Debates of 19 Jun 2014

MR SPEAKER
PRAYERS 10:10 a.m.
VOTES AND PROCEEDINGS AND THE OFFICIAL REPORT 10:10 a.m.
  • [No correction was made to the Votes and Proceedings of Wednesday, 18th June, 2014.]
    • Mr Speaker 10:10 a.m.
    Hon Members, we do not have any Official Report for today, so we move on to Item 3 -- Questions.
    Hon Members, Question time. We would start with the Minister for Food and Agriculture;
    Question number 84 standing in the name of the Hon Member for Jaman North.
    ORAL ANSWERS TO QUESTIONS 10:10 a.m.
    MINISTRY OF FOOD AND 10:10 a.m.
    AGRICULTURE 10:10 a.m.
    Minister for Food and Agriculture (Mr Clement K. Humado) 10:10 a.m.
    Mr Speaker, presently, there is no cashew pricing policy in Ghana. However, raw cashew nuts pricing has been identified as one of the challenges of the cashew industry in the country. Therefore, the emerging Cashew Industry Association of Ghana (comprising farmers, processors, traders and exporters) has constituted a team to

    critically address raw cashew nuts pricing from 2015 and ensuing years. The Ministry's role would be to facilitate the price negotiation and act as an empire for the producers, processors and exporters to agree on a common price.
    Mr Siaka 10:10 a.m.
    Mr Speaker, the profitability of cashew nut alone is not very high, so exploiting cashew apple further could represent a new additional income opportunity and strongly increase the profitability of farmers. The question is, what is being done to generate additional incomes through the sale of cashew apple?
    Mr Humado 10:10 a.m.
    Mr Speaker, as I stated in my Answer, the Ministry is now facilitating the Association of Producers and Processors to achieve the same objective as my Colleague has asked. The Ministry in April this year facilitated a workshop for the industry and that was where the Committee or the team to handle these aspects of cashew pricing was formed. To date the Ministry's role is just to facilitate.
    Mr Speaker 10:10 a.m.
    Your last supplementary.
    Mr Siaka 10:10 a.m.
    Mr Speaker, I would want to know from the Hon Minister, what production support is available to farmers to ensure high yield and then continuous maintenance of their farms in terms of weedicides and other things. We want to sustain and maintain their interests and thereby attract other people into it.
    How does the Ministry motivate them so that they can continuously maintain their farms with respect to the provision or supply of equipment and weedicides and the rest? It appears -- so that is the Question.
    Mr Speaker 10:10 a.m.
    Is that part of the issue of pricing policy? Hon Member, I do not know, but I am not too sure whether that is a supplementary. Ask your question again.
    Mr Siaka 10:10 a.m.
    I am asking about what production support is available, because it appears there is no pricing policy now, and we want to encourage farmers to still be in the farming industry. So what do we
    do to sustain their interests and attract other people. This is because there is no pricing policy now to guide them?
    Mr Humado 10:10 a.m.
    Mr Speaker, presently, the only support is in the form of agricultural extension on the agronomic practices required to ensure high yields and also those who are registered to receive subsidised fertilisers.
    Beyond that, there is no package for cashew producers. About three years ago, there was a Cashew Development Project in areas like Wenchi in the Brong Ahafo Region in particular; and it was at that time that the full package was available. At the end of that project, the farmers only benefited from improved seed varieties, agricultural extension and agronomy, and subsidised fertilisers.
    Mr Agyeman K. Gyan-Tutu 10:20 a.m.
    Mr Speaker, considering the emergence of cashew as a major cash crop in Ghana now, I would want to find out whether there are long term plans to have a Cashew Development Board just like we have for cocoa and shea nut.
    Mr Speaker 10:20 a.m.
    Hon Minister, did you get the Question? Very well?
    Mr Humado 10:20 a.m.
    Thank you, Mr Speaker.
    At the moment, there is no official position on the formation of a Cashew Development Board, but I believe that when the Committee that has been put in place starts considering the pricing policy and other matters and they raise the issue on the need for the formation of a Board, the Ministry may consider it.
    Mr Speaker 10:20 a.m.
    Hon Members, we move to the next Question -- Question 85.
    Hon Members, I am suggesting that the Answer to that Question is about 36 pages, so once we all have the information
    and can ask our supplementary questions, I want the Minister to summarise his Answer, then, Hon Members can ask their questions; I say so because reading 36 pages for one Answer is -- The most important thing for me is to make the information available to the Hon Member who asked the Question and once we make the information available, any supplementary question can flow from it. So I do not expect you to read the 36 pages in the Order Paper.
    Question 85, which is standing in the name of the Hon Member for Okere.
    932 Tractors in 2008 (Beneficiaries)
    Q.85. Mr Daniel Botwe (Okere) asked the Minister for Food and Agriculture the beneficiaries of the nine hundred and thirty-two (932) tractors and accessories imported from India by the Ministry of Food and Agriculture in 2008.
    Minister for Food and Agriculture (
    Mr Clement K. Humado) 10:20 a.m.
    Mr Speaker, in 2008, the Ministry of Food and Agriculture imported the following tractors and accessories from India as part of measures to boost agricultural production through mechanisation.
    Summary of Tractors Imported from India by Model in 2008
    Farm Tractors- 60- Tractors -- 200
    Mahindra 605 Di- Tractors -- 132
    Mahindra 705 Di-Tractors -- 100
    John Deere Tractors(5303) -- 350
    John Deere Tractors (5403 model) -- 150
    Total -- 932
    Mr Clement K. Humado) 10:20 a.m.
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    Mr Speaker 10:20 a.m.
    Hon Member for Okere, any supplementary questions?
    Mr Dan Botwe 10:20 a.m.
    Thank you Mr Speaker.
    Mr Speaker, I would want to find out from the Minister, the criterion that was used in the distribution.
    Mr Humado 10:20 a.m.
    Thank you Mr Speaker.
    Mr Speaker, I am informed that the criteria used in the distribution were based upon: one, application from a farmer or an institution, and this application had to emanate from the District, and must receive a cover note or recommendation by the District Agricultural Officer. These were sent to the Regional Agricultural Officers or Directors, who collated the requests for the region and the Regional requests were sent to the national level, and referred to the Director of Agricultural Engineering Services Directorate.
    So the criterion was mainly based upon confirmation by the District Agricultural Officers, of the presence of that person in the District, that he is in the farming business therefore, required assistance by way of Agricultural Machinery.
    Thank you.
    Mr Dan Botwe 10:20 a.m.
    Mr Speaker, respectfully, if you could indulge me, if people want tractors, tractors are sold in the market; they would go and buy.
    If a Ministry decides to order tractors, there should be a policy direction. Mr Speaker, I just conferred with the Hon Minister and he explained that, where they have written Agricultural Mechanisation Service Centres (AMSEC), it is Agricultural Service Mechanisation Centre. So one
    would expect that the Ministry would say that we have say, 100 AMSECs, so we are importing these number of tractors, place them in this centre to service people, may be individuals can have some.
    Is it the issue that the Ministry itself did not have any policy direction when they were importing these tractors? They just imported them so that individuals would apply and it would be given to them; they did not have any direction in terms of policy implementation?
    Mr Speaker 10:20 a.m.
    Hon Minister?
    Mr Humado 10:20 a.m.
    Thank you Mr Speaker.
    These tractors were imported in the year 2008, and I am informed that applications were from individuals as I said earlier, and also from institutions. One of the objectives of this importation was the formation of the AMSECs. It was assumed that not every farmer, especially, the small holder farmer had enough money to go and buy a tractor. So individuals with business acumen and confirmed by the District Officers would apply for a number of tractors and implements, after which they formed an AMSEC, poor farmers could just walk to the centres, and pay for the services rather than they buying the tractors.
    The formation of AMSECs is one of the objectives of the importation of these tractors.
    I thank you.
    Mr Speaker 10:20 a.m.
    Your last supplementary Question.
    Mr Dan Botwe 10:30 a.m.
    Well Mr Speaker, I think to be fair, on this question that I asked -- looking at the answers, one may ask, how many went to the Agricultural
    Mr Dan Botwe 10:30 a.m.


