Debates of 16 Dec 2010

MADAM SPEAKER
PRAYERS 10:55 a.m.
Madam Speaker 10:55 a.m.
Correction of Votes and Proceedings of Wednesday, 15th December, 2010.
Page 1 . . . 8 -
Dr Anthony A. Osei 10:55 a.m.
Madam Speaker,
I need your guidance on this. In the past, when Hon Deputy Ministers moved Motions on behalf of their Hon Ministers, they were recorded as moved on behalf of the Hon Ministers but we are recording them as if they moved them on their own.
Page 8, Motion number 10 and I do not know if we have changed the practice or it is just an oversight. This is because they do not move them on their own behalf, they move them on behalf of their Hon Ministers, and that is how I think they should be captured.
Madam Speaker 10:55 a.m.
You are referring to Motion number 10, moved by the Hon Deputy Minister --
Dr A. A. Osei 10:55 a.m.
“On behalf of the Hon Minister for Finance and Economic Planning”, not on his own behalf.
Madam Speaker 10:55 a.m.
You mean after “Mr Seth Terkpeh” we should add “on behalf of the Hon Minister”?
Dr A. A. Osei 10:55 a.m.
Yes, I think that that is
the proper thing.
Madam Speaker 10:55 a.m.
Yes, thank you.
Yes, Hon Boafo.
Mr William Ofori Boafo 10:55 a.m.
Madam
Speaker, page 7, paragraphs (e), line 2, between “year” and “2011”, there is missing, the words “ending 31 st December”.
Madam Speaker 10:55 a.m.
And the correction
is what? You are talking of page 7 (e), line 2 -
Mr Boafo 10:55 a.m.
Page 7 (e), line 2, “between
the words “year” and “2011”.
Madam Speaker 10:55 a.m.
Yes, thank you, I have seen it.
Page 9 . . . 11 -
Dr A. A. Osei 10:55 a.m.
Madam Speaker, here
again, I need your guidance. I thought the independent institutions in the Budget, the Motion is moved by the Majority Leader; they do not work under the Ministry of Finance and Economic Planning. But the Majority Leader, by practice, is the one who moves the Motion for all of them, not the Minister for Finance and Economic Planning. That has been the practice.
Madam Speaker 10:55 a.m.
To be honest with you, I cannot hear what you are saying.
Dr A. A. Osei 10:55 a.m.
Page 11, it says
“Hon Seth Terkpeh moved it” but the National Media Commission is not under the Ministry of Finance and Economic Planning; it is an independent body and it cannot be moved by a Minister from any Ministry except the Majority Leader who is the Leader of Government Business. That has been the practice; if that occurred, I think it is wrong.
The Clerks are nodding their heads but I think they know that the practice is not that the Minister for Finance and Economic Planning can move for the Electoral Commission (EC). It has never
been the practice. So I do not know why it was allowed.
Mr Cletus A. Avoka 10:55 a.m.
We discussed this issue at length yesterday when the First Deputy Speaker was in the Chair and it was agreed that it should be moved by an Hon Minister. So the Hon Deputy Minister for Finance and Economic Planning did so in that capacity. We discussed it yesterday in this Chamber and we found out that from the practice, it is an Hon Minister who moves the Motion. The Majority Leader will second it but we gave deference to the Hon Member for Wenchi because of his special knowledge and acting on behalf of the Hon Chairman.
Madam Speaker 10:55 a.m.
I hear this was
cleared yesterday.
Yes, page 12. Hon Boafo?
Mr Boafo 10:55 a.m.
Madam Speaker, page 11,
paragraph 20. The Motion was moved by the Hon Deputy Minister and seconded by Hon Prof. George Yaw Gyan-Baffour instead of the Hon Chairman.
Madam Speaker, I think that if Hon Gyan-Baffour is seconding the Motion, he does so on behalf of the Chairman and this should be so stated.
Madam Speaker 10:55 a.m.
So we should put “on behalf of the Chairman”.
Thank you.
Page 12 then -
Mr Edward K. D. Adjaho 11:05 a.m.
Madam Speaker, he seconded the Motion in his own right as Member for Wenchi. It is the Report that he submitted on behalf of the Chairman. So they are two separate things; he seconded the Motion in his own right but he presented the Report of the Committee on behalf of the Chairman of the Committee who is the Majority Leader. So the rendition here is correct.
Madam Speaker 11:05 a.m.
But the issue
that the Hon Member raised was that he
seconded it on behalf of the Chairman and you are saying that that should not come in.
Mr Adjaho 11:05 a.m.
Madam Speaker, any
Member here can second a Motion but the Report of the Special Budget Committee was presented on behalf of the Chairman of the Committee by the Member for Wenchi.
Madam Speaker 11:05 a.m.
Yes, we did not talk
about the Report; it is just the secondment of the Motion and he is saying it is correct; any Member can.
Mr Boafo 11:05 a.m.
Madam Speaker, if one
looks at the trend of seconding of the Motion, it shows that in all cases, they had been seconded by the Chairmen and in this particular case, it has been seconded by a member of that Committee on behalf of the Chairman. It is not in his own right.
Madam Speaker 11:05 a.m.
You are saying that
in every case, it is the Chairman whether he is available or not, who must second it and not a member of the Committee if the Chairman is not there?
Mr Boafo 11:05 a.m.
If the Chairman is around,
he seconds it; if he is not around, a member does so on behalf of the Chairman.
Madam Speaker 11:05 a.m.
Any more inter-
ventions?
Mr Dominic A. Azumah 11:05 a.m.
Madam Speaker, clearly, there is no fast rule that it must necessarily be the Chairman who seconds the Motion. It is nowhere in our Standing Orders. Any Member of this House can second the Motion. But it is in the Standing Orders that it is the Chairman who presents the Report of the Committee.
So in the absence of the Chairman, any member presenting the Report does that on behalf of the Chairman. But as for
Mr Dominic A. Azumah 11:05 a.m.


seconding the Motion, any Hon Member of this House can second the Motion.
Madam Speaker 11:05 a.m.
Unless Hon Boafo points the rule to me, I do not know. This is because I thought, like it is being suggested that anybody, especially a member of the Committee can second the Motion. And are we saying that Mr Seth Terkpeh is not a member of the Committee? This is because seconding the Motion here can be done by anybody, especially if he is a member of the Committee. If I do not have the rule anywhere, I will not be able to pronounce authoritatively on it except to say that it is in order.
Dr A. A. Osei 11:05 a.m.
Madam Speaker, here
again, the same submission I made earlier, the Deputy Minister does that on behalf of his Minister, not on his own behalf.
Madam Speaker 11:05 a.m.
That one was clear -
Dr A. A. Osei 11:05 a.m.
It is repeated here.
Madam Speaker 11:05 a.m.
Where? In the
same 20?
Dr A. A. Osei 11:05 a.m.
Motion numbered 20
and then 22, 23, 26 and all in the instances; it is consequential.
Madam Speaker 11:05 a.m.
Then we will put down “On behalf of the Minister” because really, that is what he does and that is what permission is asked for. So we will correct it in that sense.
The Votes and Proceedings of
Wednesday, 15 th December, 2010 as corrected is adopted as the true record of proceedings.
I do not think we have any Official Report for today and no Statement either. I have not admitted any Statements.
Leader, now do we move on to item 4 on the Order Paper?
PAPERS 11:05 a.m.
Madam Speaker 11:15 a.m.
Leader, do we move to item 5 then?
Mr Avoka 11:15 a.m.
Madam Speaker, after
extensive consultation, we have decided that we would try to take the Budget Estimates Motions that are available and
that are ready for adoption this morning. So we will go to Motion numbered 16 at page 4 - Ministry for Trade and Industry.
ANNUAL ESTIMATES 11:15 a.m.
SPACE FOR TABLE B -PAGE 11:15 a.m.
Mr Charles S. Hodogbey (NDC - North Tongu) 11:35 a.m.
Thank you, Madam Speaker, for giving me the opportunity to support the Motion numbered 16 on the Order Paper and I will urge every Hon Member to support it.
Madam Speaker, mention was made of Ghana Standards Board. The Ministry intends to reduce the dumping of sub- standard goods by 40 per cent. I think this is not enough.
Today, if you see the markets of Ghana, there are certain fruit products made from a particular nation and even some of them do not have -There are certain drugs being sold as vitamins and all that; we do not know which country they come from. Therefore, for the Ministry to say they are going to reduce the importation of these sub-standard goods by only 40 per cent, I want to urge the Ministry to do better than that.
On the issue of cotton support programme, Madam Speaker, there are several textile industries in this country. In my own constituency, Juapong, there is one there; it was revamped by the previous Administration, including that of Pwalugu. But Madam Speaker, as I speak now, the factory is running less than 30 per cent. Why? This is because they do not get the money to import the raw materials. All these textile industries in the country should be encouraged to grow their own cotton to supply as raw materials to feed their industries. But we continue to import these raw materials; only creating jobs for other countries. I urge the Hon Minister to take a serious note of this so that as far as Juapong is concerned -- there are large
acres of land there, if there should be such a venture.
On the banana issue, Madam Speaker, today, Ghana is producing large quantities of banana but it looks as if the Ministry is not supporting that venture enough. The Pwalugu Tomato Factory has been revamped by this Administration and by the previous Administration also. But I would like us to give the producers of tomatoes, a ready market to feed this industry. The last time, I read in the newspapers that producers of tomatoes could get market and the tomatoes got rotten at the various places.
With these few statements, I urge every Hon Member to support the Motion.
Mr Peter W. Pepera (NPP - Abetifi) 11:35 a.m.
Madam Speaker, I rise to support the Motion numbered 16 on the Order Paper and in supporting it, I would make one or two brief comments.
Madam Speaker, on the positive side, I would like to say that the Committee has had and continues to have very cordial relation with the Hon Minister who, of course, we all know, is a lawyer of repute by profession and a former Member of Parliament (MP) - Perhaps, the reason, there is cordiality. And this of course, is the positive side. But there are so many negatives, Madam Speaker.
Every year, we come and as far as I know, the parliamentary committees are supposed to scrutinize the Budget to find ways of reducing waste or cutting it down. Rather, we have the annual ritual of proposing increases in the allocations given. In particular, we have heard about the staff situation, which is very dire.
In the Foreign Missions, the existing staff face severe problems outside and then we have a situation where we cannot even pay for those but we are recommending
Mr Stephen Kunsu (NDC -- Kintampo North) 11:45 a.m.
Madam Speaker, we all know the importance of the Trade and Industry Ministry and in 2011, the Minister or the Ministry has outlined some important activities and programmes. The attention that will be given to industries such as cotton, Ayensu Starch, banana and salt, are all manifestations of the seriousness of the Ministry in the economic development of Ghana.
One difficulty is the inadequate release, especially for personal emoluments and
as a Committee that we rather increase the allocation. I think we should. This is because if we are serious about developing our exports, then we have to establish trade missions in those countries where we want to export to. So we were talking about the Republic of South Africa and China. In those countries, it seems the private sector is leading the way and the Government therefore, should follow.
On the Ghana Standards Board issue, it is my opinion that they should work hard on the calibration of scales used to weigh cocoa. This is because it appears, Madam Speaker, that cocoa farmers in Ghana are being cheated. If the scales show lesser amounts, then the farmers get a lesser amount. So it is up to the Ghana Standards Board to be up and doing to make sure that the scales are accurate.
I think, maybe, the Ghana Standards Board can recommend to the COCOBOD to have available modern scales which cannot be adjusted by the buying officers to cheat our cocoa farmers. Even though we are all happy that the first oil has started flowing, Madam Speaker, I believe that cocoa would continue to be the bedrock of our economy.
Madam Speaker, when we read through the whole Budget, I do not really want to dwell on the various details but it looks like, apart from the personal emoluments, every single category of expenditure, every line item has been severely cut down.
Madam Speaker, when we talk about things like the Trade Fair, after all these years, still, in spite of Government assurances or promises to do something about it, the compensation has not been paid to enable the trade fair to be developed into a modern trade fair complex, which is absolutely necessary.
I would therefore suggest, Madam
this will put the Hon Minister or the Ministry into an embarrassing situation. If you look at the amount requested and then the releases that came, -- the Ministry requested for GH¢13,466,51.00 and was granted GH¢6,060,590.00. This is woefully inadequate.
I will therefore, urge the House to assist to approve the Ministry's budget, and also ask the Hon Minister for Finance and Economic Planning to do well to find additional support to the Ministry so that the Ministry can live up to expectation.
With these few words, I thank you.
Madam Speaker 11:45 a.m.
Hon Member, I
thought we agreed on two on either side for - except for Agriculture.
Mr Kyei-Mensah-Bonsu 11:45 a.m.
Madam Speaker, we said the major areas in particular, Agriculture, Energy, Trade and I mentioned later NDPC. I was discussing with the First Deputy Speaker -- I think that for those areas, they are only four out of thirteen.
Madam Speaker 11:45 a.m.
Well, I do not
mind except we must do it five minutes; five minutes, so that we can finish with our work within time, otherwise, Hon Hackman will not go on Christmas holidays.
Mr Hackman Owusu-Agyemang
(NPP -- New Juaben North): Madam Speaker, I will use five minutes.
We were told by the Ministry of Finance and Economic Planning at the committee meeting that no MDA received more than 60 per cent of what it requested for. And so ab initio, we have a lot of difficulty ensuring that these Ministries lived up to their expectations.
But let me start with the Ministry of Trade and Industry by reinforcing the point made by Hon Pepera that the Government had said it would stimulate the economy.

And stimulation of economies all over the world, including even the communist States has only come about through the private sector.

I do not see an expression of this major policy decision by the allocation that is made in the Budget. It looks as if, in most instances, it is all across the board that we are seeing. The stimulation of the economy will be a mirage if we go the way we are going.

There is need to ensure that resources are so allocated within, of course, the constraints and the parameters to make sure that the economy is really stimulated, the private sector is assisted to generate employment for the youth and of course, build up our GDP.

Madam Speaker, specifically on the

Ministry of Trade and Industry, I would like to talk about the AGOA. AGOA basically has been with the garment industry. All the garment industries in this country, apart from one, have collapsed. Those under the PSI have also collapsed. I have discussed this with the Hon Minister because I know the story and I am involved in it. I have to say that that is why I know the story very well.

If Hon Tony Oteng Gyasi would close down his factory, then you know that we have a problem. In the Report of the Committee, they talked about AGOA being revived and MDAs and some people who should be working on it, but until we think the whole process through like they do in Philippines, Sri Lanka, India and wherever, we should find the market for these products.

The individuals in my village in Effiduase where a factory which takes 700 people is situated, they cannot go to Germany or America, Wallmart and seek for supplies. This should be done by the State, by the Government, by the Ministry, then distributed to the factory because it is labour intensive and that is one of the surest ways of giving employment to the youth.

On the medium and small-scale
Ms Tetteh 11:45 a.m.
Madam Speaker, I will
like to thank all Hon Members for the contributions they have made and for the issues that they have raised concerning the activities of the Ministry of Trade and Industry.
Madam Speaker, in winding up, I will like to use the opportunity - [Interruption] -- Madam Speaker, I believe I am on my feet. I have started.
rose
Madam Speaker 11:45 a.m.
I have called the
Hon Minister to wind up.
Please Hon Minister, wind up.
Ms Tetteh 11:45 a.m.
Madam Speaker, in
winding up I will like to address some of the issues that were raised by Hon Members in supporting the Motion in respect of the budget for the Ministry of Trade and Industry.
rose
Madam Speaker 11:45 a.m.
Hon Minority
Leader, we have the Minister winding up; let her finish with the winding up.
Mr Kyei-Mensah-Bonsu 11:45 a.m.
Madam
Speaker, my attention has been drawn to some discrepancies in the Report and he wanted to point them out to the Minister.
Madam Speaker 11:45 a.m.
Why did they not point them out before I called the Minister? Am I to go back and forth every time somebody thinks of a problem? I did indicate that we will call three on either side - we will call three here, two there and I indicated that I was going to call the
enterprises and industries, I do not really see the effect of the so-called - well, I see here that the US$3.3 million was allocated to 142 SMEs. Maybe, the allocation was done in the usual manner where people who do not belong to one - do not get but I did not really see all these and the basis for it being done. If you look at page 3, it talks about Sector Medium Scale Development Plan; we need to see this comprehensively because --
I think that I would encourage my dear Friend, the Hon Minister to bring that document here, so that we can debate it exhaustively and make improvements into it. I think this is the way to go; after all, that is our job, that is why we are here to assist to move this nation forward. I would urge her to bring that particular document when it is ready because quite a few of us have experiences both within and outside the country to be able to assist.
Having said that, I still go back to my original point, in ending, that unless the Government gives credibility to its declared aim of stimulating the economy, which can only be done through the private sector and through the distinguished Lady there, we will never make it. We will never make it as a nation. So, I believe that stimulation of the economy through the private sector especially, is important and jobs will be created and I think then, we will be moving in the right direction as we say -- we will be moving forward --
Madam Speaker 11:45 a.m.
Yes, wind up.
Mr Owusu-Agyemang 11:45 a.m.
Thank you
very much, Madam Speaker.
Madam Speaker 11:55 a.m.
Yes, thank you.
Then we have to wind up.
Hon Minister, can you wind up quickly,

Minister to wind up.
Mr Kyei-Mensah-Bonsu 11:55 a.m.
Madam
Speaker, that is understandable, except -
Madam Speaker 11:55 a.m.
We do not have
much time, Hon Member.
Mr Kyei-Mensah- Bonsu 11:55 a.m.
I am being
told, Madam Speaker, that the Report that we are debating contains some aspects of discrepancies and they wanted to sort them out.
Madam Speaker 11:55 a.m.
I thought that -
Mr Kyei-Mensah-Bonsu 11:55 a.m.
Otherwise,
if she winds up and we vote on it, the discrepancies will reflect in the Hansard.
Madam Speaker, that is the only thing.
Madam Speaker 11:55 a.m.
No, no. I am just
wondering if this is the opportune time. When the Report was presented, could they not have raised this matter? I will allow it but I do not know what you want me to do when the Minister is on her feet winding up; you want me to stop her? I will not stop the Minister -- Hon Minister, please, finish up, then we deal with this matter. Wind up, then I will deal with this matter.
Ms Tetteh 11:55 a.m.
Thank you very much,
Madam Speaker --
Madam Speaker 11:55 a.m.
I will not be
instructed by the House. I will hear the Minister because she is on her feet. Afterwards, I will consider the matter that is being raised.
Ms Tetteh 11:55 a.m.
Madam Speaker, I believe that the discrepancy that they will like to draw your attention to is in respect of the estimates for private sector development, where we have on the original Report GH¢7,100,000.00, when it is a matter
of fact GH¢7,009,000.00. That is the discrepancy.
12.02 P.M. -- MR FIRST DEPUTY SPEAKER
Ms Tetteh 11:55 a.m.
Mr Speaker, I would beg that it should be included in the Hansard.
Mr Speaker, as I was saying, on the other issues, the Hon Ranking Member raised the matter of co-operating with other countries in order to be able to make a better impact in our negotiations on the international scene. I will like to assure the Hon Member that as a matter of fact, that is something that we have been doing for a while and will continue to do. This is because we believe that we have better capacity negotiating either as ECOWAS or as a member of the ACP group, than we do negotiating on our own.
Mr Speaker, specifically, on the development of the Keta industrial salt project -- As the Hon Member did indicate, we have commissioned the feasibility study. But again, Mr Speaker, we are looking to develop that project as a public private partnership between the Ministry and other private sector investors and we will be happy to give further and better particulars to the Committee on Trade, Industry and Tourism in due course.
Madam Speaker, the second private sector development strategy was launched yesterday by His Excellency the Vice President at the Conference Centre just across the road. Indeed, the policy and programmes that have been defined in that strategy have been included in the Ghana Shared Growth and Development Agenda.
We have done that to ensure that there is policy coherence among Government \departments and agencies. So, Mr Speaker, notwithstanding the fact that it has not yet been laid in this House, I just wanted to let Hon Members know
Ms Tetteh 12:05 p.m.
Mr Speaker, it is only the Government of Ghana that can sustain a business that has raw materials for six weeks of production within the year. And so our challenge as a Ministry has been to see how we can best work with the Ministry of Food and Agriculture and look for alternative products for processing so that that factory can work all year round.
Addit ionally, on the issue of meteorology and ensuring that skills are properly calibrated -- Indeed, that is one of the core functions of the Ghana Standards Board and it is something that engages their attention throughout the year. They have invested considerable time and resources in ensuring that calibration is properly done and taken on board, the comments of the Hon Member, we will ensure that they continue to do so.
Mr Speaker, on the issue of African Growth and Opportunity Act (AGOA) -- Indeed, AGOA has been in operation for l0 years now but I had the opportunity, Mr Speaker, to attend the most recent forum in the United States of America where the l0th anniversary of AGOA was being, as it were, recognized. And one of the things that came out of that programme was the information that as a matter of fact, notwithstanding 10 years of AGOA, 95 per cent of the single export commodity that makes up 95 per cent of the export from Africa to the United States of America is oil.
Now, Mr Speaker, what that tells us is that notwithstanding l0 years of AGOA, there are a lot of things that we need to think about to see how that policy can be beneficial to all the African countries, including Ghana that it was expected to support.

that the important thing was to ensure that Government across board was taking into consideration what programmes and initiatives have been started by other Ministries so that we do the things that we do especially in terms of implementing policies and programmes in a strategic and focused manner.

Mr Speaker, issues have been raised about sub-standard goods and the Ghana Standards Board -- Mr Speaker, indeed, the importation of sub-standard goods is a challenge in our economy at the present time and we are not just thinking about dealing with those challenges in the year 2011. But we have also gone ahead to put in place certain programmes to ensure that we are able to limit the amount of sub- standard goods coming into our country. Mr Speaker, the main area where we have challenges is especially with regard to the import of electrical products.

For that reason, the Ministry of Trade and Industry has issued an administrative directive that electrical products should only come in through Tema, Kotoka and Takoradi points. This is because those are the points at which we have Ghana Standards Board staff who can take samples, test and ensure that what is brought into the country meets the Ghana technical standards.

Mr Speaker, we reserve the right to destroy any products that are brought into the country that do not meet our technical specifications.

Mr Speaker, additionally, on the matter of the Pwalugu Tomato Factory, now known as Northern Star Tomato Factory, indeed, the factory itself is capable of processing tomatoes. The challenge is having enough raw material to be able to process all year round. Mr Speaker, at the beginning of this year (2010), the factory was in operation, it was able to

The view of the Ministry of Trade and Industry is that, in focusing on the garment sector, we should not only look at the US market as a potential market but we should engage our activities in looking for market opportunities elsewhere. And Mr Speaker, I would like to assure Hon Members that that is something that we are focused on.

Mr Speaker, on the issue of the funds

that were made available to Small and Medium Enterprises (SMEs) for business development support, I would like to inform Hon Members that in the Ministry of Trade and Industry, we have the Micro, Small and Medium Enterprises Project and under that programme, we do have allocation for the provision of matching grants for small and medium enterprises that indeed, meet the criteria of that particular component of the programme.

It was under this project which is a World Bank project that funds were made available and Mr Speaker, political colour is most definitely, not a consideration.

Mr Speaker, on that note, I would very much like to thank Hon Members for their contribution and their support. Once again, I urge this Honourable House to approve the sum of GH¢82,603,-136.00 for the services of the Ministry of Trade and Industry for the year ending 31st December, 2011.

