Debates of 16 Feb 2010

MADAM SPEAKER
PRAYERS 10:50 a.m.

ANNOUNCEMEN TS 10:50 a.m.

Madam Speaker 10:50 a.m.
Hon Members, I have received official communication from the President and if I may read it:
“15th February, 2010
THE RT. HON SPEAKER
OFFICE OF PARLIAMENT 10:50 a.m.

PARLIAMENT HOUSE 10:50 a.m.

ACCRA 10:50 a.m.

PRESIDENT OF THE REPUBLIC 10:50 a.m.

OF GHANA 10:50 a.m.

VOTES AND PROCEEDINGS AND THE OFFICIAL REPORT 10:50 a.m.

Madam Speaker 10:50 a.m.
We move to Correction of Votes and Proceedings of Friday, 12th February, 2010.
Pages 1 2 --
Yes, Hon Member?
Prof. (Emeritus) Samuel K. Amoako 10:50 a.m.
Madam Speaker, last Friday, I was on an official business in my constituency and I was not in the House but I have been marked present.
Madam Speaker 10:50 a.m.
Yes, thank you.
Pages 3 7 --
Yes, Hon Member?
Mrs. Eugenia G. Kusi 10:50 a.m.
Madam Speaker, on page 6, item 4, number 12, I knew that the Hon Member for Atiwa (Mr. Anno K. Ankamah) had permission but he has been marked as absent without permission.
Madam Speaker 10:50 a.m.
Thank you, Hon Member.
Pages 7 13 --
Mr. Joseph B. Aidoo 10:50 a.m.
Madam Speaker, page 13 -- Appointments Committee -- paragraph 1, “Opening”, the second line. Madam Speaker, I think it should be “President's nominations”. What we have there is plural: “Presidents' ”; it should be “President's nominations”.
Madam Speaker 10:50 a.m.
Yes, thank you. Any more on page 13? Yes, Hon
Member?
Mr. Yaw Owusu-Boateng 10:50 a.m.
Madam Speaker, last Thursday, there was a meeting by the Committee on Education but it has not been captured in the Votes and Proceedings.
Madam Speaker 10:50 a.m.
Yes, Clerk to note. Page 14 -
Mr. J. B. Aidoo 10:50 a.m.
Madam Speaker, page 14, name at xix, “Mr. Hackman Owusu-Agyeman; “ the “Agyeman;” is spelt “A-g-y-e-m-a-n-g”.
Madam Speaker 10:50 a.m.
So “g” must come there? [Interruptions.]
Mr. J. B. Aidoo 10:50 a.m.
Madam Speaker, he is my uncle. Hon Hackman Owusu- Agyemang is my uncle and I know his name perfectly well. So that is the correct spelling of his name.
Madam Speaker 10:50 a.m.
Hon Member for New Juaben North (Mr. Hackman Owusu-Agyemang), do you agree with this correction?
Mr. Hackman Owusu-Agyemang 10:50 a.m.
Madam Speaker, I agree a hundred and fifty per cent.
Madam Speaker 10:50 a.m.
Yes; thank you.
Mr. Alfred K. Agbesi 10:50 a.m.
Madam Speaker, sorry to take you back to page 10, item (2) (i), my name is wrongly spelt. My name is Alfred Kwame Agbesi. Instead of the “e” they have put “i” there, which is a wrong spelling.
Madam Speaker 10:50 a.m.
Yes, thank you; noted.
Hon Member for Old Tafo, Dr. Akoto Osei?
Dr Anthony A. Osei 11 a.m.
Madam Speaker, I want to crave your indulgence and go back to page 12 (xix), there is one “Mr. Hackman Owusu-Agyeman” without
the “g” and the Hon Hackman Owusu- Agyemang did not protest that it is mis-spelt. But when we go to page 14, somebody gets up and claims to know the proper spelling of “Agyemang”. But on page 12, we have it as “…man” and nobody corrected it. So there is an inconsistency. May we know the proper name of Hon Hackman Owusu- Agyemang?
Madam Speaker 11 a.m.
I think you are
right and I was beginning to think it is another man.
Mr. Hackman Owusu-Agyemang 11 a.m.
Madam Speaker, if you look at page 4, number 165, the name that was given to me by my dear father is properly recorded. The others, I tended to be gracious to the Table and to insist that they should do the right thing, otherwise, my father would be turning in his grave. My proper name that my father gave me and its spelling is at number 165, on page 4.
Madam Speaker 11 a.m.
Yes, so we put “g”
at the end of all the names then?
Mr. J. B. Aidoo 11 a.m.
Madam Speaker, sometimes some of these things are mis- spelt. There is some kind of oversight of some of these things. Madam Speaker, if you go to page 11, even though we have already corrected the proceedings on on this page, when one takes the Appoint- ments Committee, paragraph 2, and the last name on the list, number ix, we have “Mr. Micheal Teye Nyaunu”. The “Michael” is wrongly spelt but we just glossed over it.
Dr. Matthew O. Prempeh 11 a.m.
Madam
Speaker, page 14 (xx), “Dr. Mathew Opoku Prempeh”, my “Matthew” is with a double “t”; “tt”, the biblical one.
Madam Speaker 11 a.m.
Thank you.
Mr. Enoch T. Mensah 11 a.m.
Madam
Speaker, page 13, the Appointments Committee met on Thursday, 11 th February; I was present and participated but my name has been omitted. On the 10th, I was on the other side; on the 11 I was part of the Committee which considered the President's nominees.
Thank you very much.
Mrs. Kusi 11 a.m.
Madam Speaker, page
14 (xviii), “Mrs. Akosaua Frema Osei- Opare”. The “Akosua” has been wrongly spelt; I cannot even pronounce what is there.
Madam Speaker 11 a.m.
It has not got an “a”
at the end, or it is the “u”?
Mrs. Kusi 11 a.m.
It has wrongly got an “a”
after the “s”.
Prof. (Emeritus) Samuel K. Amoako 11 a.m.
Madam Speaker, I am sorry to take you back to page 13 under Appointments Committee. The second line under “Opening”, I think we have been told several times that we have only one President in this country. But the sentence as is stated gives the impression that we have more than one President. There should be an apostrophe before the “s” so that we know that we have only one President.
Madam Speaker 11 a.m.
We have corrected
that. I thought we have corrected that one. I have got a correction in my copy here.
Hon Members , the Votes and
Proceedings of Friday, 12th February, 2010 as corrected is adopted as the true record of proceedings.
We now move on to the Official Report of Wednesday, 10th February, 2010.