    Mechanisation Centres, if they were the main reason they were imported? I agree; I have no problem at all, that individual farmers can also benefit from it; I have absolutely no problem. But the main thing was that, not many farmers are endowed enough to buy tractors on their own. So they enjoy the services of these mechanisation centres. But out of the 932, how many went to Agricultural Mechanisation Centres?
    Mr Speaker 10:30 a.m.
    Hon Minister, how many went to Agricultural Mechanisation --
    Mr Botwe 10:30 a.m.
    And --
    Mr Speaker 10:30 a.m.
    Oh, I thought you have finished asking your question --
    Mr Botwe 10:30 a.m.
    No, Mr Speaker, to make it meaningful --
    Mr Speaker 10:30 a.m.
    Yes?
    Mr Botwe 10:30 a.m.
    You would see that even the ones that went to the Agricultural Mechanisation Service Centers (AMSEC), are managed by the District Agricultural Officers.
    Why is it addressed in care of District Chief Executives?
    Mr Speaker 10:30 a.m.
    Hon Minister?
    Mr Botwe 10:30 a.m.
    How many went to Agricultural Mechanisation Centres out of the 932, if that was the main reason they were imported? How many --?
    Mr Humado 10:30 a.m.
    Thank you Hon Speaker.
    When I assumed duty, I was informed that, there were 89 Agricultural Mechanisation Service Centres (AMSECs) throughout the country. These were not only from this importation. But the total was 89. In certain cases, District Assemblies fronted for the
    farmers and formed these AMSECs with the intention of providing services to farmers. So where you have some District Assembly notations, they were also AMSECs intended to provide mechanization services to farmers. I have not been able to tally the AMSEC number from this particular presentation. But, I believe my Colleague would be able to do so as a help to me. I thank you.
    Mr Speaker 10:30 a.m.
    Hon Minister for Information and Media Relations, are you still there?
    Mr Mahama Ayariga 10:30 a.m.
    Yes Mr Speaker, I am still at the Ministry of Information and Media Relations.
    Mr Speaker 10:30 a.m.
    Very well --
    Mr Mahama Ayariga 10:30 a.m.
    Mr Speaker, to ask the Minister for Food and Agriculture as a follow up question, was it the policy of the Ministry to establish an AMSEC in every district?
    What was entailed in establishing and managing an AMSEC? Were you required to find money, deposit for the tractors; and when the tractors are delivered, to make sure that farmers in that district had access to the services of those tractors? Was that the reason in cases where they -- [Uproar] -- could not find volunteers to establish the AMSECs? The Assemblies had to volunteer to find money to establish the AMSECs so that farmers could have access to tractors in their districts?
    Mr Speaker 10:30 a.m.
    Hon Minister, did you get the Question? --[Pause]
    Yes Hon Minority Leader, do you object to the Question?
    Mr Osei Kyei-Mensah-Bonsu 10:30 a.m.
    Yes Mr Speaker, I do have serious objections to this Question because, Mr Speaker, it is a leading question? It is a leading question and the question that he has asked Mr Speaker, offends Standing Order 67 (1) (b);
    (b) a Question shall not contain any arguments, expression of opinion, inferences, imputations, epithets or controversial, ironical or offensive expressions or hypothetical cases;
    Mr Speaker, this Question is so much impregnated with everything that is contained in Standing Order 67 (1) (b) and should not be allowed.
    Mr Speaker 10:30 a.m.
    Hon Minister ask your question again.
    Mr Speaker 10:30 a.m.
    Please go straight forward and ask the Question. I did not even know exactly what information you wanted the Minister to provide.
    Mr Mahama Ayariga 10:30 a.m.
    Mr Speaker --
    Mr Speaker 10:30 a.m.
    Go straight to the point. Your attention has been drawn to the Standing Orders; so go straight and ask your Question.
    Mr Mahama Ayariga 10:30 a.m.
    Mr Speaker, I attempted to ask a number of questions --
    Mr Speaker 10:30 a.m.
    Please, please, please, please we know --
    Mr Speaker 10:30 a.m.
    Please Hon Minister, Hon Minister --
    Mr Mahama Ayariga 10:30 a.m.
    With your kind permission --
    Mr Speaker 10:30 a.m.
    You know very well the rules of this House. Go straight and ask your supplementary.
    Mr Speaker 10:30 a.m.
    That is so. Mr Speaker, the question I asked is, was it or was it not the Policy of the Ministry of Food and Agriculture at that time to have one AMSEC in every district? And where nobody volunteered to establish an AMSEC for a district, the Assemblies offered to front to establish the AMSEC per district? Again what was entailed in establishing an AMSEC?
    Mr Speaker 10:30 a.m.
    What is the --
    Mr Humado 10:30 a.m.
    Mr Speaker, I am sorry, I thought you were still dealing with my Colleague.
    Hon Speaker, yes indeed, when I assumed office, I came across a policy of the Ministry that we would establish one AMSEC in each district of the country. At the time I took over, the number that I had was 89 AMSECs.
    The criteria for the formation of AMSECs were based upon either individual entrepreneurs who had the capacity and the background to establish and own a number of tractors and agricultural machinery. They would sign a Memorandum of Understanding to pay back the cost of the machines over a period.
    District Assemblies also offered to establish AMSECs where there were no individual volunteers. So to the best of my knowledge, this is the criterion that determined the formation of AMSECs at the time. I thank you.
    Hon Isaac Osei -- rose --
    Mr Isaac Osei 10:30 a.m.
    Thank you Mr Speaker.
    In one of his Answers, the Hon Minister indicated that, individuals with business acumen; entrepreneurs formed these Agriculture Mechanisation Services Centres. May I ask whether he was referring to individuals like Hon Mahama Ayariga and Hajia Boforo, since they appear to have formed these AMSECs?
    Mr Speaker 10:30 a.m.
    Can you still ask the Question without mentioning names? [Interruption]
    Mr Isaac Osei 10:30 a.m.
    Mr Speaker, with due respect to the Chair, I am only using the Minister's Answer to ask a question and he had indicated clearly that --
    Mr Speaker 10:30 a.m.
    Hon Members, where you can ask your question without mentioning names, yet it would be intelligent under our rules, you can do so. You can just say “by some Hon Members of this House” and the record itself shows who those people may be, then we go. I am in charge of this House in terms of proceedings. I do not want these questions to degenerate into per- sonalities getting up and -- so you can still ask your Question.
    We all know the people, but you can still make that Question very intelligent without mentioning names. That is the point I am making.
    Mr I. Osei 10:40 a.m.
    Yes, Mr Speaker, I dare say that my Question was very intelligent, and the Question is that, I noticed that certain Hon Members appeared to have business acumen which seemed to have been a basis for the establishment of Agricultural Mechanisation Centres. Will the Minister confirm that this is so?
    Mr Speaker 10:40 a.m.
    Hon Minister.
    Mr Humado 10:40 a.m.
    Thank you Mr Speaker.
    Well, when I saw the list and I made enquiries, I had the belief that some Hon Members of Parliament in their desire to help their people -- [Hear! Hear!] -- especially, in very rural areas, either used the Common Fund or advanced their own
    capital to set up AMSECs for the benefit of the rural people.
    Thank you.
    Mr David Tetteh Assumeng 10:40 a.m.
    Thank you very much.
    Mr Speaker, first of all, may I thank the Minister for this elaborate Answer. Hon Minister, we are told that 932 beneficiaries got this machinery. Can you tell us that rate of recovery since these are loans?
    Thank you.
    Mr Speaker 10:40 a.m.
    Are you up on a point of order, Hon Member for Old Tafo?
    Dr Anthony Akoto Osei 10:40 a.m.
    Yes, I have a point of order.
    He said we are told that there are 932 beneficiaries, we are not told that; we are told that there are 932 tractors. There is a difference between that and having 932 beneficiaries so his premise is wrong. [Uproar].
    Mr Speaker 10:40 a.m.
    Hon Member for Shai- Osudoku, your Question again.
    Mr Assumeng 10:40 a.m.
    Mr Speaker, if you can advert your mind to page 18 of the Answer -- it talks about
    Mr Speaker 10:40 a.m.
    Hon Member, he is saying there is a difference between the number of tractors and the number of beneficiaries because one person can get more than one tractor. That is the point he is making.
    Mr Assumeng 10:40 a.m.
    Mr Speaker, all that I want to know is about the rate of recovery. What is the rate of recovery?
    Mr Speaker 10:40 a.m.
    Very well.
    What is the rate of recovery?
    Mr Humado 10:40 a.m.
    Mr Speaker, I spoke to the Director or Engineering Services just yesterday on this matter and I was told verbally that, it is around 60 per cent and that they are still making efforts to retrieve the remaining arrears of the cost of the machinery.
    Thank you.
    Mr Speaker 10:40 a.m.
    Hon Ignatius Baffour Awuah.
    Mr Awuah 10:40 a.m.
    Thank you Mr Speaker.
    Mr Speaker, the Hon Minister says the recovery rate is 60 per cent. I would just want to know from him for how long they were given to pay for the tractors and what time is left for the other 40 per cent to be paid?
    Mr Speaker 10:40 a.m.
    Mr Minister?
    Mr Humado 10:40 a.m.
    Mr Speaker, I am not sure about this Answer. What I read about the Policy was that, because AMSEC was supposed to be more of a social service to our poor farmers, they were given up to five years to repay. But for individuals, even though the maximum was five years, some of them paid within a year or two.
    Five years is the maximum for either an individual or an AMSEC entrepreneur to pay up the cost of the machinery.
    Mr Govers Kwame Agbodza 10:40 a.m.
    Thank you Mr Speaker.
    Glancing through the tables of beneficiaries, I could only see about 15 beneficiaries from the Volta Region. My Question is this; out of the 932 tractors, were the applications made before the tractors were ordered or the tractors -- [Interruption] -- exactly, -- the opposite.
    Mr Speaker 10:40 a.m.
    Please, you are the one asking the Question, ignore any other comments. [Laughter]. You do not have to fall on the other Hon Members' comments on the floor to conclude your question for you.
    Mr Agbodza 10:40 a.m.
    Thank you very much, Mr Speaker.
    May I know whether the applications were first made, based on that, the tractors were ordered or the tractors came in before the applications were made? I do not understand why only 15 went to the Volta Region.
    Mr Humado 10:40 a.m.
    Thank you Mr Speaker.
    Mr Speaker 10:40 a.m.
    Ignore the one that talks about the region. Ignore that aspect and answer the other aspect of the Question as to the point of the application.
    Mr Humado 10:40 a.m.
    Yes, Mr Speaker, the practice has been for the Ministry of Food and Agriculture; the Agricultural Engineering Services Directorate to be specific, to advertise the presence or existence of this machinery. In that advertisement, they outlined those criteria that should be met. As I explained earlier, following the advertisement, applications were received through the districts, through the regions to the national level and that list was what was considered in the distribution of the tractors.
    Indeed, I tried myself to see whether I could do a distribution by region, but I realised that one can be in Accra --
    Mr Speaker 10:40 a.m.
    Ignore the issue of distribution by region.
    Mr Humado 10:40 a.m.
    Thank you.
    Mr Kyei-Mensah-Bonsu 10:40 a.m.
    First of all Mr Speaker, I have made a little observation, that a Question shall not include the names of persons or stake --
    Mr Speaker 10:40 a.m.
    Are you challenging my ruling, Hon Minority Leader?
    Mr Kyei-Mensah-Bonsu 10:40 a.m.
    Who am I to challenge? [Laughter].
    Mr Speaker 10:40 a.m.
    So --
    Mr Kyei-Mensah-Bonsu 10:40 a.m.
    But to apply myself to the rules.
    Mr Speaker 10:40 a.m.
    Yes, so what it means is that --
    Mr Kyei-Mensah-Bonsu 10:40 a.m.
    Mr Speaker, --
    Mr Speaker 10:40 a.m.
    Ask your Question.
    Mr Kyei-Mensah-Bonsu 10:40 a.m.
    Yes, --
    Mr Speaker 10:40 a.m.
    Go straight and ask your Question.
    Mr Kyei-Mensah-Bonsu 10:40 a.m.
    Because I intend to include some names.
    Mr Speaker 10:40 a.m.
    Yes, Hon Members, I know --
    Mr Kyei-Mensah-Bonsu 10:40 a.m.
    And for purposes --
    Mr Kyei-Mensah-Bonsu 10:40 a.m.
    My general attitude is that, once an Hon Minister puts information in the public domain, one is entitled to use that information. But where it is likely as a result of that, that personalities would be involved, therefore
    the Chair would be forced to call them again because their names are there, it can degenerate the business of the House. That is the only reason I think that, sitting in the Chair here, the only way I can manage this Question is to make sure as much as possible that, Hon Members should not be mentioning names in their answers. As for the names, they are here. It is a matter of public record.
    Nobody is questioning them; they are here as a matter of fact, but it is in order to manage the order in the House. I said that if you ask a Question, make it intelligent, without mentioning the names of Hon Members then we would be able to make progress from that direction.
    Mr Kyei-Mensah-Bonsu 10:50 a.m.
    Mr Speaker, I take a cue from what you said but I thought that as the rules provide that, if a name is mentioned to the extent that, it can be authenticated by the Hon Member concerned, it should be acceptable, that is what our Rules provide.
    Mr Speaker, I think it is instructive to observe that, the Hon Minister, when he was asked about the Policy that underpinned the distribution, he was talking about applications that were received, which informed the distribution and subsequently had to be filled in by an Hon Member, also a Minister, in respect of the policy that informs the formation of AMSEC. That was very instructive.
    Mr Speaker, there is note worthily an allegation that has been made to one Hon Mahama Ayariga, office of the President, Accra, that he was given five tractors.
    It was meant for the Agricultural Mechanisation Enterprises Services Centres (AMSEC) and they were created for districts.

