Debates of 21 Mar 2014

MR FIRST DEPUTY SPEAKER
PRAYERS 11 a.m.

VOTES AND PROCEEDINGS AND THE OFFICIAL REPORT 11 a.m.

  • [No correction was made to the Votes and Proceedings of Thursday, 20th March, 2014.]
  • Mr First Deputy Speaker 11 a.m.
    Hon Members, we do not have any Official Report for correction, so we move on to the Business Statement for the Ninth Week.
    BUSINESS OF THE HOUSE 11 a.m.

    Mr Mumuni Alhassan (Salaga North) 11 a.m.
    To ask the Minister for Health what plans the Ministry has to increase the supply of anti-snake vaccines from the current average of ten (10) to rural districts quarterly, especially the East Gonja District.
    Statements
    Presentation of Papers --
    (a) Proposed formula for the disbursement of the National Health Insurance Fund for the year 2014.
    (b) Proposed formula for distributing the District Assemblies' Common Fund (DACF) for the year 2014.
    Mr Mumuni Alhassan (Salaga North) 11 a.m.
    (c) Proposed formula for the distr ibution of the Ghana Education Trust Fund (GETFund) for the year 2014.
    (d) Report of the Finance Committee on the Credit Facility Agreement between the Government of the Republic of Ghana and VTB Capital plc, London (as Arranger and Facility Agent) for an amount of three hundred million United States dollars (US$300 million) for the Ghana Armed Forces Peacekeeping efforts undertaken by the United Nations Organisation and other agreed uses.
    Consideration Stage of Bills --
    Anti-Money Laundering (Amendment) Bill, 2013 (Continuation of Debates)
    Trademarks (Amendment) Bill, 2013 (Continuation of debates)
    Excise Duty Bill, 2013 (Continuation of debate)
    Committee sittings.

    Statements

    Presentation of Papers --

    (a) Report of the Committee of the Whole on the proposed formula for the disbursement of the National Health Insurance Fund for the year 2014.

    (b) Report of the Committee of the Whole on the proposed formula for distr ibuting the Distr ict Assemblies' Common Fund (DACF) for the year 2014.

    (c) Report of the Committee of the Whole on the proposed formula for the distribution of the Ghana Education Trust Fund (GETFund) for the year 2014.

    (d) Report of the Finance Committee on the Contract Agreement between the Government of the Republic of Ghana and Authentix, U.S.A. for the procurement of a Tax Stamp System.

    Motions --

    (a) Adoption of the Report of the Committee of Selection on the re- composition of committees.

    (b) Adoption of the Report of the Committee of the Whole on the proposed formula for the disbursement of the National Health Insurance Fund for the year 2014.

    (c) Adoption of the Report of the Committee of the Whole on the proposed formula for distributing the District Assemblies' Common Fund (DACF) for the year 2014.

    (d) Adoption of the Report of the Committee of the Whole on the proposed formula for the distr ibution of the Ghana Education Trust Fund (GETFund) for the year 2014.

    Consideration Stage of Bills --

    Trademarks (Amendment) Bill, 2013 (Continuation of Debates)

    Excise Duty Bill, 2013 (Continuation of Debates)

    Committee sittings.

    Urgent Questions --

    (a) Mr Kwame Govers Agbodza (Adaklu): To ask the Minister for Roads and Highways when the road between Ho and Adaklu to Sogakope will be completed.

    (b) Mr Bernard Ahiafor (Akatsi South): To ask the Minister for Roads and Highways what steps are being taken to complete the construction of the overdue Akatsi town roads to prevent flooding as the rainy season approaches.

    Questions --

    Q61. Mr John Gyetuah (Amenfi West): To ask the Minister for Roads and Highways when the only bridge on River Bisaa linking communities like Attaala, Berekum, Ohiampenika, Kwao and others on the Nkekenso Junction to Ohiampenika feeder road would be completed to enhance economic activities in the area.

    Q 62. Mr Peter Nortsu-Kotoe (Akatsi North): To ask the Minister for Roads and Highways what plans the Ministry has to construct speed ramps on the Ho-Denu road to stop the rampant pedestrian accidents leading to several deaths on the highway.

    Q. 63. Mr Kwame Asafu-Adjei (Nsuta- Kwamang Beposo): To ask the Minister for Roads and Highways when the construction of the 10 kilometre road from Oyoko to Banko-Nsuta would be completed.

    Q.64. Mr Noah Ben Azure (Binduri): To ask the Minister for Roads and Highways when the construction of the Bolgatanga - Bawku trunk road will be completed.

    Q.66. Mr Kwame Anyimadu-Antwi (Asante Akim Central): To ask the Minister for Roads and Highways when the Konongo to Praaso road would be completed.

    Statements

    Motions --

    Third Reading of Bills --

    Anti-Money Laundering (Amendment) Bill, 2013

    Trademarks (Amendment) Bill, 2013

    Excise Duty Bill, 2013

    (b) Adoption of the Report of the Finance Committee on the Credit Facility Agreement between the Government of the Republic of Ghana and VTB Capital plc, London (as Arranger and Facility Agent) for an amount of three hundred million United States dollars (US$300 million) for the Ghana Armed Forces Peace- keeping efforts undertaken by the United Nations Organisation and other agreed uses.

    Consequential Resolution

    (c) Adoption of the Report of the Finance Committee on the Contract Agreement between the Government of the Republic of Ghana and Authentix, U.S.A. for the procurement of a Tax Stamp System.

    Consequential Resolution

    Committee sittings.
    THE HOUSE EXPECTED TO RISE 11 a.m.

    SINE DIE 11 a.m.

    Mr First Deputy Speaker 11:10 a.m.
    On the Business Statement, are there any comments? [Pause.]
    Hon Members, the Business Statement is hereby adopted for the Ninth Week.
    Mr Agbesi 11:10 a.m.
    Mr Speaker, we can go to item number 4 -- Questions.
    ORAL ANSWERS TO QUESTIONS 11:10 a.m.

    MINISTRY OF ROADS AND 11:10 a.m.

    HIGHWAYS 11:10 a.m.

