Debates of 21 Jun 2018

MR SPEAKER
PRAYERS 10:55 a.m.
VOTES AND PROCEEDINGS AND THE OFFICIAL REPORT 10:55 a.m.
Mr Speaker 10:55 a.m.
Hon Members, correction of Votes and Proceedings and the Official Report.
The Votes and Proceedings of Wednesday 20th June, 2018.

Hon Members, any corrections on the Official Report dated 6th June, 2018?
  • [No correction was made to the Official Report of Wednesday, 6th June, 2018.]
    • ORAL ANSWERS TO QUESTIONS 10:55 a.m.
    MINISTRY OF JUSTICE AND 10:55 a.m.
    ATTORNEY-GENERAL 10:55 a.m.
    Minister for Justice and Attorney- General (Ms Gloria Akuffo) 10:55 a.m.
    Mr Speaker, the Marrakesh Treaty which seeks to facilitate access to published works for persons who are blind, visually impaired or otherwise print disabled was adopted on 27th June, 2013, at a Diplomatic Conference organised by the World Intellectual Property Organisation (WIPO) in Marrakesh in the Kingdom of Morocco after over a decade of international negotiations.
    The main objective of the Treaty is to improve access to copyrighted works for the blind, visually impaired and other persons with print disability around the world.
    At its 9th Meeting of Cabinet held on 5th June, 2017, Cabinet granted policy approval for the Treaty and for it to be laid in Parliament for ratification.
    At the Fifth Sitting of the Third Meeting of Parliament held on Tuesday, 10th October, 2017, a Resolution was passed to ratify the Treaty.
    The President, Nana Addo Dankwa Akufo-Addo, duly executed the Instru- ment of Ratification of the Treaty which was deposited by the Ministry of Foreign Affairs and Regional Integration under cover of letter dated 27th April, 2018 with WIPO in Geneva, Switzerland; the depositary of the Instruments, on 11th May, 2018. The Treaty enters into force on the 11th of August, 2018.
    To ensure a full implementation of the Treaty, the following initiatives will have to be undertaken:
    The Copyright Office will have to initiate a process of amending Section 19 of the Copyright Act, 2005 (Act 690) to include provisions for the blind and visually impaired persons. The amendment of the law will enable the blind and visually impaired persons to have access to published works in accessible formats like braille, audio books and large prints.
    To sensitise stakeholders on the proposed amendment, the Copy- right Office has initiated stake- holders' engagement on the proposed amendments to solicit for contributions that will promote the actualisation of the goal of the treaty.
    A first stakeholders' meeting was held at the Copyright Office on Friday, 13th April, 2018.
    The outcome of the stakeholders' meetings will be forwarded with instructions to the Legislative Drafting Division of the Office of the Attorney- General in pursuance of the requisite amendment of Act 690.
    Thank you.
    Mr Speaker 11:05 a.m.
    Hon Minister, thank you.
    Hon Member, you would have two follow up questions.
    Mr Majisi 11:05 a.m.
    Mr Speaker, first of all, I would want to commend the Hon Minister for the good job she has done.
    Mr Speaker, I have one more question. I would want to know the specific timelines for the implementation of the Treaty.
    Ms Akuffo 11:05 a.m.
    Mr Speaker, as I have indicated, the Treaty itself does not come into force until August, but ahead of that to save time, we have already started with stakeholders meeting in order to save time.
    Mr Speaker, after that the instructions would come from the Copyright Office. I am unable to say the specific date, but I am hopeful that it would be treated with expedition and no time would be wasted in the process.
    Mr Speaker 11:05 a.m.
    Hon Minister, thank you very much for attending to the House to answer the Question.
    Mr Speaker 11:05 a.m.
    Hon Minister for Education, kindly take the seat.
    rose
    Mr Speaker 11:05 a.m.
    Hon Muntaka?
    Alhaji Muntaka 11:05 a.m.
    Mr Speaker, I heard you say earlier that you would not allow an Hon Member to ask a Question on

    behalf of any Hon Member who is not in the Chamber. I wanted to plead that because of our election, those who come from far had to set off early --
    Mr Speaker 11:05 a.m.
    It would be rescheduled for them. They would not lose the opportunity so let them go and come.