Hon Members, in the absence of any corrections, the Official Report of Wednesday, 10th February, 2010 is hereby adopted as the true record of proceedings.

Now, we move to item 3, Questions.
Mr. David T. Assumeng 11 a.m.
Madam Speaker, last week the Member of Parliament for Ashaiman, Hon Alfred K. Agbesi made a Statement on outbreak of fire at Tema Oil Refinery (TOR). Madam Speaker, Hon Members contributed to that Statement and suggested that the Hon Minister for the Interior be brought to this House to brief the House on the preparedness of the Ghana National Fire Service to combat fire. Madam Speaker, this has not been done. And just last Sunday we witnessed another fire outbreak.
Madam Speaker, this issue is of concern to me because I do not know who would be the next or where we would have the next fire outbreak. So I want to just appeal to you to programme for us to have the Hon Minister for the Interior to come to this House to brief the House on the preparedness of the Ghana National Fire Service to combat fire in this country.
Thank you, Madam Speaker.
Madam Speaker 11 a.m.
I do not remember; maybe, I was not presiding but at what stage? Was it from a Statement?
Mr. Assumeng 11 a.m.
Madam Speaker, it is
true that you were not in the Chair, it was the Second Deputy Speaker who was in the Chair and it was a Statement made by the Member of Parliament for Ashaiman, Hon Alfred K. Agbesi on the outbreak of fire at the Tema Oil Refinery.
Madam Speaker 11 a.m.
And you said the
House resolved that we bring the Hon Minister here?
Mr. Assumeng 11 a.m.
Madam Speaker, it was of the opinion of most Hon Members
who contributed, including myself to request the Hon Minister for the Interior to come to this House to brief Hon Members on the preparedness of the Ghana National Fire Service to combat fire.
Madam Speaker 11 a.m.
And did the Speaker
make the order then?
Mr. Assumeng 11 a.m.
Madam Speaker, I
think he made it among other remarks that he made.
Mr. Frederick Opare-Ansah 11 a.m.
Madam Speaker, I am not very clear with what my Hon Colleague is doing -- whether he is making a Statement or asking a Question. If it is a Question, of whom is he asking the Question? Madam Speaker, I believe he is completely out of order. That is precisely why on Friday mornings we have the Hon Majority Leader give us the Business Statement.
I think that at the appropriate time, if he does not see the Hon Minister listed for such a Statement or answering of Questions, he can make that comment. Right now, he has put all of us into a situation where we do not really know where we are, whether we are on Statements or Question time. I am not very sure, Madam Speaker.
Madam Speaker 11 a.m.
Hon Member,
we are on Question time and we have programmed the Hon Minister to be here and I thought we had to go on with that. You would have been of help if you had said that you had approached the Leaders to find out whether the order was made and whether he was coming. So I think I will advise you to go through that first. Go through that first because I do not know that we have made an order to get the Hon Minister here. So find out if we made the order and if so, what was happening, so we can carry on with work listed for today.
Mr. Assumeng 11 a.m.
Madam Speaker, thank you for your wise advice.
Madam Speaker 11 a.m.
I thank you for listening.
Hon Minister, you are welcome. We have Questions for you and the first Question stands in the name of the Hon Member for Offinso North (Mr. Augustine Collins Ntim).
ORAL ANSWERS TO QUESTIONS 11:10 a.m.

MINISTRY OF ENVIRONMENT, 11:10 a.m.

SCIENCE AND TECHNOLOGY 11:10 a.m.