    Minister for Roads and Highways (Alhaji Amin Amidu Sulemani) (MP) 11:10 a.m.
    Mr Speaker, the following feeder roads are all located in the Wassa Amenfi West District of the Western Region. These roads are in fair to poor condition:
    (i) Kwabeng - Kwasitre-Kramokrom (Kwabeng-Nyame Nnae).15 kilometre
    (ii) NyameNnae-Nkwantanum - 5.6 kilometres.
    (iii)Asankran Oda-Fordjourkrom - 4.4 kilometre
    (iv) Gonukrom-Kamaso-Kamaboi - Kwawdobuakrom- 8.4 kilometre
    Current Programme
    Routine maintenance works will be carried out on these roads in the second quarter of the year 2014.
    Future Programme
    Engineering studies will be carried out on these roads within the last quarter of this year. .
    Mr First Deputy Speaker 11:10 a.m.
    Yes, Hon Member, do you have any follow-up questions?
    Mr Gyetuah 11:10 a.m.
    Mr Speaker, according to the Answer given by the Hon Minister, the third line (iii), “Asankran Oda- Fordjourkrom -- 4.4 kilometre,”
    I think it is a typographical error. It is more than 40 kilometre and not 4.4 kilometre.
    The Minister said that --
    “. . . routine maintenance works will be carried out on these roads in the second Quarter of the year 2014.”
    And I would want to find out from the Minister whether he could give us the stipulated date or month that the contract would commence.
    Alhaji Sulemani 11:10 a.m.
    Mr Speaker, I have not heard him.
    Mr First Deputy Speaker 11:10 a.m.
    Hon Member, can you repeat your question? Use the microphone closely.
    Mr Gyetuah 11:10 a.m.
    Mr Speaker, the Minister says --
    “. . . routine maintenance works will be carried out on the roads in the second quarter of the year, 2014.”
    I would want to find out from him whether he could give us the stipulated month or day that the contract would commence.
    Mr First Deputy Speaker 11:10 a.m.
    Hon Minister, do you follow the question?
    Alhaji Sulemani 11:10 a.m.
    Yes, Mr Speaker.
    Mr Speaker, normally, we programme our maintenance works within that and I would not be able to tell exactly the month. But certainly, the routine works would be carried out under the Road Fund, that is, under our maintenance works.
    Mr First Deputy Speaker 11:10 a.m.
    Yes, Hon Member, any more follow-ups?
    Mr Gyetuah 11:10 a.m.
    Mr Speaker, I would want to find out from the Hon Minister how often his Ministry undertakes road engineering. Most of the roads are un- ingineered and I would want to find out how often the Ministry carries out road engineering.
    Alhaji Sulemani 11:10 a.m.
    Mr Speaker, normally, we make budgetary provisions to do studies on our roads. We are unable to get the required funds to do all the engineering on all the roads. Engineering works are going on but it cannot be done on all the roads. It's has been programmed for 2014. That was what I said.
    Mr Gyetuah 11:10 a.m.
    Mr Speaker, considering the peculiar weather conditions that we have in the Western Region, would the Minister consider pushing, maybe, the next contracts not to the second quarter but to to the first quarter because of the torrential rains. Now, the torrential rains have actually started in the Western Region. So, when contracts are awarded during the second quarter, contractors find it extremely difficult to work in the area. Could the Minister consider this?
    Mr First Deputy Speaker 11:10 a.m.
    But have you looked at the Answer to the Question? It talks about the third quarter. Is it the 2nd quarter -- alright, the first one. Very well.
    Hon Minister, please, answer the question.
    Alhaji Sulemani 11:20 a.m.
    Mr Speaker, we are aware of the peculiar situation in the Western Region as regards the rainfall pattern. Effectively, contractors are able to work about three to four months in the Western Region. So we try to programme our routine to coincide with when the rains are not at their peak, so that they are able to work.
    Feeder roads in Amenfi West Constituency (Rehabilitation) II
    Q.32. Mr John Gyetuah asked the Minister for Roads and Highways when the following feeder roads would be rehabilitated:
    (a) Nkekenso Junction- Benafie
    (b) BenaNkwanta- Ohiampenika
    c) Bokakore-Fordjourkrom
    (d) AsankranBreman -Afiena.
    Alhaji Amin Amidu Salemani 11:20 a.m.
    Mr Speaker,
    i) Nkekenso Junction-Benefie- (8km)
    ii) Bena Nkwanta-Berekum- Ohiam- penika - (20km)
    iii) Bokakore - Fordjourkrom- (26km)
    iv) Asankran Breman-Afienna - (9.8km)
    The following roads are located in the Wassa Amenfi West Distr ict of the Western Region:
    i) Nkekenso Junction - Benefie
    Background
    This road is located in Wassa Amenfi West district of the Western region. The length of the road is 8.0 kilometres
    Mr First Deputy Speaker 11:20 a.m.
    Yes, Hon Member, any follow-ups?
    Mr Gyetuah 11:20 a.m.
    Mr Speaker, the Hon Minister has indicated in his Answer to the Question that Nkekenso Junction- Benfie feeder road has been awarded for spot improvement to improve upon its condition, as a variation to the rehabilitation of the Suhyenso-Mansiso feeder road under COCOBOB. I would want to find out from the Hon Minister when exactly the contractor is starting work, because most areas are cut off.
    Alhaji Sulemani 11:20 a.m.
    Mr Speaker, we have done the variation and I will ask the contractor to move to site. When he will move to site, I would not know
    Mr First Deputy Speaker 11:20 a.m.
    Yes, Hon Member, any more?
    Mr Gyetuah 11:20 a.m.
    Mr Speaker, I would want to find out from the Hon Minister when the 8 kilometres engineered road, that is between Bena Nkwanta and Benefie as stated in the Answer-- will commence. I am talking about the stipulated date that the contractor will start the project.
    Mr First Deputy Speaker 11:20 a.m.
    Hon Member, your microphone has a little of a problem. Can we hear you louder?
    Mr Gyetuah 11:20 a.m.
    Mr Speaker, I would want to find out from the Hon Minister when the 8 kilometres engineered road between Bena and Nkwanta Berekum as a variation to the rehabilitation of Suhyenso-Mansiso feeder road will commence I would want to find when exactly the contractor is coming to site to start the project.
    Alhaji Sulemani 11:20 a.m.
    Mr Speaker, as I indicated in the first Answer, we have asked the contractor to move to site. But the exact date the contractor will mobilise to site, I would not be able to tell, standing here. I will follow -up and find out when the contractor will be going to site.
    Mr First Deputy Speaker 11:20 a.m.
    Hon Member, your last follow-up?
    Mr Gyetuah 11:20 a.m.
    Mr Speaker, in the Answer from the Hon Minister, 12km of the road have not been engineered-- between Ohiampenika and the other side. Yet that is the place where we get the quantum of the country's cocoa; one particular person can pluck over 300/400 bags. As I speak, those communities around are part of the rural electrification
    programme but because of the state of the road, at all costs, they may not be considered. If contractors are yet to go there to start work, I would want to find out from the Hon Minister whether he can consider, as a matter of urgency, the 12 kilometres; whether any work can be commenced on it? People are dying in the area.
    Alhaji Sulemani 11:20 a.m.
    Mr Speaker, I will have to find out from their budget for the year whether we have catered for it. If we have, we may begin something. Otherwise, we may have to programme it under the Road Fund and see what emergency works we can carry out there.
    Mr First Deputy Speaker 11:20 a.m.
    Hon Member, the next Question stands in the name of Hon Kennedy Nyarko Osei, Akim Swedru.
    Current status of roads in Akim Oda - Awisa, et cetera
    Q.33 Mr Kennedy N. Osei asked the Minister for Roads and Highways what the current status of the following roads were:
    (a) Akim Oda - Awisa
    (b) Akim Swedru - to Apoli
    (c) Akim Swedru - Akotsi.
    Mr First Deputy Speaker 11:20 a.m.
    Hon Member, what is the pronunciation of the name? Is it “Akyem” or “Akim”?
    Mr K. N. Osei 11:20 a.m.
    Mr Speaker, you can use them interchangeably; no problem.
    Alhaji Sulemani 11:20 a.m.
    Mr Speaker,
    Akim Oda - Awisa
    Background
    The 5 kilometres Akim Swedru-Awisa road is part of the Akim Oda to Amanfopong road linking the Eastern and Central Regions. It is a surface dressed road which is fair to poor condition.
    Alhaji Sulemani 11:20 a.m.


    Current Programme

    The road requires patching of potholes and resealing. It is currently under a pothole patching contract which will be renewed this year, 2014.

    Future Programme

    The entire 24 kilometres from Akim Oda to Amanfopong have been proposed for partial reconstruction. A section of 12.7 kilometres (from Akim Oda-Achiase) have been awarded and currently awaiting commencement warrant from Ministry of Finance.

    (b) Akim Swedru - Aduasa-Bepro Jn-Apoli-Apoliningo (25.20km)

    Background

    This road is engineered and is 25.20 kilometres in length. It is located in the Birim South District of the Eastern Region. Sections of the road have been tarred. They are Km 0+000 to 10 +500, and 19+500 to 20+000. The remaining sections 10+500 to 19+500 and 20+000 to 25+200 are untarred.

    Current Programme

    Currently, the entire road has been programmed under the 2014 routine maintenance works. This include grass cutting, reshaping, ditch cleaning and pothole patching.

    Future Programme

    Engineering design studies shall be conducted, on the untarred sections and depending on the outcome of the studies, the appropriate intervention will be carried out on the road.

    (c) Akim Swedru - Bepro Jn - Akotsi (Akotikrom) - 15.80 Kilometres

    Background

    This is an engineered road with a length of 15.80 kilometres, located in the Birim North District of the Eastern Region.

    Current Programme

    The first 7.0 kilometres of this road from Akim Swedru-Bepro Jn are tarred. The remaining section is gravelled. The road has been awarded under routine maintenance programme for 2014. The activities are grass cutting, reshaping, ditch clearing and potholes patching.

