child- birth. Mr. Speaker, I want to recommend strongly to the National Health Insurance Council and the Ministry of Health to make a special case for pregnant women under the exempt of indigents.

I believe they qualify; because it is quite embarrassing that pregnant women and their babies -- That means that those fathers may not even have the privilege because of their poverty to do a proper outdooring because the child and mother are being held hostage. So I would like to appeal to hon. Members that we should make an extension to include pregnant women.

Mr. Speaker, finally, if you look at the NHIS Act, Act 650, section 78 -- the source of the funds and what should be paid -- the emphasis under 78 (2) is that the contribution must be paid in the preceding month. Mr. Speaker, we want to recommend to the Ministry of Finance and Economic Planning to respect the
Mr. Haruna Iddrisu (NDC -- Tamale South) 1:20 p.m.


provisions of the NHIS. Last year we saw the money lodged at the Ministry for a year, even though the law says that it must be done within a month or the preceding month.

Mr. Speaker, with these few comments I support the motion.

Some hon. Members -- rose --
Mr. Speaker 1:20 p.m.
Deputy Minority
Whip, after you the Deputy Majority Leader would wind up.
Mr. E. T. Mensah (NDC -- Ningo/
Prampram): Mr. Speaker, I also rise to support the motion and to re-emphasise what hon. Haruna Iddrisu has just said. Mr. Speaker, yesterday we discussed at length the question of these pregnant women and we also talked about distressed persons. We have made adequate provisions on page 6 for financially distressed schemes. We also said that there are others who are distressed.
What happens is that quite often you would read from the newspapers and hear from the radio that there are some people who are financially distressed because of certain ailments that their relatives cannot pay for. And we go out there with cap in hand -- people contributing hundred thousand, two hundred thousand here and there.
What we recommended yesterday was that they should also be regarded as financially distressed persons who should be provided for under this scheme -- so that when it happens we just draw on it rather than disgracing the whole nation by going cap in hand looking for money. Quite often, by the time the money is realised the patient is dead.
Mr. Speaker, I want to reiterate that we should capture this. The Report did not capture this. It should be captured in the Report. We were told by the secretary
Mr. Speaker 1:20 p.m.
Hon. Deputy Majority
Leader, you may wind up, if you want to.
Mr. A. O. Aidooh 1:20 p.m.
Mr. Speaker,
I thank you for the opportunity. Mr. Speaker, I believe that this Formula is certainly an improved version over the previous year's. I am happy that the hon. Deputy Minister has undertaken with the scheme operators to take on board all the suggestions that were made yesterday and, I believe, that have been made today.
Mr. Speaker, on that note I thank hon. Members for their support for the motion.
Question put and motion agreed to.
Resolved accordingly.
Suspension of Standing Order 80 (1)
Minister for Finance and Economic
P lanning (Mr. Kwadwo Baah- Wiredu): Mr. Speaker, I beg to move, that notwithstanding the provisions of Standing Order 80(1) which require that no motion shall be debated until at least forty-eight hours have elapsed between the date on which notice of the motion is given and the date on which the motion is moved, the motion for the Second Reading of the Appropriation Bill, 2007 may be moved today.
Nii Adu Mante: Mr. Speaker, I beg to second the motion.
Question put and motion agreed to.
Resolved accordingly.
BILLS -- SECOND READING 1:20 p.m.