Minister for Environment, Science and Technology (Ms. Hanny-Sherry Ayittey) 11:10 a.m.
Madam Speaker, the Ministry of Environment, Science and Technology, as a policy-making body, has responsibility for the management and protection of the environment.
The problem of the perennial bushfires in the country in general and particularly in the trans-savanna zone has been and continues to be a major concern to the Ministry.
Madam Speaker, some of the major causes of bushfires include 11:10 a.m.
a. the use of fire for the clearing
Mr. Ntim 11:10 a.m.
Madam Speaker, I thank
the Hon Minister for the comprehensive Answer provided. But may I find out -- reference, page 16, item 2 of his Answer:
“Again, the Ministry with financial suppor t f rom the Canadian International Development Agency (CIDA) is implementing a five-year Ghana Environment Management Project (GEMP) in the three northern regions through the EPA. The objective of GEMP is to improve on land management practices to conserve water and farmlands to increase food production, generate incomes and again, reduce poverty
. . .”
Madam Speaker, may I find out from the Hon Minister how much money is involved in this project and how many
and to embark on the rearing of guinea fowls, sheep, goats and other livelihood support programmes. This initiative is part of an effort to mainstream dry lands development issues into the development plans of the affected districts;
4. Madam Speaker, in addition to the above, the following traditional measures are also being vigorously pursued. We are pursuing continuous environmental education in communities and schools to create awareness among people;
5. we have re-activated the District Environmental Management Committees and the Community Environmental Management Commit tees to fac i l i ta te sens i t iza t ion/educat ional programmes at the district and community levels throughout the country;
6. the Ghana National Fire Service and NADMO have also a comprehensive training programme for Community Fire Volunteers which has been formed in several communities in the three northern regions under reference;
The sensitization and educational programmes in addition to other activities would be sustained in the trans-savanna and desertification prone districts of the country will also be attended to to help address the problem of bush fire induced desertification;
7. Madam Speaker, we have also been working successfully with traditional rulers in most of the districts and the results have
Ms Ayittey 11:20 a.m.
Madam Speaker, the money involved from GEMP is about seven million Canadian dollars. This project was developed after an observation by the Canadian agency, CIDA about the desertification problem in the three northern regions and that Canada identified it as a priority. I will beg to advise the Hon Member of Parliament that if he would like us to have his constituency listed under this programme, then he should write to the Ministry of Environment, Science and Technology and we will submit his request to CIDA so that we can have a supplementary budget for us to implement this in the Ashanti Region.
Thank you very much.
Mr. Ntim 11:20 a.m.
Madam Speaker, may I also find out -- reference paragraph 6 of the Answer provided:
“The Ghana National Fire Service and NADMO have a compre- hensive training programme for Community Fire Volunteers which has been formed in several communities in the three regions under reference.
The next paragraph:
The sensitization and educational programmes in addition to other activities . . .”
Madam Speaker, these programmes and interventions are good but you will agree with me that for the efficient running of the Ghana National Fire Service and NADMO, they need certain basic logistics
-- 11:20 a.m.

Madam Speaker 11:20 a.m.
So what is the question, Hon Member?
Mr. Ntim 11:20 a.m.
Madam Speaker, may I find out from the Hon Minister how many fire tenders are provided under this programme?
Madam Speaker 11:20 a.m.
Hon Minister, can you answer it? Have you got the notice?
Ms. Ayittey 11:20 a.m.
Madam Speaker, I would like to say that the Ghana National Fire Service does not come under the Ministry of Environment, Science and Technology, so we really do not cater for their logistics in our budget.
Madam Speaker 11:20 a.m.
Third question? Let him finish the third question and then let us ask other Questions.
Mr. Ntim 11:20 a.m.
Madam Speaker, years ago, considering the ecological systems and desertification of Ghana, one realizes that Offinso is situated within the vegetational zone but the situation has changed, you will agree with me. Now, my question is, what affirmative action is the Ministry putting in place to address the gradual, consistent drifting of this savannah zone and its attendant desertification combined with poverty developments with specific reference to Offinso North?
How, is the Ministry addressing that programme with specific reference to Offinso which hitherto could not be regarded as part of the transition zone but today, as we Sit, Offinso North, Offinso is now essentially part of the desert of the Savanna zone?
Madam Speaker 11:20 a.m.
Hon Minister, can
you answer the question? Because if you can, it will help us; if not, you would need
programme where we are going to institute certain objectives for traditional rulers to assist the Ministry in educating their own people within the community.
We will also use the FM stations, the schools and strengthen the community firefighters and engage more people to volunteer in the firefighting activities. And all these people will be trained. So Madam Speaker, these are some of the things that we are going to do in collaboration with NADMO and the Ghana National Fire Service.
Mr. Gershon K. B. Gbediame 11:20 a.m.
Madam Speaker, due to the harmful effect of bush- fires on the environment, I want to find out from the Hon Minister if she will consider collaborating with the Ghana National Fire Service and NADMO to form the Firefighting Volunteers that have been formed in the three northern regions, in other districts so that our environment will be protected, not only in the northern part of the country.
Ms. Ayittey 11:20 a.m.
Madam Speaker, I submit that the Ministry will extend its activities to almost all the districts to create volunteers; we will train them in firefighting techniques to reduce the fire outbreaks within the country.
Mr. Joseph B. Aidoo 11:30 a.m.
Madam Speaker, among the measures that the Hon Minister says the Ministry is recommending for the management of bushfires, are shifting cultivation aa then siltation. Madam Speaker, shifting cultivation, as expounded by Esther Bostros, is an elementary form of land use and it is a major cause of land degradation. Siltation, that is where you have silt, in other words, sand and debris being
notice.
Ms Ayittey 11:30 a.m.
Madam Speaker, I guess that the Hon Member of Parliament is focusing all his questions on Offinso North. I would like to say that Offinso North used to be a forest zone and the Hon Member of Parliament will agree with me that what has caused the desertification of Offinso North is a result of over-logging and chain-saw activities.
Two weeks ago, the President of the Republic of Ghana launched the National Forest Plantation Programme, which is going to address this situation. The Ministry of Environment, Science and Technology will be collaborating with the Ministry of Lands and Natural Resources to support this programme and I believe that Offinso North will be identified as a bio-diversity zone and we will be there to support the community and the traditional rulers to engage them in planting ecological trees in Offinso North.
Prof. Dominic K. Fobih 11:30 a.m.
Madam Speaker, I would like to ask the Hon Minister that in matters of bushfires, it has been identified that culture and tradition play a major role in the spread of these bushfires, particularly in some seasons in Ghana. What is he doing to use this knowledge to address the problem that we are facing all the time?
Madam Speaker 11:30 a.m.
Yes, Hon Minister, there is a question on bushfires.
Ms Ayittey 11:30 a.m.
Madam Speaker, in my presentation, I mentioned that I am going to use advocacy. We will be talking to the traditional rulers and the Ministry itself is working with an NGO to introduce a

deposited at the lower courses of rivers -- That is what we refer to as siltation.