    Future Programme

    Engineering design studies will be conducted on the remaining road section and depending on the outcome of the studies, appropriate intervention will be carried out on the road.
    Mr First Deputy Speaker 11:20 a.m.
    Hon Member, any follow-up question?
    Mr K. N. Osei 11:30 a.m.
    Mr Speaker, clearly, from the Answer given by the Hon Minister, he claims that potholes patching exercise has been going on on the road. But I know on authority that for the past five years, nothing has been done on the road. I would want the Hon Minister to give me further and better particulars of the contractor who is conducting that potholes patching.
    Alhaji Sulemani 11:30 a.m.
    Mr Speaker, if the Hon Member gives me time, I will get him the details.
    Mr First Deputy Speaker 11:30 a.m.
    Hon Member, any more follow-ups?
    Mr K. N. Osei 11:30 a.m.
    Mr Speaker, I would want to find out from the Hon Minister in charge of Roads and Highways, what assurance can he give to the people of Akim Swedru that the routine maintenance that is being scheduled for 2014 would be conducted?
    Alhaji Sulemani 11:30 a.m.
    Mr Speaker, I sympathise with my Brother because I have been to the place and I have seen what he is talking about. Sometime in my life, around 1975, I ever lived in that place and I know the situation of the roads as at that time. So, I would want to assure him I am part of that area and I would ensure that the routine maintenance is carried out.
    Mr First Deputy Speaker 11:30 a.m.
    Hon Member, your last follow-up?
    Mr K. N. Osei 11:30 a.m.
    Mr Speaker, looking at the responses given by the Hon Minister and others, and the same answers being given to Hon Members, especially from the Eastern Region, I could see that there is a serious problem with the roads in the Eastern Region. I would want to find out from the Hon Minister -- once he is here -- what programme is his Ministry doing to address the issue of bad roads in the Eastern Region?
    Mr First Deputy Speaker 11:30 a.m.
    Hon Member, is it relevant to your Question? I do not think so. Your Question is constituency specific. So, I think we will disallow that question.
    The next Question stands in the name of Hon Bright Edward Kodzo Demordzi, Member of Parliament for Bortianor- Ngleshie Amanfro.
    Is he in the Chamber?
    Mr Sampson Ahi 11:30 a.m.
    Mr Speaker, my Colleague has asked me to seek permission from you and ask the Question on his behalf.
    Mr First Deputy Speaker 11:30 a.m.
    Very well. Go ahead.
    Old Bortianor-Kokrobite -Tuba Junction, etc roads
    (Construction)
    Q.39. Mr Sampson Ahi (on behalf of Mr Bright E. K Demordzi)asked the Minister for Roads and Highways what plans the Ministry had towards the construction of the Old Bortianor- Kokrobite- Tuba Junction road and the Amanfro Junction-Amanfro Top Town road.
    Alhaji Amin A. Sulemani 11:30 a.m.
    Mr Speaker,
    Background
    The Ga South Municipality has a total road network of 740 kilometres, comprising 45 kilometres paved and 695kilometres unpaved.
    The management of the road network within the area is being undertaken by the Urban Roads Department.
    Various works have been undertaken by the Department of Urban Roads since 2012, including the following:
    SPACE FOR TABLE - PAGE 3 -
    Alhaji Amin A. Sulemani 11:30 a.m.


    Current Programme

    The Department of Urban Roads is undertaking the following projects within the Ga South Municipality. These projects are targeted at upgrading the roads from earth/gravel to surface dressed roads with appropriate drainage structures:

    1. Rehabilitation of Amanfro Junction-Amanfro Top Town road: Contract Sum: GH¢1.38m. Length 1.5 kilometres

    This is targeted to improve access within the Amanfro town.

    The works include the following:

    i) Drainage construction

    ii) Earthworks

    iii) Surfacing of road

    The works have been awarded to M/s Logistic Support in January 2014, for completion in one year. The contractor is mobilising to site.

    2. Construction of Kasoa bypass:

    The construction of the Kasoa by- pass shall link the Old Weija barrier (in the Ga South Municipality), to Sapato area in the Awutu Senya East Municipality (Kasoa). This road shall serve as a by- pass around Kasoa. The purpose of the project is to offer travelling options for commuters between the old Weija barrier and Kasoa. The roads that shall be rehabilitated as part of the project include:

    i) Old Bortiannor-Kokrobite

    ii) Kokrobite-Tuba

    iii) Tuba-New Barrier

    iv) Construction of a bridge over the Okrudu stream

    v) Tuba-Nyanyanor

    vi) Nyanyanor-Sapato service state at Kasoa

    Procurement for the works is ongoing. It is expected that the works shall start by the beginning of the second quarter.

    Future Programme

    The Department of Urban Roads will continue to upgrade the gravel surface roads within Ga Municipality to paved ones. This is to improve the percentage of all-weather roads in the Municipality from 6 per cent to 15 per cent within the medium-term.
    Mr First Deputy Speaker 11:30 a.m.
    Hon Member, do you have any follow-up questions?
    Mr Ahi 11:30 a.m.
    No! I am alright. [Laughter.]
    Ms Hannah S. Tetteh 11:30 a.m.
    Mr Speaker, having been the Member of Parliament for the Awutu Senya Constituency before it became Awutu Senya East and West Constituencies, I listened with some interest to the route that the Hon Minister was describing. If this alternative road is going to go through Weija and end up at Nyanyanor, then with the greatest of respect to the Hon Minister, perhaps, he should have created another road within Kasoa or another route to get to parts of Kasoa.
    But he would have not dealt adequately with the traffic situation or with the causes of the traffic that intersects at the crossroads of Kasoa. This is because what
    he would do is to create an alternative route to get into that point, but most of the traffic that builds up in that route is as a matter of fact heading towards Cape Coast, Agona Swedru through Bawjiase and a small proportion of it goes towards Nyanyanor.
    So, I would like to ask the Hon Minister what steps are being taken to ensure that there is adequate provision for the free movement of traffic with another by-pass because this by-pass in and of itself is certainly not the solution to the problem.
    Alhaji Sulemani 11:30 a.m.
    Mr Speaker, certainly, we have a lot of challenges around Kasoa, and one of them is the misuse of the road. We have constructed a road for vehicles, but the road has been taken over as a market. So, that certainly, creates a lot of congestion in the Kasoa area.
    This present road we are constructing -- I understand her plight, but we have alternative routes that we are also developing from Pokuase Junction towards Kasoa. We are also developing some roads around that area which would link up to the Kasoa market area. By and large, we hope to extend it across that area to take care of the concerns of the Hon Member.
    rose
    Mr First Deputy Speaker 11:30 a.m.
    Is it a follow-up to that question, Hon Deputy Minority Leader?
    Mr Nitiwul 11:40 a.m.
    Mr Speaker, the Hon Minister said the original route has been turned -- [Interruption.]
    Mr First Deputy Speaker 11:40 a.m.
    Order! Order!
    Mr Nitiwul 11:40 a.m.
    The original route has been turned into a market because the traders have occupied that market. I would want to find out from the Hon Minister what plans he has in place to reclaim the original route, so that the purpose for which the route was demarcated can be achieved. [Interruption.]
    Mr First Deputy Speaker 11:40 a.m.
    Hon Members, let us have some order in the House.
    Order! Order!
    Alhaji Sulemani 11:40 a.m.
    Mr Speaker, I have already approached my Hon Colleague, the Hon Minister for Local Government and Rural Development to assist us. This is because the management of markets is under the Ministry of Local Government and Rural Development through the District Assembly system. Once the traders are on the road, we will have to use the Ministry of Local Government and Rural Development and the Ministry of the Interior to assist us to make the road safe for travellers. I have already approached them on that, Mr Speaker.
    Dr Stephen (Nana) Ato Arthur 11:40 a.m.
    Mr Speaker, referring to the Answer in connection with the Amanfro Junction - Amanfro Top Town road, the works have been awarded to Messrs Logistics Support in January 2014 and the completion period is within a year. For two months the contractor has not mobilised to site. Is there any indication to the Ministry how long it is going to take this Messrs Logistics Support to mobilise to site?
    Alhaji Sulemani 11:40 a.m.
    Mr Speaker, I will find out from the Department of Urban Roads what is holding the contractor from moving to site.
    Mr First Deputy Speaker 11:40 a.m.
    Yes, Hon Members, before we move on to the next
    ANNOUNCEMENTS 11:40 a.m.