Mr Speaker, I thank you.
Dr A. A. Osei 12:05 p.m.
Mr Speaker, if we can just spend about a minute with the Chairman. There are minor corrections in the Report and I think the Ranking Member brought them to his attention but he forgot to bring them. So, if we can just get together and double-check

the numbers, then we can come back and vote on it.
Mr First Deputy Speaker 12:05 p.m.
Chairman of the Committee, change the figures in your Report before --
Alhaji Sorogho 12:05 p.m.
Mr Speaker, I think what he is saying is right. The first thing would have been to change the figures but it is a very minor problem, and I think when the Hon Minister was making her delivery, it was captured. So, it is assumed -- [Interruption.]
Dr A. A. Osei 12:05 p.m.
That was only one of them. It is just one of them. Let us get together and we can fix it.
Alhaji Sorogho 12:05 p.m.
So, we can take others -- we will get together to see what the figures are.
Mr Speaker, if you can give us just five minutes.
Mr First Deputy Speaker 12:05 p.m.
Hon Chairman, do you understand what you are supposed to do? Do you know what you are supposed to do?
Alhaji Sorogho 12:05 p.m.
We will make the corrections to the figures.
Mr First Deputy Speaker 12:05 p.m.
But you are saying that it is minor? You are saying that it is a minor matter and yet you are saying that that minor matter, I should give you some minutes?
Alhaji Sorogho 12:05 p.m.
Mr Speaker, yes. According to what they are saying, there is something else. But what my Ranking Member and I agreed on is what we have just corrected. So, if you can just give me two minutes.
Mr First Deputy Speaker 12:05 p.m.
We
Mr Avoka 12:05 p.m.
Mr Speaker, I regret to say that the substantive Minister himself is outside the jurisdiction and with your kind permission, to allow the Hon Deputy Minister in charge of Crops and who is a member of this august House, to move the Motion for and on behalf of the substantive Minister.
Mr Kyei-Mensah-Bonsu 12:05 p.m.
Mr
Speaker, we should not have any problem.
rose
Mr First Deputy Speaker 12:05 p.m.
Have you
resolved the problem?
Alhaji Sorogho 12:05 p.m.
Yes, Mr Speaker.
Mr First Deputy Speaker 12:05 p.m.
Hon Ranking Member, have you resolved the problem?
Mr Isaac Osei 12:05 p.m.
The matter is resolved.
ANNUAL ESTIMATES 12:05 p.m.
Alhaji Sorogho 12:05 p.m.
Mr Speaker, page 4, under Administration, instead of GH¢1,931,442; it is GH¢1,931,443. So the “442” should be changed to “443”, that is an addition of one cedi. That will then mean that under total, instead of 21,065,656, it should be 21,065,660. Then on page 5, the Administration, total GH¢3,127,093, it should be “GH¢3,127,094. That one too went up by one cedi. The Private Sector was what the Hon Minister changed; instead of GH¢7,100,000, it is GH¢7,090,000. [Interruptions.]
So it does not change the total, the total
Food and Agriculture): Mr Speaker, I beg to move, that this Honourable House approves the sum of GH¢221,550,588.00 for the services of the Ministry of Food and Agriculture for the year ending 31st December, 2011.
Mr Speaker, the goal of the Ministry of Food and Agriculture is to develop a progressive, dynamic and viable agricultural economy that would ensure food security and emergency preparedness, income growth and poverty reduction.
The agricultural sector in Ghana is made up of five (5) key sub-sectors, namely, crops, livestock, fisheries, cocoa and forestry. While the Ministry of Food and Agriculture is directly in charge of crops, livestock and fisheries sub-sectors, the cocoa and forestry sub-sectors are under the purview of the Ministries of Finance and Economic Planning and Lands and Natural Resources respectively.
Mr Speaker, in 2011, the programme of establishing, at least, one agricultural mechanisation services centre per district along the very chain, will continue in the remaining 86 districts.
About 100,000 metric tonnes capacity rice milling machines would be acquired to assist paddy rice farmers in the Northern, Upper East and Upper West Regions.
The first phase of the Afram Plains Irrigation Project covering an area of about 5,000 hectares would be carried out to promote double cropping of vegetables and cereals.
The implementation plan for the National Irrigation Policy will be completed and launched during the year.
Mr Speaker, the Ministry will continue to pursue the Youth in Agriculture
move to item 6 - Minister for Food and Agriculture?
Mr Avoka 12:05 p.m.
Mr Speaker, with your
kind indulgence, I would want us to take item 5 which is just presentation of a Bill.
Mr First Deputy Speaker 12:05 p.m.
It has not
been done?
Mr Avoka 12:05 p.m.
No. We inadvertently
omitted it.
Mr First Deputy Speaker 12:05 p.m.
Very well.
Mr Avoka 12:05 p.m.
Mr Speaker, with your kind permission, if you would permit the Hon Deputy Minister, Hon Alhaji Inusah Fuseini to present it on behalf of the Minister who is still involved in yesterday's activities.
Mr Kyei-Mensah-Bonsu 12:05 p.m.
Mr Speaker, I have no problem with that.
BILLS - FIRST READING 12:05 p.m.
Mr First Deputy Speaker 12:05 p.m.
Hon Members, they must also determine the urgency of the Bill. If they go and they think it is not urgent, it is for them to come and tell the House. So, they should come and inform the House of the urgency of the said Bill.
Item 6 - Minister for Food and Agriculture?

is still the same. There is no change at all in the grand total.
Mr First Deputy Speaker 12:05 p.m.
Very well.
If it has affected the total -
Mr J. B. Aidoo 12:05 p.m.
Mr Speaker, the same
table he mentioned, under Investment, the total will change to GH¢12,377,147. What we have there is GH¢12,387,147. It should be GH¢12,377,147.
Dr A. A. Osei 12:05 p.m.
Mr Speaker, page
5, because we changed the 7,090, the total will change accordingly. This is because we have changed the 7,100 to 7090, therefore, the 12,387 will change to 12,377.
Alhaji Sorogho 12:05 p.m.
The overall total is still the same.
Mr First Deputy Speaker 12:05 p.m.
So the
figure as printed on the Order Paper is correct?
Alhaji Sorogho 12:05 p.m.
Yes.
Question put and Motion agreed to.
Resolved:
That this Honourable House approves the sum of GH¢82,603,136.00 for the services of the Ministry of Trade and Industry for the year ending 31st December, 2011.
ANNUAL ESTIMATES 12:15 p.m.
Chairman of the Committee (Dr Yakubu A. Alhassan) 12:15 p.m.
Thank you very much, Mr Speaker, for the opportunity to support the Motion ably moved by the Hon Deputy Minister on behalf of the Hon Minister.
Mr Speaker, in doing so, may I present the Report of the Committee.
1.0 Introduction
The Minister for Finance and Economic Planning, Dr Kwabena Duffuor, on Thursday, 18th November, 2010 presented to Parliament, the Budget Statement and Economic Policy of the Government of Ghana for the 2011 financial year in accordance with article 179 of the 1992 Constitution.
Pursuant to Standing Orders 140 (4) and 176, the Speakers, referred the Estimates of the Ministry of Food and Agriculture to the Committee for consideration and report. 2.0 Deliberatioins
The Committee held a series of meetings with the following to deliberate on the 2011 draft Annual Estimates of the Ministry of Food and Agriculture:
1. The Minister for Food and Agriculture, Mr Kwesi Ahwoi; two Deputy Ministers for Food and Agriculture; Hon Yaw Effah-Baafi, Hon Alfred Sugri Tia and Ing. J. K. Buamah, the Chief Director of the Ministry.
2. Directors and Project Co-ordinators of the following:
i. Human Resource Development and Management Directorate;
ii. General Administration;
iii. Statistics, Research and Information Directorate;
iv. Crop Services Directorate
v. Ghana Irrigation Development Authority;
vi. Irrigation Company of Upper Region;
v i i . G r a i n s a n d L e g u m e s Development Board;
viii. Roots and Tuber Improvement and Marketing Project;
ix. Export Marketing and Quality Awareness Project;
x. Inland Valley Rice Development Project;
xi . Afram Plains Agriculture Development Project;
xii. Northern Rural Growth Programme;
xiii. Rice Sector Support Project;
xiv. Tsetse Eradication Project;
xv. Plant Protection and Regulatory Services Directorate;
xvi. Women in Agriculture Development
(WIAD);
xvii. Ghana Veterinary Council;
xviii. Veterinary Services Directorate;
xix. Animal Production Directorate;
xx. Agricultural Extension Services Directorate; and
xxi. Fisheries Commission;
xxii. Agricultural Engineering Services Directorate; and
xxiii. Policy Planning, Monitoring and Evaluation Directorate.
The Committee is grateful to them for their support and co-operation.
Chairman of the Committee (Dr Yakubu A. Alhassan) 12:15 p.m.
3.0 Reference materials
1. The 1992 Constitution of Ghana;
2. The Standing Orders of Parliament;
3. The 2010 Annual Budget Estimates of the Ministry of Food and Agriculture;
4. The 2010 Budget Statement and Economic Policy of the Government of Ghana; and
5.The 2011 Budget Statement and Economic Policy of the Government of Ghana.
4.0 Mission Statement (General)
The Ministry of Food and Agriculture was established to promote sustainable agriculture and thriving agri-business through research and technology development, effective extension and other support services to farmers, fishermen, processors and traders for improved human livelihood.
5 . 0 P e r f o r m a n c e o f t h e Agriculture Sector for year 2010
5.1 Allocations for the financial year 2010
The Ministry was allocated a total of two hundred and fifty-six million, three hundred and twenty-one thousand, four hundred and ninety-five Ghana cedis (GH¢256,321,495) to carry out its programmes and activities in 2010.
This comprised GoG component of seventy-seven million, two hundred thousand, one hundred and eighty Ghana cedis (GH¢77,200,180), representing 30.11 per cent while four million, nine hundred and thirty-five thousand and thirty Ghana cedis (GH¢4,935,030) being IGF, ten million Ghana cedis (GH¢10,000,000) and one hundred and sixty-four million, one hundred and eighty-six thousand, two hundred and eighty-five Ghana cedis (GH¢164,186,285) representing HIPC and donor components respectively. A c t u a l A l l o c a t i o n a s A g a i n s t Expenditure in September 2010
The budget performance for 2010 indicated that as at the end of the 3rd quarter the Ministry has expended only 54 per cent of its total allocation for 2010.
5.2 Achievements in 2010
Notwithstanding the inadequacy registered with regard to allocations and releases to the various Directorates, Projects and Agencies, the Ministry recorded the following achievements:
5.2.1 Human Resource Development and Management Directorate
The Directorate successfully generated a human resource database and staff at various levels, have benefited from both local and foreign trainings to upgrade and improve their capacities.
5.2.2 General Administration
In 2010, General Administration Directorate of the Ministry executed successfully the following programmes:
i. National Farmers' Day Programmes
ii. World Food Day; and
iii. Compilation of MoFA's assets into
an Assets Registry for easy management.

5 .2 .3 S tat i s t i cs , Research and Information Directorate (SRID)

SRID within this year conducted a nationwide Multi-round Annual Crop and Livestock Survey (MACLS). The Directorate also collaborated with Ghana Standards Board to train selected market traders in the use of weights and measures.

5.2.4 Crop Services Directorate (CSD)

The CSD developed a policy brief on

climate change and an Environmental Management Plan (EMP) for the Inland Valleys Rice Development project. It also approved for release by research improved four maize varieties namely, Aburohemaa, Omankwa, Abonten and Eni Pidi.

5 . 2 . 5 G h a n a I r r i g a t i o n Development Authority (GIDA)

GIDA in the year under review, completed the rehabilitation of Tono irrigation scheme which will put 300 acres

of irrigated land to be dedicated to the production of tomato to feed the Tomato Factory at Pwalugu. A seed production area was also established at the Ashaiman irrigation scheme for seed multiplication for the 2010 2011 farming season.

Five hundred (500) farmers have also been trained in joint irrigation system management. Irrigation advisory services were provided to institutions such as Millennium Development Authority (MiDA), Export Marketing and Quality Awareness Project (EMQAP) and the Japanese International Research Centre for Agricultural Science (JIRCAS).

5 . 2 . 6 I r r i g a t i o n C o m p a n y o f Upper Regions (ICOUR)

ICOUR developed and managed 1,448 hectares of land under irrigation to produce 6,076.6 tonnes of produce.

5 . 2 . 7 G r a i n s a n d L e g u m e s
SPACE FOR TABLE - PAGE 12:15 p.m.
SPACE FOR TABLE - PAGE 12:15 p.m.
Mr First Deputy Speaker 12:25 p.m.
Hon Member, you have one minute more.
Mr Debrah 12:35 p.m.
It even becomes worse when you look at the New Partnership for Africa's Development (NEPAD's) declaration, that is, the Maputo Accord. In 2005, we moved from 9.6 per cent of the national expenditure to 10.2 per cent in 2008. In 2009, we reduced to 9 per cent and in 2010, it is less than 9 per cent.
Mr Speaker, to wind up, it is even very sad when you look at the Budget with oil and without oil in the 2011 Budget. And that is on page 41.
In agriculture, without oil, growth rate is 6.1 per cent with oil, growth rate is 6.2 per cent for 2011. If you go to industry, without oil, growth is 8.2 per cent with oil, growth is 25 per cent. Are we paying lip-service to agriculture? That is the reason Pwalugu Tomato Factory cannot get tomato to grind.
Mr Speaker, if you look at this budget for 2010, 2011, 2012 and 2013, Ghana has already contracted the Dutch disease. And I am afraid you may wake up on 2nd January, 2014 to read the front page of the Daily Graphic that Ghana's agriculture is dead, and is dead because of the Dutch disease --
Mr First Deputy Speaker 12:35 p.m.
Hon
Member, your last sentence. You have exceeded the time allocated to you.
Mr Debrah 12:35 p.m.
Mr Speaker, I would have dis-recommended the budget based on the oil and without oil budget but because the oil has just come in and we are approving this budget for 2001, I will support the budget for 2011 without oil and urge my Colleagues to support it as well. But the Ministry of Finance and Economic Planning should look at the supplementary budget in June and channel more resources to the agricultural sector.
Thank you, Mr Speaker.
Mr Kyei-Mensah-Bonsu 12:35 p.m.
Mr
Speaker, in presenting the Report, I thought the Committee Chairman was going to look at their own Report at page 10. There are some discrepancies in the table and for Investment in particular; for donor, there is no provision. In that case, the total cannot be GH¢117,371,999.00. It does appear that the figure that has been put against total for Investment should be relocated to donor, then that will bring the total to GH¢117 million. In place of GH¢98,610,399.00 that is under investment, it should be GH¢134,000,233.00. That then will bring the total to GH¢221,550,588.00 . I thought the Chairman was going to address that. Maybe, it escaped him.
Mr First Deputy Speaker 12:35 p.m.
Chairman,
have you noted the discrepancy?
Dr Alhassan 12:35 p.m.
Mr Speaker, we will
sort it out.
Mr First Deputy Speaker 12:35 p.m.
All right,
try to sort it out so that before we put the Question, we would have clarified that point with the Hon Minority Leader.
Mr Kyei-Mensah-Bonsu 12:35 p.m.
Mr
Speaker, you see, these are some of the things we want to draw attention to and it appears the Chair gets irritated, and that is most unfortunate; because if we do not do these things, we would be approving the wrong document. It is going to go into the Hansard.
Mr First Deputy Speaker 12:35 p.m.
In your diagram, why did you put “Approved Budget”? It is not yet approved. The breakdown of the 2011 allocation, you have a 2011 approved budget. So I will give you the chance to correct all those things before we -- Hon Member for Juaboso, is that correct?
Mr Ahi 12:35 p.m.
Yes, Mr Speaker.
Mr Speaker, we all know that this our economy is largely sustained by the agricultural sector because we have over 60 per cent of our people who are engaged in the agricultural sector and for that matter, Mr Speaker, all of us must combine our efforts to ensure that whether with oil or not with oil, we actually show interest in developing the agricultural sector.
Mr Speaker, in 2009, the Government introduced the National Buffer Stock Management concept. This concept is a very laudable idea because it will provide a guarantee price to our farmers; it will prevent post-harvest losses in the agricultural sector. Last year, Mr Speaker, the Buffer Stock Management had a capacity of 34,000 metric tonnes of cereal crops.
This year, it is the objective of the Ministry to increase it to 100,000 capacity. This will provide readily available market to our farmers; this will also motivate more and more people to go into the agricultural sector because of the available market that they will have to sell their produce.
Mr Speaker, the Youth in Agriculture -- we all know that most of our youth are unemployed and the readily available employment to them is to encourage most of them to go into the agricultural sector.
With that, I want to encourage the Ministry to do more to encourage most of our youth to develop interest and go into agricultural activities so that they can also have a living.
Mr Speaker, it is good to hear that it is true that the New Patriotic Party Government introduced the fertilizer
subsidy before they left office but the current Government too is continuing with the programme. But let me also add that the agricultural seasons are time bound and that the commodity or the fertilizer must be used timely so that the farmers can actually access the fertilizer and use it to achieve their targets, otherwise, if it is delayed in supplying it to the farmers, the season will elapse and the main objective of buying the fertilizer cannot be achieved. So I want to call on the Ministry to do their best to release the fertilizer timeously.
Again, Mr Speaker, it has been stated in the 2011 Budget, the Government is going to introduce Agricultural Investment Fund. I think that all of us must support Government in this, so that it will be able to institute this important fund so that more and more of our peasant farmers can access credit facilities to expand their farms, so that as a nation, we would be sufficient enough in food production to -
Dr Owusu A. Akoto (NPP - Kwadaso) 12:45 p.m.
Mr Speaker, I wish to thank you for the opportunity to comment on this Motion and I do so with a heavy heart. A heavy heart because agriculture is being pronounced by this Government as the engine of growth.
When the President talks about the oil find, is talking about -- not forgetting agriculture. The Minister for Finance and Economic Planning, the Minister for Food and Agriculture, all senior Government officials keep touting agriculture as the major sector for this economy. Unfor- tunately, the Estimates presented to us today in Parliament expose the very negligent manner in which agriculture is
being managed in this country.
I wil l go on with two facts - Observations and recommendations -- contained in the Committee's Report. They state very clearly that between 2010 and 2011, there has been a reduction in the amount of money given to agriculture. From GH¢256.9 million in 2010 to only GH¢221.5 million, a reduction in absolute terms of nearly GH¢35 million, representing about 12 per cent reduction in the budget for agriculture. What is even more serious, Mr Speaker, is that for 2010, we have gone through three quarters and just about half of agriculture's allocation has been disbursed.
Only 54 per cent of the amount allocated to agriculture in the 2010 Budget has been disbursed. As you know, Mr Speaker, agriculture is weather-bound. Most of agricultural activities in terms of land clearing, planting, harvesting are done in the first three quarters and yet the Ministry which has the responsibility to ensure the growth of agriculture has only been able to disburse about half of its requirement. This is a very serious state of affairs, Mr Speaker.
During our discussions with officers of the Ministry and the Minister himself, there was persistent call to the Minister for Finance and Economic Planning -- Unfortunately, he is not here; I see his very competent Deputy Minister, Hon Terkpeh there and I hope he would carry this message - [Some Hon Members: He is not listening] - He is on the phone.
Mr Speaker, I wish he could come off the phone to listen to what I am saying, that if the Government really means what it says, that agriculture is the engine of growth of this economy, then it is about time we actually put our mouths where

the money is and make sure that the disbursements for agriculture are timely, and that we give agriculture the needed support and not just by rhetoric by the President and his senior Ministers, saying that agriculture is important and when it comes to allocation of resources to support the sector, they do not perform - non- performance.

Mr Speaker, I would like to come to the last equally important point, which is to do with the way the various departments of agriculture over the years have come to accumulate inefficiencies. We have various projects by our African Development Bank, and the World Bank and we have about nineteen different projects doing almost the same thing - duplicity of efforts and functions by so many departments of the Ministry of Food and Agriculture.

If you may recall -- and the Hansard captured it last year -- Mr Speaker, we urgently asked the Minister for Food and Agriculture to look at rationalizing the departments to make them more efficient, so that all the inefficiencies in the Ministry would be reduced, to put them in a better position to promote agriculture.

With these few words, Mr Speaker,

I support the Motion - [Interruption] - Well, my Hon Colleagues are talking about cocoa. I do not want to go there because my time is up but that is another area --
Mr First Deputy Speaker 12:45 p.m.
Thank you
very much, Hon Member.
Mr Mathias K. Ntow (NDC -
Aowin): Thank you, Mr Speaker, for giving me the opportunity to contribute to the Motion on the floor.
Mr Speaker, the first point I want to
Mr Speaker 12:45 p.m.
Hon Members, when
we make this type of noise, it takes away the honour of this House. The noise is too much.
Yes, continue.
Mr Ntow 12:45 p.m.
Mr Speaker, one area I
Mr Joe Ghartey 12:45 p.m.
Mr Speaker, I
thought you had just said that we should please lower our voices since it takes away the honour of the House and I could not agree with you more. I was talking myself so immediately you said that I stopped. When I cast my eye, our Leader is talking, and he is still talking -- [Laughter] -- The Hon Majority Leader is still talking - [Interruptions] - He is still talking to four people - Hon Asaga, my good Friend -- Now Hon Muntaka is covering his face - [Laughter.] He was also talking.
Thank you very much, Mr Speaker.
Mr Ntow 12:55 p.m.
Mr Speaker, another area is the late arrival of the cocoa fertilizer. This input does not go at the right time. By the time the fertilizer gets to the farmers, the season is almost over. This is because now the weather is very, very unpre-dictable. So I want to appeal to the sector Minister to ensure that the fertilizer gets to the cocoa farmers at the right time so that it could be used judiciously.
Before I take my seat, I want to say that the road network -- I want to draw the attention of the Ministry that if the road network in the agricultural areas or in other words, the cocoa growing areas is not improved, it is going to create a lot of problems for us.
So I want to appeal to the sector Ministry that once we are looking at other areas of agriculture, they should
not forget the road network in the cocoa growing areas, especially in Aowin/ Suaman District, because we have never benefited from the cocoa roads.
Mr First Deputy Speaker 12:55 p.m.
Hon Member, conclude.
Mr Ntow 12:55 p.m.
In conclusion, Mr Speaker, I want to say that the agricultural sector is very, very important and vital to this nation, and therefore, due attention must be paid to it.
Finally, the monitoring sector is very much important to me; they should try to monitor project administrators so that monies invested would not go waste.
Thank you, Mr Speaker, for giving me the opportunity to contribute.
Mr Simon Osei-Mensah (NPP - Bosomtwe) 12:55 p.m.
Mr Speaker, before I commence my main submission, I want to make a correction in the Motion.
Mr Speaker, we are told to approve the sum of GH¢221,550,588. This does not agree with the figure we have in the Budget. It should rather read: GH¢221,550,587 and this can be found on page 70, paragraph 238 of the Budget and then the table on page 263. So we should correct the figure. \
Thank you.
Now, onto my -
Mr First Deputy Speaker 12:55 p.m.
Hon Member, the point you are raising is a very fundamental one, because we have to know the figure that we are dealing with. So hold your breath, I will call you. Let us clarify the figure so that we know the figure that we are all talking about.
Hon Deputy Minister, what is the figure that we are dealing with? The Hon Member is telling the House that it should be GH¢221,550,587.
rose
Mr First Deputy Speaker 12:55 p.m.
Hon Member, he has moved the Motion. I want to hear from him first, then I would hear from you the Chairman and Ranking Member on the figure. [Pause.]
Hon Deputy Minister, you have moved a Motion. The Motion is standing in your name, what figure are we dealing with?
Mr Effah-Baafi 12:55 p.m.
Mr Speaker, as far as I am concerned - [Pause.] Mr Speaker, there is an error in the figure on the Order Paper. So it should read GH¢221,550,587.
Mr First Deputy Speaker 12:55 p.m.
Hon Minister, have you looked at page 263 of the Budget, appendix (8) (b)?
Mr Effah-Baafi 12:55 p.m.
Yes, Mr Speaker. The figure I have just read is consistent with the one in the statement.
Mr First Deputy Speaker 12:55 p.m.
Chairman
-- 12:55 p.m.
Dr Alhassan 12:55 p.m.
Mr Speaker, I know that we had this difficulty at the Committee level and I was convinced that one of the items, I think the service votes, under Internally Generated Funds (IGFs) was supposed to be GH¢3,008,827; that is why we ended up with the 588. But if it reverses to what is in the Budget Statement to GH¢3,008,826, then it ends with GH¢221,550,587. [Pause.]
Mr First Deputy Speaker 12:55 p.m.
Chairman, the last three figures, are they 588 or 587?
Dr Alhassan 12:55 p.m.
587. I have conferred with the Ministry of Finance and Economic Planning and they insist it is 587.
Mr First Deputy Speaker 12:55 p.m.
Hon Deputy Minister, amend the Motion accordingly to reflect that figure.
Mr Effah-Baafi 12:55 p.m.
Mr Speaker, I beg to move, that this Honourable House approves the sum of GH¢221,550,587.00 for the services of the Ministry of Food and Agriculture for the year ending 31st December, 2011.
Mr First Deputy Speaker 12:55 p.m.
Very well. He has amended the figure.
Mr Osei-Mensah 12:55 p.m.
Mr Speaker, in my submission on the Budget for Agriculture las year, I did say that the performance of 6.2 in the agricultural sector was a carry- on or carry forward of the efforts of the New Patriotic Party (NPP) Administration and this was disputed. I have been proved right because the 2010 performance is now 4.8. They made actual investment in 2009 and the results, we will know in 2010; this is because I made a certain example.