So Madam Speaker, “shift ing cultivation” and “siltation”, I want to find out from the Hon Minister, how these two measures can help manage bushfires or land use, if she can come again on this for me.
Madam Speaker 11:30 a.m.
Hon Minister, have
you got the question?
Ms Ayittey 11:30 a.m.
Madam Speaker, I think
that one can apply these two techniques in land management. Madam Speaker, this project is being implemented in the three northern regions and we realized that there, we have frequent bushfires because of the dry savanna.
Madam Speaker, we can do land management by allowing farmers to move from land that they have already farmed on to allow the land to refertilise or to regenerate.
Siltation, we know, yes, that is when we have sand that has blocked the estuary of water bodies.
Madam Speaker, it is our object that a lot of these water bodies will be restored and then we will bring mini dredgers to dredge the estuary of these water bodies to allow the debris to move so that we can have water for irrigation in the northern parts of Ghana.
Mr. Stephen Yakubu 11:30 a.m.
Madam Speaker, with reference to the Answer that the Minister enumerated, I want to know with particular reference to 2 and 3, whether the Bawku Municipality is among these districts she is talking about, specifically the Binduri Constituency, which is closer to the desert area. I want to know whether my constituency is among these districts she is talking about.
Ms Ayittey 11:30 a.m.
Madam Speaker, we have
selected 24 districts in the three northern savanna areas. Madam Speaker, I am sorry I cannot say offhand but I believe
that within the 24 districts of the project site, Bawku should be included.
Mr. Hackman Owusu-Agyemang 11:30 a.m.
Madam Speaker, I take it that the Questions are finished because I was going to make a special plea -- [Interruption.]
Madam Speaker 11:30 a.m.
The Question is
340 --
Mr. Owusu-Agyemang 11:30 a.m.
Yes, have
we finished with the Answers to that one before my plea?
Madam Speaker 11:30 a.m.
No.
Mr. Owusu-Agyemang 11:30 a.m.
If not, then I
hold my fire.
Mr. Fredrick Opare-Ansah 11:30 a.m.
Madam
Speaker, I would like to find out from the Hon Minister if there are any cross- border activities which contribute to the causes that she has enumerated and what specific initiatives has her Ministry put in place to address these issues.
Ms Ayittey 11:30 a.m.
Madam Speaker, the Ministry is aware of cross-border activities. Especially, this is coming from the Fulanis with their herds of cattle crossing the northern border into Ghana. This situation has been reported to the national security agencies and we hope that they will assist the Ministry to resolve this problem.
Ms Grace Addo 11:30 a.m.
Madam Speaker, I would like the Hon Minister to tell me the measures, according to the Answers she provided to this Question --
One of the problems that have been the cause of desertification is the indiscriminate cutting and burning of plants for charcoal but in her Answer, I did not see any place indicating that this problem has been addressed. If she is addressing the issue, what measures is
she also taking to make sure that those people who are burning the charcoal also have their livelihoods sustained because it is also a source of livelihood as it is a source of income for the people over there.
Ms Ayittey 11:30 a.m.
Madam Speaker, we are looking at it from a two-pronged action. Why do people burn charcoal? Because they must earn a living. So Madam Speaker, in my presentation, I mentioned that under the GEMP Project, we are introducing other alternative livelihood programmes to the people within the community, for example, sheep rearing, guinea fowl rearing, poultry. And Madam Speaker, we believe that when these people are introduced to other incomes, they would desist from cutting the trees and then producing charcoal.
Dr. Kojo Appiah-Kubi 11:30 a.m.
Indeed, one can hardly agree with the Hon Minister that, fires, as she provided on page l7 of her Answer, in one of the paragraphs there, have the potential to wreck havoc on economic development. Bushfires are becoming rampant these days and so are office and house fires. I would like to know from him what technical innovation is she putting down or recommending to the Government to prevent these frequent occurrences of office fires and house fires, and whether she will recommend to the Government -- the movement of the former President to Jubilee House -- [Interruption.]
Madam Speaker 11:30 a.m.
I do not know whether that covers the question. I do not know whether your question comes under the main Question asked. We have to keep within the rules and that is why I do not think it is a proper question according to the rules. If you want to ask these Questions, you probably need to go to the right place with the right Questions then the right officer will come
and answer them. But this one, bushfire, then fire burning in offices and houses -- Certainly, these do not come to the Hon Minister for Environment, Science and Technology. That is why I disallowed the question, unless you have a question bearing on the main Question.
Dr. Appiah-Kubi 11:30 a.m.
I do agree with you, Madam Speaker, but she is the Hon Minister for Environment, Science and Technology -- [Interruption.]
Madam Speaker 11:30 a.m.
I have ruled that the question is not allowed. Unless there is any other question --
rose
Madam Speaker 11:30 a.m.
Is it a question, Honourable Hackman Owusu-Agyemang?
Mr. Owusu-Agyemang 11:40 a.m.
Madam Speaker, I wanted to make a special plea that I realized that Question 277 directed to the Hon Minister -- [Interruption.]
Madam Speaker 11:40 a.m.
We are coming
to that.
Mr. Owusu-Agyemang 11:40 a.m.
It was not
starred.
Madam Speaker 11:40 a.m.
The Question is a
Written Question. She wanted a Written Answer; we would get to it.
Mr. Owusu-Agyemang 11:40 a.m.
Madam
Speaker, that is what I wanted to ask before she goes. Because it is not starred, it means it is not an Oral Question.
Madam Speaker 11:40 a.m.
No, I was going
to discharge her at this stage because -- [Interruption] -- Yes, the Hon Minister, because we have not come to your Question which was a Written Question
Madam Speaker 11:40 a.m.