Minister for Finance and Economic Planning (Mr. Kwadwo Baah-Wiredu) 1:20 p.m.
Mr. Speaker, I beg to move, that the Appropriation Bill, 2007 be now read a Second time.
Mr. Speaker, in doing so I just
want to indicate that the parliamentary committees have gone over every item in the Appropriation Bill. The Order Paper captured all the details. The Votes and Proceedings also indicated the figures approved by the parliamentary committees and the Appropriation Bill thereof reflects the total amount that has been approved by Parliament.
Mr. Speaker, we thank all hon. Members of Parliament for their devotion to work and the work that has been done so far. Mr. Speaker, I therefore recommend that the House should approve the Bill.
Question proposed.
Nii Adu Mante: Mr. Speaker, I rise
to present the Report of your Committee.
1.0 Introduction
The 2007 Appropriation Bill was laid in the House on Thursday, 14th December 2007 and referred to the Finance Committee for consideration and report in accor-dance with article 179 (2) of the Consti-tution and Standing Orders of the House. This followed the presentation for the Government's Financial Statement for the 2007 fiscal year by the Minister for Finance and Economic Planning, hon. Kwadwo Baah-Wiredu.
The Committee met with the Minister for Finance and Economic Planning, hon. Kwadwo Baah-Wiredu, two Deputy Ministers for Finance and Economic Planning, Prof. G. Y. Gyan-Baffour, Dr. A. Akoto Osei and officials from the Ministry of Finance and Economic Planning and reports as follows:
2.0 References
The Committee referred to the following:
The 1992 Constitution
The Budget Statement and Economic Policy of the Government of Ghana for the 2007 Financial Year.
The Reports of Parliamentary Commuittees on the 2007 Annual Estimates of the Ministries, Departments and Agencies (MDAs).
3.0 Background Information
Pursuant to art icle 179 of the Constitution, the Minister for Finance and Economic Planning acting on the authority of His Excellency the President has requested the House to approve by Resolution, thus authorizing the withdrawal of monies from the Consolidated Fund and for the withdrawal from other funds for the running of the State during the financial year commencing on the 1st day of January 2007 and ending on 31st December 2007.
4.0 Object of the Bill
Pursuant to article 179(2)(a) of the Constitution, The Appropriation Bill, 2007 is seeking Parliamentary authority to enable a sum of money not exceeding fifty-four trillion, three hundred and fifteen billion, nine hundred million cedis (¢54,315,900,000.000) to be issued from the Consolidated Fund during the financial year commencing the 1st day of January and ending 31st December 2007 for the purpose of meeting government expenditure.
The specific purposes for which the sum shall be appropriated have been specified in the schedules to the Bill, that is, to efficiently carry out the services of the Government for the 2007 financial year.
The summary of expenditures covered in the Bill is captioned “First Schedule”and attached to this Report as Appendix.
5.0 Observations
The Commit tee observed that Ministries, Departments and Agencies shall be permitted to retain and use an
Minister for Finance and Economic Planning (Mr. Kwadwo Baah-Wiredu) 1:20 p.m.


amount of two trillion, two hundred and thirty-three billion, nine hundred and twenty-four million, two hundred and eighty thousand cedis (¢2,233,924,- 280,000.00) of internally-generated funds during the 2007 financial year.

Again, the Committee noted that the Bill includes a sum of money not exceeding two trillion, two hundred and ten billion, nine hundred million cedis (¢2,210,900,-000,000) of HIPC allocation to be utilized during the financial year commencing 1st of January 2007 and ending 31st day of December, 2007.

Multilateral Debt Relief Initiative amount not exceeding one trillion, five hundred and ninety-eight billion, seven hundred million (¢1,598,700,000,000) is included in the Bill to be utilized during the 2007 financial year.

Out of the total amount of ¢54,315.9 billion projected payment in 2007, the Committee noted that ¢14,818.1 billion would constitute statutory payments whilst discretionary payments would also amount to ¢39,497.8 billion.

The Deputy Minister for Finance and Economic Planning, Prof. Gyan-Baffour informed the Committee that an amount of approximately fifty-two billion cedis (¢52,000,000,000) from HIPC funds would be granted to Members of Parliament (MPs) to undertake various develop- mental projects in their Constituencies. He further explained that each Member is expected to receive an amount of about two hundred and twenty million cedis (¢220,000,000) of this allocation.