Now, Mr Speaker, let me move on to the substantive issues. In the 2010 Budget, page 66, paragraph 221, we were told that the Tono Irrigation Project was completed in 2009. Again, we come to 2011 Budget, page 67, paragraph 227: they are again telling us that the Tono Irrigation Project has been completed in 2010. Which year was it completed? 2009 or 2010? [Interruptions.] Again, let us go to 2010 Budget -
Mr First Deputy Speaker 12:55 p.m.
Hon Members, he is making his contribution. You could disagree, if he has made something - That is his opinion - I would be very strict with points of order.
Chairman of the Committee.
Dr Alhassan 1:05 p.m.
My Hon Colleague is entitled to his opinion but these are figures written in black and white in the Budget Statement and the figure for 2010 is a provisional statement. It is a provisional 4.8 growth and he should wait till the end of the year -
Mr First Deputy Speaker 1:05 p.m.
Hon Member, so he is not out of order? It is a point of argument. He is also quoting a certain figure. All that we need to do at the appropriate time is to -
Hon Member, it is not the final figure, it is a provisional figure.
Hon Member, continue.
Mr Osei-Mensah 1:05 p.m.
Thank you, Mr Speaker.
Unfortunately, he failed to recognize that both figures were provisional figures. As the Budget was read in 2010, it was a provisional figure and this is also a provisional figure. I am comparing two provisional figures.
Again, let us move on to the 2010 Budget, page 68, paragraph 225 - we were told that they were going to construct two fishing harbours and twelve landing sites. Again, they come to 2011, page 69, paragraph 223; they say they are now going to carry out the feasibility studies - what are they telling us? [Interruption] - 2010 under construction, now 2011 feasibility studies?
Mr Speaker, again, one serious error; in the bonus payment, Mr Speaker, they have quoted that they are going to make a bonus payment of GH¢50,793,724 and they are telling Ghanaians that this works up to GH¢40 per tonne. When you divide 50,793724 by 40, you get one million, two hundred and sixty-nine and over tonnes. Have we attained the level of one million tonnes?
rose
Mr Osei-Mensah 1:05 p.m.
Mr Speaker, let us move on.
On the 2011 Budget -
Mr First Deputy Speaker 1:05 p.m.
Hon Member, do you have a point of order? What Order has the Hon Member breached?
Mr Twumasi-Appiah 1:05 p.m.
Mr Speaker, it is a point of relevance. Mr Speaker, we are discussing your Committee's Report. What the Hon Member is saying, I do not see - [Interruption.]
Mr First Deputy Speaker 1:05 p.m.
Hon Member, we are not discussing the Committee's Report alone. We are discussing allocation to the sector. Allocation to the agricultural sector - that is what we are discussing.
rose
Mr Osei-Mensah 1:05 p.m.
Thank you, Mr Speaker.
Mr Speaker, in the 2011 Budget, paragraph 244 -
Mr First Deputy Speaker 1:05 p.m.
Hon Minister, I will give you the chance to wind up; when you are winding up and there are any problems you have with the point he is making, you can make your point.
Hon Member, continue.
Mr Osei-Mensah 1:05 p.m.
Mr Speaker, paragraph 244 of the 2010 Budget, we were told that provision of five million Ghana cedis was provided for scholarship to cocoa farmers' wards. This year, they
are providing for only GH¢2.4 million, less than 60 per cent of what they provided for in 2010. What are we doing to our cocoa farmers? Is it because other people do not think about cocoa farmers or what? We do not need to cheat the cocoa farmers.
Mr Speaker, I move on to 2010, page 73, paragraphs 244 and 245. Mr Speaker, look at the special -
Mr First Deputy Speaker 1:05 p.m.
You have one minute more.
Mr Osei-Mensah 1:05 p.m.
Mr Speaker, look at the special audit scheme for cocoa farmers. Mr Speaker, we are providing GH¢868,000 and STX, the average house costs US$50,000. If you convert even at a rate of 1 to 1.4, that works to about GH¢70,000.00. It means this amount can build only twelve houses -
Mr First Deputy Speaker 1:05 p.m.
Hon Minister for Employment and Social Welfare, do you have a point of order?
Mr E. T. Mensah 1:05 p.m.
Yes, Mr Speaker. The Hon Member has been talking about “they have cheated the cocoa farmers”, and are we cheating the cocoa farmers? Who are “they” that he is talking about? It is on record that we were the ones who have kept faith with the cocoa farmers ever since. So I think that it is very unparliamentary - “they” -- “they have been cheating the cocoa farmers”. What is he talking about? It is unparliamentary and I think he should go slow on using the word “cheat”, “cheat”, cheat”. Nobody has cheated the cocoa farmers and nobody is going to cheat the cocoa farmers.
I thank you very much.
Mr Osei-Mensah 1:05 p.m.
Mr Speaker, so if you work out the price for each housing unit under STX, which will cost not less than GH¢70,000.00, if we divide 868,000 by the 70,000, it is less than 12 houses per annum. And is this the housing scheme we are providing for the cocoa farmers? Mr Speaker, what I am trying to say is - let
Mr Osei-Mensah 1:05 p.m.
I am concluding.
We have Cocoa Farmers' Social Security; now the name has been changed to Cocoa Farmers' Pension Scheme. And Mr Speaker, this one, I beg, I have to quote so that we could all compare. I am referring to page 73 of the 2010 Budget -
Mr First Deputy Speaker 1:05 p.m.
Hon Member, conclude.
Mr Osei-Mensah 1:05 p.m.
Mr Speaker --
“In fulfillment of our desire to seek the welfare of cocoa farmers, Government has established a Social Security Fund and they have allocated 50 million Ghana cedis.”
We come to 2011 Mr Speaker, while I am going to land, let me quote from paragraph 255, then they come here and say, Mr Speaker, listen carefully, “Cocoa farmers pension scheme will commence.”
2010, it has been established; 2011, to be commenced - [Interruption] - Mr Speaker --
Mr First Deputy Speaker 1:05 p.m.
Your last sentence -
Mr Osei-Mensah 1:05 p.m.
In conclusion, Mr Speaker, what I am saying is that the 2011 Budget, unfortunately, considering the discrepancies and inconsistencies, I can say that it is a “cut and paste Budget”, which the cut was not properly edited.
Mr First Deputy Speaker 1:05 p.m.
Yes, the last from the Majority side; your contribution. Hon Members, any contribution from
here, otherwise, I will call on the Hon Minister - Hon Members, we have agreed to take three contributions from each side; the Minority have exhausted their three and I am asking - [Interruption] - Very well, Chairman, do your correction. Then I will call the Hon Minister to wind up.
Dr Alhassan 1:05 p.m.
Mr Speaker, the heading on the table should now read “2011 Budget Estimates” and not “approved Budget.” Then under Service - IGF, the figure there should be 3,008,826 and not 3,008,827 - [Interruption.]
Mr First Deputy Speaker 1:05 p.m.
Hon Members, let us listen and get the figures. Why? The Chairman is - Our attention has been drawn to discrepancies in the figures in the Report. The Report is not in the name of the Hon Minister; it is in the name of the Chairman of the Committee and he is correcting his Report.
Dr Alhassan 1:05 p.m.
Mr Speaker, the amount of GH¢98,610,399 would come to the column on donor. And under totals for the roads, we will now have GH¢134,000,233 under Investments. And that tidies up the table and the appropriate figures. So I will leave it with the Table Office for the corrections.
Thank you very much.
Mr First Deputy Speaker 1:05 p.m.
And then have you corrected the overall total? The overall total -
Dr Alhassan 1:05 p.m.
Yes. The overall total will now come to 221,550,587.
Thank you.
Mr First Deputy Speaker 1:05 p.m.
Yes --
Mr J. B. Aidoo 1:05 p.m.
Mr Speaker, to help the Chairman, the total for IGF would be GH¢5,890,389.00 and the total for Service that is, when you take the row column, the
total for Service would be GH¢23,970,426 and not GH¢23,970,427. That would tidy up the table.
Mr First Deputy Speaker 1:15 p.m.
Very well, Hon Deputy Minister, wind up.
Mr Effah-Baafi 1:15 p.m.
Mr Speaker. I thank Hon Members for their contributions and the concerns raised. I assure Hon Members that those concerns that are under our control, would be carried on board.
Mr Speaker, the Hon Ranking Member made a very important input to the effect that the implementation of the subsidy this year delayed. It is true, but the reason is that that was the time that we were switching off the coupon system to the waybill system and it involved a lot of consultations and decision-taking. That was why that delay was caused but I want to assure you that in subsequent years we would ensure that the implementation starts at the beginning of the year so that all farmers would benefit from it.
I wish also to indicate that in 2008 and 2009, the target beneficiaries of the Fertilizer Subsidy Programme were the small-scale food crop farmers but in 2010, the programme was opened to all categories of farmers, ranging from small scale, medium and commercial farmers, therefore, it is very difficult at the open market to categorize the beneficiaries into commercial and non-commercial farmers.
I also want to mention that cocoa budget is indeed, separate from that of the Ministry of Food and Agriculture, therefore the impression should not be
created that its budget is subsumed under
MOFA.
Thank you very much, Mr Speaker. Question put and Motion agreed to.
Resolved:
That this Honourable House approves the sum of ¢221,550,588.00 for the services of the Ministry of Food and Agriculture for the year ending 31st December, 2011.
Mr First Deputy Speaker 1:15 p.m.
Item 8.
Mr Avoka 1:15 p.m.
Mr Speaker, with your kind permission, we take Motion number 8 and I further wish to apply for one of the Hon Deputy Ministers of Energy (Alhaji Inusah Fuseini) -- the newest, one of the latest ‘Alhajis' in our midst to move the Motion on behalf of the substantive Minister.
Mr Speaker, following what happened yesterday in Takoradi, the Hon Minister for Energy himself is following up with the contractual agreements with the oil producers, that is why he is not here himself.
Thank you.
ANNUAL ESTIMATES 1:15 p.m.
Madam Speaker, the Ministry has the following policy objectives 1:15 p.m.
i) to increase access to adequate, reliable and economically priced modern forms of energy;
ii) to diversify the national energy mix including the use of environmentally friendly indigenous sources of energy;
iii) to ensure efficient management of the energy sector;
iv) to ensure productive and efficient use of energy; and
v) to promote private sector participation in the energy sector.
Sector agencies
Madam Speaker, the Ministry has oversight responsibilities over the following agencies in the implementation of energy sector policies:
i) Volta River Authority (VRA);
ii) Bui Power Authority (BPA);
iii) Ghana Grid Company (GRIDCo);
iv) Electricity Company of Ghana
(ECG);
v) Energy Commission (EC);
vi) Ghana National Petroleum Cor- poration (GNPC);
vii) National Petroleum Authority
(NPA);
viii) Tema Oil Refinery (TOR);
ix) Bulk Oil Storage and Transportation Company Limited (BOST);
x) Ghana Cylinder Manufacturing Company (GCMC); and
xi) Ghana Oil Company Limited (GOIL) (Listed on the Ghana Stock Exchange (GSE)).
Medium Term Strategies
Mr Speaker, the Ministry is pursuing a number of strategies to ensure adequate and reliable supply of energy to meet local demand and also for export. They include:
implementation of the Aboadze Thermal Power Plant (TICO) steam turbine project from 220MW to
330MW;
development of Western Rivers hydro power projects;
development of Juale and Pwalugu hydro projects;
scale-up of rural electrification

projects through SHEP and other interventions;

intensification of electricity supply to households in already electrified communities;

development and use of decentralized solar PV for communities remote from the national electricity grid;

development of the Jubilee Fields Gas Project;

upgrading of equipment at Trans- mission Sub-stations;

Upgrading and rehabilitation of Electricity distribution network.

Power sub-sector

Rural Electrification

Mr Speaker, the rural electrification programme is being vigorously implemented in line with Government's objectives of attaining universal access to electricity by 2020. In this direction, a number of electrification projects under the National Electrification Scheme (NES) earmarked for 2010 are at various stages of completion:

642 communities countrywide were connected to the national electricity grid under SHEP during the year. It is expected that about 800 communities would be connected to the national grid by 2012;

preliminary survey of communities for the extension of electricity to 1,200 communities countrywide by 2013 has commenced;

loan agreement between MOFEP

and ECOWAS Bank for Investment and Development (EBID) has been signed for the electrification of 106 communities in the Ashanti and Brong Ahafo Regions. Bidding process has commenced; and

works for the extension of electricity to 79 communities in the Ashanti and Eastern Regions under BNP Paribas facility have commenced. Pole dressing is 100 per cent complete in the Sekyere East and West Districts.

Regional capitals street lighting project

The regional capitals street ligthing proejcts in Takoradi, Ho, Sunyani, Bolgatanga and Wa have been completed while the Accra and Kumasi components are ongoing.

Expansion in power generation capacity

The design and construction of 400 MW hydro power plant at Bui is 32 per cent complete;

Works for the construction of 132 MW combined cycle power plant at Aboadze has commenced;'

A joint implementation team comprising GNPC, VRA and GRIDCo has been constituted to supervise the establishment of 200 MW power plant at Bonyere to utilize the gas from the Jubilee fields.

Transmission system improvement projects

Substation upgrade project to improve the transmission system in Techiman, Kumasi, Winneba and Akosombo is 80 per cent complete
Madam Speaker, the Ministry has the following policy objectives 1:15 p.m.
The Mallam Substation Upgrade Project is 30 per cent complete; The construction of a third bulk supply point in Accra and second Bulk Supply Point in Kumasi are 60 per cent and 30 per cent complete respectively.
Distribution improvement projects
Under the distribution improvement projects, 31 projects have been completed while 93 are ongoing;
18 primary substations are under various stages of completion to improve reliability of the distribution system; and
Mobile substations have been acquired to reduce outage periods when transformers fail .
Renewable energy
A Renewable Energy Bill which is aimed at increasing the contribution of renewable energy from 0.01 per cent to 10 per cent in the national energy mix has been developed and is currently before Cabinet;
Public awareness activities and training to promote the use of solar PV systems have been carried out in the three northern regions;
Solar PV systems have been supplied, installed, and commissioned in 75 rural health institutions in the three northern regions;
189 public institutions including clinics, schools and security outposts in remote communities have been identified and mapped
out for solar electrification;
Engineering and designing of solar systems have been finalized under a US$5.0 million Spanish Grant facility;
Three institutions (KNUST, Tamale and Koforidua Polytechnics) have been supported with solar training and testing equipment to facilitate solar PV training for technicians.
Petroleum sub-sector
Upstream
Production of first oil from the Jubilee Field was commissioned by His Excellency the President, John Evans Atta Mills on 15th December, 2010 and Ghana is now on the list of oil producing countries in the world;
An enclave for gas processing plant, VRA's power plant as well as a fertilizer plant has been identified and 90 per cent of the land demarcation survey has been completed;
A process of establishing a National Data Bank Repository (NDR) to house data information on petroleum exploration, development and production with Norwegian (OfD) World Bank assistance has been initiated.
Downstream
Construction of 4 no 10,000m3 storage tanks with ancillary facilities at the Accra Plains Depot has been completed and operationalized.
Construction of an inland petroleum jetty, river barges and tug boats at

Debre is 80 per cent complete.

A nationwide stock taking exercise of the Rural Kerosene Distribution Improvement Project has been completed.

Regulations

The review of the draft Ghana Electricity Market Rules has been completed;

Inception report on the rules and regulations for Wiring and Electrical Installations has been completed and submitted to the Ghana Standards Board;

Survey on the Health Impact Study of Bui-Hydro Dam Construction has been completed;

The draft LPG Promotion Strategy Document has been developed;

The process for the development of Natural Gas Safety Regulations has commenced;

A draft Petroleum (Exploration and Production) Bill, 2010, is before Parliament;

A draf t Loca l Conten t and Participation Policy has been approved by Cabinet.

Outlook for 2011

Power sub-sector

The focus in the power sector will be on upgrading of transmission and distribution network and the scaling up of rural electrification for the realization of universal access to electricity supply by 2020. Projects to be implemented will include the following:

Continue extension of electricity to additional of 412 communities in the Volta and Greater Accra Regions;

Installation works for electricity extent ion to 1 ,200 selected communities in the Western, Central and Brong Ahafo Regions;

Electrification of 79 communities in the Eastern and Ashanti Regions will continue;

Completion of 800 communities under the on going SHEP projects;

New electrification project for 500 selected communities in the Northern Region;

New electrification project for 400 communities in the Upper West Region;

New electrification project for 500 communities in the Upper West Region;

Extension of grid to 250 selected rural towns and villages under Commence electrification of 106 communities in the Brong Ahafo and Ashanti Regions under ECOWAS Bank for Investment and Development (EBID).

C o m m e n c e E l t e l P h a s e I I electrification of 140 communities in the Eastern and Ashanti Regions.

District capital street lighting project

Commencement of street lighting projects for Metropolitan, Municipal and District capitals nationwide.

Expansion in power generation capacity

Continue work on the 400 MW Bui Hydroelectric Project;

Continue with the implementation of the 132 MW Takoradi 3 Thermal Project;
Madam Speaker, the Ministry has the following policy objectives 1:25 p.m.
Commence TICO expansion from 220 MW to 330 MW;
Commence the expansion of Tema Thermal 2 plant from 50 MW to
180MW
Transmission system improvement projects
New substation and transmission projects in the Brong Ahafo Region
Distribution improvement projects
Construction of switching stations and substations (Dodowa, Kasoa, Akuse, Ejisu, etc);
The construction of 33 kV circuits from Winneba Bulk Supply Point (BSP) to Swedru substation;
Reinforcement and upgrade of existing 33 kV double circuit tower lines in Accra;
Conversion of existing 11 kV feeders to 33 kV lines, that is Tafo- Anyinam and Tafo-Suhum;
High voltage distribution system in selected areas in Accra and Kumasi;
Supply of distribution materials to support network expansion projects.
Energy efficiency promotion
The Ministry will continue to pursue its energy efficiency programmes through the Energy Commission.
Ghana Energy Development and Access Project (GEDAP)
Major activities under GEDAP include the following:
Construction of six (6) new primary substations in Accra;
Construction of two (2) new primary substations in Kumasi;
Construction of 33 and 11 kV Feeders in Accra, Tema and Kumasi;
Completion of 15 customer service centres and 4 district offices;
Installation of SCADA in Takoradi and Kumasi;
Undertake review of technical speci f ica t ions , cons t ruct ion standards and design guidelines;
Undertake technical loss study for both ECG and NED;
Grid Extensions to communities in the Central, Western, Ashanti, Greater Accra, Eastern and Volta Regions;
Development of 6 pilot mini- grid electricity generation and distribution systems for island communities on the Volta Lake;
Supply and installation of about 786 off-grid solar PV systems for clinics, schools and other public services;
P repa ra t ion o f Geograph ic Information System (GIS) map for electrified and un-electrified com- munities in the ten (10) regions;
Continue the instal lat ion of electrical distribution materials in communities in the Sunyani area, Northern, Upper East and West Regions.
Renewable energy
The projects include:
Development of human resource capacity in renewable energy in three institutions (KNUST, Tamale Polytechnic and Koforidua Polytechnic);
Formulate policy and strategy to enhance access to sustainable cooking fuels;
Formulate policy and strategy for sustainable bio-fuel promotion;
Continue the supply and installation of solar PV systems in selected remote communities and public institutions nationwide;
Support renewable energy business development for 20 private sector developers of hydro, wind, sola- PV and biomass resources, through matching grant funds;
Carry out assessment of renewable energy wind resources; and
Carry out design and procurement activities for the construction of four (4) mini-grid electricity supply systems for island communities on the Volta Lake.
Petroleum sub-sector
The focus in the petroleum sub sector will be on intensification of exploration and production as well as distribution activities.
The projects will include:
Appraisal of Tweneboa Complex and ENI Sankofa, Deep water Tano Block;
Exploratory in other blocks;
Participation and monitoring of Jubilee Phase I production;
Continue with gas commercialization project;
Develop policy proposal for the establishment of a Petroleum Regulatory Body;
Enforce Extractive Industries Transparency initiatives in the oil and gas sector to ensure transparency in revenue management;
Scale up skills development in oil and gas resource management;
Development of Oil and Gas Master plan;
Development of a Bill and the establishment of a Local Content Board;
Redesigning the Rural Kerosene Dis t r ibu t ion Improvement Programme;
Review and re-launch the LPG promotion programme;
Commencement of work on phase 1 of Takoradui petroleum terminal project;
Development of natural gas market in Tema industrial area.

Mr Speaker, an enclave of gas processing plant, VRA power plant as well as fertilizer plant has been identified and 90 per cent of the land demarcation survey has been completed. On downstream, Mr Speaker, a lot of activities are taking
Chairman of the Committee (Mr Moses A. Asaga) 1:25 p.m.
Mr Speaker, I rise to support the Motion and also to present the Report of the Committee on Mines
and Energy on the 2011 Annual Budget Estimates of the Ministry of Energy.
1.0 Introduction
The Budget Statement and Economic Policy of the Government of Ghana for the 2011 financial year was presented to Parliament by the Minister for Finance and Economic Planning, Dr Kwabena Duffuor, on Thursday, 18th November, 2010 in accordance with article 179 of the 1992 Constitution.
The draft Budget Estimates for the Ministry of Energy were referred to the Committee on Mines and Energy for consideration and report pursuant to Order 188 of the Standing Orders of Parliament.
2.0 Sittings
The Committee met on Thursday, 9th December, 2010 with the Minister for Energy, Hon Dr Joe Oteng-Adjei and officials from the Ministry of Energy to deliberate on the referral.
The Committee acknowledges with thanks, the inputs of the Minister and all officials who attended upon it.
3.0 References
The following documents were referred to during the discussions:
i. The 1992 Constitution of the Republic of Ghana;
ii . The Standing Orders of the Parliament of Ghana;
iii. The Budget Statement and Economic Policy of the Government of Ghana for the 2011 financial year; and
iv. The Budget Statement and Economic
Policy of the Government for the 2010 financial year.
4.0 Departments/Agencies of the Ministry
The Ministry of Energy has supervisory jurisdiction over 11 agencies. These are as follows:
i. Energy Foundation;
ii. Energy Commission;
i i i . Ghana Nat iona l Pe t ro leum Corporation (GNPC);
iv. National Petroleum Authority
(NPA);
v. Volta River Authority (VRA);
vi. Electricity Company of Ghana
(ECG);
vii. Bulk Oil Storage and Transportation Company Limited (BOST);
viii.Ghana Cylinder Manufacturing Company (GCMC);
ix. Tema Oil Refinery (TOR);
x. Bui Power Authority; and
xi. Ghana Grid Company Limited (GRIDCo).
All the above, mentioned agencies are self-financing and therefore, do not receive direct Government subvention for their operational and administrative activities. They nonetheless receive Government support for specific programmes. This is done through direct budgetary support or through Government guaranteed loans and other facilities.
5.0 Ghana's energy sector vision
The vision of the energy sector is to achieve universal access to modern energy forms by 2020 and to become a net exporter of oil in West Africa by 2015.
6.0 Mission Statement
The mission of the Ministry is to

formulate, monitor and evaluate policies for the provision of secure, safe and reliable supply of energy to meet Ghana's developmental needs in an efficient, competi t ive and environmentally sustainable manner.

7.0 Medium term objectives of the Ministry

In order to achieve the above mission, the Ministry of Energy has set for itself the following objectives for the medium- term:

i. increase access to adequate, reliable and economically priced modern forms of energy supply;

ii. diversify the national energy mix including the use of environ- mentally friendly indigenous sources of energy;

iii. ensure the efficient management of the energy sector;

iv. ensure productive and efficient use of energy; and

v. promote private sector participation in the energy sector.

8 . 0 O v e r v i e w o f t h e 2 0 1 0 approved budgetary allocation to the Ministry of Energy

The Ministry of Energy was allocated a total sum of GH¢329,783,764 for its activities for the 2010 financial year.

The breakdown of the sources of funding is as follows:

i. Government of Ghana -- GH¢6,097,303 (1.85%)

ii. Donor support -- GH¢293,686,461 (89.05%)

iii. Multilateral Debt Relief Initiative

(MDRI) -- GH¢30,000,000 (9.1%)

Total -- GH¢329,783,764 (100%)

The allocation per expenditure Item is

provided in the table below:

9.0 The Ministry's achievements in 2010

The Ministry of Energy in 2010 undertook the following projects and activities among others:

1. A total of 642 communities were connected to the national electricity grid under SHEP during the year;

2. Commenced preliminary survey work on the extension of electricity to 1,200 communities;

3. Began work on the extension of electricity to 79 communities in the Ashanti and Eastern Regions under BNP Paribas facility;

4 Completed work on the regional capital, street lighting project in Takoradi, Ho, Sunyani, Bolgatanga and Wa;

5. Continued work on the 400 MW hydro power plant at Bui;

6. Commenced work on the construction of the 132 MW combined-cycle power plant at Aboadze;

7. Constituted a joint implementation team comprising GNPC, VRA and GRIDCo to supervise the establishment of 200 MW power plant at Bonyere in the Western Region to utilize the gas from the Jubilee Field.