    Mr Speaker, may we know from the Minister, which district is this AMSEC, which was fronted by one Hon Mahama Ayariga of the Office of the President, Accra.
    Mr Speaker 10:50 a.m.
    Minority Leader, address the Chair.
    Mr Kyei-Mensah-Bonsu 10:50 a.m.
    Mr Speaker, an observation. The Minister has to turn to solicit information.
    Mr Speaker, which district(s) were these served? Perhaps, whiles he is at it, he may also want to inform us which district. The one for the Azoka group- Tamale served. The one for Mr Johnson Asiedu Nketiah of HSE No. E16/5 SSNIT flats DTD Community 13 Sakumono, which District is that?
    Mr Clement Kofi Humado 10:50 a.m.
    Mr Speaker, I am informed that the AMSEC of my Hon Colleague Member of Parliament for Bawku was established in the Bawku Municipality —[Interruption]— The fact is that, it is in the Bawku Municipality and --
    Mr Speaker 10:50 a.m.
    Hon Minister, are you answering the Question or you are having a chat with the Minority Leader?— [Laughter]—
    Mr Clement Kofi Humado 10:50 a.m.
    Mr Speaker, I am answering the Question.
    The other ones- I wanted to explain this earlier, that one can be in Accra and use Accra address to apply for a tractor and send it to one's hometown.
    When I tried to do the Regional distributions, I realised that, it could be misleading so I am not in the position to answer for Azoka and Hon Asiedu Nketiah.
    Mr Kyei-Mensah-Bonsu 10:50 a.m.
    Mr Speaker, the Hon Minister has given two answers which appear to be contradictory.
    He first of all indicated to us when he was asked about the policy that underpinned the distribution of the tractors, he reminded this House, that the tractors arr ived in 2008, and that applications had been submitted by -- that is what he said in the first place.
    Lately, he is telling us that, the position of the Ministry was to outline the presence of the tractors, in other words, sequel to the arrival of the tractors; that was when the advertisements were made, indicating the presence of the tractors in the country and soliciting applications. But he had early on, in an Answer to a Question that was filed by the Hon Minority Chief Whip, indicated that, the importations were premised upon the applications that were received. How do you reconcile the two?
    Mr Clement Kofi Humado 10:50 a.m.
    Mr Speaker, indeed, I am saying the same thing. The data on the beneficiaries is quite a lot and I only chose those that are relevant to the Question that has been asked.
    One can be in Accra and use one's Accra address for the purpose of payment, but where the machinery is located is also a different issue, that was why some of the addresses did not show exactly where the tractors were located.
    If he wants further information, probably I could give that up. Thank you.
    Mr Kyei-Mensah-Bonsu 10:50 a.m.
    Mr Speaker, I do not know whether to pursue the Question, because the Answer is completely off tangent to the Question that I posed.
    Mr Speaker, I asked- for the avoidance of doubt —
    Mr Speaker 10:50 a.m.
    That is the expression of his opinion and he is entitled to it.
    Mr Kyei-Mensah-Bonsu 10:50 a.m.
    Mr Speaker, it is a statement of fact and not an opinion in this case.
    The Question to him -- How do you define “opinion”, Minister for Information and Media Relations?
    Mr Speaker 10:50 a.m.
    Hon Minority Leader, we did not see you the whole of this week, until this morning —
    Mr Kyei-Mensah-Bonsu 10:50 a.m.
    Mr Speaker, call the Minister for Information and Me- dia Relations to order —[Laughter]
    Mr Speaker 10:50 a.m.
    Ask your last supple- mentary question.
    I want us to make progress.
    Mr Kyei-Mensah-Bonsu 10:50 a.m.
    Mr Speaker, the Question to the Hon Minister is; he has told us in an Answer to a Question that was posed by the Hon Minority Chief Whip early on that, the Policy that underpinned the importation was the applications that were submitted. That was the Question.
    Mr Speaker, in an Answer to a Question that was subsequently filed, he says to us that, it was when the equipment arrived, that the Ministry then outlined the presence of the tractors in the country and subsequently, sought for application. So,
    I am asking -- two, the Answers seemed to be contradictory -- that is the Question that I posed, and I asked, how do we reconcile the two -- and he is giving answers and addresses —
    Mr Speaker 10:50 a.m.
    Hon Minister?
    Mr Clement Kofi Humado 10:50 a.m.
    Mr Speaker, I think it is the same thing. Machines are imported, they arrive in the country, adverts are placed, applications are received from the districts through regions to national and distributions made— [Interruption]
    No, what I am saying is that - what I have even experienced myself is that first, one can have some applications on file, before the importation is made and after the importation has been made and advertisements made, further applications would come, but the procedure is that, they come from the Districts, to the Regions and to the national so, it is a little flexible.
    Thank you
    Mr Speaker 10:50 a.m.
    Hon Members, we move to —
    Last Question- Hon Members we have to make progress. --
    Alhaji Mohammed-Mubarak Muntaka 10:50 a.m.
    Mr Speaker, I would want to ask the Hon Minister; whereas the interest was to assist people to help in the situation where the district could not form the AMSEC, under what circumstances, for example a name and an address -- page 44 No. 121; Mr Kwabena Appiah Awuah, P.O Box SE 2466 Suame, Kumasi, was given one tractor, when I very well know that in Suame you cannot find any farm. I would want to know whether individuals could acquire one and not just to form AMSEC with it. Thank you very much.
    Mr Speaker 10:50 a.m.
    What is your Question? —[Laughter.]
    Alhaji Muntaka 10:50 a.m.
    Mr Speaker, earlier Questions that were asked were with regard to the Policy with which the tractors were distr ibuted and the Minister's Answer was that, the situation was to enable every district have an AMSEC, in the form of companies to enable farmers to be able to use the tractors.
    Mr Speaker, in the situation where we could not find companies, the Districts or individuals with business acumen could volunteer to form this AMSEC within those districts to enable them acquire those tractors for those purposes.
    As I mentioned, one Mr Kwabena from Suame acquired only one. So, I would want to know because, that one, they did not mention any AMSEC by it.
    I would want to find out whether that was also allowed and --
    Mr Speaker 11 a.m.
    Why have you singled out that one because that is not the only one that AMSTEC had not been mentioned?
    Alhaji Muntaka 11 a.m.
    Mr Speaker, with the greatest respect, the names are many and people were just citing some few. This is the only one I also found, because it has to do with Suame and I know there is no farm in Suame.
    Mr Speaker 11 a.m.
    The Hon Minister has explained. That is why when one Johnson Asiedu Nketiah was mentioned, he said he could not provide further and better particulars beyond what he has provided to the House. So, Hon Members, I think that --
    Alhaji Muntaka 11 a.m.
    Mr Speaker, that was related to Hon Asiedu Nketiah.
    Mr Speaker 11 a.m.
    Please, go direct and ask the Question.
    Alhaji Muntaka 11 a.m.
    Mr Speaker, the Question is that -- the Districts were supposed to form the AMSTEC but I realised that some individuals were able to acquire only one tractor. Was it also part of the Policy that individuals could acquire only one tractor to enhance the operations of farming in their areas?
    Mr Speaker 11 a.m.
    Hon Minister?
    Mr Kyei-Mensah-Bonsu 11 a.m.
    I think the Question posed by the Hon Muntaka is very relevant. So, the Hon Minister may answer it.
    Mr Speaker 11 a.m.
    Yes, I have invited him to answer.
    Mr Kyei-Mensah-Bonsu 11 a.m.
    Except to add that --
    Mr Speaker 11 a.m.
    Hon Minority Leader, kindly take your seat. -- I know what -- [Laughter]
    Mr Kyei-Mensah-Bonsu 11 a.m.
    Mr Speaker, one has “Office of Parliament”, is there a farm in Office of Parliament?
    Mr Speaker 11 a.m.
    Hon Minority Leader, you are completely out of order. -- [Laughter]
    Mr Humado 11 a.m.
    Mr Speaker, I may not be able to provide a factual information on the individuals. I would need time to do further investigations.
    Mr Speaker 11 a.m.
    Hon Members, we move to --
    Hon Majority Chief Whip, which Question are we taking?
    Mr Speaker 11 a.m.
    Hon Members, Question number 88 -- Hon Minister for Finance.
    We would start with Question number
    88.
    Hon Member for Ofoase/Ayirebi?
    MINISTRY OF FINANCE 11 a.m.
    Minister for Finance (Mr Seth Terkpeh) 11 a.m.
    Mr Speaker, a customs bonded warehouse is defined as any building or place appointed by the Commissioner- General, where imported goods are stored under customs control pending the payment of duties and taxes at the current exchange rate.
    Warehousing is a worldwide concept recognised by all member countries of the World Customs Organisation.
    Operations in the warehousing sector are governed mainly by two legal provisions.
    1. Customs, Excise and Preventive Service (Management) Law 1993. P.N.D. C.L 330. Sections 123 -152.
    2. Customs Regulations 1976 section
    73 - 92.
    A place is approved to be used as a warehouse after inspection based on the following criteria:
    1. Safety of the goods to be stocked;
    2. Suitability of the premises;
    3. Adequacy of light;
    4. Proper Ventilation;
    5. Office accommodation for resident office;
    6. Proper identification;
    7. Provision of collateral security and
    8. Payment of fees.
    Types of Goods Allowed to be Warehoused
    All goods may be stocked in private warehouse with the exception of the following.
    Acid, Pitch
    Ammunitions Goods of perishable nature
    Asphalt Sand
    Chalk Slate
    Cinders Stones
    Clay Straw
    Coke Tar
    Fireworks Matches
    All goods may be stocked in a government warehouse except:
    Cement Paint and paint oil
    Grease Pipes
    Iron Railway materials
    Lime Sleepers
    Lubrication oils Steel works
    Machinery Timber

    Regulations allow for different periods to warehouse goods

    Perishable goods -- 3 months with possible re-warehousing

    for a maximum period of one (1) month.

    General Goods -- 12 months.

    Raw materials -- Up to 2 years.

    Number of Warehouses

    There are a total of 336 warehouses operating in the country as at the end of May 2014. The distribution is as follows:

    SPACE FOR TABLE - PAGE 5 - 11.00A.M.