    Alhaji Muntaka 11:05 a.m.
    Mr Speaker, they had asked other Hon Members to ask the Questions on their behalf.
    Mr Speaker 11:05 a.m.
    Hon Muntaka, they would still have the opportunity to ask their Questions.
    Alhaji Muntaka 11:05 a.m.
    Mr Speaker, thank you.
    Mr Speaker 11:05 a.m.
    Is the Hon Member for Mion available?
    Mr Speaker 11:05 a.m.
    Hon Member for Krachi Nchumuru?
    MINISTRY OF EDUCATION 11:05 a.m.
    Minister for Education (Dr Matthew Opoku Prempeh) 11:05 a.m.
    Mr Speaker, the Inclusive Education Policy (IEP) which was launched in May, 2016 is a framework that provides a more harmonised and strategic approach to planning, implementing and monitoring inclusive education pro- grammes and activities.
    The policy also defines the strategic path to direct education of all children,
    especially with special educational needs in schools at all levels.
    In addition, a document on standards and guidelines which provides guidance to educational institutions and stake- holders in the provision of minimum standards and designs of facilities to promote inclusive education in terms of physical infrastructure, learning equip- ment and materials as well as curriculum and pedagogy and costed Imple- mentation Plan have also been developed.
    These documents are to direct and promote the smooth implementation of the inclusive education programmes in schools across the country.
    Mr Speaker, the implementation of Inclusive Education Policy has already started with the following activities as enshrined in the Implementation Plan:
    Printing and distribution of 37,700 copies of the Policy Documents and the Standards and Guidelines to schools, colleges, universities, government agencies and Non Governmental Organisations.
    Printing and distribution of 14,400 copies of the Implementation Plan to schools, colleges, universities, government agencies and Non- Governmental Organisations.
    The National Steering Committee has been formed to oversee the rolling out of the Inclusive Education Policy (IEP).
    An inset module on Inclusive Education Policy (IEP) has also been developed with help from UNICEF to be used to train in- service teachers on the concept and practice of inclusive education. The
    module is currently at the printing press.
    The Special Education Division (SPED) has also developed guidelines for the operation and management of Regional Assessment Centres to serve as control measures in the management of the Centres.
    The Ghana Education Service, with the support of UNICEF procured some basic screening equipment and assistive devices. These equipment and devices were subsequently distributed to all the 10 Regional Assessment Centres for onward distribution to needy children.
    UNICEF has provided financial, logistical and technical support on the implementation of the concept and practice of Inclusive Education Policy (IEP) to the following districts;
    Lambussie Karni, Wa East, Wa West, Builsa North, Builsa South, Garu Tempane, Savelugu, Karaga, Kpandai, Komenda, Edina Eguafo Abirem, Upper Denkyira West, Upper Manya Krobo, Kwahu Afram Plains North and South, Tolon, Upper West Akim, North Dayi, Krachi East, Ga East and Asikuma Odoben Brakwa.
    This UNICEF support had led to capacity building of teachers and school administrators in all the basic schools in those focused districts on the Inclusive Education Policy, Standards and Guidelines, the Implementation Plan, screening processes, the use of Inclusive Education Monitoring Tool (IEMT) and data collection and analysis to build their capacity to manage,
    monitor and evaluate inclusive education activities in their schools.
    Screening has been conducted for about 134,837 pupils, made up of 68,689 boys and 66,148 girls, out of which 24,702 pupils, made up of 12,728 boys and 11,974 girls have been referred for further diagnosis and appropriate interventions.
    Furthermore, over 8,000 key stakeholders from all the ten regions have also been sensitised on inclusive education concepts, practices and attitudinal change. These include traditional authorities, Parliamen-tarians through the Parliamentary Select Committee on Education, private educational providers and labour unions within the pre-tertiary educational sector, et cetera.
    Regular monitoring and evaluation of the progress of implementation in all the 20 focused districts as well as monitoring and screening activities have been on-going.
    Mr Speaker, the sector is committed to ensuring that the Inclusive Education Policy is achieved nation-wide and the plans will be focusing on expanding the implementation from the current 20 districts to the entire 254 Metropolitan, Municipal and Districts Assemblies. This calls for massive financial support from all stakeholders.