8. Completed 80 per cent of the substation upgrade project in Techiman, Kumasi, Winneba and Akosombo;

9. Supplied, installed and inaugurated solar PV systems in 75 rural health institutions in the three northern regions. In addition, 189 public institutions have been identified and mapped out for solar electrification;

10. Development of the Jubilee Fields for the production of the first oil in the last quarter
SPACE FOR TABLE - PAGE 1:25 p.m.
SPACE FOR TABLE - PAGE 1:25 p.m.
Mr Ghartey 1:25 p.m.
On point of order. Mr Speaker, with respect, a few Motions before this one, there was this question about which figure was the correct one. When Hon Osei -Mensah was making the point, Mr Speaker, you said that it was fundamental and therefore, you would let us hold on while they resolved that figure. I have observed another fundamental thing, so I thought I would bring it to your attention so that perhaps, if we could resolve it before we proceed. I support the Motion though.
Mr First Deputy Speaker 1:25 p.m.
Very well, what is the problem with the figure?
Mr Ghartey 1:35 p.m.
Mr.. Speaker, the Budget in paragraph 204, mentions the figure of GH¢262 .2 million. I will wait for Mr Speaker to get there respectfully. It mentions the figure of GH¢262.2 million as allocation to GNPC. This figure has been referred to on page 8, paragraph l2.1 of the Report of the Committee. Mr Speaker, with respect, GNPC is not a commercial entity and indeed, the Constitution, article l79 (2) says and with your permission, I quote:
“The estimates of the expenditure of all public offices and public corporations, other than those set up as commercial ventures -”
That unless the public office or public corporation is a commercial entity or set up for commercial ventures, its budget should be captured in the income and expenditure, what we popularly call the Budget. It should be captured in the revenue and expenditure of the Government of Ghana for the following financial year; that is article l79.
So, Mr Speaker, we are being asked to approve a budget for the energy sector and we are leaving out GNPC. So GNPC has a mere mention in the Budget.
Mr Speaker, it is very, very important, especially when yesterday we had first oil and the questions of accountability and transparency are questions that we are all talking about -- and oversight. I am sure that we are all in agreement that it is important that every Ministry, Department or Agency is subject to correct oversight by this House, especially in the oil sector.
Unless I can be told that that figure is included in the figure that this House is seeking to approve, otherwise, serious questions would be raised. This is because people would suggest that perhaps, the reason for the amount not being brought
for approval is because we may not receive the correct accountability and transparency and we cannot exercise the correct oversight.
Mr Speaker, I just asked for clarification. This figure is not in the figure for the Ministry of Energy and why is it so? GNPC's figure should be and subject to oversight -
Mr First Deputy Speaker 1:35 p.m.
Hon
Deputy Minister, did you get the point he is making?
Alhaji Fuseini 1:35 p.m.
Mr Speaker, I get
the import of the point the Hon former Attorney-General and Minister for Justice has made to mean that GH¢262. 2 million allocated to the GNPC has been excluded from the money voted for the Ministry of Energy --
Mr First Deputy Speaker 1:35 p.m.
In other
words, is the GH¢262 million included in the GH¢405 million?
Alhaji Fuseini 1:35 p.m.
Mr Speaker, Appendix
5 -
Mr First Deputy Speaker 1:35 p.m.
Hon
Minister, is it included?
Yes, Hon Deputy Minister for Finance and Economic Planning?
Mr Terkpeh 1:35 p.m.
Mr Speaker, while it is not specifically included in the figure for the Ministry of Energy, if you go to the details in Appendix 5, which would be the basis for the Appropriation Bill that the House would pass, you would see, precisely, on page 258, under non- tax revenue -- the inflow is shown as dividend interest and profits (GNPC) GH¢262,185,243 which is the full amount.
Then on page 259, it is shown again as an expenditure which would be appropriated out of capital expenditure as oil finance expenditure of which transfer
Mr Ghartey 1:35 p.m.
Mr Speaker, with respect,
the Report that we are approving on page 8 states the amount we are approving and it says that: GoG is GH¢4,289,022, Donor - and I do not think GNPC is donor. It says Donor is GH¢371,206,550; it says that Multi Donor Initiative (MDI) is GH¢30,000,000. So this figure is not in the figure we are approving from GoG. It is not in the figure; it cannot be in the figure because the figure in the GoG is lower than this figure we are talking about.
Mr James K. Avedzi 1:35 p.m.
Mr Speaker, I think the figure we are approving does not include that of GNPC. And Mr Speaker, let me make this point that it is not everything that is in the Budget Statement that, through estimates are approved for sectors.
There are items that are called “Government Obligations.” These government obligations are approved and are released by the Ministry of Finance and Economic Planning. It is not for any specific sector. GNPC will not have that budget included in that of Ministry of Energy because it would not be spent by the Ministry of Energy. So, the point he is raising, we can go ahead and approve the budget for the Ministry of Energy - [Interruptions] -- because Government Obligations will take care of all other releases that are not -
Mr First Deputy Speaker 1:35 p.m.
Hon
Chairman, is the VRA one that you have captured there going to be spent by the Ministry? Look at the Committee's Report; you have quoted ECG and VRA but they have been captured in the GH¢405 million; are they going to be spent by the Ministry?
Mr Avedzi 1:35 p.m.
Mr Speaker, if that amount
Mr First Deputy Speaker 1:35 p.m.
Hon
Members, I think that the point made by Hon Joe Ghartey is a very important one, but we must make sure, provided that the GH¢262 million going to GNPC will be captured under one of the sectors' budget which will satisfy article 179, where this House can know how that money is going to be used, then it satisfies it.
So, if you give us the assurance that it will come under Government Obligations, then we know that it will come and we will look at it and go ahead. Definitely, that figure should be captured under one - definitely, you do not put the figure there and transfer it in whole without subjecting it to parliamentary scrutiny. It must be subjected to parliamentary scrutiny.
That is the point they are making. If it
is going to be captured somewhere, then we can go ahead, but you have to tell us where it is going to be captured and then that will clarify the issue. But what I want us to do is that, we flag this matter while we take the debate and then resolve this issue. I will only put the Question when the issue is clarified.
Mr Federick Opare-Ansah 1:35 p.m.
Mr
Speaker, the Chairman of the Finance Committee is talking about putting this under Government Obligations. But he is the Chairman of the Finance Committee and he is very much aware that the Government Machinery budget has already -
Mr First Deputy Speaker 1:35 p.m.
Hon
Member, Government Machinery is different from Government Obligations.
Mr Opare-Ansah 1:35 p.m.
Mr Speaker, so is
the Chairman telling us that he is going
to come back to this House with another report called Government Obligations?
Mr First Deputy Speaker 1:35 p.m.
Hon
Member, Government Machinery is different from Government Obligation.
Mr Adda 1:35 p.m.
Mr Speaker, indeed, I am happy about your ruling. There are many other issues that we raised at the committee meeting, which we thought by now they would have submitted some evidence of the breakdown of those figures and how they are going to be spent. They assured us that they were going to give us those documents which have not come to us yet - [Interruption.]
Mr Kyei-Mensah-Bonsu 1:35 p.m.
Mr
Speaker, on a point of order.
Mr Speaker, I think we should be very certain about this matter. Your own intervention was to direct the Chairman of the Committee on Finance's attention to this apparent omission and your suggestion is that it should be captured elsewhere. Initially he was insisting that what they have done is the right thing --
Mr First Deputy Speaker 1:35 p.m.
The Chairman did not say that. The Chairman agreed that it is not captured.
Mr Kyei-Mensah-Bonsu 1:35 p.m.
Mr Speaker, even when I said so just now, he nodded that that was the position.
Mr First Deputy Speaker 1:35 p.m.
Chairman, is that what you said? Please, I thought he got up to say that it is not captured and it would be captured under Government Obligations?
Mr Avedzi 1:45 p.m.
Mr Speaker, I am objecting to what the Hon Minority Leader has said unless he is saying that I have nodded, he should accept it.
Mr Kyei-Mensah-Bonsu 1:45 p.m.
Mr
Speaker, we just want to know the path that we are going to choose, that it is going to find expression in Government Obligations and that the incomes and expenditures of GNPC will be known by us; is that the case? This is because as I indicated yesterday, this Parliament must know the incomes and expenditures of GNPC, just so that we would be positioned to oversight GNPC.
Mr Terkpeh 1:45 p.m.
Mr Speaker, the point I
am clarifying is that, as the Hon Committee Chair explained, Government Obligations will cover some of the items which are released from the Ministry of Finance and Economic Planning.
Indeed, as was the issue I explained with respect to the Social Investment Fund earlier, the Committee's Report is also insightful in this respect. In fact, it is talking about the VRA and ECG amounts in terms of arrears on subsidies that should have been paid. So they were in the nature of contingent liabilities, some stretching back to 2007, 2008 which have crystallized and needed to be paid and therefore, these will be included in making provision for arrears and released accordingly.
So that is the explanation for it. Therefore, when both the Appropriation Bill and the Government Obligations reports come to the House, these funds going to GNPC would be reflected both as income and expenditure.
In relation to the final point, GNPC as a corporation, like all corporations, are required to submit annual reports and financial statements to the Ministries and to Parliament. This would include details of all their income and expenditure activities.
Mr First Deputy Speaker 1:45 p.m.
Hon Deputy Minister, once you give an assurance to this House that when it comes to Government Obligations, the GH¢262
million captured in the Budget Statement would reflect and we would know what it is going to be used for, we would be discharging our constitutional mandate under article 179 of the Constitution. Therefore, it is on that basis that we are proceeding. This is because this House ought to know what the GH¢262 million is going to be used for. That is the principle.
So Hon Minority Leader, he has given us an assurance that it will come but it is not directly under the Ministry of Energy's budget, but it will come. It is going to be handled by the Ministry of Finance and Economic Planning. That is what we are being told.
Fortunately for us, this House has not yet taken the Estimates of the Government Obligations; so when we get there, the details will be made known to the Honourable House.
Mr Asaga 1:45 p.m.
Mr Speaker, just to also allay the fears regarding what the Hon Ranking Member was saying.
GNPC was actually invited to the Committee and they did give us a provisional breakdown of what the GH¢262 million would be used for. We will urge the Hon Minister for Finance and Economic Planning that he should now polish it up and make sure that we get the very exact figures. Otherwise, it was actually provided at the committee level.
Mr First Deputy Speaker 1:45 p.m.
Hon Members, I have ruled on this matter. I know why the point has been raised and we will follow this matter when we come to the Estimates for Government Obligations. So Hon Members, do not worry; the Appropriation Bill would come; the Government Obligations will come before we pass all these Estimates - So let us make progress.
Mr Kyei-Mensah-Bonsu 1:45 p.m.
Mr
Mr First Deputy Speaker 1:45 p.m.
I think he is only saying that in responding to the issue of transparency that has been raised by the Hon Joe Ghartey, that is why he added that additional point in terms of the annual report and all those documentations that would come to the House.
Mr Kyei-Mensah-Bonsu 1:45 p.m.
Precisely, Mr Speaker. His response was to the post- spending report. We are saying that he did not concede to the fact that for reasons of ensuring that GNPC's operations are managed in accordance with sound business practices, our rules of procedure obliges us to monitor the use of their allocations in the first place and that is why we are saying -
I agree with the principle but the Hon Minister must concede that --
Mr First Deputy Speaker 1:45 p.m.
Hon Minority Leader, that is not a question for the - He has no choice in the matter. I have no choice; you yourself Sitting there, you have no choice in the matter. It is a constitutional provision and we are all subject to the constitutional provision in this matter. It is very, very clear, so we should not - Let us make progress.
Mr Adda 1:45 p.m.
Mr Speaker, indeed, what the Hon Chairman of the Committee said about us having raised the issue with the Ministry is true. But we also requested that they bring not just the verbal attempt to indicate the breakdown of how the GH¢262 million would be used, but let us have it in a written form so that we
can monitor. That has not come. There are other requests that we have made that have also not come to us.
Mr Speaker, besides that, there are other serious things that we should look at. The GNPC has taken over the role of TOR. They bring in crude oil and give it to TOR to refine. What revenues are they deriving from that? How much is that? Will that add to the GH¢262 million? Therefore, what would be the total sum available to GNPC that it could use? They have refused to show up; they have not given us the detailed breakdown of that.
Mr Speaker, there are other outstanding
issues. We all heard from the media and some of us know for a fact how the Floating Production Storage and Offloading (FPSO) contract was awarded and the role of Bodec and Strat Oil. There are financial implications in that area, in the sense that the IMF and the syndicated banks are all looking at possibly withdrawing the funding for the construction of the FPSO.
We needed a high-powered team from the GNPC to understand all these issues before we can go ahead and approve but they are not here. They did not show up. We understand they had some very serious meetings relating to first oil, so we will excuse them for that. But we expected some of these things to be given to the Committee for us to understand the dynamics of the first oil production and the financial implications and all these things. None of those things have come to us.
Mr Speaker, I think this is not acceptable. There are serious financial implications in all of this and as to what is the total sum of funds available to the sector. Until we get this, if we go ahead and approve the Estimates, we will be shot in the back; we do not even know what we are doing. And I think we should be very
serious on this matter.
My view would be that, let us stand down these Estimates or as a compromise, give them approval for one quarter until all the agencies come for us to go through what they are requesting.
Mr Speaker, if you look at page 9 of the Budget, under paragraph 12.4, the third line - it is referenced to “working capital” as what the GH¢25.8 million is going to be used for. This is wrong. This request for GH¢25.8 million was meant for them to pay outstanding funds due those companies that supplied fuel for the operations of the emergency plants.
TOR still has many other obligations that they submitted as well as BOST. In the case of BOST, there are non- acqusition moneys that should be paid up; compensation for the right of ways and so is the case for GRIDCo and ECG. All these things, we do not know. We do not know how much total they requested through the Ministry; we do know what the Ministry of Finance and Economic Planning gave. But it is important for us to look at the revenues too, the IGFs that should come from each of the sector agencies in that Ministry before we conclude on the total amount that we should be approving for them.
Mr Speaker, without these, I think what we have been doing, year in, year out, we are still going to be confronted with funds that should be paid out to agencies; that may not be enough. We will still be confronted with increases in the cost of petroleum products because NPA will come out and say they need increases in the TOR debt recovery levy and so on and so forth. There is no time. They did not submit all the details.
I would propose that we give them provisional approval for just one quarter while we engage each of the agencies of
the sector and go through all of the details before we can approve the figures.
Mr First Deputy Speaker 1:45 p.m.
Hon Members, having regard to the state of business, I direct that we Sit outside the prescribed period.
Mr Adda 1:45 p.m.
Mr Speaker, alternatively, we could give provisional approval in bulk subject to us dealing with each of the sector agencies and coming up with the very final figures that they should be given for their operations.
Mr Speaker, there is a lot more that I wanted to say but since these issues have come out, it is important that we consider whether or not we should continue with this appropriation request for the energy sector. Given these fundamental issues, I do not think it is wise for us to do that. Otherwise, we would simply be a rubber- stamp Parliament and we would not be approving every detail that we need.
Thank you, Mr Speaker.
Mr First Deputy Speaker 1:55 p.m.
Hon Member, we will continue but the figure GH¢262 million they are giving this House, if they do not bring it in any of the items for our scrutiny, it will be excluded from the final figure which will show that it will not be available to GNPC. But once they bring them, they will be scrutinized and approved. That should not affect the Ministry's budget; we have to go ahead and take the Ministry's budget. The GH¢262 million is a different matter which I agree with the issues raised by Hon Joe Ghartey and --
Mr Adda 1:55 p.m.
Mr Speaker, I understand the point you are making but here we are without Petroleum Laws approved by this House. The GH¢500 million or so that is supposed to accrue from the oil's set of petroleum products, what really is guiding that? What is making us risk that
Mr First Deputy Speaker 1:55 p.m.
Hon Member, you are going beyond the issues of the Estimates. The matter before us now is an issue of Estimates. You are raising other matters that are not directly relevant; the whole energy is relevant to the energy sector but not directly with regard to the Motion for the Energy Ministry, which is currently before us; so Hon Ranking Member, let us go ahead.
Mr Adda 1:55 p.m.
Mr Speaker, are we saying that the GH¢580 million that we will be deriving from the petroleum sector does not have anything to do with the energy sector?
Mr First Deputy Speaker 1:55 p.m.
Hon Member, I am talking about the Estimates, the Motion before us.
Hon Members, who is the next person from the right side of the House?
Deputy Minister for Energy (Mr Emmanuel Armah-Kofi Buah) (MP): Mr Speaker, I rise to support the Budget Estimates for the Ministry of Energy for
2011.
Mr Speaker, in doing so, let me first point out that and indeed, to state on the floor of Parliament that we as a country has no energy laws, it is completely misleading.
Mr Speaker, as we all know, PNDC Law 84 has served this country well for 25 years; it is this same law that has guided us into discovery of oil. After the oil discovery, we all realized that there was the need to strengthen the laws already

existing, we needed to strengthen our environmental rules in the law, we needed to make sure the issue of local content and local participation were addressed.

Those are the reasons for a new Exploration and Production Bill is working its way before this House. But the Law 84 that established PNDC energy laws is still existing and has still served this country well.

Mr Speaker, in discussing the Budget, I want to focus on some of the issues that were raised. It is very important to stress that in this Budget, the emphasis was on intensification of exploration production, distribution in the petroleum sector.

Mr Speaker, we witnessed history as a country yesterday; our long quest for oil that began long time ago from President Nkrumah when he convinced the Romanians and Russians to come to Ghana. Then it was continued by President Rawlings who established GNPC and laid the foundation, followed by President Kufuor with the investment drive that led to oil find. Finally Mr Speaker, it fell on President Atta Mills to really lay the foundation to guide our oil industry and we saw that yesterday and it was a sight for all of us to see and we were very happy and excited that as a country, we began oil production.

Mr Speaker, as we celebrate oil production, it is interesting that today we are talking about GNPC. And I think it is very important that we discuss the future of GNPC and we discuss whether or not we as a country, we want to have a strong national oil company or not; whether we are going to continue to allow GNPC to carry crumbs by having carried interest of 10 per cent and allow multi nationals to come and take 90 per cent of our resources or whether or not we are going to focus on investing in GNPC, structuring it to make it transparent and accountable enough, to be the petrol bus of Ghana to produce 100 per cent oil for this country or not.

Mr Speaker, as I know right now,

after all the celebrations, we owe the oil companies US$137 million, that is, development cost up to this point that we have to pay. We owe them US$57 million that will be the cost for production of the percentage we are going to get, that is, participating interest. Mr Speaker, if you calculate all these into cedis, that is, GH¢281 million. I have not even talked about the Voltaian Basin that has 40 per cent of our country's landmark, which all experts know, has huge oil that we really need to gather enough data to be able to produce. We have not even talked about the gas commercialization --
Mr First Deputy Speaker 1:55 p.m.
Hon Member, address the Motion.
Mr Buah 1:55 p.m.
Mr Speaker, every point that I have made is in the Motion, the gas commercialization point, the issue of the GNPC; they are all in this Motion.
Mr Osei-Prempeh 1:55 p.m.
On a point of order. Mr Speaker, you have been kind to the Hon Deputy Minister, to draw his attention to the fact that what he needs to do is to support the Motion, so that His Excellency will approve of him. He is going wide off tangent and boring this House with what he knows about energy and gas and whatever.
Mr Speaker, on a point of relevance, he should go to the Motion before us. We need to approve the Estimates for the Ministry of Energy; that is what we need,
not the boredom he is taking us through.
Thank you.
Mr First Deputy Speaker 1:55 p.m.
Hon Deputy Minister, take that one on board.
Mr Buah 1:55 p.m.
Mr Speaker, thank you very much but I believe that the point that I am making is very, very relevant to the Motion before us.
Mr Speaker, so the point that I was making finally, was that GNPC's importance to this country cannot be over- emphasized. I agree that we need to have an oversight but the issue of transparency is also important and I am happy that it was addressed in this Motion --
Mr Buah 1:55 p.m.
Mr Speaker, there are a lot of areas that have been covered in terms of generation capacity; we are looking to increase generation capacity and we are on the forward by encouraging independent power producers -
Mr First Deputy Speaker 1:55 p.m.
Hon Deputy Minister, conclude.
Mr Buah 1:55 p.m.
Mr Speaker, in terms of renewable energy, I think that we as a country, have not done well. But the direction we are going to increase renewable energy to 10 per cent, we need to focus on it and I like the focus on it --
Mr First Deputy Speaker 1:55 p.m.
Hon Gifty Kusi.
Mrs Gifty E. Kusi (NPP - Tarkwa- Nsuaem) 2:05 p.m.
Thank you ,Mr Speaker, for the opportunity to contribute to the Motion on the floor to approve the Budget Estimates for the Ministry of Energy.
Alhaji Fuseini 2:05 p.m.
Mr Speaker, I was
reluctant to get up because the demand was actually made but to say that probably, the figures are not true, is what has compelled me to rise up. I will make the list available to the Table Office just now and then Hon Members can have a copy and look at it.
Mr Speaker, it is important to lay the foundation for this. All these figures had to be compiled. Indeed, we sent 642 but after compilation, we realised that it has even gone up to 688. We will make it
available.
Mr First Deputy Speaker 2:05 p.m.
Hon
Deputy Minister, you work with a committee that oversights your Ministry, When they ask for information in order to have a good working relations with the Ministry, you just make the information available to them. If you have difficulties, arrange with them and tell them that you are working on it.
Alhaji Fuseini 2:05 p.m.
Mr Speaker, the
point is well taken; the information was provided but they wanted cogent evidence of the information that was provided. The information was provided.
Mr First Deputy Speaker 2:05 p.m.
Well,
the best practice is not when you lay a document for the attention of a Committee oversighting you on the floor of the House. They need the document when they are oversighting your Budget, your estimates. So I think that in future -- What you should have done when she was raising the point, you should have sent someone quietly to her to show that this is the document. If you want to be formal, they would also be formal.
Mrs Kusi 2:05 p.m.
Mr Speaker, did I hear the Minister say that the information was provided? Where? Was it at the committee level or it came to my pigeon- hole?
Mr First Deputy Speaker 2:05 p.m.
He said
that you demanded the information.
Mrs Kusi 2:05 p.m.
I heard him say that the
information was provided, that was what he said.
Mr First Deputy Speaker 2:05 p.m.
Hon
Deputy Minister, did you say that? What did you say?
Alhaji Fuseini 2:05 p.m.
Mr Speaker, she
has got what I said wrongly. I said the information that 642 communities were connected to the national grid was