    Mr First Deputy Speaker 11:40 a.m.
    In pursuance of the partnership programme between our Parliament and the British House of Commons, we have in our midst a five- member delegation of Members and staff of the British House of Commons who are here to share ideas with the Women's Caucus at a two-day workshop which started this morning and is due to end tomorrow, 22nd March, 2014.
    Their visit is reciprocal to an earlier visit embarked upon by a delegation of the Women's Caucus to the House of Commons in 2013.
    The delegation is as follows:
    Hon Dame Angela Watkinson -- MP, UK, Leader of Delegation;
    Hon Alison Mc Govern -- MP, UK, House of Commons;
    Hon Sarah Teather -- MP, UK, House of Commons;
    MS Kate Faragher -- Staff, UK, House of Commons;
    Mr Matthew Salik - Staff, UK, House of Commons.
    Also attending the programme are two Members of the Parliament of Sierra Leone who have been invited as special guests to the programme.
    They are:
    Hon Regina Tiange Marah -- MP, Parliament of Sierra Leone;
    Hon Veronica Kadie Sesay -- MP, Parliament of Sierra Leone.
    Hon Members, on your behalf, I wish them a pleasant stay and fruithful deliberations.
    Now, Hon Members, the last Question stands in the name of Hon Matthew Nyindam, Kpandai.
    Oral Answers to Questions

    Construction of roads linking Salaga and Kpandai, Buya, et cetera

    Q59. Mr Matthew Nyindam asked the Minister for Roads and Highways when the roads linking Salaga and Kpandai, Buya through Kpandai to Wulensi and Salaga to Gulibe Quarters would be constructed.

    Minister for Roads and Highways (Alhaji Amin Sulemani) (MP)

    Mr Speaker, (a) Salaga-Ekumdipe - Kpandai Mr Speaker, the Salaga-Kpandai road is gravel surfaced and 68kilometres in length. The road is low-lying with several water crossing points.

    Current Programme

    The road was recently graded and 10No. critical culverts have been constructed to improve the drainage situation. 5kilometres from Kpandai- Ekumdipe have been awarded for regravelling. Contractor is mobilising to site.

    Future Programmes

    The road is programmed for spot improvement through raising of low lying sections, widening and regravelling of the entire road in phases.

    (b) Buya-Kpandai -Wulensi

    Background

    The Buya-Kpandai - Wulensi is 40kilometres in length. The road is flat with several rocky sections.

    Current and future programmes

    The road has recently been graded, and 5km from Buya town have been awarded for regravelling. The contractor is mobilising to site. The entire road has been proposed for spot improvement, regravelling and construction of concrete curbs on the rocky sections.

    (c) Salaga - Gulibe Quarters

    Background

    The road is 50 kilometres in length and is gravel surfaced. The first half of the road is undulating but in good condition. The second half is flat with several soft spots.

    Current and future programmes

    The road has recently been graded but is being proposed for spot improvement and sectional re-gravelling.
    Mr First Deputy Speaker 11:40 a.m.
    Yes, Hon Member, do you have any follow-up questions?
    Mr Nyindam 11:40 a.m.
    Mr Speaker, I would want to find out from the Hon Minister what has taken the Government so long a time to regravel or even rehabilitate these roads. This is because if you compare the roads in Kpandai to neighbouring districts like Salaga, Wulensi, Krachi Ntummoro, you will realise that Kpandai looks like an island. I would want to find out why?
    Alhaji Sulemani 11:40 a.m.
    Mr Speaker, yes, I sympathise with my Brother because I fall in a similar situation as far as roads in my constituency are concerned. Mr Speaker, the truth is that road construction is a very expensive enterprise and we have quite a lot on our hand as far as the road network
    in the country is concerned. So, it is not possible for us to take all of them on board. That is why it has taken us so long but I think it is better late than never.
    Mr First Deputy Speaker 11:50 a.m.
    Yes, any more, Hon Member?
    Mr Nyindam 11:50 a.m.
    Mr Speaker, with all respect, has the Hon Minister been to Kpandai before? If no --
    Mr First Deputy Speaker 11:50 a.m.
    Hon Member, I do not think this question is relevant. I disallow it.
    Mr Nyindam 11:50 a.m.
    Thank you very much.
    Looking at the Answer he provided for the Kpandai-Salaga road, most especially, I would want to find out where specifically is the contractor. This moving to site and who is that contractor? This is because it will aid me to do some follow ups and the proper monitoring.
    Alhaji Sulemani 11:50 a.m.
    Mr Speaker, the Hon Member asked whether I have been to Kpandai. He knows that I come from Sissala West in the Upper West Region- - Before my present appointment --I am a well travelled person in Ghana and I know Kpandai as a matter of fact.
    Mr Speaker, the regravelling works for the 5 kilometres for both sessions were awarded to Daabingbe. That is the contractor's name. When he would move to site, I will not be able to tell exactly. I would find out from the Ghana Highway Authority (GHA) when he would be mobilising to site.
    Mr First Deputy Speaker 11:50 a.m.
    Hon Member, your last follow-up question.
    Mr Nyindam 11:50 a.m.
    I am alright.
    Mr Alfred K. Agbesi 11:50 a.m.
    Mr Speaker, if we can go to item eight (8). Motion number 8, the Hon Minister for Energy is in the House and the Chairman of the Committee is ready to take that Motion.
    Mr First Deputy Speaker 11:50 a.m.
    Very well, Chairman of the Committee.
    MOTIONS 11:50 a.m.

    Chairman of the Committee(Dr Kwabena Donkor) 11:50 a.m.
    Mr Speaker, I beg to move, -- [Interruption.]
    Dr Anthony A. Osei 11:50 a.m.
    Mr Speaker, this is just a procedural Motion and the Chairman of the Committee is reading every item in there. Why?
    Dr Kwabena Donkor 11:50 a.m.
    Mr Speaker, because I have to move for a waiver, I would prefer to read the whole Motion.
    Mr Speaker, I beg to move, that notwithstanding the provisions of Standing Order 80(1) which require that no Motion shall be debated until at least, forty-eight hours have elapsed between the date on which notice of the Motion is given and the date on which the Motion is moved, the Motion for the adoption of
    the Report of the Committee on Mines and Energy on the Petroleum Agreement among the Government of the Republic of Ghana, Ghana National Petroleum Company Limited (GNPC), GNPC Exploration Company Limited, Camac Energy Ghana Limited and Base Energy Ghana Limited for the conduct of Exploration, Development and Production Operations in the Expanded Shallow Water Tano Block, Offshore of the Republic of Ghana may be moved today.
    Mr K. T. Hammond 11:50 a.m.
    Mr Speaker, I beg to second the Motion.
    Question put and Motion agreed to.
    Resolved accordingly.
    Mr Agbesi 11:50 a.m.
    Mr Speaker, item (9).
    Expanded Shallow Water Tano Block Offshore of the Republic
    of Ghana
    Chairman of the Committee (Dr Kwabena Donkor) 11:50 a.m.
    Mr Speaker, I beg to move, that this Honourable House adopts the Report of the Committee on Mines and Energy on the Petroleum Agreement among the Government of the Republic of Ghana, Ghana National Petroleum Company Limited (GNPC), GNPC Exploration Company Limited, Camac Energy Ghana Limited and Base Energy Ghana Limited for the conduct of Exploration, Development and Production Operations in the Expanded Shallow Water
    Tano Block, Offshore of the Republic of Ghana.
    Mr Speaker, in doing so, I present the Report of your Committee.
    Introduction
    The Petroleum Agreement among the Government of the Republic of Ghana, the Ghana National Petroleum Corporation (GNPC), Camac Energy Ghana Limited, Base Energy Ghana Limited and GNPC Exploration and Production Company Limited in respect of the Expanded Shallow Water, Tano Block Offshore of the Republic of Ghana was laid in Parliament on Thursday, 27th February, 2014 by the Hon Minister for Energy and Petroleum, Mr Emmanuel Armah-Kofi Buah, in accordance with article 268 of the 1992 Constitution.
    Pursuant to Orders 156 and 188 of the Standing Orders of Parliament, the Agreement was subsequently referred to the Select Committee on Mines and Energy for consideration and report.
    Deliberations
    The Committee met with the Hon Deputy Minister for Energy and Petroleum, Mr Benjamin Kwaku Dagadu, to consider the Agreement. Officials of the Ministry of Energy and Petroleum, the Ghana National Petroleum Corporation (GNPC) and the Petroleum Commission
    were also in attendance to assist in the deliberations.
    The Committee is grateful to the Hon Deputy Minister and the officials for their assistance during its deliberations.
    Reference documents
    The Committee was guided by the following documents during its deliberations:
    i. The 1992 Constitution of the Republic of Ghana
    ii.The Standing Orders of Parliament
    iii. The Ghana National Petroleum Corporation Law, 1983 (PNDCL
    64)
    iv. The Petroleum (Exploration and Production) Law, 1984 (PNDCL
    84);
    v. The Petroleum Income Tax Law,
    1987 (PNDCL 188)
    vi. The Petroleum Commission Act, 2011 (Act, 821)
    vii. The Environmental Protection Agency Act, 1994 (Act 490)
    viii. The Environmental Impact Assessment Regulations, 1999
    (L.I. 1652)
    Chairman of the Committee (Dr Kwabena Donkor) 11:50 a.m.