    Mr Majisi 11:05 a.m.
    Mr Speaker, there are 41 Colleges of Education in Ghana but only three of such schools admit visually impaired students. Mr Speaker, what provision is the Ministry making to enable other Colleges of Education admit students who are visually impaired as part of the Inclusive Education Programme?
    Dr Prempeh 11:15 a.m.
    Mr Speaker, I am unaware of an over-capacity in those schools, but if it so happens, we would expand the capacity to include those that are willing to go into those schools.
    Mr Majisi 11:15 a.m.
    Mr Speaker, I am aware that there are quite a number of graduate teachers who have been given training in special needs education at the University of Education. As of now, most of them are redundant. So would the Hon Minister consider it as a matter of urgency to get such people engaged in the schools?
    Dr Prempeh 11:15 a.m.
    Mr Speaker, Ghana Education Service, the main implementer of our pre-tertiary education in this country, actively recruits those with qualifications to teach in special schools, and we would encourage them to continue in that light.
    Mr Majisi 11:15 a.m.
    To what extent have the Regional Assessment Centres been equipped to meet the demands of the inclusive education programme?
    Dr Prempeh 11:15 a.m.
    Mr Speaker, the answer has been provided in my Answer.
    Mr Speaker 11:15 a.m.
    Question 403, is the owner present?
    Mr Iddrisu 11:15 a.m.
    Mr Speaker, I have to indulge you further. There is a reason why many of the Hon Members on this side of the House are not here to ask the Questions.
    As you admitted, the National Democratic Congress (NDC) is going through a democratic process of electing constituency executives, which affects the fortunes and could probably lead to the misfortunes of some Hon Members of Parliament if not properly policed, so I
    thought that if you could vary your earlier ruling, it would be for good reason.
    Mr Speaker, many of them have applied to you to be absent from the Chamber and from Business in order that they would travel back home to the constituencies to partake in this important democratic exercise.
    It is political parties that give birth to a government, and political parties would give birth to Members of Parliament.
    So Mr Speaker, I do not know if I can persuade you to vary your earlier decision that if any Hon Member -- and once we have the Hon Minister here, he could, but you could limit follow up questions, so that once the substantive Question is asked, we would bring closure to the matter.
    Thank you.
    Mr Speaker 11:15 a.m.
    Hon Minority Leader, we have to make very speedy progress this morning, and you know why.
    There is only one Speaker in-House, and we also have a Board meeting soon after, which you must attend.
    I have said that it would not be a punitive measure. All Hon Members who are not here and their Questions are listed, the moment they arrive, I have instructed that their Questions be listed the following day.
    Shall we make progress?
    Question 404? Hon Member for Akatsi North, you may proceed.
    Fees on Public Universities Admission Forms
    404. Mr Peter Nortsu-Kotoe asked the Minister for Education what the Ministry
    was doing to prevent the public universities from charging exorbitant fees on admission forms.
    Dr Prempeh 11:15 a.m.
    Mr Speaker, fees for public universities are approved by this House under the Fees and Charges Act. The Ministry of Finance assures us that a Bill is being prepared, it would be laid and it would take effect from 2019.
    In the meantime, I have sent circulars to all the universities to maintain the charges till Parliament approves the new increases that they so need.
    So it is the power of Parliament to set admission fees in this country, and I believe when the fees and charges come, we would work together on that. Every fee a public university charges is subject to the Fees and Charges Act.
    Thank you, Mr Speaker.
    Mr Nortsu-Kotoe 11:15 a.m.
    Mr Speaker, the Hon Minister in the Answer said that steps were being taken to make sure that the charges are covered under the law.
    I would like to find out from him how soon this Bill would come to Parliament?
    Dr Prempeh 11:15 a.m.
    Mr Speaker, the Ministry of Education has forwarded the proposals to the Ministry of Finance, whose duty it is to lay it in this House.
    So we are encouraging them to bring it. As a matter of fact, I have received a letter from the Ministry of Finance that they are preparing to make sure that it is included in the 2019 Budget.
    Mr Nortsu-Kotoe 11:15 a.m.