6.0 Recommendation and Conclusion

The Committee recommends that the sum of ¢54,315.9 billion be approved to be issued from the Consolidated Fund and for withdrawal from other funds for the purposes of financing all Government operations during the financial year,

ending 31st December 2007. Dr. Benjamin Kunbuor (NDC --

Lawra/Nandom): Mr. Speaker, I rise to support the motion and to urge hon. Members to actually support the motion. Mr. Speaker, in doing so I would like to draw attention to an anomaly which I guess we all have to be vigilant about when we are dealing with the Appropriation Bill.

Mr. Speaker, if you look at the First Schedule (Section 1) and you look at “Discretionary Payments” -- The Appropriation Bill actually carries an item -- ‘Other Government Obligation' -- to the tune of four trillion, eighteen billion cedis.

Mr. Speaker, when you aggregate this to the total amount of what was in the Bill of fifty four trillion, three hundred and fifteen billion cedis, you would find that the four trillion was one that was jotting out and would not add up. This was discovered at the Committee and you can see in the Appendix to the Report that it has actually been expunged. Perhaps, this situation should actually guide us in subsequent preparation of the Appropriation Bill.

Mr. Speaker, with these few words I urge hon. Members to support the Bill.

Question put and motion agreed to.

The Appropriation Bill, 2007 was

accordingly read a Second time.

Suspension of Standing Order 128 (1)
Mr. Baah-Wiredu 1:20 p.m.
Mr. Speaker, I beg to move, that notwithstanding the provisions of Standing Order 128(1) which require that when a Bill has been read a Second time it shall pass through a Consideration Stage which shall not be taken until at least forty-eight hours have elapsed, the Consideration Stage of the Appropriation Bill, 2007 may be taken
TABLE 1:20 p.m.

APPENDIX 1:20 p.m.

Mr. Kwame Osei-Prempeh 1:20 p.m.
Mr. Speaker, I beg to second the motion.
Question put and motion agreed to.
Resolved accordingly.
Mr. Speaker 1:20 p.m.
Hon. Members, we now move to item 15 on the Order Paper -- Appropriation Bill, 2007 at the Consideration Stage.
BILLS -- CONSIDERATION 1:30 p.m.

STAGE 1:30 p.m.

Minister for Finance and Economic Planning (Mr. Baah-Wiredu) 1:30 p.m.
Mr. Speaker, I beg to move, that notwithstanding the provisions of Standing Order 131(1) which require that when a Bill has passed through the Consideration Stage, the Third Reading thereof shall not be taken until at least twenty-four hours have elapsed, the motion for the Third Reading of the Appropriation Bill, 2007 may be moved today.
Prof. Gyan-Baffour 1:30 p.m.
Mr. Speaker, I
beg to second the motion.
Question put and motion agreed to.
Resolved accordingly.
BILLS -- THIRD READING 1:30 p.m.

Mr. Owusu-Adjapong 1:30 p.m.
Mr. Speaker,
the Committee on Finance has finished its Report and it would be ready in about thirty minutes so if we can have another suspension for thirty minutes.
Mr. Speaker 1:30 p.m.
Did you say that the
Report is ready or it is going to be ready in thirty minutes' time?
Mr. Owusu-Adjapong 1:30 p.m.
Mr. Speaker,
it is being signed for printing -- thirty minutes is all right.
Mr. Speaker 1:30 p.m.
Do we really need thirty
minutes?
Mr. Owusu-Adjapong 1:30 p.m.
Yes, Mr.
Speaker. By Mr. Speaker's watch, thirty minutes is all right.
Mr. Speaker 2:30 p.m.
The House is again
suspended for the next thirty minutes.
The Sitting was suspended at 1.37 p.m.

