Debates of 1 Mar 2007

MR. SPEAKER
PRAYERS 10 a.m.

CORRECTION OF VOTES AND 10 a.m.

PROCEEDINGS AND THE 10 a.m.

OFFICIAL REPORT 10 a.m.

Mr. Speaker 10 a.m.
Order! Order! Correction of Votes and Proceedings and the Official Report, Wednesday, 28th February, 2007.
Nana Abu-Bonsra 10 a.m.
Mr. Speaker, on page 1, No. 7 -- I have observed continuously that my name is written as one piece but there should be a comma after my surname before the first name.
Mr. Speaker 10 a.m.
Alright, correction would be made; thank you for that.
Mr. Osei Kyei-Mensah-Bonsu 10 a.m.
Mr. Speaker, some Members have been marked as “Absent”. They are: Hon. Yaw Barimah, Member for New Juaben South, hon. Ms. Esther Dappah Obeng and hon. Dr. Anthony Akoto Osei the Member for Old Tafo.
Mr. Speaker, I clearly remember the three of them sought permission and the means of options were related to your Office.
Mr. Speaker 10 a.m.
Thank you.
Mr. Kwadwo Adjei-Darko 10 a.m.
Mr. Speaker, page 9, item 3 (i), I know the person to be “Dr. Maxwell Kusi Mensah” unless perhaps titles are not important.
Mr. Speaker 10 a.m.
They are important.
Hon. Members, we do not have any Official Report today. Item 3, Questions -- Minister for Transportation.
Mr. Kojo Armah (CPP -- Evalue Gwira) 10 a.m.
Mr. Speaker, before we proceed on the Order Paper, I want to crave your indulgence on a little matter; - not so little - that has appeared on page 48 of the Daily Graphic. It is on the programme of activities for March.
Mr. Speaker, the item listed for March
5, “DECLARATION OF INDEPEN-
DENCE.” It says and I quote with your permission:
“Play enactment of the event of the infamous night that Osagyefo Dr Kwame Nkrumah, with colleagues from parliament announced at the Old Polo grounds, the Independence of the nation”.
Mr. Speaker, I believe this is a very serious indictment on our whole Independence process. If the Secretariat intentionally put “infamous”, I believe it is serious. I want to believe that it was not intentional but then the Public Affairs Secretariat, the whole editing machinery could not see this very serious word that was put there.
I think their attention ought to be drawn to it because this programme is on the Internet and it is all over the world. It is in the Daily Graphic, the largest selling newspaper in this country, and I think it is a very serious indictment on the efficiency of the public affairs section of the Ghana@50 Secretariat. I thought I needed to bring this to your notice so that some action could be taken, and as quickly as possible.
Mr. Speaker 10 a.m.
Alright, thank you for your observation.
ORAL ANSWERS TO QUESTIONS 10 a.m.

MINISTRY OF TRANSPORTATION 10 a.m.

Mr. Osei-Sarfo 10:10 a.m.
Mr. Speaker, from the hon. Minister's Answer, if all was well with the project, for example, with enough chippings on site to complete the sealing, I want to know from the hon. Minister why the contractor is said to have abandoned the site.
Mr. Owusu-Adjapong 10:10 a.m.
Mr. Speaker, as indicated in the Answer, the job should have been completed by a certain date; so it presupposes that it is because we have been putting pressure that he is now being able to assemble the chippings. The first job should have been completed in December 2003 and the second one in December 2005. And that is what calls for that explanation that there were some problems with it.
Mr. Osei-Sarfo 10:10 a.m.
Mr. Speaker, from the hon. Member's Answer, with 98 per cent of the Project I done, and about 98% sub- base and base and 50 per cent of primer sealing for Project II done, I think ¢6.4
billion of the total sum of ¢15.7 billion to be paid to the contractor is not enough.
Mr. Speaker, would the hon. Minister consider that the inability to resource the contractor has led to the delay of the work?
Mr. Owusu-Adjapong 10:10 a.m.
Mr. Speaker, I would not want to accept that proposition, because we pay based on a certificate. It may be possible that the additional work that has been done today he is yet to put a claim on it. And therefore, it is only the certificates that have been considered that are paid for. And now if he is talking of a project that should have been completed in 2003 and 2005 and we are recording, we may need -- If he gives me time, I will tell him what portion of the work was done at the time the amount that is paid, was paid; and then at what time was the additional works done.
If you read the Answer carefully, you will notice that the contractor was not performing up to standard. Therefore, there is the possibility that he may now be organizing for the next certificate which may cover all the works so far done.
Mr. Osei-Sarfo 10:10 a.m.
Mr. Speaker, from the hon. Minister's Answer, if the contractor was not performing and there is a clause in the contract for liquidated damages, what has he done to apply that clause.
Mr. Owusu-Adjapong 10:10 a.m.
Mr. Speaker, when it comes to applying sanctions you want to look at what should be the best policy for the country. We still need to find ways of encouraging our local contractors to also come up. So where you realize that he has infringed on the normal rules legally you can extract your pound of flesh. You might also want to look at the extent to which you will be able to correct
or assist him in coming back to the reality of what is to be done so that we will end up having some local contractors also in Ghana.
I believe if we were to apply the rule strictly, you would notice that almost every job, including even filling of potholes, may end up going to foreign contractors. And that is why the Ministry is careful when we are dealing with these local contractors.
Mr. Charles Hodogbey 10:10 a.m.
Mr. Speaker, my question to the hon. Minister is whether there is a policy to tar all township roads of district capitals.
Mr. Speaker 10:10 a.m.
Hon. Member for North Tongu, this is not a supplementary question.
Mr. John Gyetuah 10:10 a.m.
Mr. Speaker, according to the Answer given by the hon. Minister - I am talking about the third paragraph of the Answer, and I beg to quote: “Currently the two projects are still on-going even though they should have been completed by now. The contractor has abandoned the site for some time now as a result of financial difficulties.” I want to find out from the hon. Minister whether the financial difficulty is coming from the contractor or from the inability of the State to pay for the work already done, which has delayed the project.
Mr. Owusu-Adjapong 10:20 a.m.
The brief I
have from my technical advisors is that it is mainly the fault of the contractor. You would notice that in one of the Answers, a contract had been awarded to a contractor as far back as October or November last year. And as we sit now, we are being told he is now mobilizing to go to site. So you see some of the capacity deficiencies we have in our system. We still need to tolerate some of these things but also find a way of improving on them.
Twifu Praso-Foso, Twifu Praso- Morkwaa-Agona-Dunkwa, etc Roads
Q. 497. Mrs. Elizabeth Amoah-Tetteh asked the Minister for Transportation when the Ministry would maintain and tar the following major roads:
i) Twifu Praso-Foso
ii) Twifu Praso-Morkwaa-Agona- Dunkwa
i i i ) Tw i f u P r a s o - N y e n a s i - Kayireku- Ehyire
iv) Twifu Praso-Amapoma- Ayaase Dunkwa

Mr. Speaker, the Twifu Praso-Fosu road is a 38km long gravel road which is in fair to poor condition. Portions of this road have been awarded on contract for upgrading and the remaining sections have been under routine maintenance by grading.