and which I would order that it should be published in the Hansard.
Mr. Owusu-Agyemang 11:40 a.m.
Madam
Speaker, that is why I wanted to make a special plea. This is a Question which is very, very important to the whole community for which most of us would have loved to see the Answer and then have it discussed. It is going to be as per Order 64 (4) published in the Official Report.
I was wondering whether the Hon Minister would oblige and if she has the Answer, give it an Oral Answer so that we may have a few questions. In other words, I am asking for a special dispensation for this, if it is possible. [Interruptions.] Otherwise, we may have to come again on the same Question, this time round, orals. So to avoid the second Question, I thought we could ask her. That is why I asked the question.
Madam Speaker 11:40 a.m.
I want to tell the
Hon Minister that, even if I had to agree, we need the indulgence of the House and I do not think the feeling I am getting is that you will be indulged --
Mr. Owusu-Agyemang 11:40 a.m.
Madam
Madam Speaker 11:40 a.m.
I have been advised
by you that I should stick strictly to the rules and I need some commendation for so doing. That is why I will not allow that question.
Mr. Owusu-Agyemang 11:40 a.m.
Madam Speaker, I will like to commend you then, for applying the rules very well.
Madam Speaker 11:40 a.m.
Yes, thank you very much.
Hon Minister, thank you very much for coming to answer our Questions. We hope you would come again.
So we are now on the Question that
Hon Hackman Owusu-Agyemang was referring us to. It was a Question by the Member for Bantama (Ms Cecilia Abena Dapaah) and she needed a Written Answer. So she has got her Written Answer and I direct that the Answer to Question 277 be printed in the Official Report of today's proceedings.
WRITTEN ANSWERS TO 11:40 a.m.

QUESTIONS 11:40 a.m.

MINISTRY OF ENVIRONMENT, 11:40 a.m.

SCIENCE AND TECHNOLOGY 11:40 a.m.

Madam Speaker 11:40 a.m.
We move on to Public Business.
Mr. John T. Akologu 11:40 a.m.
Madam Speaker, the reports on items under 5
operation of the general public.
For example, complaints from the public reported to the Ministry or the Agency are thoroughly investigated by the Agency and if found to be true, the law is applied to ensure compliance.
Again, the Agency is equipped to measure noise levels on its own accord when there are grounds for suspicion or upon complaints from the public to determine whether to act to abate the noise or not.
The Agency from time to time also issues notices in the form of directives, procedures or warnings to such bodies as it may determine for the purpose of controlling the volume, intensity and quality of noise in the environment.
Noise level assessment studies such as noise emanating from transportation (road transport and aviation noise), and noise assessment in schools in especially urban areas are also undertaken periodically to ensure that noise levels are kept under control.
Madam Speaker, the Ministry enforces the laws on noise pollution in liaison and co-operation with other Government agencies, particularly the Metropolitan, Municipal and District Assemblies (MMDAs) and of course, the police service and the courts.
The Local Government Act, 1993 (Act 462) empowers MMDAs to be directly responsible for the control and prohibition of nuisance which includes noise pollution. It is also an offence in any town to wilfully or wantonly, and after being warned to desist, make any loud or unseemly noise to the annoyance or disturbance of any person. Local Governments are empowered to serve notice, in the form prescribed in regulations, on the person
MOTIONS 11:40 a.m.