Sitting resumed.
MR. SPEAKER
Mr. Speaker 2:30 p.m.
Item 26.
Suspension of Standing Order 80 (1)
Chairman of the Committee (Nii Adu
Daku Mante): Mr. Speaker, I beg to move, that notwithstanding the provisions of Standing Order 80(1) which require that no motion shall be debated until at least forty-eights hours have elapsed between the date on which notice of the motion is given and the date on which the motion is moved, the motion for the adoption of the
Report of the Finance Committee on the Loan Agreement between the Government of the Republic of Ghana and the Arab Bank for Economic Development in Africa (BADEA) for an amount of eight million United States dollars (US$8.0 million) for the construction of seven (7) bridges in the Eastern, Brong Ahafo and Upper West Regions may be moved today.
Mr. A.O. Aidooh 2:30 p.m.
Mr. Speaker, I beg
to second the motion.
Question put and motion agreed to.
Resolved accordingly.
Report of the Finance Committee on the Loan Agreement between the Government of Ghana and the Arab Bank for Economic Development in
Africa (BADEA)
Nii Adu Daku Mante: Mr. Speaker, I beg to move, that this honourable House adopts the Report of the Finance Committee on the Loan Agreement between the Government of the Republic of Ghana and the Arab Bank for Economic Development in Africa (BADEA) for an amount of eight million United States dollars (US$8.0 million) for the cons- truction of seven (7) bridges in the Eastern, Brong Ahafo and Upper West Regions.
Mr. Speaker, in so doing, I beg to present your Committee's Report.
1.0 Introduction
The Loan Agreement was laid in the House on Friday, 15th December 2006 and referred to the Finance Committee for consideration and report in accordance with article 181 of the Constitution and the Standing Orders of the House.
The Committee met with the Deputy Minister for Finance and Economic

Planning, hon. Prof. G. Y. Gyan-Baffour, the Deputy Minister for Transportation, hon. Magnus Opare Asamoah and technical teams from the Ministries of Finance and Economic Planning and Transportation to consider the Loan Agreement and hereby reports as follows:

2.0 Project Objectives

The project is aimed at supporting the policy objectives of the Road Sector Development Programme in facilitating the transportation of passengers and freight and improving traffic safety by the rehabilitation and construction of bridges and other major drainage structures in the country.

3.0 Project Description

The project is composed of the following:

1. Construction of seven bridges in addition to the construction of roads and approaches which connect the bridges with the existing highways.

2. Consultancy service for review of designs, tender documents and supervision of project implementation.

4.0 Terms and Conditions of the Loan

i. Loan Amount

-- (US$8,000,000.00)

ii. Interest Rate -- 1 per cent

iii. Loan Repayment Period -- 20 years

iv. Grant Element -- 53.2 per cent 4.1 Tax Waiver

The General Conditions Applicable to the Loan Agreement stipulate that the principal, interest and other charges on the

Loan shall be free from any taxes and shall be paid without any deductions for any taxes levied by or in the territory of Ghana.

5.0 Observations

The Committee observed that the project would be undertaken in three (3) regions as follows:

Eastern Region

Four (4) bridges identified for rehabilitation in this region are:

i. Birim Bridge across River Birim in the locality of Abodom

ii. Ochi Bridge across Ochi River in the locality of Bunso

iii. Bridge Asuboni across River Asuboni in the locality of Asuboni and

iv. Bridge Amanfeo which crosses River Amenfeo in the locality of Abooso.

Upper West Region

Two (2) bridges identified for rehabilitation are:

i. Bridge Sisili, which crosses Sisili River in the locality of Nakong Yeliana

ii. Bridge Kalangmua, which crosses River Kalangmua in the locality of Batiasan.

Brong Ahafo

[NII ADU MANTE] A bridge, namely Nyenpeni, which crosses River Nyenpeni located at Wenchi has been earmarked for rehabilitation.

The Committee further observed that the project cost is estimated at US$9.26 million.

This includes contingencies for physical quantities and projected inflationary rate.

The proposed financing plan for the project is as follows:

Percentage

US$(M)

Contribution
BADEA 2:30 p.m.