    Mr Speaker, I would like to find out from the Hon Minister whether it would be a uniform fee for the forms or each university would have its own fees approved accordingly?
    Dr Prempeh 11:15 a.m.
    Mr Speaker, that is for Parliament to decide, because Parliament approve the fees.
    Mr Speaker 11:15 a.m.
    Question number 406.
    Resumption of Works on Community Day SHS, Damanko
    406. Mr John Kwabena Bless Oti asked the Minister for Education when works would resume on the Community Day Senior High School in Damanko which appeared to have been abandoned.
    Dr Prempeh 11:15 a.m.
    Mr Speaker, the on-going construction of an E-Block at Damanko in the Nkwanta North District of the Volta Region is part of the 101 Community Senior High Schools Project which falls within the first phase being funded by the Government of Ghana through the GETFund.
    The project was awarded to Messrs Westfalia Company Limited in August 2015 for construction at a contract sum of GH¢6,546,921.98. The project supervising consultant is Messrs Procurement and Project Management Consultancy Limited. The contractor has carried out 72 per cent of works on the project.
    The Ministry has however, directed the contractor to complete the out- standing works on the E-Block project at Damanko in the Nkwanta North District before the commencement of the 2018/ 2019 academic year.
    Mr Oti 11:15 a.m.
    Mr Speaker, I would like to find out from the Hon Minister whether all the certificates raised by the contractor have been paid, because that has been his complain, that he has no money to go back to site?
    I would like to find out from the Hon Minister, since the contractor has a lot of certificates at the GETFund office.
    Mr Oti 11:15 a.m.


    of that particular circumstance, certificates are paid as and when they arrive in a schedule, so that could not be the reason for not doing the work.

    That is why we called the contractor and advised him to complete the work because certificates are being paid.

    If somebody's certificate comes into the basket, say in August 2016, it would be unfair to pay somebody whose certificate came in September 2016 before that of the August. That is how it has been structured. The month the certificate lands in the GETFund basket and when it is paid. So we are paying contractors.

    I can assure him that some people who had the same blocks awarded after this particular one have totally finished building and their certificates have been honoured.
    Mr Oti 11:15 a.m.
    Mr Speaker, my Question has not been properly answered, because the Hon Minister in his Answer stated that they have instructed the contractor to go back to site before the 2018/2019 academic year commences.
    The Hon Minister should know, that is why I said I made contact with the contractor and he complained that he has several certificates at the GETFund Secretariat that have not been paid.
    So I would like to know from the Hon Minister whether those certificates have been paid, because the contractor needs money to go back to site?
    Dr Prempeh 11:15 a.m.
    Mr Speaker, that was not the gravamen of his main Question, but I would attempt to answer.
    I said contractors who started theirs after that particular contract have finished long ago.
    Actually, they were supposed to construct the E-Blocks within a year. So the contractor should not shift his particular failings unnecessarily on the GETFund. It takes two to tango, and that is why he was summoned and instructed to go and finish and process. All the contractors who were summoned will have their moneys ready if they do the work.
    Mr Oti 11:25 a.m.
    Mr Speaker, the Hon Minister is my good Friend. I would want to take his words, and I would hold him accountable for them since I am an Hon Member of the Committee on Government Assurances. I would pardon him for today, but I would follow-up next time.
    Thank you for the opportunity.
    Mr Speaker 11:25 a.m.
    Hon Minister, you would be held accountable -- [Laughter.] I know you do not mind accountability at all.
    Thank you very much for attending to the House and answering our Questions.
    Hon Members, that brings us to the end of Question time.
    At the Commencement of Public Business — item numbered 5, Presentation of Papers.
    Hon Majority Leader, are we able to proceed?
    Mr Kyei-Mensah-Bonsu 11:25 a.m.
    Mr Speaker, item numbered 5 (a) is supposed to be done by the Hon Minister for Finance, but he has been caught in the web of some other engagements for which reason I may
    want to seek your leave for the Hon Minister for Education to lay the Paper on behalf of the Hon Minister for Finance.
    Mr Speaker 11:25 a.m.
    Hon Members, item numbered 5 (a), by the Hon Minister for Education on behalf of the Minister for Finance.
    PAPERS 11:25 a.m.