Chairman of the Committee on Mines and Energy (Mr. Moses A. Asaga) 11:40 a.m.
Madam Speaker, I rise to move, that this Honourahle House adopts the Report of the Committee on Mines and Energy on the Petroleum Agreement among the Government of the Republic of Ghana and Ghana National Petroleum Corporation on one hand and Afren Energy Ghana on the other land.
1.0 Introduction
The Petroleum Agreement among the Government of the Republic of Ghana, Ghana National Petroleum Corporation and Afren Energy Ghana Limited, Gulf Atlantic Energy Limited and Mitsui E&P Ghana Keta Limited for further exploration work in the Offshore Keta Contract Area, was laid before the House on Tuesday, 26 th January, 2010 and referred to the Committee on Mines and Energy for consideration and report, pursuant to article 103 (3) of the 1992 Constitution and Order 188 (2) of the Standing Orders of the House.
Following the referral, the Committee met on Tuesday, 2nd February 2010 with officials from the Ministry of Energy and the Ghana National Petroleum Corporation (GNPC) and considered the Agreement.
2.0 Reference Documents
The Committee made reference to
the following documents during the deliberations:
i. The 1992 Constitution of the Republic of Ghana;
ii. The Standing Orders of the House;
iii. Petroleum (Exploration and Production) Law 1984 PNDCL
84.
3.0 Acknowledgement
The Committee is grateful to the Hon Minister for Energy, Dr. Joseph Oteng Adjei, the Hon Deputy Minister for Energy, Mr. Emmanuel Armah-Kofi Buah and officials from the Ministry of Energy and GNPC for attending upon the Committee to assist in the deliberations.
4.0 Background
Devon Energy Ghana Limited and EnCana International (Ghana) Limited entered into an agreement with the Government of Ghana and GNPC for the conduct of exploration and production operations in the Offshore Keta Contract Area, effective 1st August, 2002.
EnCana subsequently pulled out of the Agreement after two years of unsuccessful exploration and assigned its 40 per cent interest to Devon in July, 2004.
The Ministry and GNPC later extended the initial exploration period from 31st July, 2004 to 12th September, 2005 to enable Devon seek for a new partner for the operations in the contract area. The company was however, not able to find a suitable partner as at the end of the extension period. To encourage Devon to keep the Contract Area and to drill a second well, the fiscal terms of the Agreement were made favourable to the Company and the work programme for the remainder of exploration period modified to improve upon the risk return of the venture. This modification was ratified by Parliament on 28th July, 2006.
In November 2007, Devon sold its
The interest structure of the partners is as follows:
Afren -- 68 per cent
Mitsui E & P Keta Ltd. -- 20 per cent
GNPC -- 10 per cent
Gulf -- 2 per cent.
6.0 Contract Area
The Offshore Keta Contract Area covers approximately 4,400 km2 and is located in the Eastern Basin.
7.0 Terms of Agreement
The Agreement provides for an exploration period of six (6) years divided as follows:
i. initial exploration period of two (2) years;
ii. first extension period of two (2) years; and
iii. second and final extension period of two (2) years.
The contractor is required to conduct technical studies and drill at least, one well and invest a minimum of US$45,000,000 during the initial exploration period of two (2) years. During the first extension period, the contractor is required to acquire, process and interpret 1,000 km2 of 3-D seismic data, conduct technical studies, drill at least, one well and make a minimum investment of US$45,000,000. The conditions applicable during the initial exploration period also apply to the second and final extension.
Fiscal Package The following benefits will accrue to the State, in the event of Commercial Discovery.
7.2 Training and Technology Support
T h e A g r e e m e n t r e q u i r e s t h e applicants to pay to GNPC an amount
entire interest in the Offshore Keta Contract Area to Afren Plc and Gulf Atlantic Energy Limited because the company's parent and financier, Devon Energy Corporation, closed down its operations in Africa.
The favourable fiscal terms contained
in the first amendment were however, not transferred to Afren and Gulf by the Government. The fiscal terms contained in the original 2002 Agreement were re-instated and this was dully ratified by Parliament in a second Amendment referred to as Amendment No. 2. In October, 2008, Afren assigned 20 per cent of its interest in the contract area to Mitsui E & P Ghana Keta Limited, and retained 68 per cent.
The Amended Agreement (No. 2) was due to expire in December 2008 after the drilling of a second well. Article 2.13 of the Amended Agreement however, gave Afren and Gulf the option to apply for a new agreement if they find the contract area attractive. The Agreement under consideration is, therefore, in pursuit of the said article 2.13.
5.0. The Applicants
Afren Energy Ghana Limited is a wholly owned subsidiary of Alfren Plc, an independent oil and gas exploration and production company founded in 2004. Afren Plc has a portfolio across six countries, namely, Nigeria, Sao Tome and Principe, Gabon, Congo, la Cote d'Ivoire and Ghana. The group is currently producing 27,000 barrels of oil per day from its portfolio.
Gulf is 100 per cent Ghanaian-owned
company incorporated in 2008 with focus on international oil and gas sector.
Mitsui E & P Ghana Keta Ltd is a wholly owned subsidiary of Mitsui & Co. Limited, a private company incorporated in England and Wales. Mitsui has been active in exploration, development and production of natural resources and energy and has operated in Russia and Western Australia.
Mrs. Gifty Eugenia Kusi (NPP -- Tarkwa-Nsuaem) 11:50 a.m.
Madam Speaker, I rise to second the motion. Madam Speaker, at the Committee level, we
discussed all these issues but we were not happy about this issue of the royalty going down as compared to what exists in Ghana as at now. Even though it was explained, we think something should be done about it.
Question proposed.
Mr. K. T. Hammond (NPP -- Adansi
Asokwa): Madam Speaker, thank you for the opportunity to contribute to the motion.
Madam Speaker, on the 14th May, 2004, on behalf of the Republic of Ghana, I was asked to sign a document -- a Memo-randum of Understanding (MoU), after which an Agreement was ratified by this House, which, in the end, led to a commercial discovery of oil in the country.
Madam Speaker, that is after so much search had gone into exploration and searching for crude oil in the country.
Madam Speaker, they set Ghana on the
Mr. Moses A. Asaga 11:50 a.m.
On a point of
Mr. Hammond 11:50 a.m.
Madam Speaker,
I thought he was the Chairman of the Committee, but he has not read his own Report and that is why he does not appreciate the point I am making. If he had, he would not be making that
comment. Kosmos, the company I am talking about, is very much in the Report that has been produced. I am entitled, Madam Speaker, to refer to that and to lay the background.
Madam Speaker, the Committee on
Energy was presented with a Memorandum by the Hon Minister responsible for Energy on the basis of which the Committee produced the Report, which is before the House today.
Madam Speaker 11:50 a.m.
Are you a member
of the Committee?
Mr. Hammond 11:50 a.m.
Madam Speaker, I
am not.
Madam Speaker 11:50 a.m.
All right.
Mr. Hammond 11:50 a.m.
Thank you. The Committee has been incurably tainted that it will not be possible for the House to approve of it.
Madam Speaker, the Committee has just set the background to the negotiations leading to the signing of this Agreement. And then it has gone on to make comparison, particularly, with Kosmos and Vanco. Madam Speaker, what the Hon Minister, in presenting the Memorandum to the House on which the Committee based its Report did not do, was to set in a proper framework, how the Agreement which was entered into with Kosmos was arrived at, and that is the physical regimes within which that contract came up.
Madam Speaker, there has been three physical regimes; Madam Speaker, there was the regime before New Patriotic Party (NPP) came to power. In that regime, we
had a carried interest ranging from ten per cent to about twelve and a half per cent. We had royalty ranging between five and ten and then the various physical regimes.
Madam Speaker, on the 22nd of January, 2003, it was indicated to the Government of the Republic of Ghana that we were being uncompetitive because Ghana as they indicated was not within the areas thought to be the frontline for oil exploration. So we should do ourselves a good favour by getting ourselves to be competitive.
We then invited the economic and the legal section of the Commonwealth Secretariat, headed by now His Lordship Mr. Justice Date-Baah, I suspect the current Attorney-General may have been there at the time, I am not sure if she was. So Madam Speaker, at this forum at M-Plaza on 22nd January ,2003, it was decided that we should look at our physical and regulatory regimes to make sure that Ghana became competitive.
Madam Speaker, it was in that spirit that the contract with the Kosmos and E&O Group was signed. Madam Speaker, immediately after that, indeed, three years after I signed the document, and Parliament had ratified it, there was a discovery of oil in commercial quantities in Ghana. Thereafter, Madam Speaker, a decision was made that since we were now in the frontline as was described, it was important to re-arrange the physical and regulatory regimes again.
Madam Speaker, we have three regimes; the first one, the middle one and third one. Madam Speaker, what we see conspicuous by its absence is any reference to these various regimes in the Report that was prepared. The Hon Minister simply isolated the physical regime for Kosmos, Vanco and juxtaposed
Mr. Hammond 11:50 a.m.