provided to them but cogent evidence of the provision of that was what they demanded. That was what I said.
Mr First Deputy Speaker 2:05 p.m.
But that is what she is talking about. It is the evidence that she is talking about.
Alhaji Fuseini 2:05 p.m.
Yes, so I did not say
that I provided them with evidence, I said “cogent evidence” is here but the information that we had connected 642 was provided.
Mrs Kusi 2:05 p.m.
Nothing was provided at
the Committee and I did not expect him to bring the list when we are debating this. It is not right. That is not how we work here. It is not right that you bring the list here and tell me that -- You did it last year; we requested the information last year, you did not bring it; you brought it to the floor of the House; what sort of relationship do you want us to build?
Mr First Deputy Speaker 2:05 p.m.
Hon
Member, continue. They have made the information available to you.
Mrs Kusi 2:05 p.m.
Mr Speaker, as far as I am
concerned, I do not have it now. That is what I am saying.
Mr Speaker, another issue. When
you look at the 2009 Budget, it was said that the extension of electricity supply to 1,200 selected communities in the country will commence. Mr Speaker, we come to this year's Budget and they tell us that installation commenced. We ask, which communities out of the 1,200 and tells us that this year, we did preliminary survey?
Mr Speaker, a whole year, 1,200; they did not do one, they did not do two and then they give a blanket statement. Mr Speaker, we should be serious with our
statements that we make because this is an august House. So if you present anything to us last year and you tell us that this year all that you did was survey --
Mr Speaker, we want the Ministry to take us serious, so that we also take them serious. Anything that they tell us, we monitor because we have the oversight responsibility and we owe Ghanaians this. So this issue of blanket statement in budgets for people to think that we are doing something -- please, we want the Ministry to change their attitude, the way they present issues to us at the committee level. We asked for all thse things and then when we were ready to do business, the Report came and they were not there.
Mr Speaker, I thank you for the opportunity.
rose
Mr First Deputy Speaker 2:05 p.m.
What do
you want to say? Why? Is it a point of order against me?
Mr Asaga 2:05 p.m.
No.
Mr First Deputy Speaker 2:05 p.m.
Nobody
is on the floor.
Mr Asaga 2:05 p.m.
She was on the floor.
Mr First Deputy Speaker 2:05 p.m.
She has finished. What is the point?
Mr Asaga 2:05 p.m.
I just wanted the House to know that it is true that at the committee level, we were not happy with the Ministry. But the point I want to make is that the Ministry did agree that for the electrification projects, we would have to go and inspect the amount of work that had been done. That was a commitment the Committee made.
Secondly, we have toured this country
Mr First Deputy Speaker 2:05 p.m.
You know
that what you are saying is really not a point of order?
Mr Asaga 2:05 p.m.
Yes, but it is a point of
information; she did not give all the information.
Mr First Deputy Speaker 2:05 p.m.
Hon
Members, do you want to contribute?
Mr Dominic A. Azumah (NDC - Garu/Tempane) 2:15 p.m.
Mr Speaker, I am up to make a few comments on the Report of the Committee and to give my support for the approval of the Budget Estimates for the Ministry of Energy.
Mr Speaker, the two issues of concern
to me is, first, the issue of street lighting in the country. Somewhere in 2007 the then Government decided to provide street lighting to the Accra motorway as part of the 50th Anniversary of our independence. Mr Speaker, three years down the line, if you are driving through the motorway, you would agree with me that that street lighting is a matter of - I do not know how to describe it.
There is virtually no street lighting on the motorway. The poles have all fallen down; you would find anything to show how much we have spent on that project. I think it is a very serious matter and the Ministry of Energy should take a look at it. I do not think that we should just throw money into the bush - somebody puts it, yaamutu.
Mr Speaker, it is a serious issue and I think that they must trace the source. From day one, I have been monitoring, from 2007, and nothing serious has happened. It is a concern I think that the Ministry should take a look at.
The second point, Mr. Speaker, is
the issue of rural electrification. It is gratifying to hear. I think if Hon Adda wants to speak, he knows it; he was the one who started the thing and we would hold him responsible.
Mr Speaker, rural electrification, reading through the Report and calculating the plans for the Ministry for 2011, there is almost close to about 3,891 communities hopefully to be connected to the national grid for the ten regions. That is a very laudable proposal. Unfortunately, as usual, it is the funding that would be the problem.
I hope and pray that the Ministry of Energy would do everything possible to implement this proposal to make sure that come 2012, when we are debating the Budget, there would be evidence to show that, yes, these 3,891 communities have been connected. I think that at that point, we would be able to pass our judgment on the performance of the Ministry.
I have every belief that they can do it. They have done it before. Communities in the North which hitherto were in total darkness today have lights. They watch the television, they listen to the news through the efforts of the Ministry of Energy, and I believe that come 2012, more communities from those areas will benefit from this major project.
The loan agreements for the Upper
Mr Opare-Ansah 2:15 p.m.
Mr Speaker, the Hon Member is talking about some communities benefiting in 2012 - [Interruptions] - He said more communities that we expect by 2012. Is there some special plans for 2012?
Mr First Deputy Speaker 2:15 p.m.
Hon
Member, that is not a point of order; sit down.
Mr Opare-Ansah 2:15 p.m.
Mr Speaker, it is a
Mr First Deputy Speaker 2:15 p.m.
Hon Member, conclude.
Mr Azumah 2:15 p.m.
Mr Speaker, just before I sat down, I was just trying to wrap up and to urge the Ministry to do everything possible to achieve the results expected of them. As mentioned by my Colleague, whatever would happen in 2012, we would be alive to see it.
On that note, Mr Speaker, I urge this
august House to massively vote for this Motion so that the rural communities that are without lights would have power in the year 2011.
Mr Christopher Addae (NPP - Bibiani-Anhwiaso-Bekwai) 2:15 p.m.
Thank you, Mr Speaker, for the opportunity to contribute to the Motion to approve the budget for the Ministry of Energy for the year 2011. Mr Speaker, in doing so, I would want to comment on a few areas that the Committees Report captured.
Mr Speaker, it is the Ministry's plan
to, in their medium-term, produce 5,000 megawatts of power for the country. In the same medium-term plan, the Ministry intends to become a net exporter of energy. Mr Speaker, we are all aware that this year,
reports indicate that Ghana has attained middle income status. Mr Speaker, a country that is seriously meeting towards development has to have sufficient energy to propel its economic growth.
But the question, Mr Speaker, is whether given Ghana's status now, the 5,000 megawatts of power that is anticipated to be produced in the medium term is enough for the country to be able to export some to other countries?
Let us remind ourselves, Mr Speaker,
that VALCO has come back and it is in production. VALCO alone, Mr Speaker, needs so much energy. Because the Ministry is not able to produce enough, they have had to scale down on production and that has a lot of implications for economic growth. Indeed, it is part of their plan to set up their own plant to supplement what they can get from the national grid.
Therefore, in the Ministry's plans and programmes, Mr Speaker, it would be proper if we should look a more aggressive power generation programme to be able to produce more than just the 5,000 megawatts that we have targeted ourselves to achieve within the medium- term by 2015.
Mr Speaker, it is also very important to look at the power mix. We know the cost of power depends on how it is generated. Therefore, Mr Speaker, I think that it is very very important that we look at the mix and make sure that the plants that are coming up use resources that are renewable and that are not as expensive as fossil fuel energy source.
Mr Speaker, I would also want to look
at Tema Oil Refinery (TOR) in the face of Ghana's position now as an oil producing country. Mr Speaker, we know that TOR imports crude oil to refine for local consumption and now we are fortunate to have oil in our backyard.
Mr Speaker, is TOR planning to use the oil that we are producing here in the refinery? Does the plant have that capacity? Or is the plant built to be able to refine the oil that we are producing in the country? If not, Mr Speaker, what plans has the Ministry put in place by way of either retooling or expanding TOR; such that we would not have the difficulty of not having refined petroleum products on our market?
Indeed, I can foresee a situation, Mr
Speaker, where because TOR is not prepared to use the oil that we have here, there could be oil shortage in this country and you know the implications -- because TOR, maybe, is not prepared to refine the oil that we produce in the country --
Mr First Deputy Speaker 2:15 p.m.
Hon Member, wind up.
Mr Addae 2:15 p.m.
Mr Speaker, I have barely spoken for two minutes.
Mr First Deputy Speaker 2:15 p.m.
Hon Member, I have timed you. You have done five minutes.
Mr Addae 2:25 p.m.
Mr Speaker, if I should wind up, I was going to talk about the district capitals street lighting programme. The Ministry has started a project that is commendable. But again, the Ministry is shifting the problem of maintenance and tariffs paying to the District Assemblies. Here, we know we have a problem. It is always the case that when rural communities enjoy social facilities, invariably, they are called on to contribute.
In fact, there is a tariff arrangement where every user of electricity pays for street lighting. Yet, the argument is that the figure is not enough. But who are we deluding, Mr Speaker? Do we not have to charge realistic tariffs so that whoever
pays electricity bills, will pay for street lighting?
The District Assemblies surely cannot pay the tariffs, let alone extend it to the rural communities. If we are talking about electrification, it is not just taking electricity to the homes alone; it is also to ensure that there is sufficient lighting in the streets for the protection of the society. Mr Speaker, this is something that the Ministry should seriously look at and come out with realistic tariffs so that street lighting projects that are currently going on will not be a nine-day wonder, but it is something that would last for a very long time.
Mr First Deputy Speaker 2:25 p.m.
Hon Members, there must be a basis upon which Budget Estimates have to be stood down. The 662 that you are talking about, if it is not approved by the House, nobody can spend it; nobody can touch the money. If somebody touches it, there are implications.
Hon Minister, kindly wind up.
Alhaji Fuseini 2:25 p.m.
Mr Speaker, let me take this opportunity to thank all Hon Members of the House for their useful contributions. We have noted their contributions to the Budget debate and let me say that the breakdown for the GH¢662.2 million will be provided by the GNPC and we trust that the Ministry of Finance would capture it in the Government Obligations so that this House will pass it.
Let me also say that in response to
what the Ranking Member said about the presence or lack of the presence of the GNPC at the committee hearings, in fact, they did send their Director of Finance who represented them. But the Committee did indicate that they had wished that the technical men would be present. However, GNPC was there, represented by the Director of Finance. The GH¢25.8 million requested by BOST was indeed, requested as working capital for BOST and it was in the wisdom of the Minister for Finance and Economic Planning that since it was going to be working capital and since BOST is an ongoing entity or concern, they could raise that commercial money from the banks for their activities. So it was not to say that they were to use that to retire debts but they did indicate that they wanted the money as working capital.
Indeed, I thank the Hon Member for Bibiani-Ahwiaso-Bekwai, Mr Addae for the concerns he has raised concerning the 5,000 megawatts installed capacity. Indeed, by the arrangements that were put in place, Ghana ought to have 5,000 installed capacity by 2015.
But this 5,000 megawatts by 2015 has been seriously compromised by the lack of Balkan Energy to deliver on the contract that was signed between them and the Government of Ghana and the hindrances and inability of ZEKAM to complete the Alstrom Project and that clearly would compromise our ability to deliver the 5,000.
Hon Members are quite aware that the Balkan matter is presently in court for arbitration.
Again, let me thank you for your observation on realistic tariffs for the street lights. Maintenance of the street lights has been a problem. Indeed, at the committee hearing, a Ranking Member did indicate that he takes the maintenance of the streets lights in his constituency by himself. What the Ministry has done is
ANNUAL ESTIMATES 2:25 p.m.
Minister for Tourism (Mrs Sabah Zita Okaikoi) 2:25 p.m.
Mr Speaker, I beg to move, that this Honourable House approves the sum of GH¢17,225,167.00 for the services of the Ministry of Tourism for the year ending 31st December, 2011.
Mr Speaker, the Ministry of Tourism continues to perform its core functions and programmes aimed at supporting the national development goals -
2.32 p.m. -- MR SECOND DEPUTY SPEAKER
Mrs Okaikoi 2:35 p.m.
-- of attaining middle income status by 2015 through the realisation of the tourism sector's full potential in contributing to economic wealth creation, employment generation, poverty reduction and environmental conservation, as well as national cohesion. These objectives can be obtained through the implementation of selected programmes and activities.
Mr Speaker, the Ministry of Tourism continues to perform its core functions and programmes aimed at supporting the national development goals of attaining middle income status by 2015 through the realization of the tourism sector's full potential in contributing to economic wealth creation, employment generation, poverty reduction and environment conservation as well as national cohesion. These objectives can be obtained through the implementation of selected programmes and activities.

Mr Speaker, I therefore, humbly request the House to approve an amount of seventeen million, two hundred and twenty-five thousand, one hundred and sixty-seven cedis (GH¢17,225,167) which has been allocated to the Ministry of Tourism for its programmes and activities for the year 2011.

In 2010, the Ministry was allocated a budget of GH¢7,757,089, which was used for the implementation of the programmes and activities of the Ministry. These include participation in major international exhibitions and fairs to showcase Ghana's products and place Ghana on the tourism

world map.

On the domestic front, the Ministry organized the International Tourism Investment Forum as well as major events, such as the Paragliding Festuval at Atibie, Kwahu, Emancipation Day Celebration and the World Tourism Day at Nchiraa, Wenchi, Brong Ahafo Region.

Furthermore, the Ministry in its efforts to vigorously promote domestic tourism undertook an educational and awareness creating programme on our tourist sites by putting together a programme dubbed, “Ghana time to explore” with the maiden event being organized at the Aburi Botanical Gardens on the 6th of March,

2010.

Additionally, the Ministry continued with work on the construction of tourist receptive facilities of which three are 90 per cent completed at Adasewase, Akwamufie and Agogo. Receptive facilities construction at Saltpond, Salaga, Gwollu and Wli will be continued in 2011. The upgrading of the official tourism website is on course plus an additional website to facilitate global access to our tourism products.

Mr Speaker, the activities that the Ministry of Tourism in collaboration with its implementing agency, the Ghana Tourist Board will undertake in 2011, have been grouped under the following programmes:

i. Marketing;

ii. Domestic tourism promotion;

iii. Product development;

iv. Quality service delivery; and

v. Human resource development.

Mr Speaker, the Ministry of Tourism has been allocated an amount of seventeen million, two hundred and twenty-five thousand, one hundred and sixty seven cedis (GH¢17,225,167) for the 2011 fiscal year.

Out of this allocation, GH¢7,145,700 is GoG, GH¢9,650,837 is internally generated funds (IGF) and GH¢28,629 is from donor as can be seen on page 86 of the Budget Statement.

I must note that the significant increase of the budget allocation as compared to 2010 is based on an IGF generation of GH¢9,650,837 for which the Ministry will be challenged in its realization.

The 2011 Budget allocation will be used to undertake aggressive marketing of the tourism sector both domestically and internationally. The Ministry will among others:

a. participate in international and local fairs and exhibitions to showcase Ghana's tourist products for patronage;

b. organize major domestic events such as the Paragliding Festival/National Chocolate Day, Emancipation Day/ PANAFEST, World Tourism Day to promote both international and domestic tourism;

c. advertise Ghana in major international and local media including in-flight magazines of major airlines flying to Ghana;

d. undertake e-marketing; including production of e-Brochures to improve global access to information on Ghana's products;

e. place emphasis on the development and packaging of the tourist products at the district level by working closely with the District Assemblies;

f. carry out tourism infrastructural development including construction of tourist receptive facilities;

g. facilitate private investments for development of tourist facilities at the various tourist sites;

h. organize training for private sector hospitality service providers and undertake vigorous inspection for tourism enterprises in the formal and informal sectors as part of ensuring quality assurances and standards in service delivery;

i. undertake monitoring and evaluation through field visits to tourist plants and sites to track performance in line with deepening ongoing institu- tionalisation and internalisation of policy formulation, planning, and M&E system at all levels; and

j. organize Public-Private-Partnership Forum, Inter-Ministerial Committee on Tourism Meetings and Ministerial Advisory Board Meetings.

Mr Speaker, the Ministry is grateful for the Government's continuous commitment to ensure that the tourism sector becomes the number one foreign exchange earner for the non-oil economy. The tourism industry continues to be the most dependable sector in terms of its contribution to GDP, foreign exchange earnings and wealth creation.
Chairman of the Committee (Alhaji Amadu B. Sorogho) 2:35 p.m.
Mr Speaker, I rise to support the Motion and in so doing, present your Committee's Report. 1.0 Introduction
In accordance with article 179 of the 1992 Constitution of Ghana, the Minister for Finance and Econmic Planning, Dr Kwabena Duffuor on Thursday, 18th November, 2010 presented to the House, the Budget Statement and Economic Policy of the Government of Ghana for the 2011 financial year.
Pursuant to Standing Orders 140 (4) and 159 of the House, Madam Speaker referred the Annual Estimates for the year 2011 of the Ministry of Tourism to the Committee on Trade, Industry and Tourism for consideration and report.
In considering the Annual Estimates, the Committee met with the Hon Minister for Tourism, Hon Sabah Zitah Okaikoi, the Deputy Minister, Hon Kwabena Owusu Akyeampong and the technical team from the Ministry. The Committee reports as follows:
2.0 Reference documents
The Committee in its deliberations referred to the following:
1. The 1992 Constitution of the Republic of Ghana;
2. The Standing Orders of the House;
3. The 2011 Budget Statement and Economic Policy.
3.0 Mission Statement of the Ministry
The Ministry exists to create a conducive and favourable environment for sustainable growth and development that would ensure:
that the tourism sector achieves a greater contribution to GDP growth through effective and efficient use of appropriate policies, corporate planning, programmes, projects, as well as public-private partnership; and
a sustainable relationship with the diaspora for resource mobilization and investment.
4.0 Implementing agencies
The main implementing agencies of the Ministry are the Ghana Tourist Board (GTB) and the Hotel and Catering Training Institute (HOTCATT).
5.0 Performance for 2010
5.1 Tourism Investment Document
In 2010, the Ministry planned to produce 10 tourism investment profiles for identified tourist sites in the ten regions of the country. Six investment profiles have been completed while four profiles are at their drafting stages.
These profiles are aimed at promoting programmes and activities which was targeted at increasing tourist arrivals and receipts.
It is also to facilitate the promotion and mobilization of private investment in the various sub-sectors of the tourism industry and to improve Ghana's destination competitiveness for the international business and vacation markets.
5.2 Development and promotion of Ghana as a diverse tourist destination
The Ministry continued to market
Ghana as a diverse tourist destination both on the local and international markets through its participation at fairs and events.
In 2010, the Ministry participated in ten international tourism events. It also collaborated with GIPC and the private sector to organize an international tourist investment forum at the AICC to promote investment in the tourism sector.
5.3 Completion of receptive centres
The Committee was informed that three receptive centres at Adasewase, Akwamufie and Agogo are 95 per cent complete. The construction of a centre at Saltpong is at lintel level with the centrer at Salaga, Gwollu and Wli to be completed in 2011.
The Ministry has commenced the construction of two receptive centres at Kpetoe and Axim.
These receptive centres are facilities used to provide tourists with the needed information, catering services, place of convenience, among others.
5.4 Website upgrading
The Ministry upgraded and maintained its website to ensure that tourists continue to have access to the required and needed information. An additional website - www.ghana.travel has also been opened.
6.0 Budgetary allocation for 2011
The Committee was informed that the Ministry has been allocated a sum of GH¢17,225,167 for the implementation of its programmes and policies in the 2011 fiscal year.
This is as follows:
GoG -- GH¢7,145,700
SPACE FOR TABLE - PAGE 2:35 p.m.
Mr Second Deputy Speaker 2:45 p.m.
Hon Members, since we all want more time, just make your contribution because we all know what we are talking about, please.
Nii Tackie-Kome: Mr Speaker, I wish
to comment on item 8.3, page 6 of your Committee's Report on the decision of the Ministry of Finance and Economic Planning to abolish the Tourism Incentive Package under Legislative Instrument
(L.I.) 1817.
Although it is a good intention for Government to streamline its tax exemption policies to check abuses in revenue leakages, care should be taken, since in this particular instance, the incentive is one of the key attractions of the tourism industry for provision of concession to investors. Therefore, the cancellation or abolition of this L.I. will affect the Ministry greatly.
Mr Second Deputy Speaker 2:45 p.m.
Order!
Hon Members, order!
Nii Tackie-Kome: Mr Speaker, the Ministry is being asked to generate GH¢9,650,837.00 as IGF. And part of these funds is supposed to come from a Bill that is supposed to be passed by this House, that is, the Tourism Bill. I am therefore, pleading that this House takes that issue seriously since our failure to pass that Bill will let the Ministry fall short of its internally generated funds.
Last year, they were able to generate only GH¢338,649.00. Therefore, if this year, they are supposed to get as much as GH¢9,650,837.00, this Bill will go a long way to help them. I am therefore, pleading on that.
Last but not least, I want to speak on an issue which I think is of great importance to the nation. That is in the area of our airlines. It is time Ghana had its own airline since this will go a long way to assist the tourism industry. I am saying this because Mr Speaker, quite recently, I was on a delegation of the Ministry to the London Market Show. And we realized that most of our sister nations, The Gambia, Nigeria, Kenya and South Africa, for the fact that they had their own airlines, were able to attract more tourists, whereas in terms of tourist attractions, Ghana has more than they have.
It is, therefore, our hope that when we are able to have our own airline, this will go a long way to generate more for our tourism industry.
With these few words, I thank you for the opportunity.
Mr Kofi Frimpong (NPP - Kwabre East) 2:45 p.m.
Mr Speaker, first and foremost, I would want to draw attention to the fact that the figure that is in the budget document should be corrected. And it is not that which the Committee Chairman corrected; he corrected that on the Order Paper. When you add up, in the Budget, page 263, under Ministry of Tourism, the
-- 2:45 p.m.
Mr Second Deputy Speaker 2:45 p.m.
Hon Member, if you want the Hon Chairman of the Committee to explain, then you may please, take your seat.
Alhaji Sorogho 2:45 p.m.
Mr Speaker, we discussed the issue just this morning and we went to the Deputy Minister for Finance and Economic Planning and he said, he rounded it up. The Deputy Minister for Finance and Economic Planning is here and agreed that if there is the need, he will talk to it. In the Estimates, they rounded it up; it was to the nearest cedi and that was why. We are talking of just fifty pesewas difference.
The issue that he is talking about is that if you look at the IGF, instead of the GH¢9,650,837.00, it is GH¢9,650,838.00 and if you add it, you will get the same figure. So, the amount that we are approving is GH¢17,225,167.00, which is in the Budget Statement, as well as on the Order Paper; that is what we are approving.
Mr Joseph B. Aidoo 2:45 p.m.
Mr Speaker, it is not so in the Budget Statement. On page 262, when you take GoG, the total is GH¢7,145,700.00 and that is right in the Budget Statement. IGF in the Budget Statement, page 262 is GH¢9,650,837.00 -- [Interruption] -- it is there, it is in the -- I am talking from the Budget
Statement.
Mr Speaker, when you take donor provision, that is GH¢428,629.00; when you add all that, they come to GH¢17,225,166.00 but in the Budget Statement, page 263, it is GH¢17,225,167.00; that is what the Hon Member is talking about.
There is a mistake in the Budget Statement, on page 263. And there are two things, either the items will have to be adjusted by adding GH¢1 to one of the items for it to tally, otherwise, the overall total as in the Budget Statement, is bigger by GH¢1 and that is what we are asking for correction.
Dr A. A. Osei 2:55 p.m.
Mr Speaker, the explanation that the Chairman was seeking to offer is correct. I think what needs to be done is to ask the Hon Deputy Minister to formally amend that one cedi in the Budget Statement to the correct amount, so that we can take note of that. If we do not do that, there will be a lot of mistakes in the Appropriation Bill. So I think that if the Deputy Minister who is acting on behalf of his Minister makes the amendment to be adopted, it will be in order.
Mr Second Deputy Speaker 2:55 p.m.
Hon
Deputy Minister, I was going to come to you.
Mr Terkpeh 2:55 p.m.
Mr Speaker, this issue
has already come up a couple of times on the floor of the House, multiple times actually and we have been explaining to the Committee Chairpersons and to members. So, I suggest that rather than we effecting each change, I will like to recommend to the House that we make a consequential amendment, so that wherever there is a difference in the rounding, it is taken as what is actually in the appendix and when the Appropriation Bill is prepared , which shows the full extent of the Estimates, it will reflect accordingly for the House.
Dr A. A. Osei 2:55 p.m.
Mr Speaker, it will not be a consequential amendment because it will vary from Ministry to Ministry. What we need to be guided by, is what he says for a particular Ministry. So in this one, my understanding is that, he is saying that it is GH¢9,650,838 and we can accept his amendment and then make the correction. This is because for some Ministries, we may have to go down. So if he offers that amendment, I think it is in order.
Mr Second Deputy Speaker 2:55 p.m.
Hon Deputy Minister, you seek the amendment accordingly?
Mr Terkpeh 2:55 p.m.
Mr Speaker, consequent
to the discussion on the floor, I wish to propose that the House considers a consequential amendment that would make sure that the rounding errors that --
Mr Second Deputy Speaker 2:55 p.m.
Hon
Deputy Minister, it will look as if an omnibus amendment may be a bit difficult. Let us just have this one amended and we will make progress.
Mr Terkpeh 2:55 p.m.
Yes, Mr Speaker. I wish
to therefore, propose an amendment that the figure in the appendix which is GH¢ 9, 650,837.00 is taken as the Estimates for consideration by the House.
Mr Second Deputy Speaker 2:55 p.m.
Hon.
Minority Leader, I trust there is no objection to that?
Mr Kyei-Mensah-Bonsu 2:55 p.m.
Mr Speaker,
there cannot be any disagreement. We just have to be consistent and follow through. Once we do that, I believe that the totals will not be affected. I know that they have been doing a lot of rounding up and that is what has been occasioning this. So once we get the flow from the Deputy Minister -- there should not be any problem.
Mr Second Deputy Speaker 2:55 p.m.
Yes,
Hon Member, continue.
Mr Kofi Frimpong 2:55 p.m.
Mr Speaker, my
Chairman is threathening not to take me outside because of being diligent and that next time when there is any trip, he is not going to put me on it. This is what he is telling the Minister. I heard him say that, for doing my work . But it is going a long way to help us, especially during the Appropriation. Mr Speaker --
Mr. Second Deputy Speaker 2:55 p.m.
In fact,
you have just helped him -
Mr Frimpong 2:55 p.m.
He should not do this
to me. It is not the best.
Mr Second Deputy Speaker 2:55 p.m.
Go
ahead. You may soon have to conclude.
Mr Frimpong 2:55 p.m.
He is intimidating me.
But he knows that I am fearless.
Mr Speaker, the Minister noted during the Committee meeting, and in the Report that currently, the Tourism Ministry is the fourth largest foreign exchange earner for this country. Mr Speaker, we all know that tourism is the modern industry and a lot of countries are earning a lot of money. Next time, she will do us a lot of good if she is able to mention the quantum, the amount that the Ministry generates for the country so that we know that it is becoming the fourth highest earner.
Secondly, she also made mention of the creation of 260,000 jobs. Indeed, she did not give the basis, the survey where she had this figure, whether it is in addition to the existing number of jobs in the industry or it is a new creation or it is part of the l.6 million jobs that the NDC has been able to create.
Mr Second Deputy Speaker 2:55 p.m.
Hon
Member, wind up.
Mr Frimpong 2:55 p.m.
Mr Speaker, in Ghana,
when we talk of tourism, we are putting emphasis on only eco-tourism. There are tourist areas that are not in the eco-tourism sector. Like the industrial tourism areas, indeed, my constituency, it is the largest tourist attraction in the Ashanti Region. It is where these kente cloths are made; these pieces that we have here. It is where we have the traditional cloths that all these traditional rulers are made -- in my constituency. But little is known of those industries in the tourism industry.
The wood carving at --
Mr Second Deputy Speaker 2:55 p.m.
Hon Member, and in conclusion --
Mr Frimpong 2:55 p.m.
Mr Speaker, in
conclusion, I will want the Hon Minister to pay attention to this aspect of tourism, that is the industrial tourism; the sight- seeing is there -- good but we want her to also put emphasis on the industrial tourism. On our tour of Ghana, we were taken to Bonwire --
Mr Second Deputy Speaker 2:55 p.m.
Thank
you very much, Hon Member.
Mr Felix Twumasi-Appiah (NDC - Sene) 3:05 p.m.
Mr Speaker, my contribution will be very brief; it will be based on your Committee's Report, paragraph 8.3, which recommends that the L.I that hitherto allows investors to keep a percentage of their taxes be repealed - should be taken a look at.
Mr Speaker, it is said that you cannot eat your cake and have it back and we know very well that even though your Report tells us that the tourism sector employs that many people, creates that much revenue for the nation, we are also aware that not only the tourism sector but indeed, the construction and other sectors also create jobs and bring revenue to the nation.
Mr Speaker, it is a bit surprising that in a quick round, your Committee is indeed, recommending that the IGF that the Ministry makes is very deplorable and it is on a poorer side. Yet, the measures that are being proposed by the Ministry of Finance and Economic Planning to increase their own IGF either directly or indirectly and also increase that of the nation are being recommended for re-consideration.
Mr Speaker, we all know, even just here in Burkina Faso, they have the Tourism Tax Law, where, when every visitor visits Burkina Faso, he is required by law to pay a percentage to their tourism sector.
These companies that we were giving these exemptions to under the previous L.I., to what extent have they directly or indirectly contributed to the development of the tourism sector in Ghana here?
Mr Speaker, the Hon Member who last spoke and that even in Gabon, they are advertising hotels and beaches, and you can see it even on CNN where I think he saw it from, is in association with certain industries. It is either a hotel, a bank - [Interruption] -- or some other industries that are promoting it; it is not the State herself that is funding these advertisements -- and yet we are seeing Gabon on CNN on daily basis.
So, it is also my view that what the budget recommends that we should repeal that particular L.I., it is in order, so that at least, these investors will not only come and then make their profits and transfer all their capital back, leaving the domestic tourism with nothing.
I may also want to ask that, to what extent do these exemptions trickle down to the ordinary user of the infrastructure that they have put in place? It does not -- whether we repeal it or we leave it as it is. If a snack will cost you 5,000 in some places, it will continue to cost that, anyway. If a hotel will cost you US$1 million somewhere, it will continue to cost you US$1 million anyway. So what does the Government benefit from repealing or allowing these people to carry all these exemptions away by making sure that they do not pay any tax for us to build the other sectors?
Mr Speaker, the Government needs these taxes to develop the road sector, water sector and other sectors and we believe that when this L.I is repealed, it will enable Government to rake in more revenue to develop other sectors of the economy --
Mr Second Deputy Speaker 3:05 p.m.
Hon Minister, you may want to conclude if you so desire.
Mrs Okaikoi 3:05 p.m.
Mr Speaker, I wish to thank Hon Members for their contributions and support to our budget.
I wish to state that with the Hotel and Catering Training Institute (HOTCATT) -- you have not heard of HOTCAT for sometime now because it was given out in 2008 to the Ghana Institute of Management and Public Administration (GIMPA). GIMPA is a tertiary level training institute, HOTCATT is middle level and so, we have had discussions with GIMPA. They have agreed that it is not within their mandate to train middle level manpower. So they are going to give it back to us and we have put in our budget for this year and we will be running it. So, you will be seeing HOTCATT very soon.
I wish to thank you all and once again, urge that the 2011 budget allocation of GH¢17,225,167.00 for the Ministry and its agencies be approved by this august House.
Question put and Motion agreed to.
Resolved:
That this Honourable House approves the sum of GH¢17,225,167.00 for the services of the Ministry of Tourism for the year ending 31st December, 2011.
ANNUAL ESTIMATES 3:05 p.m.
Dr Anthony A. Osei 3:05 p.m.
Mr Speaker, with respect, I need your guidance. The Constitution makes it very clear who the NDPC will be responsible to. Mr Speaker, if you look at the mandate of NDPC, it said: “It shall be responsible to the President”. Mr Speaker, so I am wondering - [Interruptions.]
Mr Second Deputy Speaker 3:05 p.m.
Order! Order!
Dr A. A. Osei 3:05 p.m.
They do not know the Act? Mr Speaker, with respect, in a minute I can read it to you.
This matter came up and I tried to bring it to the attention of the Leadership. [Interruptions.] It is not the Directive Principles of State Policy, it is where the NDPC is created --
Mr Second Deputy Speaker 3:05 p.m.
Hon Deputy Minister, you may continue. When Dr Akoto Osei is ready - and Hon Deputy Minister, you may choose to be very brief.
Dr A. A. Osei 3:05 p.m.
Mr Speaker, article 86 of the Constitution and with your permission, I want to read -
Mr Second Deputy Speaker 3:05 p.m.
Article 86 what?
Dr A. A. Osei 3:05 p.m.
Article 86 (3). It says:
“The National Development Planning Commission shall be responsible to the President.”
Mr Speaker, if it is responsible to the President, the Hon Minister for Finance and Economic Planning or his representative cannot be moving a Motion on his behalf. Mr Speaker, the Minister of State or whoever is in the Office of the President ought to be here to be doing that for the President, not the Minister for Finance and Economic Planning.
Motions are moved by Ministers with direct responsibility for that agency and it is clear in the Constitution. It is a constitutional matter. The Act itself says -
Mr Second Deputy Speaker 3:05 p.m.
Hon Member, we have got you.
Mr James K. Avedzi 3:05 p.m.
Mr Speaker, I disagree with my Ranking Member. Mr Speaker, this is a constitutional issue; the NDPC is to advise the President. And the budget issue that he is talking about that because it is for NDPC and therefore, a Minister from the Presidency must come and move this Motion -- Mr Speaker, even the budget for Government Machinery was moved by the Hon Minister for Finance and Economic Planning on behalf of the President. There is no Minister -- [Interruption.]
Mr Second Deputy Speaker 3:05 p.m.
Hon
Members, I will suggest that you do some consultations to save time while we go on with Motion numbered 7 - Ministry of Transport.
ANNUAL ESTIMATES 3:15 p.m.
Minister for Transport (Mr Mike A. Hammah) 3:15 p.m.
Mr Speaker, I beg to move, that this Honourable House approves the sum of GH¢18,173,336.00 for the services of the Ministry of Transport for the year ending 31st December, 2011.
Mr Speaker, the Ministry of Transport
has an oversight responsibility for all modes of transport. Road infrastructure is the responsibility of the Ministry of Roads and Highways. This is to ensure integration and co-ordination of all transport modes for better planning, synergy and effective utilization of resources.
Mr Speaker, I will go straight to the performance in 2010 --
Mr Second Deputy Speaker 3:15 p.m.
Hon Minister, you will just give us a one minute summary and then -- Everything is already captured.
Mr Hammah 3:15 p.m.
In 2010, some key major achievements that the Ministry chalked were: (1) The Ports and Harbours Authority has completed a conceptual design for the expansion of the Takoradi Port for the oil and gas industry and are in the process of engaging consultants for detailed design and construction.
Mr Speaker, under the aviation sector, the Kotoka International Airport (KIA)
phase III is currently ongoing and it involves a lot of rehabilitation works.
Under railways, which is the focus of this Administration, the minimum intervention on the western line is ongoing and we have completed the Accra- Asaprochona railway extension and services have resumed in earnest.
Mr Speaker, the planned programme for 2011 - We intend to do a lot of infrastructural development in the maritime sector. We expect to expand the port of Takoradi to include oil service facilities and we also intend to continue with the Volta Lake Enhancement Project.
We expect to ensure the enactment of adequate legislation in response to the emerging oil and gas industry.
Railways - We expect to begin in earnest the rehabilitation of the western line and also complete the feasibility studies and then possibly start the construction of the eastern corridor.
Mr Speaker, under the road transport services, we expect to facilitate the enactment and the implementation of Road Traffic Regulations, which are currently before Cabinet.
The Driver and Vehicle Licensing Authority (DVLA) will improve its service delivery by completing their automation services.
Mr Speaker, I know this one will excite a lot of Hon Members. Private garages will undertake vehicle testing with the passage of the required regulations.
Finally, Mr Speaker, I want to conclude by asking this Honourable House to approve the sum of GH¢18,173,336.00 for the services of the Ministry of Transport for the year ending 31st December, 2011.
Chairman of the Committee (Mr Michael C. Boampong) 3:15 p.m.
Mr Speaker, I rise to support the Motion to approve the Annual Budget Estimates for the year 2011 for the Ministry of Transport. In doing so, I wish to present your Committee's Report.
1.0 Introduction
In fulfilment of article 179 of the 1992 Constitution, the Budget Statement and Economic Policy of Government for 2011 financial year was presented to the House by the Hon Minister for Finance and Economic Planning on Thursday, 18th November, 2010.
In accordance with Standing Orders 140 (4) and 189 of the House, the Budget Estimates of the Ministry of Transport was referred to this Committee for consideration and report.
The Committee met on the Estimates with the Hon Minister, Mr Mike Hammah, the Chief Director, a representative from the Ministry of Finance and Economic Planning, agency heads and officials from the Ministry.
The Committee acknowledges their presence at the meeting and is grateful for their co-operation.
1.1 The departments and agencies under the Ministry are as follows:
i) National Road Safety Commission;
ii) Driver and Vehicle Licensing Authority;
iii) Government Technical Training Centre;