    Mr Speaker 11:25 a.m.
    Hon Majority Leader, are we able to lay the Paper numbered 5 (b) or which one do we move to? Today is a busy day.
    Mr Kyei-Mensah-Bonsu 11:25 a.m.
    Mr Speaker, we can take item numbered 5 (b) (i) and (ii)
    By the Chairman of the Committee --
    (i) Report of the Finance Committee on the Agreement between the Government of the Republic of Ghana and the Czech Republic for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income and on Capital Gains.
    (ii) Report of the Finance Committee on the Agreement between the Government of the Republic of Ghana and the Republic of Singapore for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income and on Capital Gains.
    Mr Speaker 11:25 a.m.
    Hon Majority Leader, can we move on to item numbered 6? Or which one is ready?
    Mr Kyei-Mensah-Bonsu 11:25 a.m.
    Mr Speaker, I would rather want us to deal with item numbered 15.
    Mr Speaker 11:25 a.m.
    Hon Members, item numbered 15, Motion.
    Yes, Hon Chairman of the Committee?
    MOTIONS 11:25 a.m.
    Chairman of the Committee (Mr Emmanuel Gyamfi) 11:25 a.m.
    Thank you, Mr Speaker. I beg to move, that this Honourable House adopts the Report of the Joint Committee on Mines and Energy and Finance on the Development Agreement Granting Stability Terms to AngloGold Ashanti (Ghana) Limited
    (AGAG).
    Mr Mutawakilu Adam (NDC -- Damongo) 11:35 a.m.
    Mr Speaker, I rise to second the Motion ably moved by the Hon Chairman of the Mines and Energy Committee, and in doing so, I make some comments on the Report.
    Mr Speaker, your Committee had the opportunity to meet almost all the stakeholders, including AngloGold Ashanti (Ghana) Limited (AGAG) and where there were issues; we raised them and it is important that we make it emphatically on the Floor.
    The first one was in respect of page 4, on the Development Agreement (DA) and mining leases. The Committee was made aware that this Development Agreement is in respect of the Obuasi Mining Lease, but at the Committee, there were other mining leases that came out. In the Development Agreement, we have the following:
    “Mining Leases means Obuasi Mining Lease and the Binsere Mining Leases …”
    The Committee had discussions with the Ministry of Lands and Natural Resources and the Ministry of Finance and AGAG to ensure that an amount of US$881 million that the company would want to invest for the first six years is actually meant for only Obuasi Mining Lease and not for any other since the Agreement is in respect of Obuasi.
    Mr Speaker, at the end of the day, they agreed that this is only for the Obuasi Mining Lease. The other mining leases are about where they would put their equipment and other infrastructure.
    So I would want to make it clear such that the Minerals Commission, the Ministry of Lands and Natural Resources and the Committee on Mines and Energy would monitor to ensure that this amount is invested in the Obuasi Mining Lease.
    Mr Speaker, this was also raised during the stakeholders' consultation by the Ghana Mine Workers Union where they entreated that that amount should be for the Obuasi Mining Lease, so that was done.
    Mr Speaker, also on local content, the Committee realised that they were not detailed in respect of employment and goods and services, so that the value that Ghanaians would derive from this investment could be estimated.
    Mr Speaker, so we entreated the Minerals Commission to ensure that Regulation two of the Mineral and Mining Regulations is strictly followed. Where the mining company is expected to give a list of local goods and services that they would need, and the companies as well as the number of people that they would engage. In employing the people, the company should specify the skills level they would need.
    Mr Speaker, in the Agreement, there was the issue of a trust fund. The mining company indicated that for every ounce of gold produced, US$2.00 would be contributed to the trust fund for corporate social responsibility.
    The Committee thought that was good but it should not be made as if the company is the only one responsible for the development of the Obuasi township. This is meagre, if one would want to consider the development needs of the people, and Government intervention is very critical.

    That is what is on it -- “The Flagstaff House”.

    Mr Speaker, I do not know whether that is an approval. In my opinion, this is not an approval; this is a receipt of the recommendations or the negotiations between the Ministry of Lands and Natural Resources and AGAG.. We thought we could get a written approval.