GOG 2:30 p.m.

TOTAL COST 2:30 p.m.

Dr. Benjamin Kunbuor (NDC - Lawra/Nandom) 2:30 p.m.
Mr. Speaker, I beg to second
the motion and to indicate that the particular projects that are in issue in relation to this loan facility are very, very significant projects that actually handle a number of both
access and trunk roads in this country. Mr. Speaker, particularly the Sisili River bridge has been one that has witnessed a lot of very fatal accidents over the years and it has always been the bane of transportation linking Navrongo in the Upper East Region with Tumu in the Upper West Region; and the same goes for the Kalangmua River bridge. I guess that there are many more bridges within that vicinity that would require similar urgent attention.I therefore urge hon. Members to support the motion.
Question proposed.
Mr. James Appietu-Ankrah (NPP
- Lower West Akim): Mr. Speaker, I just want to make a few comments about what this money is going to be used for. I think that we need to congratulate the Government for this initiative because some of the bridges that have been named in the Report of the Finance Committee are very critical to the development of the areas that have been mentioned. I just wanted to bring this to the notice of the House that the Government needs to be
congratulated.
With these few words, Mr. Speaker, I
will urge my hon. Colleagues to support the motion.
Mr. E. T. Mensah(NDC -- Ningo/
Prampram): Mr. Speaker, I also rise to support the motion on floor.
On a very light note, i t is the Government's responsibility to source loans and build bridges. It has taken them too long and I want to find out why the delay. When we look at page 4, paragraph 5, the effective date of the Loan Agreement is 31st December, 2006. Why has it kept so long for them to bring this here for approval? If we do not take it because we think it is not right, does it not mean that we are going to lose this loan? I think we need to find out why that has happened. It is something that we have been talking about all the time - when it is getting to the time to rise then things are pushed on us. Why? We do not know.
Mr. Speaker, the same Arab Bank
advanced to us a loan of $8 to $9 million around the year 2000 which was handed over to the incoming Government to work on the Bunso-Anyinam Road and I want to know the status, whether it has been completed or what has become of it.
Mr. M. D. Baah (PNC -- Sissala East) 2:40 p.m.
Mr. Speaker, I rise to support the motion.
Mr. Speaker, bridge construction in this country is very, very important because we have a lot of rivers running across the entire country. Particularly, Mr. Speaker, in my constituency there are several rivers running across and River Sisily is one of them. I am happy that for once, this major bridge which links Navrongo with Tumu in the Upper West and Upper East Regions is finally going to be constructed.
Mr. Speaker, the bridge has been a source of worry to many people in the two regions -- the Upper East and Upper West Regions. The Sisily River bridge is almost collapsing and many drivers are even afraid to drive over it. So Mr. Speaker, I am very happy that finally, the construction of that bridge would be done and transportation in that part of the country would be improved. Thank you for giving me the opportunity.
Mr. K. Opare-Hammond (NPP -- Adenta) 2:40 p.m.
Mr. Speaker, I also rise to support the motion and in doing so, I wish to comment on the bridge that is going to be built over River Sisily.
Mr. Speaker, as my hon. Colleague has just said, that is a bridge that is going to link the Upper East Region with the Upper West Region. Mr. Speaker, it has been a
Mr. D. K. Abodakpi (NDC -- Keta) 2:40 p.m.
Mr. Speaker, I rise to support the motion. Clearly, this is a very good loan; the grant element is very high. The purpose for which the loan is being contracted is very good and we want to use the opportunity to urge the Minister for Finance and Economic Planning to look for similar facilities so that we can deal with the bridge problems in the other parts of the country.
With these few words, I support the motion and urge my hon. Colleagues to do likewise.
Question put and motion agreed to.
RESOLUTION 2:40 p.m.