    a Decommissioning and Environmental Management Fund for the purpose of decommissioning and environmental management. A portion of the revenues from the production from the contract area will be paid into the Fund and will be used in financing decommissioning and any environmental accidents that may occur in the course of petroleum operations.

    As further security and in the event that the money accrued in the Decommissioning and Environmental Management Fund is not adequate to cover costs of decommissioning and any environmental incidents that may occur during operations, the contractor will be required to take an insurance cover to cater for any shortfall in the Fund.

    The Fund will be jointly managed by the contractor and the GNPC.

    Joint Management Committee

    Per Article 6 of the Agreement, a Joint Management Committee (JMC) will be established by the GNPC and the contractor not later than 30 days upon the effective date of the Agreement.

    The purpose of the JMC will be to oversee and supervise petroleum operations, to ensure full compliance with the Work Programmes and Development Plans. It is also to ensure that cost accounting, expenses and maintenance of records and reports relating to petroleum operations are carried out in accordance with the Agreement and procedures generally accepted in the international petroleum industry.

    Observations

    Improved Fiscal Regime

    The Committee noted that fiscal terms negotiated have improved substantially over existing Agreements. The royalty rate

    was increased from 10 per cent to 12.5 per cent while surface rental per square km. has almost doubled when compared with the Oranto Petroleum Agreement covering acreage offshore, the Saltpond Basin with similar water depth and characteristics. The improved fiscal elements under the Agreement gives the State approximately 73 per cent to 79 per cent of the net oil depending on profitability of the project, (that is the total oil produced less exploration, development and production costs).

    The Committee found this to be consistent with Ghana's strength as an oil producer, the determination to get more out of the resource endowment and a reflection of the work done by GNPC within the Block. The enhanced fiscal regime would therefore lead to increase in revenues generated from petroleum operations in the Block to the State if a commercial discovery is made.

    Local participation

    It was also noted that the equity participation of indigenous Ghanaian companies in the Agreement was 13.5 per cent. This was observed to be higher than the requirement prescribed in Regulation 4(2) of L.I. 2204 which provides that “There shall be at least a five percent equity participation of an indigenous Ghanaian company other than the Corporation to be qualified to enter into a petroleum agreement or a petroleum license”.

    The Committee commends the Ministry and the Government negotiation team for ensuring that this essential provision in the L.I. 2204 was adhered to in the Agreement.

    It viewed this as an important step in integrating the petroleum upstream industry into the Ghanaian economy while positioning indigenous Ghanaian

    companies to play a leading role in the near future. It however urged the sector Ministry and the Petroleum Commission to continuously monitor the local partners to ensure that local partners are not engaged in fronting for international oil companies in order not to defeat the purpose of the local participation.

    Favourable Dispute Resolution Regime

    An important feature of the Petroleum Agreement noted by the Committee was the prohibition against the attachment of Government assets in the case of a dispute prior to the final arbitral award. The Committee found this provision very useful and averred that in light of potential damages associated with petroleum operations, attachments could cripple the ability of the State and/or GNPC to carry on its Governmental functions and/or business.

    It further indicated that attachments can be extremely coercive which may weaken the State's positions during arbitration. Moving forward, the Committee urged the Ministry to make this provision a permanent feature of Petroleum Agreements of the State.

    Liability for Capital Gains Tax

    The Committee opined that in the sale or transfer of petroleum assets, the State which is the resource owner deserves to benefit from any gain made. In the light of this, it noted with commendation the explicit incorporation of liability to capital gain tax into the Petroleum Agreement. The provision is not subject to the stabilisation clause and anticipates the coming into force of the proposed new law on petroleum taxation.

    In the opinion of the Committee, the capital gains tax provision would prevent speculators from making money at the expense of the State and would maximise the returns to the State in the event of transfer of petroleum assets.

    Conclusion

    Having diligently discharged its mandate as required by the Standing Orders of the House, the Committee is satisfied with the provisions of the Petroleum Agreement.

    It, therefore, recommends to the House to adopt this Report and ratify the Petroleum Agreement among the Government of the Republic Of Ghana, the Ghana National Petroleum Corporation (GNPC), Camac Energy Ghana Limited, Base Energy Ghana Limited, and GNPC Exploration and Production Company Limited in respect of the Expanded Shallow Water Tano Block Offshore of the Republic of Ghana in accordance with article 268 of the 1992 Constitution.

    Respectfully submitted.
    Mr K. T. Hammond (Ranking Member) noon
    Mr Speaker, I beg to second the Motion and in seconding it, I simply add that I support almost verbatim, everything that the Hon Chairman has said but just simply to add that the Block is in shallow waters, and from perusing the documents presented us, would appear to be a considerable improvement on the previous ones which were awarded when Ghana was not oil producing.
    I am happy that we are stamping authority on the procedure and making sure that on going forward, we get very good benefits for the country, at least, considerable improvement on what was done when we were not oil producers.
    With these few words I also ask the House to adopt the Motion.
    Mr Agbesi noon
    Mr Speaker, the Resolution numbered item 10.
    RESOLUTIONS noon