    Notes to Table 1: In bond manufacturing refers to an incentive extended to warehouse owners to import plant, machinery, equipment and raw materials duty free, for exclusive use in the manufacture of goods.

    Top Ten Commodities in the Bonded Warehouse

    The top ten commodities that are warehoused under Tema and Accra collections are listed in the table below: -

    SPACE FOR TABLE PAGE 5 - 11.00A.M.
    Mr Oppon-Kusi 11:10 a.m.
    Mr Speaker, that is another long Answer to a short Question but I am yet to see the impact of this operation on the economy.
    Looking at Table One, it shows that out of the total amount of active bonded warehouses, about ninety per cent of them are used for finished goods like food items -- rice, sugar and poultry. How would the use of ninety per cent of these facilities for finished products impact positively on the economy considering that these come in to compete with local production and local agriculture products?
    Mr Terkpeh 11:10 a.m.
    Mr Speaker, the Question borders also on our protection policy which is why we imposed customs duties as tariffs and so, in relation to the competition, it is the level of the tariff that actually determines the protection or the competitive nature of imports in comparison to domestic production. So, that relates to levels and that is the reason. For the consumption items also, they do attract the highest level of tariff that we have in the country.
    The main economic impact which I mentioned is that, the importer can keep the items in the warehouse and release them, for example, pay the duty in about five or ten releases instead of paying the whole amount upfront. It prevents the importer from raising money to pay the duty upfront which could, given the high interest rates, rather increase the prices of goods for consumers in the domestic markets.
    For importers also, particularly, as I mentioned for Small and Medium Scale Enterprises (SMEs) who import, they are able to use their funds for the importation rather than for the payment of the duty upfront.
    Mr Oppon-Kusi 11:10 a.m.
    Mr Speaker, I was trying to find out the impact of the Policy on the economy. From what the Hon Minister is saying, we have financial incentives for those who have money to import finished products. How would that affect those who do not have the same facilities, local producers and manufacturers who have to pay their levies upfront and do not have these same facilities? How would that affect competition and ensure that local production is sustained? That is the impact I was looking for.
    Mr Terkpeh 11:10 a.m.
    Mr Speaker, since domestic producers and those who sell domestically where the products are produced on a domestic manner rather than imported, do not pay import duty. There is that opportunity for the import duty to rather discriminate in favour of the domestic producers. Mr Speaker, tariff by its nature, is driving a wedge at the point of importation and is rather increasing the price.
    The bonded warehouse does not eliminate the payment of that tariff which would increase the price in relation to the domestic producer. What the bonded warehouse does, is to defer the payment to the point of release of the goods from the warehouse which in itself is a benefit to the economy. This is because then our businessmen do not have to put up huge sums of capital in particular SMEs.
    As I indicated, Mr Speaker, the competition should not be viewed only in terms of domestic and importers. It can also be viewed in terms of Ghana in relation to other countries. This is because, this is a facility which the World Customs Organisation allows for all countries which we have had for a long time. Therefore, we can also see it from the perspective that if we do not allow it in Ghana, we are likely to see less business in relation to say Togo or La Cote d'Ivoire
    or any of the contingent countries which have a similar facility for their business- men.
    Mr Speaker 11:10 a.m.
    Your last supplementary Question.
    Mr Oppon-Kusi 11:10 a.m.
    Mr Speaker, I would like to ask the Hon Minister how he addresses the issue of possible corruption and revenue leakage in the operation of the warehouses, considering that sometimes one Customs Officer is in charge of about four facilities that are scattered. What processes are in place to ensure that corruption and possible revenue leakages are addressed?
    Mr Speaker 11:10 a.m.
    Hon Minister.
    Mr Terkpeh 11:10 a.m.
    Mr Speaker, the Question relates to compliance generally. As we know, taxation in all its forms is susceptible to tax evasion and avoidance. Therefore, at the point of clearance or removal, X Warehouse as we put it, the nature of corruption tends to be similar to the clearance of goods at the time whether the payment is made upfront. This is because it involves undervaluation and misclassification mainly where tax payers pay less.
    For this reason, the Ghana Revenue Authourity (GRA) like all customs administrations, has tools like Audit, Advance Classification Systems, proper declaration of whatever is imported or is warehoused, making sure that the tracking system is also very efficient and is being moved to an electronic platform.
    Mr Speaker, it is also the reason we indicated in the Answer that, one of the requirements is for warehouse owners to provide offices for Customs Officers and for most warehouses or cluster of warehouses, we have what we normally call Resident Officers who are Customs Officers, trained to monitor the movement
    Mr Speaker 11:10 a.m.
    Hon Members, time is running out for Questions. Ordinarily, it is one hour but we have more to cover so, I want to proceed to the next Question.
    Hon Members, Question number 89, Hon Joe Appiah.
    Implementation of the Single Spine Pay Policy
    (Sustainability)
    Q. 89. Mr Justice Joe Appiah asked the Minister for Finance what steps the Ministry had taken towards the sustainability of the implementation of the Single Spine Pay Policy.
    Mr Terkpeh 11:10 a.m.
    Mr Speaker, to sustain the implementation of the Single Spine Pay Policy, the Ministry of Finance and for that matter Government, is pursuing the following measures:
    Administrative Measures
    a) Enforcement of Net recruitment of staff for MDAs and MMDAs, with the exception of Education, Health Sectors and the Security Services which have automatic recruitment policy.
    b) Enforcement of policy of institutions seeking financial clearance from the Office of the President and Ministry of Finance before recruitment.
    c) Payment of compensation arrears not exceeding 3 months until
    claims are validated by the Auditor-General.
    Pay Roll Measures
    Electronic Pay slips System (E-pay slip)
    At the end of the first quarter, about 314,790 Government of Ghana (GoG) employees representing about 62 per cent on the mechanised payroll and a coverage rate of 75 per cent across the entire country have registered on the E-Pay slip system. The verbal complaints by employees on salaries have minimised because this system provides an avenue for channeling of such complains. Registration is still ongoing.
    Electronic Salary Payment Voucher
    (ESPV)
    The introduction of the ESPV has helped in ensuring effective and efficient management of the payroll cost by minimising ineligible payments. The major activities undertaken during the first quarter include:
    Sensitisation for all MDAs and MMDAs in Greater Accra, Central, Western and Ashanti Regions;
    Training for some MDAs has been done and have been put on the system and are currently validating their Electronic Salary Payment Vouchers (ESPV); and
    Training of the remaining MDAs is in progress.
    There is a comprehensive roll out to the remaining regions by end of August 2014.
    Payroll upgrade
    The upgrade of the IPPD2 payroll system has been completed and was used to prepare the February 2014 payroll.
    The upgraded IPPD2 system has rerun (enhanced Retro) and reconciled all salaries paid since inception of IPPD2 Retro in 2006. This resulted in correction of inherent errors in the old payroll calculations. This is because all outstanding deductions in the system as a result of ‘Patches' and past manual interventions on the system were corrected.
    Integration of Payroll System and
    GIFMIS 11:10 a.m.
    Mr Speaker 11:20 a.m.
    Yes Hon Member, your supplementary Question.
    Mr Terkpeh 11:20 a.m.
    Mr Speaker, with your kind permission, I brought some background information. This is because Answers to these Question in the past had often not been clarified when it went to the Press.
    The Hon Member, you would bear with me. Mr Speaker, used the term ‘compensation' which includes wages, allowances and gratuity. Often when we use ‘compensation', the ratio is lower than when we use wages which is a component of it. So, for purposes of avoiding confusion, Mr Speaker, with your kind permission, we have brought enough copies of the trend.
    In 2006, the Government of Ghana in its determination to improve Public Service Pay and Performance(PSPP), began another comprehensive grading and pay reform initiative to address the following:
    Equity, fairness, and transparency in public service salary adminis- tration;
    Enhance public service per- formance/productivity;
    Minimize industr ial relations tensions related to low pay and distortions; and
    Manage the Wage Bill more effi- ciently.
    In pursuance of this agenda, the Government in 2008 introduced the Single Spine Pay Policy (SSPP) as the pay policy for the public service to promote equity and fairness in salary administration in Ghana.
    In furtherance of the above, the Government in 2009 issued a White Paper adopting the Single Spine Pay Policy (SSPP) as the new pay policy for public sector employees, effective January 2010, recognising the first six months as a period to handle technical issues. In 2009, the road map for the implementation of the SSPP was adopted by all stakeholders.
    Since the implementation of the pay policy in 2010, Ghana's wage bill as a per cent of tax revenue and GDP has increased significantly, reaching unsustainable levels. The table below shows the wage ratios.
    SPACE FOR SPACE - PAGE 2 -
    Mr Joe Appiah 11:20 a.m.
    Mr Speaker, does the Hon Minister anticipate an increase in this rate or a decline with time?
    Mr Terkpeh 11:20 a.m.
    Mr Speaker, as we indicated in the Budget, the Policy is to seek a decline in the ratio, particularly, in the context of our being a member of Economic Community of West African States (ECOWAS), and ECOWAS Protocol indicates that, the reasonable level of wages to tax revenue should be about thirty-five in a per cent even where the funds are not earmarked.
    Mr Speaker, there was a time we used to be around forty per cent, therefore, to the extent that, that is the second context, to the extent that the higher wages you pay, Mr Speaker, the less funds you have for goods and services; the less funds you also have for development projects.
    Mr Speaker, as we indicated in the theme of the Budget, there is the need for us to re-balance these items in the Budget; otherwise, we may risk borrowing to pay for, if not wages, goods and services, which ordinarily, we should be paying from our tax revenues.
    So, Mr Speaker, there is every reason why as a nation, we should seek to reduce the levels. We can do this Mr Speaker, through productivity, through looking at the Public Sector more efficiently and growing the economy. Also, as we indicated, given that we have come to the end of the Single Spine implementation and it had consequences that were not intended, then as we saw, Mr Speaker, in working with labour, there has been a moderation also in the increases that we have been giving for increases in the salaries to the Public Sector.
    Mr Appiah 11:30 a.m.
    Mr Speaker, when would the public universities receive releases to enable them pay salaries since they pay salaries through Internally Generated Funds (IGFs)?
    Mr Speaker 11:30 a.m.
    Is that a supplementary Question? Who has mentioned public universities in the Answer?
    Mr Appiah 11:30 a.m.
    I am talking about the public universities.
    Mr Speaker 11:30 a.m.
    Who mentioned public universities in the Answer?
    Mr Appiah 11:30 a.m.
    It relates to the Single Spine Salary so, it is a very simple question.
    Mr Speaker 11:30 a.m.
    I know it is a simple question but there are rules with regard to the admissibility of supplementary questions. That is why I am asking you. You just got up and mentioned public universities and asked the Question without laying sufficient foundation.
    Hon Deputy Minority Whip?
    Mr Ignatius B. Awuah 11:30 a.m.
    Mr Speaker, the Universities are public institutions and the Single Spine Pay structure is supposed to cater for public salaries. My Colleague wants to know when the universities are going to be rolled on to the Single Spine pay structure.
    Mr Speaker 11:30 a.m.
    Yes, but he has not laid sufficient foundation for his question because -- Please ask your question again.
    Mr Appiah 11:30 a.m.
    Mr Speaker, would the public universities receive releases to enable them pay salaries because, they pay salaries from the IGF.
    Mr Speaker 11:30 a.m.
    Where is the evidence that they have not released --
    Mr Appiah 11:30 a.m.
    It is in the public domain, Mr Speaker.
    Mr Speaker 11:30 a.m.
    Please, this is a House of records. You can still ask your question but lay your foundation and ask it. [Interruptions.]
    Mr Appiah 11:30 a.m.
    Mr Speker, Hon Baffour Awuah has laid the foundation.
    Mr Speaker 11:30 a.m.
    Hon Members, it is not everything that is in the public domain that is true. So ask your question but frame it properly.
    Mr Appiah 11:30 a.m.
    Mr Speaker, I defer the Question to my -- [Interruptions]
    Mr Speaker 11:30 a.m.
    Under what rule are you deferring the Question to him? If you have finished then sit down. I would decide to call the Hon Member.
    Hon Deputy Minority Whip?
    Mr Awuah 11:30 a.m.
    Mr Speaker, my Colleague has yielded to me but hitherto, I also had my own question. My Colleague wants to know when the Universities are going to be rolled on to the Single Spine Pay Structure since they are also public institutions.
    Mr Speaker, I would also want the Hon Minister to let the public know how much arrears are outstanding as a result of the
    implementation of the single spine pay structure and when does he intend paying these arrears, if any?
    Mr Terkpeh 11:30 a.m.
    Mr Speaker, the Single Spine is a public sector pay rationalisation scheme which affects the Public Service and some of the subvented organisations have already been put on it and I believe it includes the Universities. We would confirm this to the House.
    Mr Speaker, part of the Question relates to the weaning of Government institutions that have the wherewithal and I answered the Question by indicating that, there are institutions that generate enough IGFs to be able to pay not just salaries or compensations, but there are institutions that are capable of paying at least, their entire recurrent expenditure. An example would be the Driver and Vehicle Licensing Authority (DVLA) by virtue of the size of the establishment in relation to the collection of fees which are on the payroll.
    It is the policy of Government to wean off these institutions so, it is actually the policy of Government to gradually wean off institutions, including the Universities that have the wherewithal to pay the wages or certain elements of expenditure from their IGFs.
    Mr Speaker, it is not the case that, IGFs are used to pay salaries. Sometimes, there are hiccups and certain institutions step in to use their IGFs to make prepayments and they are subsequently reimbursed.
    Mr Speaker, the Hon Member 's question is quite specific in relation to the arrears that could be attributable to Single Spine. There are various reasons why we are facing arrears of payment of certain releases. Mr Speaker, two examples are the fall in gold and cocoa prices which resulted in less revenue being generated as we presented in the budget than was anticipated.
    Mr Speaker 11:30 a.m.
    Hon Members, I refer you to Standing Order 60 (2) which states that:
    “Question time to Ministers shall ordinarily not exceed one hour except that the Speaker may in exceptional cases exercise his discretion and permit questions after the expiration of the time stated and also for such questions as are described in Order 64 (Urgent Questions)”