those against Afren.

Madam Speaker, it is also of interest for you to appreciate that, the terms as indicated in this Report as forming the physical regime for Afren were the terms that were originally in the contract that was agreed with Afren. But that was again the pre-negotiation, a pre-22nd January, 2003 formulation.

It was after that, that it was decided that since it had been indicated that we were not being competitive and we thought we could do something a decision was made to amend the phyiscal regime of this company. So they went through amendment and thereafter, the original physical regime was re-imposed.

Madam Speaker, what I said was that, the Report is defective; the Hon Minister should at the time of this preparation have informed the Committee that this was part of the sequence of the history of oil agreement in the country.

Madam Speaker, let us take specifically

the matter relating to additional oil entitlement for example, and I am looking at page 7 of the document presented to this House. Madam Speaker, you will see that the Committee has stated here that -- Madam Speaker, with your permission, I quote:

“It was observed for instance that the State will receive a 33 per cent additional oil entitlement if the rate of return on the investment exceeds 32 per cent.”

Madam Speaker, that is not true. Look at the Memorandum that was sent to Parliament. Madam Speaker, when you look at the Memorandum, what the Hon Minister said here is this, that even
Madam Speaker noon
What page?
Mr. Hammond noon
Page 10 of the Hon
Minister's statement where he said the company was expected to make a return of 14 per cent. When you move on to the table that is attached in there, Madam Speaker, there is nothing like it has been indicated here. What you see here in the case of Afren Energy Ghana is that at 35 per cent return rate, Government would be obtaining another 33 per cent, that is completely different from what is being indicated here.
In fact, in the list of additional oil entitlement percentages, there is nothing like 14 per cent in there. In fact, it starts with 20 per cent and with 20 per cent rate of return, you would get additional 7.5 per cent interest for the country and it goes on. There is nothing there -- and it is not even clear Madam Speaker, where the Committee got the information they put in this Report.
Madam Speaker, there is also something fundamentally important;we are now being told that there is the need for due diligence to be made on some companies. It is suggested that a company like E&O Group for example had no entitlement, legal, or moral to a percentage of 33.5 per cent in Kosmos's share and that 3.5 per cent should have been legitimately given to the Government of Ghana.
We see in the Agreement that they suggested we should ratify that; there is a company called Gulf Atlantic Energy Limited, it has also got a percentage of about over 2 per cent. The issue is this, why is the 2 per cent not added to the share of the Ghana Government but given to a company? Who is behind this company? What due diligence is gone into this? Why is that 2 per cent being given to this
Mr. Emmanuel Armah-Kofi Buah noon
On a point of order. Madam Speaker, I think the Hon Member on the floor is completely misleading the House when he made a point and compared the Gulf Atlantic Energy Limited that is a partner with Afren Energy Ghana. He was disputing that, why was that share not given to Government?
There is a fundamental difference and the difference here is that, this Gulf Company is a contributing partner; they are going to pay money in the investment, unlike the E&O Group example that was just given, where they were just simply carried along in the investment.
But on a larger point, the Hon Member has been misleading the House by not pointing out the improvement in this very Agreement. It is very, very important to note, Madam Speaker, that in this Agreement, we have a clear improvement, we have 33 additional oil entitlement, if the rate of return on investment exceeds 32 per cent, a clear departure from the Kosmos Energy, which is 25 per cent. Under the Agreement, GNPC will get an additional interest of 15 per cent compared to 2.5 per cent with the Kosmos Energy deal.
So there is a clear improvement and I must say that obviously, this is even a different block but you cannot compare an agreement that has given Ghana an additional oil entitlement of 15 per cent to the one that has given Ghana 2.5 per cent additional entitlement. So I think the Hon Member is completely misleading the House.
Papa Owusu-Ankomah noon
On a point
of information. Madam Speaker, I think the Hon Deputy Minister should wait after
listening to the argument and then make his contribution.
Madam Speaker, the point he just made is a point of argument and not a point of order. It is a point of argument and I will urge him as a representative of the Government to listen to the contributions made and when it comes to his turn, he makes his point and point out areas that he feels are improvement, because this is certainly a point of argument and not a point of order.
Madam Speaker noon
He said it was a
point of correction, which you think it was not?
Papa Owusu-Ankomah noon
Madam
Speaker, he said that the point the Hon Member on the floor was making was misleading because this Agreement is an improvement on the terms the Government entered into with other companies. Madam Speaker, that is certainly a point of argument and not a point of order. And as a representative of Government, I will urge him that anytime he comes to the House, he should listen to all the arguments and at the end of the day, he may have the last word and then he could point out the areas that he disagrees with Hon Members.
Thank you, very much Madam Speaker. This is assistance -- I am trying to assist the House and that is all.
Madam Speaker noon
Of course, you are trying to assist the people of Ghana to come to a proper agreement.
Hon Asaga, he says that there are difficulties in the Report, is it true?