iv) Metro-Mass Transit Limited;

v) Inter city State Transport Company;

vi) Volta Lake Transport Company;

vii) Regional Maritime University;

viii) Ghana Shippers' Authority;

ix) Ghana Ports and Harbours Authority;

x) PSC Tema Shipyard;

xi) Ghana Railway Development Authority;

xii) Ghana Civil Aviation Authority;

xiii) Ghana Airports Company Limited;

xiv) Ghana International Airlines Limited; and

xv) Ghana Railways Company Limited.

2.0 Reference documents

The following documents were referred to by the Committee:

(i) The 1992 Constitution of the Republic of Ghana;

(ii) The Standing Orders of Parliament;

(iii) The Budget Statement and Economic Policy of the Government for the 2011 financial year.

3.0 Vision

To create an integrated, cost-effective, safe, secure, and sustainable transportation system responsible to the needs of society supporting growth and poverty reduction and capable of establishing Ghana as a transportation hub of West Africa.

4.0 Mission

To provide leadership and guidance for the development of Ghana's trans- portation system through effective policy formulation, market regulation, asset management and service provision.

5.0 Policy objectives of the Ministry

The policy objective of the transport sector as authorized in the medium-term development plan and in line with the thematic areas of the National Medium Term Development Plan 2010-2013 are as follows:

(i) to ensure safe, secure, efficient, reliable effective and accessible transport system by the provision expansion and maintenance of transport infrastructure to make Ghana a transport hub in the sub- region;

(ii) to develop a multi-disciplinary human resource base and the use of a new technology that will strengthen the institutional capacity to facilitate the implementation of the transport sector programmes and activities;

(iii) to develop and strengthen the appropriate regulatory framework

work that will ensure an efficient cient transport system; and

(iv) to develop and provide a sustain- able legal and regulatory frame-

work that will encourage and and promote Public-Private

Part- nership (PPP) in the provision of t ranspor t infrastructure and services.

6.0 Performance in 2010

6.1 Rail sub-sector

Construction works on the rail extension from Asoprochona to Tema has been completed and His Excellency, the President has inaugurated the extension of the line from the Tema Port to Community one. The new diesel multiple units have been inaugurated and operationalised for commuter rail services between Accra and Tema.

In addition, the feasibility study for the rehabilitation of the entire western line has been completed; sectional maintenance works on the western lines have been undertaken to facilitate the transportation of bauxite and manganese at the Takoradi Port for export.

6.2 Maritime and inland water sub- sector

The Minis t ry of Transpor t in collaboration with Zoil has introduced a programme to enhance safety of transportation on the Volta Lake. This includes checking of overloading of boats and deployment of life guards to attend to accidents on the Lake.

Construction of new ferries for Ekyi Amanfro-Adawso crossing under the MiDA Project has commenced. A conceptual design for the Takoradi Port expansion project has been completed and engagement of consultants is in progress for detailed design and construction.

6.3 Road transport sub-sector

The National Road Safety Commission in collaboration with the Driver and Vehicle Licensing Authority and the Government Technical Training Centre (GTTC) has established the National Drivers Academy to train and retrain drivers to reduce the accident rate in the country.

The DVLA has developed regulatory standards for driving schools and driving
Chairman of the Committee (Mr Michael C. Boampong) 3:15 p.m.
instructors to improve the quality of driving on the road.
6.4 Aviation sub-sector
The Ministry had negotiated and initialed 9 bilateral Air Service Agreements which had increased the number of airlines operating from and to Kotoka International Airport (KIA) from 25 to 30. Five new domestic carriers have been issued with air carrier's licence to provide air transport passenger services.
The rehabilitation of KIA is ongoing and a new fire station will be completed by the end of the year.
TABLE 1: Approved Budget Against Disbursement for 2010 Fiscal Year
As at the end of October, 2010 the Ministry has been given an amount of GH¢17,295,981.00 out of the approved budget of GH¢29,337,927.00 for its services. This represents about 59 per cent of the budgetary allocation.
The Impressive performance of the Ministry and its agencies in terms of GoG releases is due to the level of investment committed into projects by Ghana Railway Development Authority (GRDA).
TABLE 2: Budgetary Allocation for the Ministry of Transport and its Agencies
The Ministry of Transport and its agencies have been given a budget allocation of GH¢18,173,336.00 for the fiscal year 2011. The breakdown per expenditure items per the MDAs is as follows:
TABLE 3: MDA Planned Budget 2011 Against Approved Ceilings
6.5 Outlook 2011
6.5.1 Rail sub-sector
The Ministry will continue to source for funds for the development of the railway sub-sector. The Ghana Railway Company Limited will utilize the Indian Exim facility to refurbish its rolling stock. In addition, the Ministry will prepare a Railway Master Plan, continue the rehabilitation of the western railway line and the sub-urban railway lines in Accra- Nsawam, Kumasi-Ejisu and Sekondi- Takoradi.
The Ghana Railway Development Authority will be strengthened and appropriate regulatory framework for the sub-sector developed.
6.5.2 Aviation sub-sector
The Ministry will continue with its policy of liberalizing the regulatory framework to attract more airlines and to create the enabling environment for private sector to operate and invest in aviation infrastructure and services. The programme of making KIA as an aviation hub for the subregion will also be rigorously pursued.

The rehabilitation works at KIA and the regional airports, particularly, upgrading of Tamale Airport as alternate to KIA, will be continued.

6 . 5 . 3 M a r i t i m e a n d i n l a n d water sub-sector

Maritime and inland water sub-sector will focus on the development of Takoradi Port including oil service facilities and the enactment of the necessary regulations to guide the oil and gas production while feasibility study for a deep sea port will be pursued.

The Ministry will continue with the Lake Safety Enhancement Programme with the provision of new ferries for Kete-Krachi, Kpando-Agordeke and Ekyi- Amanfro crossings. Also, some landing

stages will be constructed along the banks of the Volta Lake.

6.5.4 Road transport sub-sector

The Ministry will facilitate the enactment and the implementation of the new Road Traffic Regulations which are currently before Cabinet and also continue to assist Inter-

SPACE FOR TABLE 1 - PAGE

8 - 3.15 P.M.

city State Transport Company (ISTC), Metro Mass Transport Limited under the Ministry's fleet renewal programme.

The National Road Safety Commission (NRSC) will facilitate the installation and operation of speed cameras and speed

limiters to improve road safety.

The NRSC will upgrade two trauma care centres along the Accra-Kumasi Highway, as well as establish two first-aid posts on the Accra-Cape Coast Highway.

The NRSC will collaborate with the National Youth Employment Programme to engage youth for road safety education for schools and also continue to conduct driver training through the National Driver's Academy (NDA).

The DVLA wil l complete the
Chairman of the Committee (Mr Michael C. Boampong) 3:15 p.m.
On how to generate revenue for the
Authority, the Committee also noted that the Ghana Railway Development Act makes provision for a development levy which needs to be implemented to generate income for the Authority.
Proposal on the development levy has been forwarded to the Attorney-General's Department by the Authority.
The Committee is, therefore, urging the Ministry to liaise with the Lands Commission to address the problem of encroachment and also expedite action on the proposals on the implementation of the development levy to be forwarded to Parliament for ratification.
With the establishment of the Ghana Railway Development Authority (GRDA) as a regulator and asset manager of the sector, the functions of Ghana Railways Company Limited (GRCL) is now limited to service provision. To this end, there is the need to restructure GRCL to enable it provide the needed passenger and freight services.
It is also on record that there are
outstanding debts to be cleared by the Ministry for the supply of railway sleepers and ballast.
It is the opinion of the Committee that the Ghana Railway Development Authority and Ghana Railways Company Limited would go into public-private partnership to improve their investment portfolio and financial position. 7 . 4 D r i v e r a n d V e h i c l e Licensing Authority
The Committee also noted with satisfaction that the Driver and Vehicle Licensing Authority, in line with the Authority's 5-year strategic plan, will expand its operations in the regional and district capitals where new offices will be

located since offices of the Authority at the regional and district capitals leaves much to be desired.

The Committee is of the opinion that the Ministry assists the Authority to establish these offices to enable the Authority carry its objectives effectively and efficiently.

8.0 Conclusion

In light of the above, the Committee recommends to the House for approval, the sum of eighteen million, one hundred and seventy-three thousand, three hundred and thirty-six cedis (GH¢18,173,336.00) for the activities of the Ministry of Transport for the financial year of 2011.

Respectfully submitted.

Ranking Member of the Committee (Mr Samuel K. Obodai): Mr Speaker, I rise to support the Motion. I want to make these observations and to draw the attention of the Hon Minister to them accordingly.

Mr Speaker, concerning the aviation sector, we know that the primary responsibility of the Ghana Airport Company Limited (GACL)is for the planning, development or the management and maintenance of all the airports and the airstrips in the country. The current infrastructure is not only inadequate but unreliable in coping, especially with increased activities and operations at the airport.

Mr Speaker, an evaluation of the taxi- way shows deterioration to the extent that it has practically failed. This has significantly affected efficient delivery of service at the Kotoka International

Airport. However, the recent Budget Statement has indicated Government's proposal to increase the airport tax, that is from US$75 to US$100 for the economy for international travels and US$100 to

US$150 --

Mr Speaker, in a nutshell, I would want to suggest to the Hon Minister that in the light of the financial requirement for the provision of facilities at the various airports and to improve GACL, they should review the apportionment of the Airport Passenger Service Charge

(APSC).

In other jurisdictions, money or taxes collected from the airports go to the companies or the establishment that takes care of the airport - everything. But as we speak, when the taxes are collected, about less than half, 50 per cent of what is collected goes to the airport company. So I am calling on the Hon Minister to ensure
Mr Second Deputy Speaker 3:15 p.m.
Hon Ranking Member, if you may wind up for us.
Mr Obodai 3:25 p.m.
Mr Speaker, I am a member, so I have 10 minutes.
Mr Speaker, during 2004, the design for the aero-bridges at the airport were completed. Some of us are surprised that as of now, these have not been installed. We know these will actually increase the security measures at the airport. So the Hon Minister should take note and address these issues accordingly.
Talking about the National Road Safety Commission, the Act that established the NRSC, that is Act 567, section 17, indicated, and Mr Speaker, with your kind permission, I will want to bring this to the fore by reading just a portion:
“An insurer shall on receipt of any premium in respect of a motor insurance policy pay to the Commission through the National Insurance Commission as may from time to time be agreed upon by the Commission and National Insurance Commission and the Ghana Insurers Association.”
Mr Speaker, let us ask ourselves, is this being implemented? Mr Speaker, upon an enquiry from the insurance association, they have rather misinterpreted this aspect of the law. They have given a different interpretation to the law and they are claiming that the portion, according to the law, any premium but they are saying
that according to the law, it is only third party premium that they will make some contribution to the NRSC.
So I call on the Hon Minister -- this issue came up last year and he had not reported on it. So we are calling him -- please, ensure that he mandates them to do the right thing. It is rather going to help to get enough for them to put in their best for this nation.
Mr Speaker, in 2008, we were aware that the Transport Policy was ready for the consumption of all Members and all the citizens of this country. But as of now, we do not know what is happening, either it is being kept, so that 2012, we bring it out for people to know or what -- Mr Speaker, I am calling on the Hon Minister to make available to all Members, the National Transport Policy because it was completed in 2008 --
Mr Second Deputy Speaker 3:25 p.m.
Hon Ranking Member, in winding up -
Mr Obodai 3:25 p.m.
In winding up, I believe that His Excellency the President has made it clear that he is going to ensure that the northern sector is opened, especially when we talk about the railways sector. Mr Speaker, during the 2009 Budget, they did indicate that feasibility studies had been completed and that they were going to open up the railways sector up North and this report kept on re-occurring and we do not see anything practical --
Mr Second Deputy Speaker 3:25 p.m.
In conclusion, Hon Member.
Mr Obodai 3:25 p.m.
In conclusion, I will call on the Hon Minister to enlighten us on what has practically happened to the railways sector up North, so that the northern sector can also be opened up; when we talk of the opening up the northern sector, it does not only refer to
the SADA telling them that we will give them 200 and we give them five. The railways sector is also going to open up the North, so that the vision that the country has for them can really come to fruition.
With these few words, I end my contribution.
Minister of State (Mr John Gyetuah) (MP) 3:25 p.m.
Thank you, Mr Speaker, for the opportunity to contribute to the Motion, that has to do with the approval of the budget for the Ministry of Transport --
Mr Second Deputy Speaker 3:25 p.m.
Hon Minister, we are aware, go on.
Mr Gyetuah 3:25 p.m.
Mr Speaker, I just want to comment on two or three things.
Mr Speaker, with regard to the rails sub-sector, I am very happy that the commencement of that particular facility, that is, the Asaprochona to Tema railway line has been completed. This was actually started by the previous Administration, which has subsequently completed and inaugurated.
Mr Speaker, in your Committee's Report, that is, page 3, “construction works on the railway extension from Asapchona to Tema has been completed as has been said” and it has been stated in the document that the rehabilitation works on the western line and that of sectional maintenance works on the western line have been undertaken for transportation of bauxite and manganese at the Takoradi Port.
Mr Speaker, it is, indeed, very necessary, as you have seen, that several projects have been earmarked and I want to plead with the Hon Minister to let us hold on to one: if the Western Region lines can be rehabilitated, so that they can facilitate the movement of goods from that particular end -- it will be feasible. Looking at the road sector, indeed, it will
Mr Kwabena Owusu-Aduomi(NPP -- Ejisu-Juaben) 3:25 p.m.
Thank you very much, Mr Speaker, for allowing me to contribute to this Motion.
Mr Speaker, from page 7, table 3, an amount of 3.94 milion -
Mr Second Deputy Speaker 3:25 p.m.
Hon Member, please, make your contribution, we all know the amount and what we are -- because we -
Mr Owusu-Aduomi 3:35 p.m.
Mr Speaker, from table 3 of page 7, the amount allotted to Service for the Ministry is only about 20 per cent of what the Ministry requested for. Mr Speaker, this means that consultancy service for feasibility studies on our existing lines and the new lines that have been proposed will be severely affected.
Mr Speaker, before the exit of the NPP Government, a programme was made to send our railway lines to the North and it was not only to take heavy loads off the roads so that our roads live longer but it was also to connect our country with the neighbouring countries up North.
Mr Speaker, the most important aspect of it was to facilitate industrialization of the North. Mr Speaker, but unfortunately, this Budget did not even talk at all about the railway at the North, not even feasibility studies would be taken next year.
Mr Speaker, a lot has been said about SADA; we all agree that SADA is a laudable project but surprisingly, no amount from the funds allotted to SADA was given to the Ministry of Transport, even to do feasibility studies of our railway up North. This is why I am surprised that nothing at all is being done on this laudable idea to send the railway up North.
Mr Speaker, from the same table, table 3, if you go to ‘Investment, only one per cent of the planned budget was approved. Mr Speaker, His Excellency the President has declared next year as a year of action, and I do not think one per cent allocation to the Ministry of Transport supports what the President had said. Mr Speaker, all the Ministry's programme to rehabilitate existing lines, the western line and rehabilitate sub-urban lines, Kumasi to Ejisu, Accra to Nsawam and others, would not be able to do all these projects.
Mr Speaker, one important thing that the Regional Maritime University needs is a training vessel. We were all expecting that at least, the allocation for the Ministry of Transport will include a training vessel for the Regional Maritime University.
Mr Speaker, apart from the railway
line, the Driver and Vehicle Licensing Authority (DVLA), when you go to paragraph 407, page 108 of our Budget, the Ministry is saying that they will engage private garages to do vehicle inspection on behalf of DVLA. Mr Speaker, before the exit of NPP Administration, about six private workshops had been completed and fully automated to assist DVLA in their services.
Mr Speaker, when you go to that paragraph, it is saying that appropriate regulations would be made. We do not know what these regulations are. Maybe, when the Minister is winding up, he will tell this august House what these regulations are. Mr Speaker, we are told that each of them spent not less than US$400,000 in putting up these workshops and these are lying idle; nothing at all is being done. Mr Speaker, is this the “better Ghana” that we were promised by this Government, while workshops are sitting down not used?
Mr Speaker, accidents are on the
ascendancy. Accidents are increasing; fatalities are increasing and we all know it. Why is it that the Ministry would not allow these private workshops to work, by just issuing licences to them so that we would all benefit from these workshops? Mr Speaker, I think it is not fair, and it is not good for the nation for us to leave the services of these workshops while accidents and fatalities continue to increase.
Mr Speaker, these are the two issues
that concern me so much.
Thank you very much for allowing me to comment on this budget.
Mr Albert Abongo (NDC - Bongo) 3:35 p.m.
Mr Second Deputy Speaker 3:35 p.m.
Order!
Mr Abongo 3:35 p.m.
Mr Speaker, the maritime
Mr Abongo 3:35 p.m.


sector is very important for the development of this country and we being so lucky to be a coastal state, should continuously improve our port infrastructure as well as other infrastructure within our maritime area that help to handle vessels within our coast- lines.