    This is because the time has passed. We started at 10.20 am. and we have passed that time because we have other businesses that we thought we should do. I am exercising my discretion beyond the one hour.

    Hon Minister for Lands and Natural -- are you still there? [Interruptions] Very well, Hon Minister for Land and Natural Resources.
    Alhaji Inusah A. B. Fuseini 11:30 a.m.
    Mr Speaker, I rise to ask the Hon Minister for Finance what the genesis of the Single Spine Policy is and what is the fiscal impact of the implementation of this pay policy?
    Mr Speaker 11:30 a.m.
    What is the genesis? Why are you asking about the genesis?
    Alhaji Fuseini 11:30 a.m.
    Mr Speaker, from the Answers that he has given, clearly, it appears to me that at a point in time, a decision was taken to move away from the pay structure that existed. I need to know from the Minister because he is the Minister for Finance --
    Mr Speaker 11:30 a.m.
    Why Single Spine, Hon Minister and its impact?
    Alhaji Fuseini 11:30 a.m.
    That is the humongous creature that we have had to deal with under this --
    Mr Speaker 11:30 a.m.
    Hon Minister, be very brief and go straight to the answer.
    Mr Terkpeh 11:30 a.m.
    Mr Speaker, as I indicated in my earlier answer, Single Spine is a pay rationalisation policy and we have been attempting pay rationalisation as far back as the 1990s, the famous one being the Pricewaterhouse Coopers' Report. To a large extent, the Ghana Universal Salary can also be regarded as an attempt at salary rationalisation which was implemented in the 2000s.
    Mr Speaker, in relation to the Single Spine, the Government of Ghana in 2006 came out with a policy with the aim of equity, fairness and transparency in public sector salary administration and other reasons.
    Mr Speaker, the Policy was actually announced for implementation in 2008 and it was deferred to 2009, and started effectively in 2010.
    Mr Speaker, this is the background to salary rationalisation in the last two decades or so.
    rose
    Mr Speaker 11:40 a.m.
    Hon Member, do you have a point of Order?
    Dr A. A. Osei 11:40 a.m.
    Yes, just a point of correction.
    Mr Speaker 11:40 a.m.
    I thought he was answering the Question so -- [Interruption.]
    Dr Akoto Osei 11:40 a.m.
    Yes, but he just made a statement that the policy implementation -- [Interruption.]
    Mr Speaker 11:40 a.m.
    Hon Member, you normally come out with a supplementary so you do not stop a Minister midway when he is answering a Question. Take note, I will call you so that you ask him the Question to clarify.
    Which rule has he breached?
    Dr A. A. Osei 11:40 a.m.
    The statement about policy implementation.
    Mr Speaker 11:40 a.m.
    Yes, Hon Member, the practice with Questions is that, you allow him to finish the Question before I call