Mr. Kwadwo Baah-Wiredu 2:40 p.m.
Mr.
Speaker, I beg to move, that
WHEREAS by the provisions of article 181 of the Constitution and section 7 of the Loans Act, 1970 (Act 335), the terms and conditions of any loan raised by the Government of Ghana on behalf of itself or any public institution or authority shall not come into operation unless the said terms and conditions have been laid before Parliament and approved by Parliament by a Resolution supported by the votes of a majority of all Members of Parliament;
PURSUANT to the provisions of the said article 181 of the Constitution and section 7 of the Loans Act,1970 (Act 335) and at the request of the Government of Ghana acting through the Minister responsible for Finance, there has been laid before Parliament the terms and conditions of the Loan Agreement between the Government of the Republic of Ghana and the Arab Bank for Economic Development in Africa (BADEA) for an amount of eight million United States dollars (US$8.0 million) for the construction of seven (7) bridges in the Eastern, Brong Ahafo and Upper West Regions.
THIS HONOURABLE HOUSE 2:40 p.m.

H E R E B Y R E S O LV E S A S 2:40 p.m.

Mr. Magnus Opare-Asamoah 2:40 p.m.
Mr. Speaker, I second the motion.
Question put and motion agreed to.
Resolved accordingly.
Mr. Speaker 2:40 p.m.
Minority Leader, I think we have come to the end of the proceedings.
CLOSING REMARKS 2:40 p.m.

Minority Leader (Mr. A.S.K. Bagbin) 2:40 p.m.
Thank you, Mr. Speaker, for the opportunity to make a few remarks touching on the performance of the House during this Third Meeting of the Second Session of the Fourth Parliament of the Fourth Republic of Ghana.
Mr. Speaker, I thank the Creator for His mercies and blessings for seeing us through to the end of the Second Session of the Fourth Parliament of the Fourth Republic of Ghana. It is my prayer that He would continue to guide us so that as the representatives of the people, we shall continue to have wisdom to discharge our responsibilities in the best interest of the country.
Mr. Speaker, I hope we have discharged our duty conscientiously during this Meeting. A number of Bills were passed, I am sure my Colleague the Majority leader will give us the details; Questions asked of Ministers, Statements made by hon. Members, Agreements ratified, Ministerial nominations approved and a lot of other activities undertaken during the Meeting.
Mr. Speaker, during the Meeting, we welcomed to the House the new hon.
Minority Leader (Mr. A.S.K. Bagbin) 2:50 p.m.


Member for Offinso South who won the bye-election to fill the vacancy created by the death of our departed Colleague, hon Kwabena Sarfo. I hope the new member has braced himself up for the challenges ahead.

Mr. Speaker, it is said that once again, another hon. Member has departed us to the eternal world. Mr. Speaker, our good friend and Colleague, hon. Akwasi Afrifa, the ex-MP for Fomena and Chairman of the Committee on Communications passed away a few weeks ago. I wish to convey our deep sympathies to the bereaved family and his constituents. He was a lively Member of Parliament and a friend to all. We surely will miss him. I know that at the appropriate time, a fitting tribute will be paid by this House. But permit me just to say, may his soul rest in perfect peace.

Mr. Speaker, we are exactly at the halfway mark of the life of this Fourth Parliament of the Fourth Republic. We have over the last two years lost four hon. Members. This is a worrying, high mortality rate. I will urge hon. Members to be careful with their health and look after themselves well in order to spare the House any further fatalities or bye- elections in the remaining two years of the life of this Parliament.

Leadership i s t ry ing to make arrangements for Members to be having continuous medical check-ups on the status of their health. That I am sure should come on stream by next Meeting.

Mr. Speaker, the Budget Statement and Economic Policy of the Government was presented to the House, and the appropriate debate ensued. The Annual Estimates of the Ministries, Departments

and Agencies were also considered by the respective subject-matter Committees and debated by the House.

Mr. Speaker, it is my hope that the suggestions made on the floor during the debate on the Budget would be taken on board by my honourable friends at the Ministry of Finance and Economic Planning, just in order to improve the quality of our Budgets.