    Minister for Energy and Petroleum (Mr Emmanuel Armah-Kofi Buah) noon
    Mr Speaker, I beg to move, that
    WHEREAS by the provisions of article 268 (1) of the Constitution, any transaction, contract or undertaking involving the grant of a right or concession by or on behalf of any person or body of persons howsoever described, for the exploitation of any mineral, water or other natural resource of Ghana made or entered into after the coming into force of the Constitution is made subject to ratification by Parliament.
    IN PURSUANCE of the said article 268 (1) of the Constitution, the Government of Ghana has caused to be laid before Parliament through the Minister responsible for Energy and Petroleum, the Petroleum Agreement among the Government of the Republic of Ghana, Ghana National Petroleum Company Limited (GNPC), GNPC Exploration Company Limited, Camac Energy Ghana Limited and Base Energy Ghana Limited for the conduct of Exploration, Development and Production Operations in the
    Expanded Shallow Water Tano Block, Offshore of the Republic of Ghana.
    NOW THEREFORE, this House in accordance with the said article 268 (1) of the Constitution hereby resolves to ratify the said Petroleum Agreement among the Government of the Republic of Ghana, Ghana National Petroleum Company Limited (GNPC), GNPC Exploration Company Limited, Camac Energy Ghana Limited and Base Energy Ghana Limited for the conduct of Exploration, Development and Production Operations in the Expanded Shallow Water Tano Block, Offshore of the Republic of Ghana.
    Dr Kwabena Donkor noon
    Mr Speaker, I beg to second the Motion.
    Question put and Motion agreed to.
    Resolved accordingly.
    Mr Agbesi noon
    Mr Speaker, while we are at it, if we can take Item 11, which is still by the Hon Minister and then the Hon Chairman of the Committee.
    Chairman of the Committee (Dr Kwabena Donkor) noon
    Mr Speaker, I beg to move, that notwithstanding the pro- visions of Standing Order 80 (1) which require that no Motion shall be debated until at least, forty-eight hours have elapsed between the date on which notice of the Motion is given and the date on which the Motion is moved, the Motion for the adoption of the Report of the Committee on Mines and Energy on the Petroleum Agreement among the
    Government of the Republic of Ghana, Ghana National Petroleum Company Limited (GNPC) and Amni International Petroleum Development Company Limited for the conduct of Exploration, Development and Production Operations in the Central Tano Block, Offshore of the Republic of Ghana may be moved today.
    Mr Kobina T. Hammond noon
    Mr Speaker, I beg to second the Motion.
    Question put and Motion agreed to.
    Resolved accordingly.
    MrAgbesi noon
    Mr Speaker, Motion numbered 12.
    Government of Ghana/Ghana National Petroleum Company Limited
    (GNPC) and Amni International Petroleum Development Company--
    Petroleum Agreement
    Dr Kwabena Donkor noon
    Mr Speaker, I beg to move that,this Honourable House adopts the Report of the Committee on Mines and Energy on the Petroleum Agreement among the Government of the Republic of Ghana, Ghana National Petroleum Company Limited (GNPC) and Amni International Petroleum Develop- ment Company Limited for the conduct of Exploration, Development and Production Operations in the Central Tano Block, Offshore of the Republic of Ghana.
    Mr Speaker, in so doing, I present the Report of your Committee.
    Introduction
    The Petroleum Agreement among the Government of Ghana, the Ghana National Petroleum Corporation (GNPC) and Arnni International Petroleum Development
    Company (Ghana) Limited in respect of the Central Tano Block, Offshore of the Republic of Ghana was laid in Parliament on Thursday, 27th February, 2014 by the Hon Minister for Energy and Petroleum, Mr Emmanuel Armah-Kofi Buah in accordance with article 268 of the 1992 Constitution.
    Consequent to this, the Petroleum Agreement was referred to the Committee on Mines and Energy for consideration and report pursuant to Orders 156 and 188 of the Standing Orders of Parliament.
    Deliberations
    The Committee met with the Hon Deputy Minister for Energy and Petroleum, Mr Benjamin Kwaku Dagadu and other officials of the Ministry to consider the Petroleum Agreement. In attendance at the instance of the Committee were officials of the GNPC and the Petroleum Commission to assist in the deliberations.
    The Committee is grateful to the Officials for their attendance and for providing clarifications to enrich its discussions on the proposed Agreement.
    Reference documents
    The Committee was guided by the following documents during its deliberations:
    i. The 1992 Constitution of the Republic of Ghana
    ii. The Standing Orders of Parliament
    iii. The Ghana National Petroleum Corporation Act, 1983 (PNDCL
    64)
    iv. The Petroleum (Exploration and Production) Act, 1984 (PNDCL
    84)
    Papa Owusu Ankomah (NPP -- Sekondi) noon
    Mr Speaker, thank you very much for the opportunity to contribute to this debate. But just to ask for further and better particulars.
    The House will note that there is extensive information on Amni International Development Company of Nigeria and we are also told that for the first time, we have an indigenous Ghanaian company, WCW International Company Limited holding 30 per cent issued shares.
    We commend that. But apart from just mentioning that it is an indigenous Ghanaian company, nothing is said about its track record. When was it incorporated? We are talking about a local partner, so, what makes it so special that we comment on it and say that it has 30 per cent? Is it the first time it is engaged in oil production?
    Before then what was it doing? Was it involved in the downstream sector or the individual shareholders have some expertise that makes them special than just to say, “Oh we commend local participation with WCW”; it does not really give us much information.
    In supporting this Motion, I would want the Hon Chairman of the Committee to give me more details on the local company, just as the Report extensively comments on the share or the capacity of Amni, Nigeria, its growth success and the field it operates, then it will make the Report full.
    Even though I do not have any objection to the Report, before the Question is put, I would be grateful, Mr Speaker, if the Hon Chairman will enlighten us in this regard.
    Unless of course, at the Committee level, they did ask for these details -- which I doubt. So, if we ask for the details, it would assist this House. --
    Mr First Deputy Speaker noon
    Hon Chairman of the Committee, do you have a response -- Either you or the Hon Minister?
    Dr Donkor noon
    Yes, Mr Speaker.
    At the Committee meeting, we did not only ask but we were given copies of the particulars of this Ghanaian company. For the purposes of petroleum exploration, the major entity we are concerned with, is the operator and that is why you often find a lot more information on. The operator has a technical responsibility for managing the Block.
    But at the Committee level, we asked the question the Hon Member has asked and then we were given the particulars of the company -- The incorporation of Amni International, the local participants in Amni and we were satisfied, Mr Speaker.
    Papa Owusu-Ankomah noon
    Mr Speaker, there is no information whatsoever; just to say that the Committee was satisfied, does not mean that we can be satisfied without information. He said when it comes to petroleum exploration, it is the operator who is important. But the operator includes WCW -- It holds 30 per cent in Amni Ghana. And to say that -- [Inerruption]
    SPACE FOR APPENDIX II - noon

    rose
    Papa Owusu-Ankomah noon
    Why did he highlight the 30 per cent? We are talking about the capacity of local companies to absorb some expertise and then go out on its own. It could be just a front company; so, I am not really satisfied. Please, the Hon Chairman cannot say that they were satisfied. Yes, they were satisfied based on information but they have not given us any information -- Nothing.
    Mr First Deputy Speaker noon
    Yes, Hon Ranking Member, do you have something to say?
    Mr Hammond noon
    Mr Speaker, I appreciate the concerns of the Hon Member but in reality, at the Committee level, quite a lot of these pieces of documentation were presented. The Committee went through all of them, particularly, if I could just go back to the first one, the KAMAK one, for example Mr Speaker, all we have in the Report is simply that Base Energy Limited is a wholly-owned Ghanaian one and it is a company which has an upstream oil and gas business.
    This is because of the documentation and others we had, we were quite happy to put in this as a statement satisfying -- What is it that will satisfy the House for the purpose of this particular Agreement?
    In respect of WCW, again, we were given the detailed background of the company and the fact that it is a wholly- owned Ghanaian company and in view of all that was presented to us, we were quite happy. Maybe, the Report does not capture it in the context of how it has been put but we can assure the House that next time, we would incorporate the details of all of it.
    But we can assure you again, Mr Speaker, that we saw the details, we were quite happy and so, we decided to present it the way we have.
    Mr First Deputy Speaker noon
    Very well. Hon Member for Sekondi --
    Papa Owusu-Ankomah noon
    Mr Speaker, I do not intend to belabour this point. But the statement also made by the Hon Ranking Member reinforces the point that I made. [Interruption.]
    One Report, they experience without fame or whatever -- The second one they say, “Oh we are satisfied”. And they said nothing in the Report. And given the opportunity on the floor, they have also said nothing except to say that “We were satisfied.”
    Of course, Mr Speaker, henceforth, probably, going forward, it may help us better. I have stated that in some of these matters; our Standing Orders too require that committees record minutes of their meetings and the minutes are supposed to give us all this information. So, Mr Speaker, I am going to urge -- I refer to Order 198 (3); it says and with your permission, I will read:
    “The Clerk of a Committee shall record the minutes of proceedings and all proceedings upon con- sideration of any report or Bill in the Committee and upon every amendment proposed to such report or Bill, together with a note of any decision taken by the Committee and the names of all members voting therein.”
    This is separate from the Report that the Committee presents to the House. So, I, in no way, doubt the diligence of the Committee but certainly, if we require information and long and winding statements are made without any information, it clearly means that probably, there may not be any information. But I grant that the Hon Chairman and Hon Ranking Member are vigilant.
    Mr First Deputy Speaker noon
    Hon Members, it is important to let this House know as a matter of fact, that some extra hands have been recruited for the Hansard Department; some training has been undertaken by them, so that they will enhance record taking as it is being referred to by the Hon Member for Sekondi.
    It is because of the shortage of staff for the Hansard Department that some of these lapses have occurred. But as soon as those people get on board, all Committee meetings will be covered and they will be available for Hon Members as and when they are requested for.
    Thank you.
    Question put and Motion agreed to.
    Mr Agbesi noon
    Mr Speaker, I think we can take the Resolution thereon, as it is captured in item 13.
    Mr First Deputy Speaker noon
    Hon Leader, I hope “item 13” is not in the normal sense that we have known it?
    Hon Minister --
    RESOLUTIONS 12:20 p.m.