    you. You are the Ranking Member on Finance so I would definitely recognise you, then you would ask him to clarify what he said which you think is not correct.
    Mr Terkpeh 11:40 a.m.
    Mr Speaker, in relation to the fiscal impact, I would be brief. I had already alluded to the fact that, because of the size of the single spine, particularly, by 2012 when arrears that were deferred were paid, it resulted in a significant misalignment of the budget. In that, we had ended up spending more than the proportionate share of the budget in the payment of compensation.
    Mr Speaker, indeed, this is very important because to my recollection, for the first time, every single institution on the budget had a negative deviation on compensation in particular, far in excess of what was budgeted in 2012 and to some extent 2013 as well.
    Mr Speaker 11:40 a.m.
    Hon Member for Old Tafo?
    Dr A. A. Osei 11:40 a.m.
    In his Answer, I thought I heard him say that, policy imple- mentation was announced in 2008. I would just want to correct him; I was in charge then, it was not announced in 2008. A statement was made that, if it is implemented, these are the implications but it was not announced in 2008.
    Mr Speaker 11:40 a.m.
    Hon Minister, when did you say it was supposed to be im- plemented?
    Mr Terkpeh 11:40 a.m.
    Mr Speaker, I gave three dates. I said 2006 was when the Policy was put in place, and it was adopted in 2008. The implementation was deferred and started again in 2010.
    Mr Speaker 11:40 a.m.
    But I heard you mention
    2008?
    Mr Terkpeh 11:40 a.m.
    Yes, so that was when it was adopted.
    Mr Speaker 11:40 a.m.
    Very well.
    He says the Policy was adopted in 2008.
    Dr A. A. Osei 11:40 a.m.
    Mr Speaker, that was the issue I was referring to.
    Mr Speaker 11:40 a.m.
    Very well.
    Hon Members, I am moving on to the next Question.
    President and Ministers' voluntary 10 per cent Pay Cut
    (Amount realized)
    Q. 90. Mr Yaw Afful asked the Minister for Finance how much had so far been realised from the President and his Ministers' voluntary 10per cent pay cut.
    Minister for Finance (Mr Seth E. Terkpeh) 11:40 a.m.
    Mr Speaker, following the announcement of the 10per cent voluntary pay cut in the salaries of Members of the Executive arm of Government, including the President and his Vice, an account was established on 7th January, 2014 as per letters from Ministry of Finance and the Office of the President.
    A bank account was opened for this deduction on the 31st of January, 2014. The total deductions as at May 2014 is
    GH¢ 327,363.69.
    Mr Speaker 11:40 a.m.
    Hon Member, any supplementary Question?
    Mr Afful 11:40 a.m.
    Mr Speaker, I have seen that, the Ministry has so far realised GH¢327,363.69. Looking at this amount, I suggest that the same Ministers if they could volunteer their per diems I believe that would give us more money than what is here. That said -- [Uproar.]
    Mr Speaker 11:40 a.m.
    Hon Member, why, are we talking about per diem?
    We are talking about salary cut, please go straight and ask your Question.
    Mr Afful 11:40 a.m.
    Mr Speaker, my next Question is, I would like to know the number of contributors and the composition.
    Mr Speaker 11:40 a.m.
    Hon Minister, if you have the Answer, then provide it.
    Mr Terkpeh 11:40 a.m.
    Mr Speaker, inasmuch as I do not have the number, I would say that, as a voluntary policy, no Minister or Member of the Executive has opted out of it.
    Mr Speaker 11:40 a.m.
    Yes, Hon Member for Jaman South?
    Mr Afful 11:40 a.m.
    Mr Speaker, I would want to find out from the Hon Minister, if he can give us the name of the bank where this account was opened. -- [Uproar.]
    Mr Speaker 11:40 a.m.
    Hon Minister?
    Hon Members, let us have Order. This issue is a policy that has been introduced into the House, and it is an Official Policy statement made on the floor of this House. Therefore, if a Member is trying to know about it, it is within his mandate.
    Mr Terkpeh 11:40 a.m.
    Mr Speaker, the account was opened by the Controller and Accountant-General and I believe it is at the Bank of Ghana but I would confirm to the House -- [Interruption.]
    Mr Afful 11:40 a.m.
    With that said, can the Minister provide this House with copies of that bank statement? [Uproar.]
    Mr Speaker 11:40 a.m.
    Hon Member, I would not grant that request because, in the first place, it is a voluntary contribution. If you have any evidence, and you have reasons to believe that what the Minister is saying on the floor of the House is not true, there are mechanisms to pursue that matter even on the floor of the House right now or thereafter.
    Hon Member, your last Question.
    Mr Afful 11:40 a.m.
    Could the Minister please, give us the exact date that the President made that declaration? [Uproar.]
    Mr Speaker 11:40 a.m.
    Hon Member, are you interested in the date of the declaration or when the deduction started? --
    Mr Afful 11:40 a.m.
    Yes, Mr Speaker, -- [Interruptions.]
    I just wanted to know when the President first announced that, 10per cent of such monies would be deducted voluntarily from the salaries of Ministers. I want to find out the date, that the President said that. --
    Mr Speaker 11:40 a.m.
    Very well, if you have the Answer, then provide it.
    Mr Terkpeh 11:40 a.m.
    Mr Speaker, I announced the Policy on behalf of His Excellency the President when I presented the Budget to this august House as part of the salary rationalization measures.
    Mr Speaker 11:40 a.m.
    Hon Member for Shai- Osudoku?
    Mr David T. Assumeng 11:40 a.m.
    Mr Speaker,
    The Question about where the bank is, is of relevance to me. I am saying that because, I was the very person who pronounced that --
    Mr Speaker 11:40 a.m.
    Are you asking a supplementary question or you are going to make your own pronouncement?
    Mr Assumeng 11:40 a.m.
    It is the foundation. I am laying Mr Speaker.
    Mr Speaker 11:50 a.m.
    Ask your question please, do not address the House.
    Mr Assumeng 11:50 a.m.
    Mr Speaker, thank you very much.
    Mr Speaker, so the supplementary Question is relevant to me in the sense that, I have walked the talk by saying that, I would also want to join the Executive by deducting five per cent of my salary. So Mr Speaker, as of now, the Accounts Department of Parliament is waiting for the accounts number to pay in my deduction into the account. So I would want to --
    Mr Speaker 11:50 a.m.
    What percentage?
    Mr Assumeng 11:50 a.m.
    Five per cent of mine -- [Laughter.]
    So that five per cent is now with the Accounts Department and they are waiting for the account number to pay the money into it. This is very important --
    Mr Speaker 11:50 a.m.
    Hon Member, it is a very useful information but you are out of order. [Uproar.]
    Hon Minority Leader, I want us to move to the next Question but let me take your question.
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, the Hon Member who just asked this question, if he is minded to make his contribution, he could start in earnest; he is not --
    Mr Speaker 11:50 a.m.
    He said he has started.
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, he is not a Member of the Executive. The President's directive was in respect of the Executive and not Members of Parliament -- [Uproar.]
    Mr Speaker 11:50 a.m.
    Hon Minority Leader, I ruled him out; I said he was out of order even though his information that he is paying five per cent might be useful, but he was out of order; I was very categorical.
    Hon Members, I want to move to the next Question.
    Yes?
    Mr Terkpeh 11:50 a.m.
    Mr Speaker, I have information for the House in relation with --
    Mr Speaker 11:50 a.m.
    Yes?
    Mr Terkpeh 11:50 a.m.
    The account is in the Bank of Ghana; I just got the confirmation.
    Mr Speaker 11:50 a.m.
    Very well.
    Hon Members, I would take one each; Hon Ranking Member on Finance and then the Deputy Majority Chief Whip.
    Dr A. A. Osei 11:50 a.m.
    Mr Speaker, I just need your direction. Once the account has been opened by the Controller and Accountant- General, it is not a private account; it is part of the public accounts. So I think it is a legitimate interest in knowing that even though it is a voluntary contribution -- So the question as to the details of the account is now legitimate.
    Mr Speaker 11:50 a.m.
    Hon Member, I entirely agree with your submission but it is equally true that what you cannot enforce,
    you cannot push beyond a point. So even if a Member of the Executive decides that, he is not going to contribute, the President cannot even enforce against him. So what is it? In my opinion, yes, it has been announced, the account has been opened but can anybody go to court to enforce that Mr A or Mr B is not paying?
    Dr A. A. Osei 11:50 a.m.
    Mr Speaker, I do not have the privilege of being a Member of the Executive, but may I ask the Hon Minister? His statement was that, as far as he knows no Executive Member has opted out. It means, District Chief Executive and Presidential Advisors have not opted out. Is that what he is saying?
    Mr Speaker 11:50 a.m.
    Hon Members, you see, the President could decide that, this is voluntary contribution, come and pay it into my personal bank account and nobody would challenge him because it is voluntary by his Ministers. It is purely voluntary.
    Dr A. A. Osei 11:50 a.m.
    Mr Speaker, with respect, the Hon Minister said, he announced it as a Policy Statement of the Budget.
    Mr Speaker 11:50 a.m.
    Hon Member, that is the reason why I admitted the Question because it was announced here. But the extent to which it remains voluntary, it remains voluntary and if somebody does not pay, what are you going to do to that person? All that we need to know is that is it voluntary payment being carried out or not. That is the information they have provided. Anyway --
    Dr A. A. Osei 11:50 a.m.
    Mr Speaker, if you read the Budget Statement, the Hon Minister was talking about rationalization of policy pay. It has become a very important component of Government Economic Policy that was read. It is no longer private.
    Secondly, it is a directive.
    Mr Speaker 11:50 a.m.
    How do you reconcile something being a directive and some- thing being voluntary?
    Dr A. A. Osei 11:50 a.m.
    That is the dilemma --
    Mr Speaker 11:50 a.m.
    How do you reconcile that. The policy --
    Dr A. A. Osei 11:50 a.m.
    Mr Speaker, that is the question we have. That a presidential directive is compulsory so that is why when he said, as far as he knows nobody has opted out, I thought we have a problem. That is the issue that we face.
    Mr Speaker 11:50 a.m.
    I thought that Members would be interested in when the CHPS compound would start. I thought that should be -- Yes, Hon Minority Leader?
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, certainly, we were moving towards that direction.
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, certainly, we would be moving towards that direction.
    Mr Speaker 11:50 a.m.
    Let us move in that direction.
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Yes, we would move in that direction. But Mr Speaker, the Minister for Finance came to deliver the Budget and Economic Policy Statement of this country and it was part of Government's Policy, so anybody can probe into that.
    Mr Speaker 11:50 a.m.
    Hon Minority Leader, l agree with you to an extent, that was why I admitted this Question. To the extent that, it was introduced in this House, that was why I admitted it. But what is voluntary
    remains voluntary, and that is the distinction I want to draw. I do not want us to argue about this matter.
    What we should be interested in as a House is that, it was a voluntary contribution, and nobody can go to any forum to enforce something that is voluntary. You cannot!
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker?
    -- 11:50 a.m.
    Mr Speaker 11:50 a.m.
    If we have decided as a House that we do not like the Policy and we have reshaped it, which we are entitled to do; to change it from voluntary to a directive, we would be in a position to do and pursue what you are talking about, but we did not. It ended up as a voluntary contribution.
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, the Health Insurance Scheme is Government Policy, assessing it is on voluntary basis, yet anybody can ask the Minister for Finance-- [Interruption]
    Mr Speaker 11:50 a.m.
    This is because, they are using the taxpayer's money to fund it. So they can ask questions on that. There is a difference between the National Health Insurance --
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, is it not the taxpayer's money that pays the Executive?
    Mr Speaker 11:50 a.m.
    It is somebody's personal salary. That is why they want you to join.
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, I do not know where we are going. I do know that the Speaker is supposed to be listening to us in silence, and not participate in the debate. But I would move on.
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, when the Hon Minister announced this on behalf of the President and the President repeated same in his delivery of the State of the Nation Address, he tied the contribution to the contraction of CHPS compounds.
    First of all, we would want to know how many CHPS compounds have been started or completed, and where they have been contracted or initiated.
    Mr Speaker 11:50 a.m.
    Hon Minister?
    Mr Terkpeh 11:50 a.m.
    Mr Speaker, the (CHPS) compounds are in the nature of capital expenditure, which requires substantive amounts. So our recommendation to the Office of the President was that, the amount should accumulate to substantive level, in order that it can make an impact.
    Mr Speaker, we have since prepared a memorandum which we are going to submit to Cabinet to suggest two options.
    Mr Speaker, this is very relevant to the last question; either Government provides the money through the non-tax revenue mechanism as all voluntary contributions are done to the State, in which case we would go through the process of recognizing it as revenue, and then appropriating it to the Ministry of Health for the implementation of the CHPS compound; or Cabinet could establish a Committee to work in conjunction with the Ministry of Health for the CHPS compounds to be constructed.
    The modalities are being worked out, Mr Speaker, immediately a decision is taken by the Office of the President, the Ministry would be informed about the location and others of the first set of the CHPS compounds.
    So I would entreat the Hon Minority Leader not to take it with a pinch of salt at all. It is something which is credible.
    Mr Speaker, the levels of salary are as determined under article 71. So to the extent that there is a base for payments that are ongoing, when the new one is determined, we normally make the necessary adjustments as we have under article 71. So, Mr Speaker, it is the level at which Ministers in the Executive are being paid now that the deductions are being made.
    In the event of a salary increase, it means that when the arrears are paid the 10 per cent would be deducted accordingly. The policy was with respect to the 2014 Budget so the implementation started actually in January, 2014.
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, since the Hon Minister talks about the deduction representing 10 per cent pay cut in the salaries of the Executive and he talks about salaries being established as per article 71, does he consider this as salaries - The deduction from whichever amount?
    Those amounts, are they salaries of the President and Ministers when he knows that article 71 has not been complied with post 2000 and January, 2014? What is the description of what he is doing?
    Mr Terkpeh 11:50 a.m.
    Mr Speaker, with your kind permission, I could generalize the Question and state for purposes of clarity, since I am in the Honourable House, that the basis would be the same as any deductions that are made from Members of Parliament presently, which is the percentage of their salaries because they are also under article 71.
    So article 71 is determined periodically and until a new one comes into effect, we would implement article 71 in relation to the previous decision. Just as we would have deducted car loans, housing loans and any other loans for that matter from the gross salary, it is the same principle that is being applied with respect to this deduction.
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, since you are the head of this institution, would we hear from the Hon Minister for Finance, again, whether we heard him right in telling us that before a new one comes the people who fall under article 71 are paid salaries in respect of the previous regime? Is that what he is telling us?
    Mr Speaker 11:50 a.m.
    What do you mean by previous regime?
    Mr Kyei-Mensah-Bonsu 11:50 a.m.
    Mr Speaker, the previous order; in this case the previous Parliament.
    Mr Speaker 11:50 a.m.
    Hon Minister, what did you say?
    Mr Terkpeh 11:50 a.m.
    Mr Speaker, I was using it generically with all salaries, that until the new adjustment is made it has the basis on which we continue to pay until a decision is made .
    Mr Speaker 11:50 a.m.
    Last question.
    Mr Ahmed Ibrahim 11:50 a.m.
    Mr Speaker, I have seen something in the Question and I would want the Hon Minister to clarify it before he leaves here. The Question is:
    “To ask the Minister for Finance how much has so far been realized from the President and his Ministers' voluntary 10 per cent pay cut”.
    Is it only the President and his Ministers or the President and all his appointees who are making that voluntary payment?
    Mr Kyei-Mensah-Bonsu noon
    Mr Speaker, I do know that as part of his Report to this House, the Hon Minister for Finance has reported that in respect of a housing scheme for cocoa farmers in one year, about three have been started even though not completed. That was a good report. For the Hon Minister to tell us that they are waiting until sufficient amounts have accumulated before they start, Mr Speaker, one may take it with a pinch of salt.
    But the Question to the Hon Minister is, since the President spoke about 10 per cent contributions per month I should think, the statement here says:
    “A bank account was opened for this deduction on the 31st of January,
    2014”.
    That is a year after he announced this to us. “The total deductions as at May, 2014 is GH¢327,363.69.
    Does this represent the period January ending to May ending, in which case we are talking about a five months period or from when the declaration was made to now? What was the salary of those people who made the contributions which turned out to give us this figure?
    Mr Terkpeh noon
    Mr Speaker, it is im- portant to state that, when we present the Budget and we make an estimate of expenditure that also accrues, so I do agree with the Hon Minority Leader, that you could begin a project incrementally but at the same time it does not also constraint policy.
    Indeed, in many instances, we deferred capital expenditures implementation, particularly after the first quarter because of the trickling in of revenues.
    Mr Terkpeh noon
    Mr Speaker, the Answer is in relation to anybody who has been subjected to the deduction and not just the core Ministers.
    Mr Speaker noon
    Very well. Hon Minister, we thank you very much for attending upon the House to respond to Questions from Hon Members. You are discharged.
    Hon Members, Question number 87 standing in the name of the Hon Member for Prestea/Huni Valley?
    MINISTRY OF LANDS AND noon
    NATURAL RESOURCES noon
    Mr Speaker noon
    Hon Minister, are you coming to answer a Question?
    Minister for Lands and Natural Resources (Alhaji Inusah A. B. Fuseini) noon
    Yes, Mr Speaker.
    Mr Speaker noon
    Are your Answers printed on the Order Paper?
    Alhaji Fuseini noon
    Mr Speaker, it is unfortunate the Answer is not printed on the Order Paper because --
    Mr Speaker noon
    So, when I called the Question, what I expected from you was to offer some explanation, and on that basis the House would decide whether in spite of those challenges the Questions would be taken or we would defer it to another day. This is because I cannot see your Answers on the Order Paper before me.
    Alhaji Fuseini noon
    Mr Speaker, I thought that the Questions would be asked and in my attempt, when I provide the Answers, then Mr Speaker, may rule on the explanation.
    Mr Speaker noon
    Very well. He has asked the Question.
    Alhaji Fuseini 12:10 p.m.
    Mr Speaker, I would want to apologise to Hon Members of this House for my inability to present the Answer on time to be captured in the Order Paper. Mr Speaker, this is because, I was unavailable to look through the Answer yesterday and the Ministry of Lands and Natural Resources could not transmit it because they thought they had to wait for me to look at the Answer.
    This morning, we found it an obligation to appear before you and the House with an Answer that, if we are indulged, we could provide the answer without being captured. But we would be available Mr Speaker, if we would be given the opportunity to have the Answer captured in the Order Paper for us to come and answer the Question tomorrow.
    Mr Speaker 12:10 p.m.
    Hon Minority Leader, you listened to the Minister. He brought the Answer but he is saying that he transmitted the Answers very late so it could not be captured on the Order Paper. So he is asking if we can find a way of reprogramming him to come back to the House to -- This is because, once the Answer has not been put on the Order Paper, Members would find it very difficult to do a follow-up in terms of supple- mentary. I do not know what you think?
    Mr Kyei-Mensah-Bonsu 12:10 p.m.
    I would want to take a cue from the persons who have asked the Questions because we still have space to ask Urgent Questions and the