    If this is a ratification, there should be a written approval from Cabinet, but we rather received a letter with a stamp from the Flagstaff House as indicated. Mr Speaker, I would leave it to you to determine whether that is something that we should take on board.

    Mr Speaker, with these few word, I thank you.

    Question proposed.
    Mr George Mireku Duker (NPP -- Tarkwa-Nsuaem) 11:35 a.m.
    Mr Speaker, today's facilitation process will send a very strong signal to the world that indeed, Ghana is the gateway to investment drive.
    Mr Speaker, the Committee had the chance of meeting all the stakeholders and the result that we deduced indicated that if this grant is given, we would have direct injection of 24 per cent of the total revenue stream in this country, and that would result to about GH¢2.4 billion, equivalent to that of the United States dollar.
    Mr Speaker, from the discussions that we had with AGAG, they are committed to also ensure that this time round, they do tangible projects in terms of their corporate social responsibilities.
    On other alternative livelihood that we have experienced as far as mining companies are concerned, we are moving from the trend of grass-cutter rearing opportunities to projects that we can lay hands on, see and feel. That is what AGAG is about to do for the people of Ghana and more especially for the people of Obuasi. I believe that the ghost town is going to be revived with this.
    Mr Speaker, we also talked extensively about the welfare of the workers who will work there because gold is an exhaustive natural resource and for that matter, there would be a time that we would not have that asset.
    So the welfare of the workers who are going to be engaged must be paramount. So they indicated rightly to us that if this opportunity is given to them, they would have a better pension scheme and a better welfare for the people who would work in the company.
    Mr Speaker, the number of employees to be employed by this company hovers around two thousand, five hundred (2,500) to three thousand (3,000), and it is good news to this economy. It is good news to Ghana and I believe they need to be supported.
    Mr Speaker, as I stand here, my heart is at peace. This is because we want to see more of these; we want to see more investments; and we want to see more companies trooping into this country. If we support them in the wisdom of this august House, I believe we would approve this for the company to start work soon.
    I thank the Committee and the Hon Chairman for the Motion and I believe we would all support this noble idea to come to fruition.
    Thank you Mr Speaker, for the opportunity.
    Mr Speaker 11:35 a.m.
    Thank you very much, Hon Member.
    Yes, Hon Member.
    Mr John Abdulai Jinapor (NDC-- Yapei/Kusawgu) 11:35 a.m.
    Thank you very much.
    Mr Speaker. it is refreshing to know that we are taking steps to ensure that the Mine is brought back to continue to contribute —
    Mr Speaker, just like the Hon Ranking Member said, there were some concerns from the workers and the people of the Obuasi town. It is my hope that if the Hon Minister or his Deputy is in the Chamber, they should pursue this in terms of their concerns.
    Mr Speaker, if you read the Report, it talks about local content, and in my view, that is the most important aspect of this
    Development Agreement. It is not just the gold that would be mined, not just the gold that would be exported, but how the local community could benefit from this project.
    Mr Speaker, if you go to most of the mining communities, you would realise that while the mines are doing very well, adjacent to them, next door, you would see abject poverty and deprivation. So I would wish that we take into account some of these factors.
    Mr Speaker, the Hon Deputy Minister for Finance indicated that over the twenty-two year life span of this Agreement, the State is expected to benefit about US$5.3 billion in total. That amount sounds colossal, but when you break down the twenty-two into years and even break the years into months, it tells us that on average, we are earning just about US$20 million per month from this Agreement.
    Mr Speaker, I am trying to bring this out so that when we hear huge figures, for instance, when we hear that we are producing oil, when we hear that we are producing gold, we tend to over estimate what we are getting from that. But when you break it down and do the analysis, you would realise that you are not making so much money in terms of the figures and it is important that we understand this.
    Mr Speaker, I am also happy that they have agreed that the 60 per cent of the land, which is being relinquished to government would be allocated to small- scale miners. This is because there has been a problem between them and the small-scale miners. So if the interest of the small-scale miners could be taken care of, it means that conflict and agitation could be managed.
    Mr Speaker, but I am worried. If you read page 5 of the Report, it says that they expect to spend US$371 millon for an employee staff, both direct and indirect of about 2500. But page 6 states that while they employed three hundred (300) workers, US$250 million was spent.