Mr. Asaga noon
Madam Speaker, he is
Madam Speaker noon
Order! Order!
rose
Madam Speaker noon
Hon Asaga, I had
given him the floor to contribute.
Mr. Asaga noon
So Madam Speaker,
he is misleading the House by saying that Gulf Atlantic Energy Limited is not known. Due diligence has been done on Gulf Atlantic Energy Limited and this is the Report. The Report was given to the Committee. So for him to come and say that they do not know Gulf Atlantic Energy Limited is -- I can read a page to him on Gulf Atlantic Energy Limited -- [Interruptions]-- This is the Report, these are attached documents, we do not add attached documents to the Report, so he cannot come -- [Interruptions ] -- this is an attachment, so he cannot say due diligence was not done on the company. Due diligence has been done and a copy of it has been laid before the Committee -- [Interruptions.]
Madam Speaker noon
Are there members
of the Committee here at all who could answer those questions?
Papa Owusu-Ankomah noon
Madam
Speaker, I am sorry. Madam Speaker, he is the Chairman of the committee of the House. The committee of the House, in submitting its report, should include all relevant information to enable the House take a decision. If he did not include it, he cannot blame a member for assuming that nothing like that was done, that is the point, please.
Mr. John T. Akologu noon
Madam Speaker, clearly, we have some problem on hand; the issues that are being raised are really serious. I want to crave the indulgence of the House and with your permission, for us to defer this matter for the Committee to go and have a second look at it and come back.
Madam Speaker, I so apply.
Madam Speaker 12:10 p.m.
Yes, let me react to the plea from the House that certain matters have been raised as making the Report a little deficient and he is asking -- we should defer it, they will go and look at it. I think that is the proper thing; I think that is the proper thing to do. He is the Leader and he is saying we should give him time to go and look at it. So I will grant it and will stand this down till next time when they look at the Report.
Hon Leader, I think your request is in
order. When a report comes here and it is attacked for being incomplete, the best thing is to go and make it proper so that it could be properly debated and passed. And so I will stand it down -- Hon Minority Leader, what do you think? I think that we should accede to his request to stand it down and re-look at the Report.
Mr. Kyei-Mensah-Bonsu 12:10 p.m.
Madam
Speaker, I believe it is the correct thing to do under the circumstances. I think that clearly, because of the issues that have been raised, maybe, the Hon Minister or the Deputy Minister could assist the Committee address some of these critical matters that have been raised. I think nobody has any pleasure in trying to obstruct what otherwise should yield good dividends to this country.
So let us address those matters and then beyond that we can respond. For which reason, Madam Speaker, sequel to your ruling, I would plead that you request that the Committee meets speedily to consider these matters and other matters that may come in further consideration of the Agreement so that we are clear in our minds which track to follow in order that the enterprise would yield good dividends for this country.
Madam Speaker 12:10 p.m.
Yes, Hon Asaga, I think this is the wisest thing to do. We defer this thing, look at the points that
are raised, prepare a Report which is acceptable to the House and then we carry on with passing it. So I will defer it for you to look at it quickly and to bring it back to the House.
Mr. Asaga 12:10 p.m.
Madam Speaker, the
rose rose
Mr. Asaga 12:10 p.m.
Oh why, I am making my
Mr. Kyei-Mensah-Bonsu 12:10 p.m.
Madam
Speaker, with respect to you, you have given a directive and my Colleague has no business getting up to react to whatever has already been said. Madam Speaker, he is in serious breach of our rules and he must sit down.
Madam Speaker 12:10 p.m.
Yes, Hon First Deputy Speaker?
Mr. Edward K. D. Adjaho 12:10 p.m.
Madam
Speaker, I think that you have directed that the matter be deferred so that the Committee looks at it. He is a bit taken by surprise because in his view he thinks that it is a unanimous Report from both sides of the House in the Committee. But your ruling takes precedence over all other comments that would come and I think that for now, let us go back and do our work.
But it is important that the Hon K. T. Hammond should always assist the Committee as a former Deputy Minister from there, not on the floor of the House.
Mr. Hammond 12:10 p.m.
Madam Speaker, I am
not a member. If they do call me, I will attend, but for now, I am not a member.
Madam Speaker 12:10 p.m.
I think with this
intervention, they will surely need you and call you.
Mr. Kyei-Mensah-Bonsu 12:10 p.m.
Madam
Speaker, just so that the records of this House may be set straight. One does not need to be a member to be able to assist a committee, and whether it is done on the floor or wherever, provided it inures to the benefit of this House and the nation. I think it should be taken in good faith and nobody should read any improper motive.
Madam Speaker, we have seen
instances when committee chairs have disassociated themselves from committee reports and the Hon First Deputy Speaker knows that. So he should not lead us on the path of unrighteousness. [Laughter.] He knows that.
Madam Speaker 12:10 p.m.
Yes, so all done, in
which case, Hon Member, we can go on with item 9 --
Mr. J. T. Akologu 12:10 p.m.
Madam Speaker, with this, we have come to the end of business for today and the Public Accounts Committee has a public hearing to hold. I, therefore, beg to move, that this House do now adjourn till tomorrow at 10.00 a.m. in the forenoon.
Mr. Ambrose P. Dery 12:10 p.m.
Madam Speaker, I beg to second the motion.
ADJOURNMENT 12:10 p.m.

  • The House was accordingly adjourned at 12.15 p.m. till Wednesday, 17th February, 2010 at 10.00 a.m.