    Answers are not provided in the Order Paper. To the extent that the people who have asked the Questions may be satisfied and may be positioned to ask supple- mentary questions, I guess we can indulge the Minister.

    My only difficulty is --
    Mr Speaker 12:10 p.m.
    Hon Member, you also know that, this is a House of record and we have to print this answer to be sure of what has been printed in the Order Paper for the record. It is very important. I agree that maybe we may - But under exceptional circumstances, the House being masters of its own procedure can convert a Question on notice to an Urgent Question.
    That is the point that you are making, therefore-dispense with the Answers being printed in the Order Paper provided the person asking it --But our records also must be completed for tomorrow. So if, I do not know the thinking of -- Yes, Hon Muntaka?
    Alhaji Mohammed-Mubarak Muntaka 12:10 p.m.
    Mr Speaker, I would plead to provide a suggestion that we permit the Hon Minister to go ahead to answer but the Answer should be given to the Clerks-at- the-Table so that tomorrow it is published in the Order Paper so that at least the records of the House would have it and we would also --
    Mr Speaker 12:10 p.m.
    How do I preside over supplementary questions, because if supplementary questions are being asked and they are referring to specific statements in the Answer? Very well, where is the Hon Member for Prestea/ Huni Valley?
    Mr Koffie 12:10 p.m.
    Mr Speaker, I am here.
    Mr Speaker 12:10 p.m.
    Do you want your Question to be answered even without you having a copy?
    Mr Koffie 12:10 p.m.
    Yes, Mr Speaker.
    Mr Speaker 12:10 p.m.
    Well, I am allowing it but this should be an exception to the rule. In future I am not going to allow it.
    Hon Minister do you have an extra copy of your Answer?
    Alhaji Fuseini 12:10 p.m.
    Yes, Mr Speaker, I have made copies available to the Clerk- at-the-Table. Mr Speaker, let me take the opportunity to thank you and this august House for indulging me in this exceptional circumstance.
    Thank you very much.
    Mr Speaker, in response to the Question asked by the Hon Member 12:10 p.m.
    Mr Kyei-Mensah-Bonsu 12:10 p.m.
    Mr Speaker, with respect, because of the incon- clusiveness of an issue that was raised last week, may we know the status of the Minister, whether he is the Minister or the Acting Minister?
    Mr Speaker 12:10 p.m.
    Hon Minority Leader?
    Mr Kyei-Mensah-Bonsu 12:10 p.m.
    Mr Speaker, I am asking because last week, the matter was inconclusive -- [Interruption] -- It does not lie in his mouth. The Minister for Information said that Ministers who are re-deployed are Acting Ministers.
    Mr Speaker 12:10 p.m.
    Hon Minority Leader, we organized Ministers by their portfolios under the rules so when the Hon Member got up to ask the Question of the Minister
    Mr Kyei-Mensah-Bonsu 12:10 p.m.
    Mr Speaker, you see, the issue is whether the Hon Minister, our Colleague, can respond to this Question himself or does it fall on the Leader of Government Business to define the status of that person to us in this House?
    Mr Speaker 12:10 p.m.
    Hon Minority Leader, the Minister came, I asked him earlier whether he is responsible for that Ministry and the Answer was “yes”. The Answer to the Question was “yes”. Unless there is an evidence to the contrary, we are taking his word.
    If in future we find out something to the contrary, it is another matter that we would take. But I do not have reason to doubt the Answer that he has provided, that he is in charge of that Ministry. But again, I agree with you that we should try and close the communication gap in all these matters.
    If communication had been made to the House on these matter that Ministers who are being changed would remain in their Ministries and hold their portfolios for one week, two weeks, one month, all these issues would not crop up on the floor of the House.
    I think the Leadership in charge of Government Business would take-up the matter and deal with the appropriate authority.
    Yes, Hon Minister.
    Alhaji Fuseini 12:10 p.m.
    Thank you, Mr Speaker. Mr Speaker:
    In 2002, the underground mine under Prestea Gold Resources which was operated by the workers of the mine, failed leading to labour unrests and serious community impact. Working with Government to manage these impacts, among others, Golden Star Resources (GSR) bought the mine, paid salaries and redundancies and debtors.
    GSR then embarked on rebuilding the mine by undertaking care and maintenance while carrying out shaft refurbishment, mine dewatering, exploration, drilling and feasibility studies. In excess, US$90 million has been spent by GSR on these activities over the 12-year period while employing 350 permanent employees and direct contractors.
    More recently, in 2011, as part of their preparation to commence commercial production, GSR's New Century Mine (NCM), as the underground mine has come to be known, undertook clean-up of access drives, crosscuts and chute areas. The material obtained from this clean-up was hoisted to surface and hauled to Bogoso for processing. NCM continues to employ 350 permanent employees and direct contractors.
    However, the stope blasting, trial mining, clean-up, hoisting and processing of ore from NCM was suspended in May, 2013 due to dramatic drop in gold price, inability to obtain finances for the mechanized mining operation option detailed in 2003 feasibility study and failure of the main ventilation fan. NCM has undertaken to complete ventilation design process and new fan specification has been identified.

    These challenges notwithstanding, in view of the commitment of New Century Mine to start commercial production as soon as possible, it is at an advanced stage of review of low capital option, that is, a shrinkage mining with handheld drilling machine options in the West Reef. This new option is labour intensive and would lead to higher employment within the Prestea area.

    The original mechanized mining option would require an initial capital of approximately US$110 million to get to commercial production. The bulk of this expenditure would have been for a new access, hoisting and ventilation shaft system. The reduced capital expenditure option to commence a handheld shrinkage mining method from 24 level would cost approximately US$30 million. Within 18 months of receipt of the funding, we expect production to start.

    New Century Mine currently has five shaft term sheets in hand, from a variety of financial institutions, the terms of which are still being negotiated and optimized. Those financing opportunities are subject to the full technical and legal due diligence of the financing institutions, approval by their credit/investment committee and approval by the Golden Star Board of Directors.