Mr Speaker, unlike road infrastructure, maritime infrastructure must be of international standards because we are receiving vessels that do not belong to this country, but belong to the international community. So as ship sizes increase, we are bound as a country to improve upon our maritime infrastructure.

Particularly that we are now an oil producing country, much bigger vessels will be calling on our country's ports and coastal areas. So Mr Speaker, there will be the need that the Ministry fast-tracks its studies on how we can quickly put up or upgrade our infrastructure to handle these maritime vessels, these ships that will be calling at our ports.

Also, Mr Speaker, I will remind the

Hon Minister and the Ministry of Foreign Affairs and Regional Integration that there are international conventions that we need to sign on, particularly relating to maritime pollution. This country now stands the risk of maritime pollution because bigger vessels will be calling and we cannot say that anything cannot happen in our territorial waters.

So there are international conventions that we need as an oil producing country to enter into, so that in the event of an oil disaster, this country can be supported to get out of the situation.

Having said this, I urge Hon Colleagues to support the Motion before us.

Thank you very much.
Mr Second Deputy Speaker 3:35 p.m.
I thank
you very much, Hon Member.
Hon Minister, you may want to --
Mr Mike A. Hammah 3:35 p.m.
Thank you, Mr Speaker.
Mr Second Deputy Speaker 3:35 p.m.
I have
been advised that there is an agreement for two contributors from each side and I am going by the -- in fact, I am going according to pieces of advice already agreed upon by the two sides. And that is why it may look like -- I am sure it has been agreed there should not be interruptions; that there should be two from each side. There is a list here and I am going by these terms as I have been given.
Mr Hammah 3:35 p.m.
Thank you, Mr Speaker.
Let me thank Hon Colleagues for their very meaningful contributions and suggestions that have been made. These contributions and suggestions would be taken on board in the implementation of the Ministry's projects, programmes and activities. But before I resume my seat, I would want to react to a few of the concerns of Members.
First of all, I would want to talk about
the private garages. Mr Speaker, anytime you take a private property and you put it to public use, basic law infrastructure tells you that you have to regulate it and currently the Attorney-General's Office is looking at a legislative drafting proposal that was sent to them so that we would be able to come up with complete regulations to regulate the activities of these garages. I am sure that in the coming year, as I said earlier, these regulations would be completed and then the private garages would be given the go-ahead to operate.
Mr Speaker, I also want to talk about
the rehabilitation of the railway system. Mr Speaker, before you even begin to talk about the rehabilitation, there are certain basic network or “define your
rose
Mr Second Deputy Speaker 3:35 p.m.
Are you
standing on a point of serious correction? Order!
Dr Anane 3:35 p.m.
Mr Speaker, I hesitate to
intervene when the Minister is speaking but with respect to the issue of private garages.
Mr Speaker, the regulatory institution is the Driver and Vehicle Licensing Authority; so if there is any regulation, any legislation that ought to be put in place, Mr Speaker, it should be, possibly, if they do think it is necessary, an amendment to the law of the DVLA, and not the institution of a new legislation because they are private entities.
Are we going to have legislation set to
regulate the private sector.? Mr Speaker, I do not think so. So if they see the need for anything at all to be done, then they should have a look at the DVLA Law, and if they think there is a need for any amendment to the law, they do it.
But Mr Speaker, I do not think there is the need. The law is there and it empowers the DVLA to be the regulator. And therefore, I want to call on the Minister to ensure that these private entities which have set up these garages and which are lying down idle, are given the permission to start functioning.
Mr Second Deputy Speaker 3:35 p.m.
Thank
you very much.
Mr Hammah 3:35 p.m.
Mr Speaker, I think that
quite clearly the DVLA Law, the parent Act says that the DVLA will register private garages to provide inspection and testing of vehicles. But in so doing, the work done at the Ministry, the parent Act says that the Hon Minister is empowered to make regulation to give effect to the operations of the private garages. It is in the parent Act. So it lies with the bosom of the Minister to ensure it is done. But of course, it will also involve a legislative drafting proposal.
Mr Second Deputy Speaker 3:45 p.m.
Order!
Hon Members.
Mr Hammah 3:45 p.m.
It will require a legislative drafting proposal and I have no control over it except to expect that the Attorney-General's Department will continue and make sure that it is done. Once that is done, it will be laid before this House and I am sure it would be passed into law.
Mr Speaker, finally, on the review of the APSC sharing formula, I think that
administratively, I will be talking to the Minister for Finance and Economic Planning because the APSC charges have gone high. It is only proper that we review the sharing formula. Mr Speaker, the Ministry of Finance and Economic Planning is not averse to it and I believe that we would do it and this Honourable House would be informed accordingly.
Question put and Motion agreed to.
Resolved:
That this Honourable House approves the sum of GH¢18,173,336.00 for the services of the Minisstry of Transport for the year ending 31st December , 2011.
Mr Dominic A. Azumah 3:45 p.m.
Mr
Speaker, we will go back to Motion number 10. The information available is that there would be further discussions on the issue as to who moves Motions for independent bodies. But for now, we have the Minister of State from the Presidency here, Hon Alhassan Azong, who would move the Motion number 10 and appropriately, the Chairman would submit his Report, with your permission, Mr Speaker.
Mr Second Deputy Speaker 3:45 p.m.
Yes, the Hon Minister may proceed. Hon Minister, you do not need to go into too much detail; just give us the jist.
ANNUAL ESTIMATES 3:45 p.m.
  • [Resumption of debate from column 3689]
    • Minister of State at the Presidency (Mr Alhassan Azong) 3:45 p.m.
    Mr. Speaker, I beg to move, that this Honourable House approves the sum of GH¢5,476,064.00 for the services of the National Development Planning Commission for the year ending 31st December, 2011.
    Mr Speaker, the National Development Planning Commission has a constitutional mandate to advise the President on national development planning, policy and strategic issues. Mr Speaker, in particular, the Commission will prepare and disseminate its 2010 Annual Progress Report, the Ghana Shared Growth and Development Agenda 2010 2013.
    Mr Speaker, these and other activities to be undertaken next year, will also be undertaken by the Commission and I humbly request this august House to approve the sum of GH¢5,476,064.00 for the services of the National Development Planning Commission.
    Question proposed.
    Chairman of the Committee (Mr James K. Avedzi) 3:45 p.m.
    Mr Speaker, I rise to support the Motion moved by the Hon Minister and present your Committee's Report.
    1.0 Introduction
    Mr Speaker, the 2011 Annual Estimates of the National Development Planning Commission (NDPC) was laid in the House on Thursday, 18th November, 2010 and referred to the Finance Committee for consideration and report in accordance with the Constitution and Standing Orders of the House. This followed the presentation of the Budget Statement and Economic Policy of the Government for the year ending 31st December, 2011 by the Minister for Finance and Economic Planning, Hon Dr Kwabena Duffuor.
    The Commi t t ee subsequen t ly met with the Director-General of the Commission, Mrs. Regina O. Adutwum and a technical team from the Commission and the Ministry of Finance and Economic Planning and presents this Report.
    2.0 Background
    The National Development Planning Commission (NDPC) exists to advise the President of the Republic of Ghana on national development planning policy and strategy by providing a national development policy framework and ensuring that strategies and programmes are effectively carried out for the accelerated development of the country to provide continuous improvement in the living standards of all Ghanaians.
    3.0 Objectives
    The objectives of the Commission are as follows:
    to deepen ongoing institutionalization and internalization of policy f o r m u l a t i o n , p l a n n i n g a n d Monitoring and Evaluation (M&E) systems at all levels;
    institutionalize the mainstreaming of sustainable development principles in national development planning process;
    to ensure the reduction of HIV/ AIDS/STI/TB transmission, ensure their proper management and promote healthy lifestyle;
    to develop and retain human resource capacity at national, regional and district levels;
    to harmonise ongoing and emerging poverty reduction initiatives;
    t o p r o m o t e c o - o r d i n a t i o n ,
    Mr Second Deputy Speaker 3:45 p.m.
    Order!
    Mr Awuah 3:45 p.m.
    Today is Thursday, by Tuesday, all things being equal, we would be ending this Session and the NDC Government has not fulfilled this particular portion of the Constitution. Mr Speaker, this is just a good reminder I am making to them. It is a free piece of advice I am giving to them and I just want to draw their attention to the fact that we are all awake - [Interruptions.]
    Mr Second Deputy Speaker 3:45 p.m.
    Order!
    Mr Awuah 3:45 p.m.
    We are all awake to this particular provision and then we would want to implore them to submit this to Parliament before we rise.
    Mr Speaker, on this note, I end my submission.
    Mr Second Deputy Speaker 3:55 p.m.
    Yes, Hon Muntaka? [Pause.] Hon Muntaka, please, use the time.
    Hon Members, incidentally, we are not half way of the day's Business. I just want to remind you and that is why I would want us not to stick to introductions and also interruptions.
    So Hon Muntaka, if you would please, continue. You have five minutes.

    Alhaj i Mohammed-Mubarak Muntaka (NDC - Asawase): Mr Speaker, I rise to support the Motion before the House and in doing so, to say this is one very important Commission that we politicians need to really pay serious attention to.

    Mr Speaker, if you look at the role that the Constitution gives to the NDPC and with the greatest respect, since our democratization, the emphasis that we have given this Commission, you would clearly see that there is much to be desired.

    Mr Speaker, as a development student myself, I know that if this country would be able to get out of its difficulties, then this particular Commission should be taken seriously. If we continue to treat it the way we do -- I remember in 1993 when this thing came -- 2001, almost

    every member of the Commission was dismissed and then it was reconstituted. Now, we came to 2009, the same thing was done.

    Mr Speaker, I would want to just urge that as a country, if there is one institution that we must protect in order to be able to have continuous development as a country, it is the NDPC. And I would want to say, yes, the Commission has already been constituted, but the issue about institutional memory for that Commission is a very, very important one.

    Now, my Hon Colleague who spoke earlier talked about when this Ghana Shared Growth and Development Agenda is coming. You would remember, because of this same kind of dissolution, the New Partriotic Party (NPP) was only able to bring the Ghana Poverty Reduction Strategy (GPRS I) in 2003, and I would attribute it to the rate at which we dissolve the Commission. It is for the same reason, in my humble opinion, that it is taking almost two years to be able to bring another development agenda for a country.

    I think that in future, as a country, we must find a way of protecting this Commission. At least, even if half of it could always be constant so that it provides institutional memory, it gives way for early development of an agenda for the country, it would be the better for all of us.

    Mr Speaker, for want of time, I would want to say that this is a very, very important Commission and I would want to plead, like the current Chairman of the Commission, Mr P. V. Obeng rightly mentioned, we need to be able to have a bipartisan discussion about the development agenda for our country, so that it does not matter which government is in power; we all would have a common vision, a common agenda that we can all be feeding to.

    Mr Speaker, with these few words I
    rose
    Mr Second Deputy Speaker 3:55 p.m.
    Hon Kan-Dapaah, I have to seek clearance because your name is not here.
    Mr Albert Kan-Dapaah (NPP - Afigya- Sekyere West) 3:55 p.m.
    Thank you very much, Mr Speaker. I was with Hon Fritz Baffuor outside -
    Mr Second Deputy Speaker 3:55 p.m.
    No, I mean to say your name is not here, and these are some of the difficulties we face here which sometimes, some Hon Members do not know. So I have sought clearance and you may continue.
    Mr Kan-Dapaah 3:55 p.m.
    Mr Speaker, I want to agree with the last speaker that one of the most important institutions, which were created by the Constitution is the NDPC, with a specific duty to advise the President on the development planning policy and strategy of the Government.
    Mr Speaker, in practice, the development of a long-term and the medium-term development plans for the country are supposed to be prepared by the NDPC, and in fact, Mr Speaker, the annual Budget like the one that we are discussing, must take its source from that medium-term plan.
    Mr Speaker, again, it is considered so important that the Constitution demands that two years after taking office, the President should come to this House with his development plan, which would have been prepared by the NDPC, so that we know where we are going as a nation.
    Mr Kan-Dapaah 3:55 p.m.
    Mr Speaker, having such a plan is important, because it is
    Mr Kan-Dapaah 3:55 p.m.
    Mr Speaker, the NDPC also has within it a whole lot of accountability mechanisms, to ensure that the public financial management system of the country works. If the NDPC is not working properly, we are losing key accountability mechanisms embodied in the Budget cycle that we operate with.
    Mr Second Deputy Speaker 3:55 p.m.
    Hon Members, interruptions may invite -- Let us have one at a time and we conclude.
    Mr Kan-Dapaah 3:55 p.m.
    Mr Speaker, as my Hon Friend knows, the NDPC is not accorded any proper respect in this country -- or priority. Mr Speaker, transfer to NDPC - [Interruptions.]
    Mr Second Deputy Speaker 3:55 p.m.
    Order! Order!
    Mr Kan-Dapaah 3:55 p.m.
    -- used to be equated with a transfer to Siberia and yet it is supposed to provide the very, very important service in the economic management of this country.
    Mr Speaker, I still ask, the Hon Minister for Finance and Economic Planning should demonstrate to us the linkage between the medium-term plan
    Mr Second Deputy Speaker 3:55 p.m.
    Thank you very much, Hon Member.
    Yes, Hon Minister.
    Minister for Local Government and Rural Development (Mr Joseph Y. Chireh)(MP) 3:55 p.m.
    Mr Speaker, thank you for the opportunity to tell my Hon Friend that it would not be long, the document would be here. We have worked consistently - [An Hon Member: Really?] -- I am a member of the Commission. We have worked consistently to comply with the constitutional provision, unlike the New
    Patriotic Party (NPP) which failed to present anything to this House for the eight years they were in power.
    Number two, there is this issue of the importance that we should accord to constitutional bodies. Then you are talking about who should speak for them, in Parliament or in Cabinet? But one of the challenges that the President gave us in the first State of the Nation Address, was for us to make it possible for our Standing Orders to allow constitutional bodies to present their view points here and for us to listen to them. We have not done anything about that.
    Now, if you are talking about somebody from the Presidency, a Minister of State in the Presidency to present a routine process of procedure of Parliament where you are approving estimates, that becomes a matter. How?
    The Constitution says the NDPC is responsible to the President, and as you rightly said, it says they should advise the President on development policies and strategies.
    So if you want your own independent constitutional body to develop a policy and strategy for the development of this country, why should it be under a Minister? --
    rose
    Mr Second Deputy Speaker 3:55 p.m.
    Hon Member, did you say a point of serious correction?
    Dr Richard W. Anane 4:05 p.m.
    Yes. Mr Speaker, the Hon Member in his rendition said “as you rightly said”; Mr Speaker, you have not made any statement, but he was saying “as you rightly said”. I thought he was referring to Hon Kan-Dapaah. So he ought to have said “as the Hon Kan- Dapaah said”. I hope you will -
    Mr Second Deputy Speaker 4:05 p.m.
    Thank you.
    Hon Minister -
    Mr Chireh 4:05 p.m.
    Mr Speaker, it is because
    we accord the NDPC priority, that is why the Chairman who is not the Minister is chairing other Ministers, including the Hon Minister for Finance and Economic Planning and Governor of Bank of Ghana and all that. So this issue of their importance is not about moving a Motion to approve a Budget.
    On this note, let us all look at the Constitution very well, otherwise, they would one day ask us to let the Council of State have a Minister speaking for them. They would one day ask all these Commissions that are independent and supposed to be functioning to have Ministers speaking for them.
    On this note, I thank you for the opportunity.
    Mr Second Deputy Speaker 4:05 p.m.
    Thank you very much.
    Yes, Hon Minister -
    Mr Azong 4:05 p.m.
    Mr Speaker, let me take this opportunity to thank all Hon Members of the House for the useful suggestions and contributions to this particular Motion. I wish to assure Hon Members that I have taken note of most of the issues with regard to staff frustration of the Commission and the need for a Commission that is non- partisan to serve the interest of our dear country.
    On this note, I urge this Honourable House to approve the Estimates for the Commission.
    Thank you, Mr Speaker.
    Question put and Motion agreed to.
    Resolved:
    That this Honourable House approves the sum of GH¢5,476,o64.00 for the services of the National Development Planning Commission for the year ending 31st December
    2011.
    Mr Second Deputy Speaker 4:05 p.m.
    Motion 11 - Minister for Finance and Economic Planning -
    Alhaji Pelpuo 4:05 p.m.
    Mr Speaker, may we take Motion number 18?
    Mr Second Deputy Speaker 4:05 p.m.
    Motion numbered 18 - Minister for Foreign Affairs -
    ANNUAL ESTIMATES 4:05 p.m.
    Minister for Foreign Affairs and Regional Integration (Alhaji Muhammad Mumuni) 4:05 p.m.
    Mr Speaker, I beg to move, that this Honourable House approves the sum of GH¢84,635,912.00 for the services of the Ministry of Foreign Affairs and Regional Integration for the year ending 31st December, 2011.
    The Ministry of Foreign Affairs and Regional Integration is the principal organ of State responsible for the initiation, formulation and management of Ghana's foreign policy. It consists of the headquarters, fifty-six (56) diplomatic and consular Missions and three (3) subvented organizations, namely: Legon Centre for International Affairs and Diplomacy (LECIAD), National African Peer Review Mechanism-Governing Council (NAPRM-GC) and All African Students Union (AASU).
    The operation of the Ministry's 2011 budget seeks to achieve the national goal of formulating and implementing Ghana's foreign policy objectives, including the offering of advice on policy options in response to unfolding international situations and events.
    The Ministry will continue to advise Government on the formulation of Ghana's foreign policy and implement its objectives in the most efficient and cost-effective manner. In accomplishing
    Chairman of the Committee (Mr Francis Y. Osei-Sarfo) 4:05 p.m.
    Mr Speaker, I rise to support the Motion numbered 18 on page 4 of the Order Paper. In doing so, Mr Speaker, I present your Committee's Report.
    1.0 Introduction
    1.1 In accordance with Order 140 (1)
    (2) of the Standing Orders of the House and article 179 of the Constitution, the Hon Minister for Finance and Economic Planning, Dr Kwabena Duffuor presented to Parliament the Budget Statement and Economic Policy of the Government of Ghana for the 2011 financial year onThursday,18th November 2010. The Annual Estimates for the Ministry of Foreign Affairs and Regional Integration was accordingly referred to the Select Committee on Foreign Affairs for consideration and report in accordance with Standing Order 140 (4).
    The Committee met on Tuesday, 14 thDecember 2010 with the Hon Minister for Foreign Affairs and Regional Integration accompanied by the Deputy Minister, Hon Ambassador Chris Kpodo, the Chief Director and other officials from the Ministry. Also, in attendance was Mr Isaac K. Owusu from the Ministry of Finance and Economic Planning
    (MOFEP).
    2.0 Reference documents
    i. The 1992 Constitution of the Republic of Ghana;
    ii. The Standing Orders of the House;
    iii. The Budget Statement and Economic
    Policy of the Government of Ghana for 2011 financial year;
    iv. 2011 draft Annual Estimates of the Ministry of Foreign Affairs and Regional Integration; and
    v. 2010 Committee's Budget Report.
    3.0 Mission Statement and medium- term objectives
    The Ministry of Foreign Affairs and Regional Integration exists to advise and
    assist Government in the formulation and implementation of Ghana's foreign policy objectives, including the offering of advice on policy options in response to unfolding international situations and events.
    The objectives of the Ministry include the following:
    helping to forestall external aggression and safeguarding Ghana's territorial integrity and contributing to international peace- keeping efforts;
    p r o m o t i n g a n d p r o t e c t i n g economic, social, cultural, civil and political rights as enshrined in 1992 Constitution and All Africa and International Human Rights Instruments to which Ghana is a State party;
    promoting fruitful political and economic relations with all countries, especially Ghana's neighbours, in the interest of peace, stability and economic development;
    enhancing Ghana's image abroad through active participation in international organisations;
    u p g r a d i n g t h e h u m a n a n d institutional capacity of the Ministry within the context of the capacity building of the public and civil service for accountable, efficient and effective performance as well as timely service delivery;
    improving Ghana's position in global and regional markets; and
    providing efficient and effective consular/welfare and legal service within and outside Ghana.
    4.0 Agencies and institutions under the Ministry.

    The Ministry has an oversight respon- sibility over the following agencies and institutions:

    a. Ghana Diplomatic Missions;

    b. National-African Peer-Review Mechanism-Governing Council;

    c. Legon Centre for International

    Affairs and Diplomacy (LECIAD);

    d. All African Students Union; and

    e. Passport Office.

    5.0 Performance of 2010 allocation

    The Ministry of Foreign Affairs and Regional Integration was allocated a total sum of one hundred and five million, three Hundred and eighty one thousand, three hundred and seventy-five Ghana cedis (GH¢105,381,375) for their 2010 operations.

    The breakdown of the allocation in the year under review was as follows:

    i. P. E. -- 54,472,895.00

    ii. Administration --

    15,823,132.00

    iii. Service -- 2,400,000.00

    iv. Investment -- 10,927,847.00

    v. IGF -- 21,757,500.00

    Total -- 105,381,374.00

    The actual expenditure of the Ministry of Foreign Affairs and Regional Inte- gration in the year under review as at the end of October was as follows:

    Table 1. Expenditure Returns for

    2010

    From the above given table, it would be noted there was an over expenditure of both Administrative and Investment items of the 2010 allocation. The significant increases in both items were as a result of the decisions to move into the issuance of biometric passports which resulted in increases in investment and Administration expenditures. The extra funds were made available to the Ministry by the Ministry of Finance and Economic Plnning out of its contingency funds.

    6.0 Achievements of the Ministry in

    2010

    The Ministry of Foreign Affairs and Regional Integration is the principal organ of the State responsible for the management of Ghana's foreign policy.

    During the period under review, the Ministry positively pursued its mandated mission and also remained engaged in its facilitative role of attracting international support and assistance for Ghana's developmental agenda. The Ministry was able to achieve the following in the year under review:

    Madam Speaker, the Ministry successfully implemented the Biometric Passport Project and daily process is ongoing.

    Undertook renovation of some properties at our Missions in Copenhagen, New York, Washington and Ottawa.

    Government participated in the deliberations of the African Union and contributed to the collective effort to promote peace stability and economic development on the African continent.

    Government also convened joint Commission Sessions with a number of African countries which resulted in the promotion of trade and elimination of constraints to sub-regional trade.

    Government also convened the Fourth Session of the Ghana-Iran Joint Commission for Co-operation in areas of agriculture, investment, health and transfer of technology.

    Promotion of Made-in-Ghana goods and tourism were also enhanced by co-ordinating the participation of Ghanaian com-panies in trade and tourism fairs abroad.

    6.0 Outlook for 2011

    With 2011 in perspective, the Ministry of Foreign Affairs and Regional Integration would undertake the following activities:

    Economic diplomacy

    The Ministry will continue to vigorously promote foreign-direct investments to support Government's economic development efforts.