    Minister for Energy and Petroleum (Mr Emmanuel Armah-Kofi Buah) 12:20 p.m.
    Mr Speaker, I beg to move, that,
    WHEREAS by the provisions of article 268 (1) of the Constitution, any transaction, contract or undertaking involving the grant of
    a right or concession by or on behalf of any person or body of persons howsoever described, for the exploitation of any mineral, water or other natural resource of Ghana made or entered into after the coming into force of the Constitution is made subject to ratification by Parliament.
    IN PURSUANCE of the said article 268 (1) of the Constitution, the Government of Ghana has caused to be laid before Parliament through the Minister responsible for Energy and Petroleum the Petroleum Agreement among the Government of the Republic of Ghana, Ghana National Petroleum Company Limited (GNPC) and Amni International Petroleum Development Company Limited for the conduct of Exploration, Development and Production Operations in the Central Tano Block, Offshore of the Republic of Ghana.
    NOW THEREFORE, this House, in accordance with the said article 268 (1) of the Constitution, hereby resolve to ratify the said Petroleum Agreement among the Government of the Republic of Ghana, Ghana National Petroleum Company Limited (GNPC) and Amni International Petroleum Development Company Limited for the conduct of Exploration, Development and Production Operations in the Central Tano Block, Offshore of the Republic of Ghana.
    Dr Donkor 12:20 p.m.
    Mr Speaker, I beg to second the Motion.
    Question put and Motion agreed to.
    Resolved accordingly.
    Mr Agbesi 12:20 p.m.
    Mr Speaker, with your indulgence, if we can go back to item number (6).
    MOTIONS 12:20 p.m.

    Chairman of the Committee (Mr James K. Avedzi) 12:20 p.m.
    Mr Speaker, I beg to move, that this Honourable House adopts the Report of the Finance Committee on the request for waiver of taxes, customs duties, Value Added Tax, National Health Insurance Levy, Destination Inspection Fees, Export Development Fund Levy and ECOWAS Levy, amounting to GH¢3,793,352.05 on goods and equipment required for the implementation of the Awoshie - Pokuase road construction and Community Development Project.
    Mr Speaker, in doing so, I present your Committee's Report.
    Introduction
    The request for waiver of taxes, customs duties, Value Added Tax, National Health Insurance Levy, Destination Inspection Fees, Export
    Development and Investment Fund and ECOWAS Levy, amounting to GH¢3,793, 352.05 on goods and equipment required for the implementation of the African Development Bank funded UA53.59 million Awoshie-Pokuase road con- struction and Community Development Project was presented to Parliament on behalf of the Hon. Minister for Finance by the Hon Deputy Minister for Finance, Mr Cassiel Ato Baah Forson on Tuesday, 4th March, 2014.
    Mr Speaker referred the request to the Finance Committee for consideration and report in accordance with article 174 (2) of the 1992 Constitution and Order 169 of the Standing Orders of the Parliament of Ghana.
    The Committee was assisted in its deliberations by the Hon Minister for Roads and Highways, Mr Amin Amidu Sulemani, Hon. Deputy Minister for Finance, Mr Cassiel Ato Baah Forson, officials from the Ministries of Finance, Roads and Highways and Ghana Revenue Authority (GRA).
    The Committee is grateful to the Hon. Minister, the Deputy Minister and officials from the two Ministries and GRA for their assistance.
    Reference
    The Committee referred to the following additional documents during its deliberations:
    The 1992 Constitution of Ghana.
    The Standing Orders of the Parliament of Ghana.
    The Loan Agreement between the Government of the Republic of Ghana and the African Develop- ment Bank for the Awoshie-Pokuase
    Road and Community Development Project.
    The general conditions applicable to Protocols of Agreements for Grants of the African Development Bank.
    Background
    The Government of Ghana in April and May, 2010 entered into an agreement with the Agence Francaise de Development and the African Development Bank for the construction of the Awoshie-Pokuase road and Community Development Project. The project aims at providing integrated solution to urban development in Ghana. To this end, a 15.2 kilometre Awoshie- Pokuase road is to be constructed alongside the construction of secondary roads and the provision of key socioeconomic infrastructure such as drainage system, market, water supply, lorry stations, schools and health centres.
    The 15.2 kilometre road, which links Awoshie, Anyaa, Ablekuma, Amarmorley and Ayawaso is to be implemented in two sections. The first section which is been funded by the ADF is 3 kilometres, beginning from the Awoshie Junction on the Nl Highway and terminates at Anyaa. The first 2 kilometres is a three lane dual carriage way with two service lanes in each direction. The remaining 1kilometre is a dual carriage way with service lanes and community upgrading infrastructure.
    The second section which is being financed by AfDB, is a 122 kilometre two lane dual carriage-ways with service lanes and community infrastructure from Anyaa to Amarmorley and to Pokuase.
    To this end, the then Minister for Finance and Economic Planning presented to the House for approval, the Loan Agreement between the Government of the Republic of Ghana and the African
    Development Fund (ADF) for an amount equivalent to fifty-three million, five hundred and ninety thousand Units of Account (UA53, 590,000.00) [equivalent to US$80.35 million] to partially finance the Awoshie-Pokuase road construction and Community Development Project.
    Approval of the Loan Agreement
    It may be recalled that the previous Parliament at its twenty-first Sitting held on Tuesday, 2n March, 2010, approved by Resolution, the Loan Agreement between the Government of the Republic of Ghana and the African Development Fund (ADF) for an amount equivalent to fifty-three million, five hundred and ninety thousand Units of Account (UA53, 590,000.00) [equivalent to US$80.35 million] to partially finance the Awoshie-Pokuase road construction and Community Development Project.
    Required waiver
    To ensure that the full amount of the credit facility is used on the project, the Ministry of Roads and Highways, through the Ministry of Finance, is seeking for tax exemption amounting to GH¢3,793,352.05 on goods and equipment required for the implementation of the African Development Bank funded UA53.59 million Awoshie Pokuase road construction and Community Develop- ment Project.
    Observations
    Legal bases for the tax waiver
    The Committee noted that article I of the Loan Agreement between the Republic of Ghana and the African Development Bank approved by the House, subjected the Agreement to the General Conditions of Loan Agreements and Guarantee Agreements of the AfDB. Article I of the Agreement states that: “The parties to this Agreement accept all of the provisions of the General Conditions applicable to
    Chairman of the Committee (Mr James K. Avedzi) 12:20 p.m.


    Loan Agreements and Guarantee Agreements of the Fund, adopted on 30n April ,2008, as amended (the “General Conditions”), with the same force and effect as if they were fully set forth herein”. In accordance with the Article VI, Section 6.01 (a) of the AfDB General Conditions, the Loan Agreement shall be free from any taxes levied by, or in the territory of, the Recipient on or in connection with the execution, delivery of the project.