Mr. Speaker, the Governor of the Bank of Ghana was also in the House to brief hon. Members on the re-denomination of the currency. It was evident that more has to be done before the introduction of the policy. Though we are not against re-denomination in general, it is the contention of some of us that a major policy such as this must be a product of broad consultation of all stakeholders if for anything at all in order to get the understanding, input and appreciation of the essence of the change to avoid panic and confusion in its implementation.

Mr. Speaker, it is clear that the change will affect every single individual resident in Ghana, whether directly or indirectly. And it was evident from the answers of the Governor that the cost implications to individuals, and the nation, as a whole, but more particularly to industry were not properly thought through.

Mr. Speaker, it is also clear from investigations conducted by some of us that the financial, security and legal controls necessary for the implementation of the policy have not been well considered. In fact, I was surprised that even the Auditor- General's Department had no clue about the implementation of this policy.

Mr. Speaker, in a well-thought-out paper by the Institute of Economic Affairs (IEA), the attention of the Governor has been drawn to the dangers in implementing the policy as presently conceived. The Institute advises the Governor to put the
Mr. Speaker 2:50 p.m.
Order!
Mr. Bagbin 3 p.m.
Mr. Speaker, I am raising these issues in the culture of trying to improve our democratic practice and making sure that we deepen whatever we have been referring to as good governance.
Again, let me raise the issue of Ghana's performance in fighting corruption. We continue to decline in the annual Corruption Perception Index (CPI). This House, I accept, has collaborated with the Government in passing various pieces of legislation to help in the fight against corruption.
But it is very obvious to all that there is a certain lack of political will at the very top of the leadership of this country to take bold action against corruption. The laws we have passed cannot on their own check the incidence of corruption. There must be a concerted will on the part of the leadership to enforce the law.

Mr. Speaker, there is another thorny issue I want to raise. In just two years from now, President J.A. Kufuor will be coming to the end of his tenure and will be transformed into an ex-President. He together with ex-President Rawlings would be the only two surviving Heads of State this country has.

Mr. Speaker, will the two leading

personalities of this country continue their frequent accusations and counter- accusations or they would come together to offer sagacious counsel to the newly sworn-in President? Mr. Speaker, only history will tell.

I want to take the opportunity once again to express our sincere appreciation to you and your two deputies for your co- operation and for ably leading this House in the conduct of its exercise.

Permit me to also express our appreciation to the Leadership of the House, for we have been able to forge a very cordial relationship and we have been working together, and I believe we have achieved a lot in that direction. We pray and hope that we foster this conscientious relationship so that together we can move faster the wheel of development in this country.

I would want to also thank the staff of the Parliamentary Service and also the members of the press corps. I think that we should commend, once again, members of the press corps for discharging their duties professionally. We have seen very vast improvements and I believe what is left for us to do is to appreciate and integrate them together with some of their editors in the workings of Parliament so that they can understand it better to be able to present the real picture of this House to our people in Ghana.

Finally, I want to entreat all of us to strive to make the Constitution an instrument for ensuring peace, progress and prosperity for the well-being of all Ghanaians. I pray that we all return with renewed strength and commitment to deepening and widening the principles, values and parameters of multiparty democracy.

Mr. Speaker, I wish all of us Merry Christmas and a Prosperous New Year.