Current Programme

There are two projects currently on-

going from Fosu towards Twifu Praso.

Project I

The first 8km of this road from km 0-8 was awarded to M/S PMC Ltd in July, 2004 and was scheduled for completion by November, 2005 at a contract sum of ¢14.5 billion.

The works completed to date are 100 per cent clearing, 90 per cent sub-base and base and 1.5km of primer seal.

The contractor abandoned the site and
Mrs. Amoah-Tetteh 10:20 a.m.
Mr. Speaker, I want to know from the hon. Minister if his Ministry is committed to doing the road, because out of 167.3km road network only
10 km was done and only Twifu Praso- Agona-Kayireku road had been tarred, since 2005.
Mr. Owusu-Adjapong 10:20 a.m.
Mr. Speaker,
the Government is very committed to doing this road.
Mrs. Amoah-Tetteh 10:20 a.m.
Mr. Speaker, the second part of my question is still to be answered, and that is tarring of the road. I want to know what programme his Ministry has for this.
Mr. Owusu-Adjapong 10:30 a.m.
I said the areas that we awarded will be maintained by grading, because if we decide to award the entire contract at the same time we would have two problems - the budgetary support proportion of it. You may recall that this year the Ministry of Transportation was given 54 per cent of its budgetary requirements. It means that we have now got to scale down on all the projects that we listed for 2007, an exercise the office is now doing.
And it is for this reason that we award the contract piecemeal as he is saying; and he is an experienced Minister for that area. Therefore, we tried to do it gradually; that is why we have the five kilometres or 10 kilometres at a time.
We also have the problem of how we can lift our contractors to. If we were to decide to award the whole 40 kilometres, that is where we would have the situation where they would remove some of the things, make the road even unusable for some time. So you would want to control all these by awarding the contract in pieces, and that is the best we can do under the situation where the money given us is 54 per cent of our needs for the year.
Mr. H. F. Kamel 10:30 a.m.
Mr. Speaker, the
Mr. Owusu-Adjapong 10:30 a.m.
Mr. Speaker, contractors who bid for jobs are expected to work and be paid for the job done. That is the first requirement. But we have a practice in this country where we came up with mobilisation amount which was only to support him to do some works. The information I am getting is that a lot of people have collected mobilisation money and they have not been able to work to the value of the mobilisation amount.
So it is not that Government is not helping them; Government's interest is to encourage more and more of our local contractors to have the capacity and the capability to execute the jobs.
I have had a meeting with the Association of Bankers to find how they can support our contractors when they go to bid. I have had discussions with the Road Fund people, trying to look at the indebtedness issue and to find out whether it is true that when mobilisation money is given, it is not spent on the job. But whatever it is, we are trying to ensure that we pay for job done - certified as done.
Mr. Osei Kyei-Mensah-Bonsu 10:30 a.m.
Mr. Speaker, my question to the Minister relates to the Twifo Praso-Morkwaa- Agona-Dunkwa road.
Mr. Speaker, as per the Answer given by the Minister, for Project II the Minister acknowledges that work has come to a standstill and the Ministry is advising the Regional Tender Review Board to have the contract terminated and repackaged.
Mr. Speaker, for Project III, the same
thing is done. The admission is that the project has unduly delayed and the Ministry had advised that the Regional Tender Board have the contract terminated and repackaged.
Mr. Speaker, for Project I, 11 months
into an award of an 18-month contract only 14 per cent of permanent works have so far been completed, to the extent that the time which one used to cover the 57-kilometre road from Twifo-Praso to Dunkwa, which used to be two hours, now one needs at least four and half hours to cover the distance; because the approaches have not been done on the very few ridges that have been constructed.
Mr. Speaker, the question is, would the hon. Minister consider terminating the entire contract and have it re-awarded so that effective work could be done? Certainly, what we have here is not acceptable.
Mr. Owusu-Adjapong 10:30 a.m.
Mr. Speaker, I am aware that my hon. Colleague, the Majority Chief Whip, can have the current data on the road in question, having visited his farms there quite recently. So I will definitely not contest any of the arguments he is putting out I will get my technical advisors to look at it and take the proper decision, as being suggested by the owner of the farms in that vicinity.
Mr. G. K. B. Gbediame 10:30 a.m.
Mr. Speaker, I also want to follow up with a question. Going through the answers there is this trend of delay and the work to be repackaged and then re-awarded. I want to know from the Minister whether the fault is from the contractors or from his Ministry; and what steps are they taking to ensure that any contractor who is going to be given work will live up to expectation.
Mr. Owusu-Adjapong 10:30 a.m.
Mr. Speaker, I would not want to apportion blame here.
What I would say is that I have met with the Association of Ghanaian Contractors; I have heard their views on the matter. As I said, I have met the Road Fund people; I have met with the people in my Ministry; I have also talked to the Association of Bankers and we hope that very soon, we will be able to give a better brief as to the way forward. I would not want to apportion blame at the moment.
Nyameani-Beposo Road
Q. 498. Mr. Simon Osei-Mensah
asked the Minister for Transportation when the contractor working on the Nyameani-Beposo road resumed work since work on the road has virtually come to a standstill.
Mr. Owusu-Adjapong 10:30 a.m.
Mr. Speaker, the Nyameani-Beposo feeder road is 15km long and is located in the Bosomtwe Atwima Kwawoma District.
Current Programme
The Nyameani-Beposo feeder road was awarded for rehabilitation in June 2004 for completion in June 2006 at a contract sum of ¢3.74 billion. The project which is being executed by M/S Papset Enterprise is about 80 per cent completed.
The works on the project involve the construction of 14No culverts and re- gravelling of 10km section.
The contractor has resumed work and as at 16th January, 2007 he had completed all the 14No culverts and gravelled 5km stretch. Gravel has been piled on 3km stretch ready to be spread.
Payment to date is ¢732.7 million but the contractor is yet to be paid for other works completed.
The delay in the completion of the project was due to litigation on site of the gravel acquisition in the area.
Mr. Osei-Mensah 10:30 a.m.
Mr. Speaker, I want to find out from the Minister why the contractor has not erected any billboard indicating the name of the contractor, the type of work the contractor is going to do, and then the source of financing for the project.
Mr. Owusu-Adjapong 10:30 a.m.
I think with such details I will need to find out why it has not been done.
Mr. Osei-Mensah 10:30 a.m.
Mr. Speaker, I would like to know the kind of work on the road that has been completed but which the contractor has not been paid for.
Mr. Owusu-Adjapong 10:30 a.m.
Mr. Speaker, if you look at paragraph three of the current programme, you will get an idea of the new works that have been done. We have indicated that this time, possibly, it was not the contractor who was not efficient but he had a problem with site acquisition. Now the paragraph three says, and with your permission I quote --
“The contractor has resumed work and as at 16th January 2007 he had completed all the 14No. culverts and gravelled five kilometre stretch. Gravel has been piled on three kilometre stretch ready to be spread.”
I believe this should give all of us an idea as to works which are yet to be certified for payment.
Mr. Osei-Mensah 10:40 a.m.
Mr. Speaker, I want to find out from the hon. Minister for Transportation whether he is aware that a dangerous bridge at the outskirts of Mim, one of the communities on the road, is still not completed and even work on it
Mr. Owusu-Adjapong 10:40 a.m.
Mr. Speaker, I would not want to contest his assertion; he goes to that area but I am not aware of that now. In the light of this information I will get the technical officers to check up and the two of us can discuss it later on.
Mr. J. K. Gidisu 10:40 a.m.
Mr. Speaker, from the Minister's answers, it is either an information gathered in Accra here from the various associations or technical advisers at the Ministry. I would want to find out from him, ever since taking office, if he has paid any field trip to update himself on some of these problems that he has been talking about, on the advice of those people he has been referring to.
Mr. Owusu-Adjapong 10:40 a.m.