    Status of the Project

    Briefing Hon Members on the status of the project, the Hon Minister for Roads and Highways stated that the project comprises two sections. Section I (3 km), which is a three lane dual carriage-way with two service lanes in each direction and community upgrading infrastructure, is about 96 per cent complete.

    The second section (12.2 km), a two lane dual carriage-way with service lanes and community infrastructure from Anyaa to Amarmorley and to Pokuase is about 88 per cent complete.

    The Minister added that compensation has also been paid to all property owners whose properties were affected by the implementation of the project.

    Approval of the tax waiver

    Parliament, at its twenty-first Sitting held on Tuesday, 2nd March, 2010, approved the Loan Agreement between the Government of the Republic of Ghana and the African Development Fund (ADF) for an amount equivalent to fifty-three million, five hundred and ninety thousand units of Account (UA53, 590,000.00) [equivalent to US$80.35 million] to partially finance the Awoshie-Pokuase road construction and Community Development Project.

    In accordance with the AfDB general conditions as outlined in the Loan

    Agreement, the Loan Agreement shall be free from any taxes levied by, or in the territory of the recipient for the execution of the project.

    The Committee observed that the Ghana Revenue Authority upon thorough assessment, granted an interim tax waiver amounting to GH¢3,793,352.05 on goods and equipment required for the implementation of the AfDB funded Awoshie -Pokuase road construction and Community Development Project pending parliamentary approval.

    Given that the values for the assessment was based on the invoices submitted by the supplier, the Committee recommends to the Ministry of Finance to ensure that the final waiver would be reassessed and verified by the Destination Inspection Companies (DICs) upon arrival of the items in the country.

    Further, the monitoring unit of the Tax Policy Unit should conduct an audit of the items that would be imported or purchased locally to ensure that there is value for money and the items for which the exemption is being given are not diverted.

    Conclusion

    The Committee has carefully examined the referral and recommends to the House to adopt its Report and approve by Resolution, the request for waiver of taxes, customs duties, Value Added Tax, National Health Insurance Levy, Destination Inspection Fees, Export Development and Investment Fund and ECOWAS Levy amounting to GH¢3,793, 352.05 on goods and equipment required for the implementation of the African Development Bank Funded UA53.59 million Awoshie-Pokuase road con- struction and Community Development Project.

    Respectfully submitted.

    Ranking Member of the Committee (Dr A. A. Osei): Mr Speaker, any member of the Committee can second the Motion I do not know why they were waiting for me. I was waiting for the Hon Member for Kwabre East, Mr Kofi Frimpong to second it, but he is talking, I will go ahead to second it.

    Mr Speaker, I beg to second the Motion and in so doing, make just some very brief remarks.

    Mr Speaker, the first thing I noted on this one is that, for the time that I have been in Parliament, this is perhaps, the lowest amount of tax waiver that we are giving for such a huge project. Why? I do not know. It may be that the contractor is already in town and therefore, it is a matter of physically moving his equipment there and not really bringing any new things in.

    That notwithstanding, the project is substantially complete. If you look at the amount on the loan, some GH¢8.36 million and the request is for only GH¢3 million. You wonder what is really going on. But since it inures to the interest of the Government, I think we can accept it. However, I would want the Minister to assure the House that the contractor has not just moved equipment and making claims for this small amount to ensure that it is really the tax waiver that we are giving.

    With these few remarks, I urge Hon Members to support the Motion.

    Question put and Motion agreed to.
    Mr Agbesi 12:20 p.m.
    Mr Speaker, I would want to ask permission for the Deputy Minister for Finance to take the Resolution numbered (7).
    RESOLUTIONS 12:20 p.m.

    Mr Avedzi 12:20 p.m.
    Mr Speaker, I beg to second the Motion.
    Question put and Motion agreed to.
    Resolved accordingly.
    Mr Agbesi 12:20 p.m.
    Mr Speaker, my attention has been drawn to a Statement or tribute to be paid for a distinguished Ghanaian who has passed on by the Hon Member for Garu, Mr Dominic A. Azumah. Mr Speaker --
    Mr First Deputy Speaker 12:20 p.m.
    Hon Deputy Majority Leader, it is the Speaker who admits Statements. I have not admitted any Statement for today. So, let us move on.
    Mr Agbesi 12:20 p.m.
    Mr Speaker, with your pleasure, we can go to item number 14.
    Mr First Deputy Speaker 12:20 p.m.
    Very well. item number 14.
    Mr Agbesi 12:30 p.m.
    Mr Speaker, on item number 14, following your directive, the Leadership, the Committee on Health and some senior Members of the House met yesterday to resolve the issue. Mr Speaker, we have virtually resolved the matter and Motion number 3, that is to be moved as a consensus Motion, is on the Order Paper.
    Mr Speaker, the understanding is that Hon Joseph Yieleh Chireh is to move that Motion and Hon Dr Richard W. Anane will second it. That is the position we have arrived at. So, Mr Speaker --
    Mr First Deputy Speaker 12:30 p.m.
    But if I may find out what happens to the two other Motions which have been seconded?
    Mr Agbesi 12:30 p.m.
    Mr Speaker, when the Motion number 3 is moved, then Hon Dr Anane will then apply to withdraw his Motion. I will also, on behalf of the Hon Majority Leader, apply to withdraw Motion numbered 2. So, that Motion numbered 3 will be the outstanding one as a compromised Motion.
    Mr First Deputy Speaker 12:30 p.m.
    Why do we not do it the other way round? Can we not get those Motions which have been seconded withdrawn first before we take the compromised Motion?
    Mr Agbesi 12:30 p.m.
    Very well.
    Dr A. A. Osei 12:30 p.m.
    Mr Speaker, I agree with you. The earlier Motion needs to be withdrawn.
    But more importantly, the Hon Deputy Majority Leader keeps referring to Motion 14, number 3. I do not have Motion 14, number 3 on my Order Paper. I am looking for it. Which Order Paper are we using? [Interruption.] --- No! I would want to follow him.
    Mr First Deputy Speaker 12:30 p.m.
    I believe he is referring to item (ii).
    Hon Deputy Majority Leader, can we go through the process of getting the withdrawals effected, so that we can move on?
    Mr Nitiwul 12:30 p.m.
    Mr Speaker, we have a technical problem. I do not seem to find the mover of the Motion in the Chamber. We might not be able to start the process unless the mover of the consensus Motion -- I cannot find him in the Chamber.
    Mr First Deputy Speaker 12:30 p.m.
    Yes, Hon Deputy Majority Leader, what do you say?
    Mr Agbesi 12:30 p.m.
    Mr Speaker, the mover of the Motion, Hon Yieleh Chireh was in the House before we called upon him to move. But as of now, he is not in the House. In the circumstances --
    Mr First Deputy Speaker 12:30 p.m.
    That is the point he is making, that he is not in the Chamber. So, what do we do?
    Mr Agbesi 12:30 p.m.
    Mr Speaker, the Motion be deferred to Tuesday.
    Mr First Deputy Speaker 12:30 p.m.
    Hon Members, may I suggest that we withdraw
    the other two Motions, so that on Tuesday, we have just this compromised Motion to be dealt with.
    Mr Nitiwul 12:30 p.m.
    Mr Speaker, I would advise strongly and urge you that we allow the Motions as they are. And once we are ready to take all the Motions, the Hon Deputy Majority Leader can withdraw on behalf of the Hon Majority Leader if he has not come and then, we can move the Motion.
    Mr First Deputy Speaker 12:30 p.m.
    Very well. I take your advice.
    Mr Alfred K. Agbesi 12:30 p.m.
    Mr Speaker, I beg to move, that the House do adjourn until Tuesday, at 10.00 a.m.
    Mr Donimic B. A. Nitiwul 12:30 p.m.
    Mr Speaker, I guess today is Friday. We have so many engagements on behalf of the people of Ghana. So, I beg to second the Motion.
    Question put and Motion agreed to.
    ADJOURNMENT 12:30 p.m.

  • The House was accordingly adjourned at 12.34 p.m. till Tuesday, 25th March, 2014 at 10.00 a.m.