    Steps wil l be taken to seek additional international markets for Ghanaian products abroad while taking full advantage of preferential arrangements that accrue from multilateral trade agreements.
    Chairman of the Committee (Mr Francis Y. Osei-Sarfo) 4:05 p.m.
    Oil and gas industry
    Promote investment in the oil and gas sector to transform the structure of the economy from the production and export of primary products to a diversified industrial-based economy.
    Capacity Development
    Upgrade the Ministry's human resource capacity for national development.
    Foreign missions will also be supported to ensure the promotion and protection of the welfare of Ghanaian nationals abroad and encourage their active participation in national development.
    7.0 Provision for 2011 Budget
    In order to realise the above objectives, the Ministry of Foreign Affairs and Regional Integration has been allocated an amount of eighty-four million, six hundred and thirty-five thousand, nine hundred and twelve Ghana cedis (GH¢84,635,912.00) for its operational activities for the fiscal year 2011. This is made up of GoG and IGF components:
    The breakdown is as follows:
    GoG IGF
    Personal Emoluments --
    56,107,071.00 --
    Administration --
    15,054,578.00 --
    Service --
    2,500,000.00 2,259.241.00
    Investment --

    5,463,924.00 3,251,099.00

    Sub-Total -- 79,125,572.00 5,510,340.00

    Table 1. Comparative Anaylsis of 2010 2011 Provisions

    8.0 Observations and recommendations

    8.1 Shortfalls in allocations

    Mr Speaker, a comparison of the 2010 and 2011 allocation to the Ministry revealed that the total allocation to the Ministry has increased by only 1 per cent. However, on item by item, there has been a significant reduction in Investment allocation by almost 99 per cent. Such a reduction in Investment does not conform to the plans of the Ministry to renovate and upgrade the deplorable state of properties owned by Ghanaian Missions abroad.

    The Committee therefore wishes to recommend to the Ministry of Finance and Economic Planning to reconsider the Investment allocations to the Ministry, especially to enhance the image of Ghana abroad.

    8.2 Acquisit ion and upgrading/ renovation of properties abroad

    The Committee was informed about the deplorable state of properties of some Ghanaian Missions abroad. According to the Ministry the situation is becoming unbearably embarrassing. The country is most represented by its Missions abroad and properties owned by us do not depict a good image about our country.

    The Committee also observed that the outright purchase of properties for use by the Chanceries reduces or eliminates the payment of exorbitant rent charges for our Missions abroad. The country could save much on rent and interest paid on mortgaged properties.

    The Committee shared in the Ministry's sentiments and requested that Government takes a critically look at the Ministry's Investment allocation and directly intervene to enable MoFEP allocate
    SPACE FOR TABLE - PAGE 4:05 p.m.
    Mr Second Deputy Speaker 4:15 p.m.
    I think
    you will be winding up.
    Ms Botchway 4:25 p.m.
    Yes, Mr Speaker.
    So, it is our humble plea that the Ministry's retention should be increased and also for them to look at other ways of generating more IGF. And in saying this, I think that if there are any plans and I believe there are plans --
    To commercialise the VVIP, let me say at this point that, maybe, in the light of this Wikileaks document that is out there, and the bad image that has given us, I believe that it should be shelved for now until such time that we go into the issues and the damage out there is repaired, so that once the place is sanitized, then, we can look at commercialising the VVIP lounge.
    With these few words Mr Speaker, I will like to support the Motion for the amount of GH¢84, 635,910.00 for the Ministry of Foreign Affairs and Regional Integration for 20ll to be approved.
    I thank you.
    Alhaji Seidu Amadu (NDC -- Yapei- Kasangu) 4:25 p.m.
    Mr Speaker, despite the fact that the Ministry of Foreign Affairs and Regional Integration represens the character, spirit and the conscience of our country, the location of the Ministry at the Tema Lorry Station is, indeed, a very sad one. That is why I am particularly
    Alhaji Seidu Amadu (NDC -- Yapei- Kasangu) 4:25 p.m.


    happy that in the Committee's Report, in paragraph 8 (5), the Ministry has taken re- possession of the site originally earmarked for the construction of an office complex to house our Foreign Ministry.

    I think we all need to give that Ministry that support so that we can have an edifice that will project the country and give the country the right image in the sight of our international diplomacy.
    Mr Second Deputy Speaker 4:25 p.m.
    Order! Order!
    Mr Seidu 4:25 p.m.
    Mr. Speaker, if you look at the foreign policy today or foreign diplomacy, it is an aggressive issue. It has gone way beyond the core mandate of the Ministry, dealing with international affairs, dealing with consular services, dealing with welfare matters and so on and so forth. If you look at the Committee's Report, and of course, you know what the Ministry does these days, they are into everything virtually. So the Ministry is an embodiment of the entire duties and services that other Ministries provide. They are into tourism, they are now into oil and gas, peace- keeping, territorial integrity, security and everything. And this is the Ministry we really need to support.
    It is on this note that I urge my Colleagues to approve the financial estimates of the Ministry for the year ending 31st December, 2011.
    Mr Frank Boakye Agyen (NPP - Effiduase/Asokore) 4:25 p.m.
    Thank you very much, Mr Speaker, for the opportunity to contribute to this Motion. Basically, I support the Motion except that I have a few observations to make.
    In the outlook that was brought by the Minister or the Ministry, the budget highlights on these areas, that it would seek additional international market, expand and divestify the tourism industry, produce and promote from primary production of goods to diversified goods by way of industrially-based economy and it also highlighted on the need for the biometric passports.
    When one looks at the highlights, one would realize that they are laudable, but let us see what steps have been taken to bring these into fruition. If one looks at the budget for the Ministry last year, there is no indication as to which area the Ministry has been able to diversify the economy by going into industrial- based economy for export.
    The foundation has not been laid for Ghana to step into those shoes. When one looks at the production of the bio- metric passport, the GH¢50 being paid has attached to them time. It is sad to know that if time is not kept, you go to the passport office and there are lots of people who queue for days and hours on end, without being satisfied.
    Then, if one looks at the Ministry's intention to move into a new office, one would realize that the land on which the Ministry supposedly has been allocated or given by the Government to the Ministry was once encumbered and the people who encumbered it went there on the side of the law - they rightfully went there. I am praying that the Ministry will streamline its activities to the extent that when they really start raising the buildings, there would be no litigation to stem the tide of raising the buildings on a fast note.
    Then you look at the Ministry being
    the mouth-piece of the country as far as foreign relations are concerned, the Ministry was not able to say anything about Representation of the People Act (ROPA); there is no indications as to how the Ministry will assist foreigners, and Ghanaians living abroad; how they take them into consideration in assisting them to vote - give them the right to vote. ROPA was not mentioned at all.
    One would also realize that our citizens in Libya have been subjected to what I will term indignitaries. There are other citizens of other countries there, who we are told or we are reliably informed, have access to legal representation, whereas in the case of Ghanaians, one doubts whether their interests are really taken into consideration by the Ministry.
    Also, Ghana's foreign policy appears to be silent on the situation on Somalia. We claim we are the mirror of Africa, for that matter; as for West Africa, we think we are the eye but when it comes to effective foreign service diplomacy where the determinants should be such that we project what we internally are made of so that the others see us and emulate - we are silent on what is happening in Somalia and whether we are contributing any thing at all. I am told by the Report that we are operating within the context of the African Union (AU); whether that is true or not we are noted for sending troops to assist areas which are in turmoil, whether we are prepared to do that to project our image in that area is not also clear -
    Mr First Deputy Speaker 4:25 p.m.
    And in conclusion --
    Mr Agyen 4:25 p.m.
    If we look at the amount itself allocated to the Ministry -
    Mr Second Deputy Speaker 4:25 p.m.
    Hon Member, your concluding words.
    Mr Agyen 4:25 p.m.
    If one looks at the amount actually asked by the Ministry -- what is
    allocated to the Ministry is far below what the Ministry needs.
    Mr Second Deputy Speaker 4:25 p.m.
    Thank you very much, Hon Member.
    Mr Albert Abongo (NDC - Bongo) 4:35 p.m.
    Thank you, Mr Speaker, for the opportunity.
    Just to add that the Ministry of Foreign Affairs and Regional Integration is the Ministry that preserves the image of this country. Our image in the international community is already a respectable one, starting from the founder of this country and our performance as far as football is concerned in the international community, this country is a popular one.
    Also, Mr Speaker, we have had our own senior -- having worked in the United Nations (UN) for a very long time and so, our Missions will have to be kept in good order to reflect the standing, the image of this country -
    Mr Second Deputy Speaker 4:35 p.m.
    Hon Member, he worked in what capacity?
    Mr Abongo 4:35 p.m.
    Mr Speaker, he worked as the UN Secretary-General and so, he is known in the international community. And Mr Speaker, it is important that our Missions continue to project the image of this country, and that requires the Ministry of Foreign Affairs and Regional Integration to be properly resourced to do that.
    Mr Speaker, we also, as a country, need to resource them to be part of international meetings. Several meetings are going
    on across the globe and the Ministry of Foreign Affairs and Regional Integration will have to be part of it so that the contributions of this country can be heard in the international arena.
    Also, Mr Speaker, they now have an additional responsibility to drive investors into this country and that requires resources. The investors outside would need to know about this country and that requires that sometimes they would have to organise meetings, draw them in to brief them on potentials in this country. So, the Ministry of Foreign Affairs and Regional Integration will need additional resources to be able to carry out some of these functions.
    I will quite agree with the Committee's recommendation, Mr Speaker, that it is not economical to continue to rent Chanceries in the countries that we have our embassies. I think it is an investment to buy rather than to rent Chanceries across the globe. This is because even when we decide that we are closing these embassies, the properties can be sold again and the resources returned to the country.
    So, I recommend that that is carried out by the Ministry. We support the Ministry to be able to buy rather than rent facilities outside this country.
    Having said this, Mr Speaker, I support the Motion.
    Mr Second Deputy Speaker 4:35 p.m.
    Thank you very much, Hon Member, for your brevity.
    Hon Minister, do you have a sentence or two in conclusion?
    Alhaji Mumuni 4:35 p.m.
    Mr Speaker, I would like to express sincere gratitude for the show of support, solidarity and concern by Hon Members. Mr Speaker, I want to
    assure Hon Members that their comments and suggestions would be taken on board in our policy thinking and in our strategy of implementation of policies.
    I would like to also inform Hon Members that indeed, the renovation works are taking place in a number of our Missions abroad. The example that the Ranking Member mentioned, the Highgate in London is being renovated now with internally generated funds.
    We are also very particular about the quality of our workforce. This is because we realise the importance of the Ministry of Foreign Affairs and Regional Integration and therefore, we are nurturing a quality workforce and we are putting a lot of emphasis on training, re-training and upgrading of our staff. We are doing this with the support of some of our partner organisations and countries that are offering various scholarships and short- term courses for our staff.
    With regard to the decentralisation of the biometric passport system, I would like to assure Hon Members that we are on course. Indeed, we have had a programme that we were going to do before the year is out to inaugurate the Sekondi Passport Application Centre as well as Kumasi and Sunyani. But we have just had to postpone it into the new year because of too many programmes because we are getting to the end of the year. But they are definitely coming on stream to add to the Greater-Accra Regional Passport Application Centre, which is already on course. Tamale and Ho will follow suit in the new year.
    The issue of corruption will be tackled. As you know, it is coming up I believe, as a result of the congestion. Now, when the passport application centres come on
    stream, they will take off a lot of the heat from the Passport Office and the Greater- Accra Regional Centre and then the issue of passport will then be streamlined and be made more convenient.
    It will be speedier and it will really relieve a lot of our citizens of the hardships that they have had to go through in procuring a passport.
    I am particularly grateful to the House in the assurance that the issue of the IGF, which lies within the province of this House would be looked at very favourably with the view to uping the threshold to leverage the Ministry in terms of resources. We are grateful for that.
    Mr Speaker, I just like to say that, the Ministry is very concerned about consular services to our Ghanaians abroad and we spare no effort really to ensure that within the means of the various Missions to extend consular services to our citizens.
    I would like to dispel the notion that our citizens in Libya in particular are in extreme distress. It is never, never the case really. It is true that we have about 15,000 Ghanaians in Libya, most of them are illegal migrants. They find themselves at odds with the local laws and quite a number of them are actually in detention camps. But the Mission in Tripoli is in touch with most of these Ghanaians including people who have been prosecuted and are on death roll. We are in daily touch with them and they are providing for their needs. There are people who will get legal representation where it is really necessary.
    As a demonstration of this, only last Friday, we organised a State-assisted funeral for the Ghanaians who were killed or who met their death in The Gambia in 2005. Unfortunately, because of the congestion of work in the House, a lot of Hon Members were unable to be present at the forecourt of the State House and quite a number of Members who were there
    Mr Second Deputy Speaker 4:35 p.m.
    Hon Minister, if you may just conclude.
    Alhaji Mumuni 4:35 p.m.
    Finally, Mr Speaker, with your indulgence, the issue of autonomy; the Ranking Member has raised that issue. It is an issue that has engaged quite a number of people, former Ministers for Foreign Affairs and Regional Integration, present func- tionaries within the Ministry. It is an idea that we believe this time has come, the Ministry is delivering a specialised service mostly outside of the country, and the fact that it is still part of the mainstream civil service, there are all kinds of structures and difficulties operating within civil service laws, regulations and processes while delivering the specialised services abroad.
    Therefore, the idea of hiving off the Ministry and instituting it as autonomous foreign service is an idea which seems to be quite attractive. And Parliament being a major stakeholder in the scheme of things, we believe that when we do come or when we do float the idea, it would be favourably received and that could be a big boost to achieving that particular end.
    Mr Speaker, I would like to thank you very much for your indulgence.
    Question put and Motion agreed to.
    Resolved:
    That this Honourable House approves the sum of GH¢84,635,912.00 for the services of the Ministry of Foreign Affairs and Regional Integration for the year ending 31st December, 2011.
    Mr Avoka 4:45 p.m.
    Mr Speaker, with your kind permission, we take Motion number 11 at page 3 of the Order Paper -- Public Services Commission.
    ANNUAL ESTIMATES 4:45 p.m.
    Majority Leader (Mr Cletus A. Avoka) 4:45 p.m.
    Mr Speaker, by way of summary I just want to invite Hon Members to take note and appreciate the very key mandate and functions of the Public Services Commission.
    Mr Speaker, if you talk about the cream of the Civil Service in this country, Chief Directors, Directors, et cetera, it is the Public Services Commission that conducts interviews to select them or to cause their appointment. It is the Public Services
    Commission that conducts conferences and seminars, et cetera to build their capacity so that we can have an efficient, competent and accountable Civil Service Directors.
    If you take the position of Chief Executive Officers of our various boards and corporations, et cetera, it is also the same Public Services Commission that conducts interviews for them and also organises refresher courses for them. So if we have to be sure that, at least, the cream of our administration in terms of Civil Service, in terms of Public Service, et cetera, is efficient and that we get rid of mediocrity and corruption, then this is an institution that we have to take very good care of.
    Mr Speaker, I had the opportunity of listening to the Hon Deputy Minister for Finance and Economic Planning ably move the Motion and supported by the Hon Member for Wenchi, acting on behalf of the Hon Chairman. And in these comments, I have nothing useful to add except to pray that you put the Question.
    Question put and Motion agreed to.
    Resolved.:
    That this Honourable House approves the sum of GH¢1,371,123.00 for the services of the Public Services Commission (PSC) for the year ending 31st December 2011.
    ANNUAL ESTIMATES 4:55 p.m.
    SPACE FOR TABLE - PAGE 4:55 p.m.
    Mr Ambrose P. Dery 4:55 p.m.
    (NPP -- Lawra/Nandom): Mr Speaker, I rise to support the Motion for the approval of the amount that the Committee has recommended but subject to very serious concerns.
    Mr Speaker, the importance of the Audit Service in ensuring accountability and transparency and also enhancing the oversight responsibility of Parliament cannot be overemphasized.
    Mr Speaker, as the Report has indicated, the Audit Service has disposed of backlog of its reports and the least we can do, is to ensure that sufficient resources are allocated so that we do not fall behind the schedule of reports that are needed to enable the Public Accounts Committee (PAC) of this House and the Parliament in general to effectively exercise our oversight responsibilities in this matter.
    Mr Speaker, I want to remark that the Hon Deputy Minister for Finance and Economic Planning in moving the Motion, did appeal to the Public Accounts Committee to deal expeditiously with reports that come before them. That, I think, is a right admonition. Except to say that, the Ministry of Finance and Economic Planning has not provided adequate funding in a timely manner to enable Committees of Parliament function effectively. So if you want the PAC to effectively operate, then you should make the resources that are necessary available.
    I am aware that the PAC, which is one of the frontline committees as far as the Ghanaian populist is concerned, is the committee that is seen out there as our showpiece, has gone out to a number of regions and has outstanding allowances and expenses to be paid.
    Mr Speaker, until this Budget came, and a lot of buckling from the Leadership of Parliament, we were in arrears, the Budget of Parliament had only been implemented
    up to June and it was only last week that we had further allocation to Parliament up to October, and yesterday, with further intervention by the Leadership, we hope that it will end the year.
    Such clumsy and belated allocation of resoures cannot facilitate the work of the PAC and for that matter, other committees of Parliament.
    So I appeal to the Minister for Finance and Economic Planning to match their words with action and provide the resources, first, to the Audit Service and secondly, to Parliament, so that the PAC and other relevant committees of Parliament can operate.
    Mr Speaker, I think it is also important that the Audit Service is given the requisite resources to recruit requisite manpower to facilitate their work. Especially, when you talk about needing manpower at the district levels because decentralization of the activities would make them more effective.
    Mr Speaker, so I would only appeal to the President to have a second look at the budget and see that the funds that have been requested by the Audit Service are provided and also that the Ministry of Finance and Economic Planning would ensure that the budget allocation for Parliament are disbursed timeously to assist the Public Accounts Committee and other committees of Parliament to operate.
    With these few words, Mr Speaker, I support the Motion.
    Mr Richard A. Adiyia (NPP - Ahafo Ano North) 5:05 p.m.
    Thank you, Mr Speaker, for giving me the opportunity to contribute to the debate on the floor as captured in item 12 on today's Order Paper.
    Mr Speaker, it is needless to say, I rise up to add my voice to the chorus in supporting the Motion. Mr Speaker, I will also raise my concern with regard to the inadequate resources given to the Audit Service.
    Mr Speaker, the Audit Service is manda ted to p romote , i nc rease
    accountability, probity and transparency in the management of public resources and the utilization of public resources. Mr Speaker, this Government prides itself of being a government of probity, accountability and transparency. And if that be the case, I would have wished that this Government would provide adequate resources for the Audit Service to pursue its mandate as required.
    Mr Speaker, the Audit Service took out 4,610 audits out of the targeted 6,780 audits; so this is about 68 per cent of the workload. Mr Speaker, this is not acceptable. Mr Speaker, sometimes we receive audit reports which are about four, five, years delayed to this House. So the Government should therefore, make available resources for the Audit Service to pursue its mandate as required.
    Mr Second Deputy Speaker 5:05 p.m.
    Hon Minister.
    Mr Terkpeh 5:05 p.m.
    Mr Speaker, I would be very brief and in acknowledging - [Interruptions.]
    Mr Second Deputy Speaker 5:05 p.m.
    Order!
    Mr Terkper 5:05 p.m.
    I would be brief and in acknowledging the points made by Hon Members, I wish to re-emphasise that the Ministry of Finance and Economic Planning takes the work of the Auditor- General quite seriously.
    The point I made was that we had collaborated with the Public Accounts Committee -- and I am aware of the work that they do to -- clear the backlog which in many instances, had gone back.
    I had also made the point that we had actually brought them on board the gimmicks.
    So with this clarification, Mr Speaker, I wish to urge Hon Members to support the Motion.
    Question put and Motion agreed to.
    Resolved:
    That the sum of GHC30,582,509.00
    be approved for the services of the Audit Service for the year ending 31st December, 2011.
    Mr Avoka 5:05 p.m.
    Please, just bear. We are just left with about two of them or so; Motion numbered 14. They are very short. The Minister and then the Chairman.
    ANNUAL ESTIMATES 5:05 p.m.
    SPACE FOR TABLE - PAGE 5:05 p.m.
    Mr Avoka 5:15 p.m.
    Mr Speaker, with your kind permission and the indulgence of my Colleagues, we take just the last Motion; a very short one, that is, Motion numbered 15.
    Mr Second Deputy Speaker 5:15 p.m.
    Motion numbered 15 - Hon Minister for Finance and Economic Planning? I am told it is the last for the day.
    Dr A. A. Osei 5:15 p.m.
    Mr Speaker, I just want to appeal to the Majority Leader. The NCCE is, perhaps, one of the most important -- [Interruption.]
    Mr Second Deputy Speaker 5:15 p.m.
    Hon Member, you are out of order.
    ANNUAL ESTIMATES 5:15 p.m.
    SPACE FOR TABLE - PAGE 5:15 p.m.
    Mr Justice J. Appiah (NPP - Ablekuma North) 5:25 p.m.
    Thank you, Mr Speaker, for giving me this opportunity to support the Motion on the floor of the House.
    Mr Speaker, the National Commission for Civic Education (NCCE) is an independent body that deals with public awareness, educates the people on democratic and good governance.
    Mr Speaker, the NCCE needs to
    Mr Second Deputy Speaker 5:25 p.m.
    Order! Order!
    Mr Appiah 5:25 p.m.
    Mr Speaker, His Excellency the President John Evans Fiifi Atta Mills, the Commander-in-Chief of the Ghana Armed Forces, the First Gentleman of the land, on 3rd December, 2010 assured Ghanaians that elections would be free and fair.
    Mr Speaker, press freedom in this country is in total danger. Mr Speaker, very irresponsible people in the media just create havoc in the system -[Interruption] - polluting the airwaves with foul language.
    Mr Appiah 5:25 p.m.
    Mr Speaker, some editors and radio show hosts and presenters are abandoning their roles and allowing hate speech, insults, pornography and all kinds of stuff to assume - [Interruption.]
    Mr Appiah 5:25 p.m.
    Mr Speaker, if the NCCE is financially empowered to carry out education, the propaganda machinery of political parties in this country would not be realized or not taken seriously. I am talking about propaganda machinery in this country. If the NCCE is well resourced to educate the people of this country -- Mr Speaker, we look forward to conducting
    transparent, free and fair elections -- and through the hardwork of the NCCE, the President also has to be educated, even the Presidency - has to be educated by the NCCE.

    Mr Speaker, let us take a cue from our next door neighbours, as a word to the wise is

    enough.
    Mr Second Deputy Speaker 5:25 p.m.
    Hon Member, you conclude.
    Mr Appiah 5:25 p.m.
    Mr Speaker, we can easily identify what is happening in la Cote d'Ivoire - [Interruption.]
    Mr Second Deputy Speaker 5:25 p.m.
    Order!
    Mr Appiah 5:25 p.m.
    Mr Speaker, if there is enough education by the NCCE, Ghana would be the happiest country.

    Question put and Motion agreed to.

    Resolved:

    That this Honourable House approves the sum of GH¢7,858,498.00 for the services of the National Commission for Civic Education (NCCE) for the period ending 31st December, 2011.
    Mr Second Deputy Speaker 5:25 p.m.
    Hon
    SPACE FOR TABLE - PAGE 5:25 p.m.
    Mr Avoka 5:25 p.m.
    Mr Speaker, what I can do at this stage is to thank Hon Members for their endurance and perseverance. I want to inform Hon Colleagues that it appears that we have two major Ministries left for tomorrow, that is, the Ministry of Information and the Ministry of Defence -- and the Ministry of the Interior. The rest are some ancillary agencies - [Interruption] - Parliament, yes, I know. So if we start early, by 10 o'clock, if we are able to be in the Chamber, I presume that in an hour or one and a half hours' time, we should be able to complete these Estimates for these sectors that are left.
    Then we would go on to take the Petroleum Revenue Management Bill, and tomorrow being Friday, 2 o'clock or thereabout, we advise ourselves as to what to do next.
    So I thank Hon Members for their co- operation.
    Mr Second Deputy Speaker 5:25 p.m.
    I am certain that Parliament would not be among the ancillaries. I do not know whether you have anything to say, Hon Minority Leader -
    Mr Dery 5:25 p.m.
    Mr Speaker, I do not think I have much to say except to say, I think he realized later that Parliament is not ancillary. I think Parliament is one of the arms of Government. There are other issues that the Leader would have to advise Hon Members on - where they go from here for other matters.
    Thank you, Mr Speaker.
    Mr Second Deputy Speaker 5:25 p.m.
    Hon
    Members, the House is accordingly adjourned to tomorrow at 10.00 in the forenoon.
    ADJOURNMENT 5:25 p.m.
  • The House was adjourned at 5.31 p.m. till Friday, 17th December, 2010 at 10.00 a.m.