Mr. Speaker, I have had some field trips but not to the area in question. And I can assure him that after the 50th Anniversary I intend going on trip, on the Accra-Kumasi road. That is what I will do.
Narrow Bridge Over River Ponpon
Q. 536. Mr. Raymond Tawiah asked
the Minister for Transportation when the narrow bridge over River Ponpon and the road just before Oterkpolu town be construced and tarred respectively.
Mr. Owusu-Adjapong 10:40 a.m.
Mr. Speaker, the bridge across River Ponpon is on the main Oterkpolu-Odumasi National Road (N3) and is located about 400m from the town of Oterkpolu.
It is a concrete bridge with a total span of 52m and a width of 4.9m.
The bridge was rehabilitated in September, 2002.
Mr. Tawiah 10:40 a.m.
Mr. Speaker, I would like
to ask the Minister for Transportation since when he used or plied that road. In fact, in his Answer, he said the bridge had been rehabilitated in September, 2002 but I can say on authority that since the past four or five years that bridge has never seen any rehabilitation.
In fact, the true situation of that bridge is that it is in a very deplorable state -- a death trap. And since he said in his Answer that the engineering design of a new bridge is ready and the draft design has been approved by the Ghana Highway Authority, I want him to assure the people of Yilo Krobo that he will look for money
and then construct that road, as a matter of urgency.
Mr. Speaker 10:40 a.m.
Hon. Member, this is not a question.
Mr. Tawiah 10:40 a.m.
Mr. Speaker, I am asking when he is going to look for money to construct that bridge since it is a death trap.
Mr. Owusu-Adjapong 10:40 a.m.
Mr. Speaker, we have been in constant touch with the financiers who are in a position to support us through our road programme on daily basis. I assure him that anytime we find such financier and it requires Parliamentary approval, I will come here, except that these projects are normally covered by the GOG and the Road Fund Financing Programme.
And as for that, I think you have more control over it than me. As I said, we brought an estimate for 100 per cent needed jobs and you gratefully gave us 54 per cent and therefore one has been compelled to re-look even the programme we had at the time we presented the budget. Now, we believe that when we are doing the mid-year review we will take into account the need to pump more money for the development of these very important roads.
Mr. Tawiah 10:40 a.m.
Mr. Speaker, the other side of the question is that there is just 1-km road to the town of Oterkpolu. The National Democratic Congress (NDC) was doing that road before we left power. For six good years now, that road has not been tarred. I want to find out from the hon. Minister when he is going to tar that road.
Mr. Owusu-Adjapong 10:40 a.m.
Mr. Speaker, I have always tried not to be part of the debate as to what NDC was doing or what the NPP is doing. Let us say that the Government has been trying to do this
road but you may be aware that one of the problems we have been facing as a country is backlog of arrears which was because in some cases we award the contract without planning to ensure that there is the money to pay for it, which is what I am trying to ensure we avoid this time.
So please, do not let us do this comparism. The information available to me is that we are awarding contracts based on the funding available. This is what I have advised we do this year and when they finish with the exercise, perhaps, I may crave the indulgence of the Speaker to make a Statement on that matter.
Mr. A. K. Agbesi 10:40 a.m.
Mr. Speaker, we know that the Ministry is tackling roads but the people in the various areas want some quick action. Now, the people of the area want to know from the Ministry what assurance they can give them that while they are taking their interest on board in the meantime, they should be expecting in the immediate future that this bridge, that road will be accessible to them without any fears whatsoever.
Mr. Owusu-Adjapong 10:40 a.m.
Mr. Speaker, I thought that I had answered that. We have been looking at all corners, searching for funding to do all the roads. But because our needs far exceed the amount available - The amount given with the support of the hon. Member for Ashaiman is only 54 per cent; we have this problem. And that is why we are very grateful as a Ministry when this House took less than an hour before we adjourned the last time to work on the seven bridges.
We are looking for more of such funding so that we can do all the bridges and also do all the roads at the same time. In point of fact, we will take advantage of his suggestion and quickly prepare this document which relates to the road fund contribution. At the end of every
Mr. Stephen Amoanor Kwao 10:50 a.m.
Mr. Speaker, sometimes I wonder whether there is any continuity in the work of the former Minister and the current Minister. I am saying this because I asked a question as to how soon that portion of the road on the bridge would be constructed and the former Minister came here to say that there was nothing wrong with the road or the bridge. He said the bridge was in good order.
Now he is saying in his Answer that because of the narrowness of the bridge, single lane, a decision was taken to widen it to 10.3. Investigations however showed that the sub-structure cannot carry the load that will be included as a result of the widening of the road. Since the former Minister said there was nothing wrong with the bridge, how is he marrying the two answers.
Mr. Owusu-Adjapong 10:50 a.m.
Mr. Speaker, we keep on changing our know-how and ideas on issues depending upon the rate of our development. Mr. Speaker, sometime ago, we all accepted that the Nsawam bridge was the best we could have.
Somewhere along the line, we all agreed that it was technically possible to widen it; so these days we have a wider bridge at Nsawam, with a walkway. Perhaps, at the time my hon. Colleague answered the Question he had been told that, that was the best we could do under
Mr. Felix Owusu-Adjapong 10:50 a.m.
Mr. Speaker, the Sikabeng-Obawale-Tso- tsonya feeder road is 7.2km long and is located in the Yilo Krobo District of the Eastern Region. The road forms part of the Ehiamankyene-Obawale-Sikabeng feeder road. Current Programme
The road was recently upgraded to bituminous surface.
The contract for the surfacing of the 7.2 km Sikabeng-Obawale feeder road was awarded in March 2003 to M/S Naggesten Limited at a contract sum of ¢2.7 billion for completion in March 2004.
Due to the additional works issued on the project, the surfacing of the Sikabeng-Obawale feeder road was finally completed in July 2006.
The additional works issued on the project included construction of retaining walls (defence wall), kerbs and other
drainage structures.
Mr. Tawiah 10:50 a.m.
Mr. Speaker, the valley in question is over 100 metres deep, along that road. Indeed, it is a death trap and I want to believe that the Ministry is not waiting for any disaster to strike before something is done. Unfortunately, the hon. Minister could not tell us anything definite about that project and when it will be done. I rise to ask the hon. Minister when exactly that defence wall will be built to safeguard life.
Mr. Owusu-Adjapong 10:50 a.m.
Mr. Speaker, my information is that what he calls a defence wall, which we call retaining walls, has been done. If however he thinks that it is not sufficient, that is a different matter. We will look at it and ensure that it does not become a source of accident to anybody. So we will let the Ministry find out the level of the retaining walls that has been done and whether there is the need for us to improve on it.
Mr. Tawiah 10:50 a.m.
Mr. Speaker, in his Answer, the hon. Minister said the surfacing of the road has been completed. Mr. Speaker, I am not an engineer, neither am I a contractor; but what I do know is that roads are at least given two coats before it is said to be completed. Meanwhile, as I talk, that very road has been given just one coat and the road has started developing potholes.
So I am surprised to hear from the hon. Minister that the surfacing of that road has been completed. I want to find out from the hon. Minister when that road will see a second coating of bitumen.
Mr. Owusu-Adjapong 10:50 a.m.
Mr. Speaker, I am happy he is neither a road contractor nor an engineer and therefore the problem we now need to find out is whether the quality of work done is up to standard.
It is possible that they would have done the double coating but it was not up to standard. It is a useful information and I will get the technical people to look at it.
Mr. Speaker 10:50 a.m.
Question No. 588.
Mr. Henry Ford Kamel 10:50 a.m.
Mr. Speaker, the hon. Member says that this Question was previously dealt with at the last Sitting and so he would want it stepped down, with your permission.
Mr. Speaker 10:50 a.m.
Minister for Transpor-
tation, thank you very much for appearing to answer these questions.
STATEMENTS 11 a.m.