    New Century Mine is confident that they will be able to settle on an appropriate financing package for Prestea in the foreseeable future.
    Mr Koffie 12:20 p.m.
    Mr Speaker, I have the mining lease which was issued out to the company in my hands, which stipulates that, the company should commence commercial gold production within two
    years from the time the mining lease was issued; that was in June, 2002. Till date, I quite remember that, in 2009, the company invited the stakeholders and told them that within a year or two, they would start commercial gold production.
    I would want to know from the Hon Minister what measures the company has put in place to mine gold -- The shaft maintenance, really they have done that. The mine was under care and maintenance for two years, we are now in the twelfth year. From 2002, we are now in 2014. I would want to know from the Hon Minister, what the company is doing to commence commercial gold production as has been stated in the mining lease?
    Alhaji Fuseini 12:20 p.m.
    Mr Speaker, our interaction with the company revealed that, the company is in the state of accessing funding from financial institutions to develop the mine and begin commercial production.
    Mr Koffie 12:20 p.m.
    Mr Speaker, the company met with the stakeholders again way back two years ago and the funding that they are sourcing for is not meant for the Prestea project but rather a sister mine at Akyempim. So I would want to know from the Hon Minister, what are the plans? This is because for us in the community, we know the company is not interested in the underground mining.
    So we would want to know from the Hon Minister what serious plans the company has to mine the Prestea ore because according to them, their Geological Survey Report that has come out indicates that they have found virgin ore which can increase the life span of the mine. So we would want to know when actually serious mining is going to commence.
    Mr Koffie 12:20 p.m.
    Mr Speaker, I would want to know from the Hon Minister, when the company took over the Prestea Under- ground Mine, gold price was a little below US$200. The company said when gold price gets to US$400 an ounce they would go underground. Today, gold price is over US$1,000; they have not shown any seriousness of going underground to go and mine.
    I would want the Hon Minister to assure this House that, yes, indeed, this time round the company is serious and to know when they would commence underground mining.
    Alhaji Fuseini 12:20 p.m.
    Mr Speaker, the assurance I can give this Hon Member is founded on the information that we have received from the company and Mr Speaker, only to reassure this House that, if we come to the conclusion that Golden Star Resource is not interested in developing the underground mine, we would not hesitate to revoke the lease.
    But in so far as we have been interacting with them, we have not yet come to the conclusion that they are not yet interested in developing the Mine.
    Mr Speaker 12:20 p.m.
    Hon Members, we have used virtually two hours for Questions. I would want to bring it to an end but let me take a question from the Hon Minority Leader, then I will bring Question Time to an end.
    Mr Kyei-Mensah-Bonsu 12:20 p.m.
    Mr Speaker, may I inquire from the Hon Minister whether there is any time limit for a company that is granted concession to do feasibility studies and exploration. Is there a time limit that is set by the Ministry?
    Alhaji Fuseini 12:20 p.m.
    Mr Speaker, there clearly are time limits. And in particular reference to the Golden Star Resort which took the mining lease in 2002, they were by the lease, to start commercial production in 2004. I can only speculate that there were cogent reasons why the then Government did not hold them to the lease.
    They would have provided a work plan to be held accountable for what they had stated therein. So if they did not com- mence production in 2004, then there ought to have been cogent reasons why the Government would have extended it for them.
    Mr Kyei-Mensah-Bonsu 12:20 p.m.
    Mr Speaker, is the Hon Minister aware that this company started their operations not in 2002, but in 1999? It started the operations there in 1999 and in 2002, they were granted the lease to do commercial production.
    The feasibility and exploration took place between 1999 and 2002 and they were granted the Lease in 2002 to do the commercial production. Then they said mobilizing equipment, seeking for funding and also looking at the price, they were minded to commence within two years; maximum 2004. That is why I am asking that how does it continue because, in the Hon Minister's Answer, he is telling us
    that 12 years on, they are still in the process of feasibility studies and exploration. The process of feasibility and exploration was supposed to terminate somewhere, yet he insists that within that 12 year period, they are still in the process of feasibility studies and exploration.
    Alhaji Fuseini 12:30 p.m.
    Thank you, Mr Speaker.
    Indeed, in order not to get the matters confused, the company has a mining lease, not a recognizance or prospecting lease. The company itself, the historical antecedent was State mine. When the State could not manage it well, and put it on divestiture, the workers were elected to manage the mine, and that was in 2002 -- When they formed the Prestea Gold Resources.
    When the workers themselves failed, the company again was put on divestiture and that was when New Morning Star Resources, which is operating around the area came and acquired it.
    What I am saying in the Answer is simply that, short of commencing mining operations, the company is carrying out certain activities, and that includes the feasibility studies that I have referred to. Mr Speaker, you would have heard from the questioner that, indeed, the feasibility studies has revealed that the mine contains some green fields.
    There are new areas where mining can take place. We are in discussion with the company to get them to raise the requisite resources to come and open-up the mine, provide employment for the teaming youth and royalties and taxes to the Republic of Ghana.
    Mr Speaker 12:30 p.m.
    Hon Members, that brings us to end of Question Time. Hon Minister, we thank you very much for

    attending upon the House to Answer Questions from Members.

    We thank you once, again.

    Hon Members, I have admitted one Statement standing in the name of the Hon Member for Dome/Kwabenya --
    MR FIRST DEPUTY SPEAKER
    Mr First Deputy Speaker 12:33 p.m.
    Yes, Hon Deputy Chief Whip?
    I believe we are At the Commencement of Public Business -- Presentation of Papers.
    Yes, Hon Deputy Minority Leader?
    Deputy Minority Leader (Mr Dominic B. Nitiwul): Mr Speaker, the Hon Speaker just announced that he had admitted a Statement on behalf of the Hon Member of Parliament for Dome/Kwabenya -- [Interruption] -- Yes, an emergency just took her out, so, she is not around today for her to be able to take the Statement. So, I would plead that, we defer it to tomorrow. In fact, she had the permission to be able to do that.
    rose
    Mr First Deputy Speaker 12:33 p.m.
    Yes, Hon Majority Chief Whip?
    Majority Chief Whip (Alhaji Mohammed-Mubarak Muntaka) 12:33 p.m.
    Mr Speaker, I believe that is within your prerogative to either defer it or whatever.
    But with regard to Public Business, Mr Speaker, we were supposed to try to finish
    Mr First Deputy Speaker 12:33 p.m.
    Well, Hon Members, before then, I have also seen advertised in the Order Paper, the Plant Breeders Bill, 2013. I believe we are all aware that some petitions came up and the House directed the Committee to deal with the matter. I believe having dealt with the matter, we need to get the Report which would be laid and subsequently debated -- Presented and then debated, before we can tackle the Bill itself.
    I just feel that I should draw attention to this so that we do not lose sight of that issue.
    Alhaji Muntaka 12:33 p.m.
    Mr Speaker, rightly so. The Committee prepared a Report, but I thought the understanding with Mr Speaker was to get it orally done, but I believe we can resolve this before tomorrow so that if they have to present it, it would be presented. But, if we would have to keep to the understanding that it should be done orally, then it would be done.
    But they prepared some reports that they wanted to be advertised on the Order Paper, but this was an understanding that we were reaching. I believe that we are capable of resolving all these before tomorrow when we enter the Chamber.
    Thank you, Mr Speaker.
    Mr First Deputy Speaker 12:33 p.m.
    Yes, Hon Dr Akoto Osei?
    Dr A. A. Osei 12:33 p.m.
    Mr Speaker, the Majority Chief Whip said that, we were programed to look at the Excise Duty Bill, 2013 and Plant Breeders Bill, 2013 and some major issues have come up. I am the Ranking Member of the Committee, and I am not aware of any outstanding issues, except this which is straight forward.
    So, I do not know which consultations are being done, and we are not in the known. I think this is a serious matter. We have done winnowing twice, we have come here today to finish it and suddenly, some information that is not known to the Ranking Member is being put on the Table.
    At least, better consultation should be done; otherwise, you would put us in a stage where we may not make ourselves available when you are ready.
    Alhaji Muntaka 12:33 p.m.
    Mr Speaker, I believe the Ranking Member is perfectly right. Unfortunately, I am not a Member of the Committee, this is an information from his Chairperson. Unfortunately, he is not also here, so, I would want to plead and assure him that, whatever the issues are, I would ensure that they are discussed with him adequately before we surface tomorrow to try and make an attempt to deal with the issue.
    Thank you, Mr Speaker.
    Mr First Deputy Speaker 12:33 p.m.
    Actually, as a matter of fact, I thought that today, we would be able to bring this to a close. I mean this Consideration Stage. It is rather unfortunate. But I hope that some work could be done towards that direction.
    Well, you were proposing that we adjourn.
    Mr William Ofori Boafo 12:33 p.m.
    Mr Speaker, thank you for the opportunity.
    Mr Speaker, in the first place, about the Plant Breeders Bill, 2013, I think this is a House of records, so, if the Committee has prepared any Report, it should be laid, so that we would have the opportunity to also contribute, because their sitting to investigate and report to the House was not made open. Most of us were not aware as to when they sat.
    So my humble plea is that, since this is a House of records, we should have the Report laid, and debated in the Preliminary Session.
    Mr Speaker, the second issue is that, it is all over in the Social Media and the Ghana Bar Association (GBA) has also taken a step, about the state of the Judiciary in the country.
    Mr Speaker, their bungalows are deteriorating, and the state of the Judiciary resulted in the court of appeal --
    rose
    Mr First Deputy Speaker 12:33 p.m.
    Hon Majority Chief Whip?
    Alhaji Muntaka 12:33 p.m.
    Mr Speaker, with the greatest respect to my Hon Colleague, I believe that the statement he is trying to make is a very important one, but our Standing Orders are very clear. When these issues are to be raised, it is supposed to be discussed before, and nothing -- I was at the Leadership Conference with Mr speaker and this was not something that was prompted us.
    I would plead with him that this is done properly, so that we are all in the known because this is a very important statement. It should not be made as though we are being caught unaware. So, I would plead with our Colleague to discuss that with the Speaker while the
    Leadership Conference is going on, so that at least, we all be in the known of the background before it is raised. That would be in line with our Standing Order rather than just getting up and making that statement.
    Thank you, Mr Speaker.
    Mr First Deputy Speaker 12:33 p.m.
    Yes, Hon Boafo?
    Mr Boafo 12:33 p.m.
    Mr Speaker, there is no secret about this matter. It is not a classified item, it is all over in the Social Media, and I do not think there is any need for pre-discussion before it is raised on the floor of the House.
    Mr Speaker, all that I would want from you is guidance on the issue that, having regard to state of the Judiciary now, to the extent that even the Court of Appeal could not sit in Kumasi and Cape Coast. This is a very serious matter, and it concerns no other institution than the third arm of Government. -- [Interruption] -- Mr Speaker, this is a matter affecting the delivery of justice in this country. I need your direction and I would want to suggest that, either the Hon Attorney-General and Minister for Justice is invited to the House to --
    Mr First Deputy Speaker 12:40 p.m.
    Hon Members, you are asking for direction and then you are jumping the gun. Can you just hold your breath?

    So, Hon Member, I would want to direct that you take this matter up with the Speaker and the Leadership at the conference level, then it can be taken on the floor of Parliament.
    Mr Dan Botwe 12:40 p.m.
    Mr Speaker, I beg to second the Motion.
    Question put and Motion agreed to.
    ADJOURNMENT 12:40 p.m.
  • The House was accordingly adjourned at 12.43 p.m till Friday, 20th June, 2014 at 10.00 a.m.