Thank you very much for the opportunity.
Majority Leader/Minister for Parliamentary Affairs (Mr. Felix Owusu-Adjapong) 3:10 p.m.
Mr. Speaker, once again, we have come to the end of yet another Meeting, a Meeting that marks the end of the Second Session of the Fourth Parliament in our Fourth Republic.
Mr. Speaker, Leadership had scheduled, and with your involvement, that we were going to close at about twelve noon. I believe we have done well, taking into account the additional duties we took this morning including looking at the loans for the seven bridges. We have ended up closing at 3.30 p.m. or thereabout and this is a major plus to our efficiency and our commitment to the business for which we have been elected.
Mr. Speaker, I have been compelled to bring these documents along because I am now convinced that as a House, we need to craft rules relating to closing remarks. But I now can infer that Mr. Speaker's implied directive is that when we are making closing remarks, there would not be any points of order and therefore there would not be any interruption from any person. I believe this is a practical rule we have set for ourselves.
Mr. Speaker, as I have said, I have been compelled to bring this because our Standing Order -- Order 67(h) states as follows and with your permission I read:
“A Question shall not be asked the answer to which is readily available in official publications.”
Mr. Speaker, a few minutes ago, my Colleague, the Minority Leader, was talking about the Gross Domestic Product growth and nominal GDP. But this very document which is now our personal property states on pages 320 and 321 these very facts. Mr. Speaker, I am also
not too sure whether we want to make Closing Remarks an opportunity to make arguments and debates. And that is why I believe that somewhere along the line, we may need to look at these matters so that we make progress.
Mr. Speaker, this Meeting has been relatively short -- [Interruptions] -- but quite loaded. Noticeably, the level of co- operation and consensus-building between the two sides of the divide has been on the high side. Ghana's democracy is growing from strength to strength.

Mr. Speaker, Government's financial policy for 2007 fiscal year was presented to this House on 16th November 2006 less than one calendar month ago. This is the second time that this very important constitutional requirement, the presentation of the Budget Statement and Economic Policy of Government before the commencement of the fiscal year has been fulfilled.

Undoubtedly, this will address the usual financial difficulties that Public Institutions go through during the first half of the year, particularly, with regard to the timely release of funds for the execution of approved projects. The House must be commended for the diligence and promptness it has exhibited in the exercise of approving the Budget Estimates for the various MDA.

Mr. Speaker, before the House was placed a number of Bills, Legislative Instruments, Loan Agreements and other papers.

Bills which were introduced and which were passed by the House include:

i. National Lotto Bill
Mr. Speaker 3:20 p.m.
Order! Order! Majority Leader, do you have a point of order?
Mr. Owusu-Adjapong 3:20 p.m.
Mr. Speaker, I heard something which I thought you should rule against, that I should do something before I die -- [Laughter.] Definitely, I do not intend dying.
Mr. Speaker 3:20 p.m.
Order! Order! Hon. Members, in my address during the opening of this Meeting, I pointed out that this Meeting would be quite short but hectic, taking cognizance of the bulk of business that was to be considered by the House. True to my word, business was so tight that we had to sit for several hours especially during the latter part of the Meeting.
This notwithstanding, the House has conscientiously dealt with almost all the business presented to it for consideration. We are thankful to Him for his guidance.
Hon. Members, the Majority and Minority Leaders have already spoken
and it is now my duty to officially adjourn the House. But before I do so, let me quickly commend the Leadership of both sides for displaying such a high level of commitment and maximum co-operation during the Meeting. It is my prayer that this spirit of consensus-building will continue to flourish in subsequent Meetings.
I wish also to place on record the high level of maturity and patriotism with which hon. Members discussed the 2007 Budget Statement and the Economic Policy of the Government for 2007 Financial/Fiscal year. To all Chairmen and Members of the various issues that were referred to them, I say thanks for a job well done.
The Clerk and his team of staff have also done tremendously well and need to be commended. I wish also to congratulate the media and the Parliamentary Press Corps without whose efforts the good people of this country would not have heard or read the contributions of the House towards democratic governance in the country.
Hon. Members, after such long hours of Sitting there is no doubt that we all need to take a good rest. Very soon we will celebrate Christmas and I wish to take the opportunity to wish you all a Merry Christmas and a Happy New Year, in advance. I am hopeful that you will all come back rejuvenated to continue from where we left off.
ADJOURNMENT 3:20 p.m.