Mr. Benito Owusu-Bio (NPP -- Atwima Nwabiagya) 11 a.m.
Thank you, Mr. Speaker, for giving me the opportunity to contribute to the wonderful Statement made by the hon. Member who just spoke.
Mr. Speaker, the phenomenon of darkness on our streets, I think, has reached a situation where we need to really sit down and do something about it.
It is a well-known fact that darkness on our streets leads to vehicular accidents and also pedestrians being knocked down by vehicles. This is very rampant on the highways, especially in the peri-urban towns and villages like those in Atwima Nwabiagya.
Day in, day out people are knocked
down just because sometimes they have to cross one part of the village to the other to attend to nature's call. And because the whole village or town is so dark and also due to the fact that most of the vehicles have defective headlights, what happens is that a driver who I would say is blind due to the defective headlights and also a poor pedestrian who due to the fact that the whole village is in total darkness is also blind, and then what it leads to is that this person is knocked down just like that.
When this happens, usually there is nobody around and the person is just left to die on the street. The people only become aware of the incident during the day time when, maybe, people wake up and find the person there. So much has to be done.
I have been making efforts to help
by providing street lights but the few resources available to me cannot solve this whole problem of darkness.
Also, I would urge that speed ramps
are installed on the highways, especially in these villages and the peri-urban areas.
Quite recently, I have seen that the new road from Kasoa to Elmina which has just been constructed is a beautiful road but you would be surprised to know
that when you are to drive on it in the night the whole place is in total darkness and because the road is so good people overspeed on the road.
Fortunately for them, they have speed ramps. But there is not a single speed ramp on the highway between Kumasi and Sunyani and the whole place is in total darkness.
I would urge the Ministry of Transport to at least come to our aid by providing a few speed ramps along the road so that my people would be spared this rampant knockdowns.
On this note, I would thank the hon. Member who made the Statement for such a timely Statement.
Alhaji M. M. Mubarak (NDC --- Asawase) 11 a.m.
Mr. Speaker, I rise to associate myself with the Statement made by my hon. Colleague.
Mr. Speaker, the issue of darkness on our streets is getting out of hand because it is not only the highways but now even the major cities like Accra, Kumasi, Takoradi, Cape Coast and what have you are all virtually drifting into darkness.
Mr. Speaker, this is a very dangerous phenomenon because it increases the rate of accidents and other pedestrians also crossing the road are put at great risk.
If you take a street in Kumasi, like from Anloga Junction to Airport roundabout, it is the number one ceremonial street that we have in the Garden City but this major street which runs through my constituency has been in darkness for the past three years. All efforts to get the authorities like the Kumasi Metropolitan Assembly (KMA) and Department of Urban Roads to fix street lights has proved very difficult.
-- 11:10 a.m.

Mr. J. Z. Amenowode 11:10 a.m.
On a point of
order. Mr. Speaker, I am getting confused. The hon. Member at the other side just a few minutes ago told us that the youth of his area do not want light; they will get angry when they put streets lights there. He is now asking the hon. Minister for Energy to provide light for the area. What will the youth think of him?
Mr. Asiamah 11:10 a.m.
Mr. Speaker, I think
this is a serious indictment on me.
[Laughter]. Mr. Speaker, I never made reference to Atwima-Mponua. I spoke as an hon. Member of Parliament here, being concerned about how sometimes our youth deliberately put off lights so that they can engage in other things. [Some hon. Members: No!]
Mr. Speaker 11:10 a.m.
Please conclude.
Mr. Asiamah 11:10 a.m.
Mr. Speaker, it is an
open secret, something each and everyone of us knows. Mr. Speaker, my last issue before I was wrongfully interrupted is that there should be a culture of maintenance in this country. We may install many street lights, provide all the things but if we do not maintain them we will be wasting much resources.
So it is important that the culture of maintenance that has eluded this country for all these years is taken more seriously as we are celebrating our fifty years of nationhood. It is important we develop the culture of maintenance. We should be able to make sure that whatever we put up we keep to its continuous maintenance. That is the only way we can maintain and get some of the things that we need.
Mr. Speaker, with these few words I thank you once again for the opportunity, and I thank the maker of the Statement.
Mr. David Tetteh Assumeng (NDC
-- Shai Osudoku): Mr. Speaker, I want to thank the maker of the Statement for
Mr. Asiamah 11:20 a.m.
bringing the issue of streets lights to the notice of the House.
Mr. Speaker, the issue of street lights is very, very important and there is the need for us to address it. Mr. Speaker, the sad part of this issue, to me, is when you go to areas where you think that there is the need for us to have street lights and those are the areas that are in total darkness. And by this I am referring to communities and towns that sacrificed for this nation to have these national assets, like the dams.

Mr. Speaker, if one goes to a town like Natriku and Akuse where the Kpong Dam is located -- even though it is in Akuse these are towns that are in darkness. And one goes there and asks, “why?” If towns like these, sacrificing for this nation, would live in total darkness then what are we actually referring to? So I want to suggest that the issue of solar street lights be introduced so that at least we can have lots of lights in our streets.

The issue of solar street lights must be addressed so that, that would also lift the burden off the hydro generating plant. But I want to say that communities that are sacrificing for this nation must be looked at.

On this note, towns in the Lower Volta Basin that are suffering as a result of the creation of these dams must be assisted to have street lights. Mr. Speaker, I think it is very important for us to address this issue in the various communities.

Minister of State (Mr. Kwadwo Adjei-

Darko): Mr. Speaker, in contributing to the Statement I want us to look at the aspect of the provision of street lights in different dimensions.

Mr. Speaker, we would all accept and agree that Government should include in its programme of street rehabilitation and

construction the provision of street lights. I think modern streets which are being constructed in Accra are all going to have lights as part of the package. But I would want us to look at the other streets in our communities within the urban areas and cities because that is where we have the residential flats and so on.

Mr. Speaker, it looks as if developers would want Government to do everything even where developers after putting up their flats give them out for rent or sell them at very high prices.

Mr. Speaker, we now have a technology instead of stringing the fifth additional wire to provide the street light, there is the photocell; and a complete locally- built street light with a photocell is about ¢650,000.00. The imported one is about ¢900,000.00 at these companies which sell these materials. And we should encourage developers who have various poles in front of their houses to include the cost of just one street light with a photocell, which is about ¢650,000.00, as part of their development cost.

So that if I have my house here and in front of my house, I have just put one, and the next person who has a pole in front of his house puts another one, the whole length of the street would have light; but we are leaving everything to Government. Yes, Government should come in but some of us especially those who are developers, should at least include this as part of their development cost.

Mr. Speaker, I will give an example. Where I stay now -- government accommodation -- it is very dark but through my own efforts I have installed four street lights there and it is serving everybody along the Passport Office area.

So Mr. Speaker, we should not leave everything to Government. I did not say

tenants should do it. If you are a developer and you can put up a house to the tune of ¢800 million, ¢1 billion, why can you not just include ¢650,000.00 as part of its cost so they can give a little bit comfort to people who live in their houses?

Mr. Speaker, the other issue I want to

raise is on this question of maintenance. The Northern Electrification Department under Volta River Authority (VRA) and the Electricity Company in the sourthern sector make people pay ‘street light levy' and up to now we do not know who is in charge of this street light levy -- whether or not it goes to the Assemblies. If the amount added to our bills every month is given to these Assemblies then the Assemblies should also use some of these monies to extend street lights within their areas of jurisdiction, and also use some of these monies in addition to their budgetary allocations, for maintenance.

So perhaps the Electricity Company of Ghana for the sourthern sector and VRA through the Northern Electrification Division in the northern sector should account to us as to what the street light levy is used for so that we can move ahead.

Mr. Joe Gidisu (NDC -- Central

Tongu): Mr. Speaker, I want to thank hon. Colleagues for expressing positive views about the need for street lighting at this time. But Mr. Speaker, I want to take a different dimension in looking at the situation, more especially when the country is passing through this energy crisis.

Mr. Speaker, yes, there is the need for lighting our streets but in so doing there is the need for us to be more strategic in looking at areas that would need those lights on at specific times. Mr. Speaker, even as at now in our homes and in our

communities the Electricity Company is calling us to put off lights which we may not need at a particular time.

In this time of crisis there is the need for us to look at even the extension of electricity on the Motorway from the Tema Roundabout to the Tetteh Quarshie Circle -- at this time when we are crying for energy conservation. Mr. Speaker, at particular times there may be the need for us to look at very important areas that may need light but just for the sake of appeasing visitors we might want to cut our noses to straighten our faces by way of stretching ourselves in providing street lights at those areas, more especially on the Motorway.

So Mr. Speaker, I want to say that, yes, there is the need for us to look at how best to light our streets. But at this particular time in our history when we are calling for very stringent and more economical approach towards the use of electricity, be a bit conservative on the issue of extending light to the streets.

I want to equally associate myself with the hon. Member who spoke last, who was calling for at least individuals in communities where we live to see how best we could generate our own support to the lighting system, by the central pool, which would go a long way to provide light.

And Mr. Speaker, the situation of the Electricity Company of Ghana taking street light levy but up till now we do not significantly see the use of that money -- I would want to say that the Parliamentary Committee on Energy should go further into it just like they did with the Road Fund and find out how effectively the deductions would be used to strengthen the provision of street lights; otherwise it would be in the negative direction if we continue to tow that line.
Mr. Asiamah 11:20 a.m.


So Mr. Speaker, I want to associate myself with the Statement but say that there is the need for us as a Government, as a Parliament and as individuals in the State to be more strategic looking at the distribution of electricity; more especially at this time when we have energy crisis.
Mr. Speaker 11:20 a.m.
At the Commencement
of Public Business -- Item 5 -- Motion. Leadership, have you been able to resolve this matter?
Ms. A.S. Dansua 11:20 a.m.
Mr. Speaker, I am not aware of any such resolution. I have not been advised by my seniors yet.
Mr. Owusu-Adjapong 11:30 a.m.
Mr. Speaker, I thought yesterday the conclusion we were trying to arrive at with the hon. Chairman of the Public Accounts Committee, the hon. Minority Leader and the hon. Deputy Minority Leader supported by the hon. Deputy Minister for Foreign Affairs, Regional Integration and NEPAD was that we had been doing these things previously but they were worried about the use of the word “local”.
And if those experts, the two of them, hon. Osei-Adjei and hon. Sallas-Mensah, supported by the hon. Minister for Finance and Economic Planning and the hon. Chairman of the Finance Committee - Because it looks like we have all accepted that the power to grant tax emanates from this House. We have also seen a letter from the Internal Revenue Service (IRS) endorsing this memorandum.
And therefore, so far as I am concerned, I do not see any further problem, But since the hon. Chairman of the Committee and the hon. Deputy Minister for Finance and Economic Planning, who may be the ultimate loser should there be any wrong
Mr. Owusu-Adjapong 11:30 a.m.


decision taken are around, I would rather want us to ask for the views of these personalities and then we endorse it.
Mr. Speaker 11:30 a.m.
Hon. Chairman of the
Public Accounts Committee, have you resolved this matter?
Mr. Samuel Sallas-Mensah 11:30 a.m.
Mr.
Speaker, we have not resolved it officially yet. We have just been talking about it --
Mr. Speaker 11:30 a.m.
You are in the process?
Mr. Sallas-Mensah 11:30 a.m.
Yes, we are in the
process. So if we can meet somewhere right now to resolve it and come back and inform the House.
Mr. Ossei-Aidooh 11:30 a.m.
Mr. Speaker, I
do not belong to the committee, But this matter is a simple one. Mr. Speaker, I have here a copy of the Agreement based on which this tax waiver is being sought.
Mr. Speaker, clause 14(2), if I may quote 11:30 a.m.
“Any duties, taxes of any kind, stamp charges, present or future due by virtue of the credit agreement and arising therefrom, legally due outside Belgium shall be for the account of the borrower.”
Mr. Speaker, these are local taxes.
Mr. Speaker 11:30 a.m.
Hon. Deputy Majority
Leader, if you would remember, I directed that you try and resolve this matter. We are not going over the argument again. If you need more time, I am prepared to give you more time.
Mr. Aidooh 11:30 a.m.
Mr. Speaker, with all the
respect, with all due experience I can offer, this House should not be held back by fanciful guessing by hon. Members. With all respect, Sir, this submission is fanciful.
Ms Dansua 11:30 a.m.
Mr. Speaker, I think we
should not belabour this point here. It is only fair that we defer the matter till my Leader is also around for them to come to a compromise. This is because the issue they are raising is in the interest of this nation.
Mr. Speaker 11:30 a.m.
Hon. Deputy Minority Whip, I am not asking you to argue this matter. I have not asked you for that.
Ms Dansua 11:30 a.m.
So, Mr. Speaker, I am
saying that we should defer the matter till a later date.
Mr. Speaker 11:30 a.m.
Leadership, I will stand
this down for the next few minutes to see whether you can put your heads together.
Item 7 -- Motion. Chairman of the
Committee --
MOTIONS 11:30 a.m.

Chairman of the Finance Committee (Nii Adu Daku Mante) 11:30 a.m.
Mr. Speaker, I beg to move, that this honourable House adopts the Report of the Finance Committee on the Loan Agreement between the Republic of Ghana and the African Development Fund for an amount of UA 46,000,000 (US$68,923,640) for financing the Accra Sewerage Improvement Project (ASIP) and request for tax exemption totaling
US$934,785.
Mr. Speaker, in doing so, I present the Report of your Committee.
1.0 Introduction
The above loan agreement was laid in the House on Friday 2nd February 2007 and referred to the Finance Committee for consideration and report in accordance with article 181 of the 1992 Constitution and the Standing Orders of the House.
To consider the Agreement, the Committee met with the Deputy Minister for Finance and Economic Planning, hon. Prof. George Gyan-Baffour, officials from the Ministry of Finance and Economic Planning and Ghana Water Company Limited and reports as follows:
2.0 References
In considering the Bill, the Committee referred to the following documents:
(i) 1992 Constitution
(ii) Standing Orders of the House
(iii) The Loans Act, 1970 (Act 335)
3.0 Background
In the city of Accra, only about 15 per cent of the Metropolis, mainly the central area, is served by piped sewerage network. The remaining areas of the city are served by on-site sanitation facilities. These include septic tank and improved pit latrines.
The sewerage network which was constructed in t he early seventies has seen very little extension. Also, due to the limited number of treatment sites, septage from the on-site facilities is either disposed of in receiving water bodies or in nearby drains or open spaces.
Even though there are several individual sewerage systems constructed and operated by different organizations, none of these systems are currently operational.
To help solve the sanitation problem confronting the city, the project is proposed to provide adequate and appropriate sanitation and sewerage facilities.

4.0 Project Objectives

The project has two main specific objectives:

i) To provide an improved and e x t e n d e d s e w e r a g e a n d sanitation system for disposing of waste water from the city of Accra in a manner that is socially and environmentally acceptable to meet the demand up to the year 2020.

ii) To strengthen the capacity of the Accra Metropolitan Assembly (AMA) to operate and maintain the system on a sustainable basis.

5.0 Terms and Conditions

Loan Amount: -- UA46,000,000 (equivalent US$68.00M.)

Interest Rate -- No interest charge

Service Charge -- 0.75% per annum on the principal amount

of the loan disbursed and outstanding from

time to time.

Commitment Charge -- 0.5% per annum on the disbursed amount

of loan.

Grace Period -- 10 years

Repayment period -- 40 years (exclusive of grace period).

Repayment of the Principal commences after a ten year grace period at the rate of 1% per annum from the 11th to 20th year

Inclusive and the rate of 3% per annum

thereafter. Tax Waiver

Article 50 of the Agreement establishing the Bank requires that the goods, services and other items imported for the use of the project shall be waived of all local

(Ghanaian) taxes, VAT and customs duties.

6.0 Observations and Recommendations

The Committee observed that the project will help support Government's efforts to reduce poverty prioritized investments, economic development in Accra.

Again the Committee observed that this loan facility will help construct two treatment plants at Legon and Densu Delta. The Committee was informed that further funds are being sought for to construct a third treatment plant at the Burma camp area to cater for Labadi, Teshie, and Nungua areas.

The Committee noted that immediate beneficiaries of the project will be the urban and peri-urban population of Accra of about 1,467,839 majority of whom are poor. The remaining population will benefit from public toilets and sanitation education programmes.

The technical team from the Ghana Water Company Limited informed the Committee that sixty-one kilometers (61 kms) of sewerage lines would be constructed under the project.

The Accra Metropolitan Assembly (AMA) and the Ministry of Local Government, Rural Development and Environment (MLGRDE) will also benefit from the project through the provision of institutional support and capacity building programmes.

As to whether the sewerage system would have a direct linkage with the Korle Lagoon Ecological Restoration Project (KLERP), the technical team from the Ghana Water Company Limited answered in the negative and explained that the two are different projects with different implementation staff though one officer will coordinate both.

7.0 Conclusion

After careful consideration of the Agreement, the Committee is of the opinion that it will be of immense benefit to the inhabitants of the Nation's capital city. The Committee therefore recom- mends to the House to adopt the Report and to approve by resolution, the loan agreement between the Republic of Ghana and the African Development Fund (ADF) for an amount of forty-six million Units of Account (UA46,000,000)(Equivalent US$68,000,000) for financing the Accra Sewerage Improvement Project (ASIP) in accordance with article 181 of the Constitution and section 7 of the Loans Act, 1970 (Act 335).

The Committee also respectfully

recommends to the House to approve a waiver of taxes amounting to US$934,785 on the goods to be procured for the project in accordance with article 174(2) of the Constitution.

Respectfully submitted. Customs, Excise & Preventive

Service Form No. 80
T H E 11:30 a.m.

COMMISSIONER 11:30 a.m.

PLANNING, 11:30 a.m.

DIRECTOR ERM-M 11:30 a.m.

IMPROVEMENT PROJECT -- TAX 11:30 a.m.

ASSESSMENT 11:30 a.m.

TABLE 11:40 a.m.

TABLE 11:40 a.m.

TABLE 11:40 a.m.

Mr. Alfred K. Agbesi (NDC -- Ashaiman) 11:40 a.m.
Mr. Speaker, I rise to support this motion. In fact, this loan agreement is coming at an appropriate time.
Mr. Speaker, if we moved into our various systems, we would see that management of the sewerage system is creating a very big problem for us, as a nation. Mr. Speaker, we are aware, like the hon. Member who last spoke said, that Tema is also a planned area, whose sewerage system is planned to be managed efficiently. But Mr. Speaker, as at today, there is a problem in areas which are not on the major sewerage line. Individuals have taken their own initiatives to construct sewerage systems, but at a very great cost to themselves.
Mr. Speaker, I am happy to note that at page 4 of the Report, the Committee was informed that further funds are being sought to construct a third treatment plant at Burma Camp, and this is supposed to serve areas like Lashibi, Teshie and Nungua.
Indeed, if this plant is established, I would wish that areas like Lashibi, Klagon, Spintex Road, Community 18, Tema itself, areas that are developing around Accra and Tema would benefit from it. Mr. Speaker, I am said to say that a planned area like Tema is now becoming an area which cannot manage its sewerage system. Mr. Speaker, this loan is for Accra and it is my hope that immediately Accra is looked at, areas surrounding Accra would also be looked at.
We have a big problem managing the Adenta area, where most of the Members of Parliament live but the sewerage system is becoming a problem. This is a good loan; we should support it, but it should
be extended to other places.
Mr. Speaker, there are newly developing areas which areas which are facing serious problems. We have places like the areas along the Motorway, big residential areas that have come up with the sewerage system not being maintained. The Spintex Road area is an area which is developing fast; Ashiaman is an area which is developing fast; Klagon is developing so fast and we need a good central sewerage system to serve those areas.
With these few words, Mr. Speaker, I think that this is a loan which we should all support; and it should come as early as possible.
Mr. Opare Hammond (NPP -- Adenta) 11:40 a.m.
Mr. Speaker, thank you for the opportunity to contribute to the motion on the floor. This motion has to do with a loan that we are sourcing to help improve the sewerage system in Accra and some areas such as Labadi, Teshie-Nungua, et cetera. As a nation, we have had the problem of how to managhe our garbage and especially our sewerage systems.
Mr. Speaker, it is said to note that at the turn of the 21st Century, we still construct estate houses without sewerage systems We still construct modern, beautiful buildings without appropriate infrastructure to include appropriate sewerage systems. I believe that the time has come that as a nation, we should begin to look at how to deal with wastes especially when it comes to solid wastes.
In fact, this t ime it is beyond comprehension that we still have open gutters, and people put all kinds of things in these gutters because they are open. Mr. Speaker, I believe the approval of this loan as is stated in the Report is going to give us a lot of benefits. Mr. Speaker, some of the benefits include the fact that sewerage
Mr. Kenneth Dzirasah (NDC -- South Tongu) 11:50 a.m.
Mr. Speaker, so long as the human race continues to live, there shall be waste. What is crucial is how we manage this waste. So this facility that is coming before this House now is a facility in the right direction. But there are certain concerns that individuals like myself have over the management of our waste.
Mr. Speaker, those of us who have our constituencies and constituents living below the Akosombo Dam, have the unpleasant experience of being a receptacle for all the Akosombo waste that is dumped into a pan, supposedly treated and emptied into the Volta.
Mr. Speaker, enquiries have allayed
our anxiety that the waste is properly treated. But what is the guarantee, in an era where there is scarcity of a lot of things especially when the Volta River Authority (VRA) itself is cash strapped, that there is not the tendency to overlook the need to be very accurate in the treatment of this waste before it is emptied into the river. Incidentally, at the lower basin is a water treatment plant that supplies water to the entire lower Volta Basin, which comprises
of about four constituencies -- Ada, South Tongu, North Tongu, Keta and Anlo.
Mr. Speaker, I would like to take this opportunity to renew an appeal to the VRA to be environmentally conscious as far as the treatment of that waste is concerned. They should not take things for granted; they must do what is required to ensure that whatever is emptied into the Volta River is something that is not riddled with disease that would ultimately affect those of us who are in the Lower Volta Basin.
Mr. Speaker, it is also an opportunity for me to invite the environmental Protection Agency (ERA) to take up the challenge to visit all waste disposal sites to see whether what is happening at all those sites are human-friendly; because whilst we may be fighting to eliminate wastes from our homes the end treatment plant may cause a lot of epidemics and may create or jeopardize our health.

So it is important that whilst we welcome this new facility, we should encourage the relevant bodies to look far beyond just the treatment plant. What happens after the treatment plant?

Mr. Speaker, the suggestion that was

made by the hon. Colleague next to me about Pambros salt being adjacent to the place and that definitely the waste after treatment will be emptied into the sea, and it is that sea water that feeds the Pambros for the evaporation to take place before we gather the salt, does not make that location a suitable site.

Mr. Speaker, I am not trying to incite anybody here about this, but it is lives that are at risk and it will be relevant for us to take a second look at the site. Mr. Speaker, there are several sites to look at, so this is an important information which our Colleagues who are Ministers responsible for this should take it up and

make sure we live in an environmentally friendly situation.

Nii A. D. Mante: Mr. Speaker, he

made mention of a site and I want to know whether he has been there before, whether he knows the Densu Delta.

I want a clarification from him.
Mr. Speaker 11:50 a.m.
This cannot be a
question. Are you raising a point of order?
Nii Adu Mante: A clarification from
him, whether he is aware of what he is talking about.
Mr. Speaker 11:50 a.m.
That is not a point of
Order. Hon. Member, please go on and conclude.
Mr. Dzirasah 11:50 a.m.
Mr. Speaker, it is good
that he has brought this information up. That information even makes the location more dangerous. If the Densu empties into the sea there and the waste is also emptied there and there is free flow of water from the sea into the Densu upstream, that is unacceptable -- clearly unacceptable. Mr. Speaker, all that I am saying is that there must be a re-visitation of the situation - the location of the project, that we should do what is right in the name of good health.
Mr. Speaker 11:50 a.m.
Chairman of Committee,
please wind up.
Nii Adu Mante: Mr. Speaker, before
winding up, I want to correct an erroneous impression. The Densu Delta is rather downwards, entering into the sea.
Mr. Speaker, however, I thank all hon. Members for putting in these kind of contributions and I wish that they all support this agreement.
Question put and motion agreed to.
Mr. Speaker 11:50 a.m.
Item 8 - Resolution,
Minister for Finance and Economic Planning.
Mr. Owusu-Adjapong 11:50 a.m.
Mr. Speaker,
I want to crave your indulgence to allow the Deputy Minister for Finance and Economic Planning to move the resolution.
RESOLUTIONS 11:50 a.m.

THIS HONOURABLE HOUSE 11:50 a.m.

H E R E B Y R E S O LV E A S 11:50 a.m.

Mr. Speaker 11:50 a.m.
Item 9 -- Resolution,
Deputy Minister.
Tax Exemption
Prof. Gyan-Baffour 11:50 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 Act of Parliament;
The exercise of any power conferred on any person or authority to waive or vary a tax in favour of any person or authority is by the said provisions made subject to the prior approval of Parliament by resolution; BY the combined operation of the provisions of section 26(2) of the
Customs, Excise and Preventive Service (Management) Law, 1993 (PNDCL 330), the Export and Import Act, 1995 (Act 503), the Export Development and Investment Fund Act, 2000 (Act 582), the Value Added Tax (Amendment) Act, 2000 (Act 579) and other existing Laws and Regulations applicable to the collection of Customs duties and other taxes on the importation of goods into Ghana, the Minister for Finance may exempt any statutory corporation, institution or individual from the payment of duties and taxes otherwise payable under the said Laws and Regulations or waive or vary the requirement of such statutory corporation, institution or individual to pay such duties and taxes;
IN ACCORDANCE with the provisions of the Constitution and at the request of the Government of Ghana acting through the Minister responsible for Finance and Economic Planning, there has been laid before Parliament a request by the Minister for Finance and Economic Planning for the prior approval of Parliament to the exercise by him of his power under the Laws and Regulations relating to exemption of tax liability on machinery, vehicles, equipment and materials to be imported or purchased locally totalling US$934,785 in respect of the Accra Sewerage Improvement Project (ASIP).
N O W T H E R E F O R E , t h i s h o n o u r a b l e H o u s e h e r e b y approves the exercise by the Minister responsible for Finance of the power granted to him by Parliament by Statute to waive such tax liability on machinery, vehicles, equipment and materials
to be imported or purchased locally totalling US$934,785 in respect of the Accra Sewerage Improvement Project (ASIP).
Nii Adu Mante: Mr. Speaker, I beg to
second the motion.
Question put and motion agreed to.
Resolved accordingly.
Mr. Speaker 11:50 a.m.
Item 10 -- Chairman of
the Committee on Finance
Financing Agreement between Republic of Ghana & International
Development Association
Nii A. D. Mante: Mr. Speaker,
I beg to move, that this honourable House adopts the Report of the Finance Committee on the Financing Agreement between the Republic of Ghana and the International Development Association for an amount equivalent to thirty million, eight hundred thousand Special Drawing Rights (SDR 30,800,000) for financing the Second Phase of the Coastal Transmission Backbone Project.
1.0 Introduction
Mr. Speaker, the Financing Agreement between the Republic of Ghana and the International Development Association was laid in the House on Wednesday, 31st January 2007 and referred to the Finance Committee for consideration and report.
To consider the Agreement, the Committee met with t he Deputy Minister for Finance and Economic Planning, hon. Prof. George G. Baffour and officials from the Ministry of Finance and Economic Planning and Volta River Authority and reports as follows:
2.0 Background
Hon. Members may recall that in June 2004, the House approved the ECOWAS Energy Protocol (EEP) which was adopted by the authority of Heads of State and Government of ECOWAS under Decision A/DEC dated January 17, 2003 to serve as a framework for policy reform.
In this regard, there is the need for improvements in the institutional capacity of the country and increase investments in the energy sector in other to effectively implement the ECOWAS Energy Protocol. 3.0 Terms and Conditions of the Credit
The terms and conditions of the project are as follows:
Amount -- SDR30.8 million (US$45 million equivalent)
Term of Credit -- 30 years
Moratorium -- 10 years
Service Charge -- three-fourth of one per cent (3/4 of 1%) per annum is payable on the principal amount of the Credit withdrawn and outstanding from time to time.
Repayment -- semi-installments shall commence on
September 15 2016 and end on March
15
2046.
4.0 Observations
The Committee observed that the project (which is the second phase of the
Prof. Gyan-Baffour noon
Mr. Speaker, I beg to second the motion.
Mr. John Gyetuah (NDC -- Amenfi
West): Thank you Mr. Speaker, for the opportunity to contribute to the motion for the second phase of the coastal transmission backbone project. Mr. Speaker, as rightly stated by your Committee's Report, the first phase of this project was actually approved on June 4th 2004, which was adopted by the Heads of State and Governments of ECOWAS.
Mr. Speaker, this coastal transmission project aims at actually assisting the country to develop more stable and more reliable exchange of electricity among the national power systems in the West African pool. Mr. speaker, this is indeed a regional infrastructure project fully aligned to the goals of NEPAD.
I believe this will go a long way if the project is actually executed to reduce the nation's over-reliance on the Akosombo Dam, which at times results in load shedding thus affecting productivity leading to inadvertent dismissal of workers.

electricity at affordable prices to citizens in participating countries.

The Committee noted that this project when completed would go a long way to reduce the nation's over reliance on the Akosombo Dam and also avoiding situations where the country has to resort to load sharing (which has led to loss in revenue and unemployment).

The Committee was informed that other expected benefits that the country would derive from the project include:

increase cross-border electricity trade between West Africa Power Pool (WAPP) member countries and

the reduction in the power transfer loses in the principal transmission networks.

The Committee was further informed that the project is made up of a number of components. These include the:

Transmission infrastructure development and this involves the upgrading of the Akosombo, Volta sub stations and switchgear at the Kpong generation station, and

the construction of the third bulk supply point for the Accra/Tema load centres.

Upgrading of strategic power generation stations' operation which involves the upgrading of the supervisory control and data acquisition telecommunication systems and metering equipment of sub stations in the country.

Upgrading of strategic power generation stations operation in the country and this includes the rehabilitation of cranes and

penstocks.

Implementation of measures under the WAPP Action Plan and this would include the upgrading of the VRA's Akuse training centre. This involves the acquisition of a power system stimulator, installation of a 330 kV transmission line training field and proving capacity building support.

The technical team informed the Committee that under the WAPP a number of transmission lines and power related works would be constructed in the country

Mr. speaker, I believe the terms and conditions of the loan are favourable and this should be supported by the House.

Question put and motion agreed to.
Mr. Speaker noon
Item 11 -- Minister for
Finance and Economic Planning.
RESOLUTION noon

THIS HONOURABLE HOUSE noon

H E R E B Y R E S O LV E A S noon

Chairman of the Committee (Nii Adu Mante) noon
Mr. speaker, I beg to second the motion.
Question put and motion agreed to.
Resolved accordingly.
Leadership, we will have to go back
to item 5. Majority Leader (Mr. Felix Owusu-
Adjapong:) : Mr. speaker, I am in a fix, in the sense that I have tried to read the Resolutions we have just passed and I am wondering what the difference is between the Koforidua one and the one on the coastal transmission - it appears that they are all the same.
Mr. Sallas Mensah noon
Mr. speaker, what
we have just passed is different from what we were supposed to have been passed yesterday. Mr. Speaker, the ones we have just passed, are all on indirect taxes --
Mr. Speaker noon
Hon. Member, I gave
direction on this matter that you should try and have this matter sorted out. Are you telling me that you cannot, or you want more time?
Ms. Akua Dansua noon
Mr. Speaker, we
have not been consulted on this matter yet. So far there is no indication from the Majority Leader to me as the available Leader. So in the interest of consensus- building, I want us to defer the matter till tomorrow.
Mr. Speaker noon
Majority Leader, any
indications from you?
Mr. Owusu-Adjapong noon
Mr. Speaker,
just a second.
  • [MR. FIRST DEPUTY SPEAKER IN THE CHAIR -- 12.08p.m.]
  • Mr. First Deputy Speaker noon
    Yes, Majority Leader. What is the situation on item 5?
    Mr. Owusu-Adjapong 12:10 p.m.
    Mr. Speaker, I think we have reached a situation where the best person to advise us should be the Minister for Finance and Economic Planning himself because he has done the negotiations and the information I am getting is that --

    Mr. Speaker, if we decide to take anything out we may risk having a problem with the original agreement we have signed with them. Therefore, I would want us to defer to the advice from hon. Minister for Finance and Economic Planning himself, who might be at the Cabinet meeting by now. So we can adjourn. I will consult him and then we can put it up. We adjourn and we work on

    it after I have consulted the hon. Minister for Finance and Economic Planning on the matter.
    Mr. Second Deputy Speaker 12:10 p.m.
    In the circumstance item 5 will be deferred to be taken maybe later on. What do we do in the circumstance, hon. Majority Leader?
    Mr. Owusu-Adjapong 12:10 p.m.
    Mr. Speaker, since we have scheduled closed meeting which we should have started by 11.30 a.m., I beg to move that this House do now adjourn till tomorrow at 10.00 o'clock in the morning.
    Ms. Akua Dansua 12:10 p.m.
    Mr. Speaker, I beg to second the motion for adjournment.
    ADJOURNMENT.
  • The House was accordingly adjourned at 12.10 p.m. till 2nd March at 10.00 a.m.