    Mr Speaker, I am just drawing attention to this so that we look at the paradox that, while we had 300 workers, we spent US$250 million. But today, we are going to have about 2500 workers and we are spending just US$371 million. I believe the mathematics and the arithmetic do not gel.
    What it simply tells us is that, we would increase the work force, but their remuneration would be so low. I believe that this is very important for the Hon Minister to take into account.
    Mr Speaker, finally, there is a mention of a community trust fund, where US$2.00 out of every ounce of gold we sell would be put in for community development.
    Mr Speaker, I would appeal to government and the Ministry to ensure that the board and structure for this development fund is properly catered for so that whatever revenues that are accrued in this fund, they would be used judiciously, especially for agriculture purposes and to indigenise and grow the community.
    Mr Speaker, this is so important, US$2.00 might sound small, but, when you check the total ounce of gold that could be produced per annum, the amount could be quite colossal. If we use that judiciously for the intended purpose, I am sure we would make some development.
    Mr Speaker, with these words, I associate myself with the Report and I thank you for the opportunity.
    Thank you, Mr Speaker.
    Mr Abraham Dwuma Odoom (NPP-- Twifo Atti Morkwa) 11:35 a.m.
    Mr Speaker, thank you for the opportunity to be part of this discussion on AngloGold rejuvenation.
    Mr Speaker, as a frequent visitor to Obuasi, I asked myself why the people of Obuasi should be sitting on so much gold, yet have the worst road networks.
    Mr Speaker, in contributing, I would say that inasmuch as we know that everything about social responsibility is well spoken of, there must be a mechanism and a monitoring system which at the end of the day, in about three to four years, if anybody goes back to Obuasi, the person would see that the road network in Obuasi is improving.
    Mr Speaker, if we approach the road from Kumasi, it is worse, if you are approaching from Dunkwa, it is worst and if you are approaching from Adansi, it is worst.
    Mr Speaker, so my contribution and my concern as a citizen of this country is that how does a community so much endowed with natural resources have the worst of road networks in the country?
    Mr Speaker, with these few words, I thank you for the opportunity.
    Mr Speaker 11:35 a.m.
    Thank you very much, Hon Member.
    Yes, Hon Member?
    Alhaji Collins Dauda (NDC-- Asutifi South) 11:35 a.m.
    Thank you very much.
    Mr Speaker. I rise to support the Motion and to make a few comments.
    Mr Speaker, in 2004 AngloGold or the company seeking the Development Agreement made an application to this House for stability agreement and it was duly considered and approved. It was to run for a period of 15 years. In effect therefore, the Stability Agreement that was ratified by this House in 2004 is expected to end next year; 2019.
    Mr Speaker, even though that has not run its full term or what the Privileges Committee granted them has not been exhausted yet, they are here again asking for a Development Agreement that comes with provisions of a Stability Agreement.
    Mr Speaker, my question is, from 2004 till now what has this country benefited from the Stability Agreement that was granted this company?
    Mr Speaker, in our discussions, we were only told that because their concessions were besieged by galamsey operators, they could not operate. But clearly, for this number of years, if they were granted stability where taxes and levies were frozen to enable them work in their mines for their benefit, and for the benefit of the community in which they work, and for the country at large, it is clear that something went wrong somewhere. And this is the same company that is making this application for a Development Agreement which also contains stability conditions.
    What is the guarantee that this time around, the promises they made to invest US$880 million in this company would earn this country any benefit? There is no track record to give an assurance that Ghana stands to benefit if this Development Agreement is approved or ratified for the company.
    Mr Speaker, we hope that this time around they would work hard to be able --
    rose
    Mr Speaker 11:55 a.m.
    Hon Opare-Ansah, do you stand on a point of Correction or Order?
    Mr Opare-Ansah 11:55 a.m.
    Exactly so Mr Speaker. The Hon Member on his feet, not long ago was the sector Minister for Lands and Natural Resources. In his statement, he said something went wrong.
    Having superintended over that sector, would he be kind enough to share with us what exactly went wrong?
    Mr Speaker 11:55 a.m.
    This is not Question time.
    Hon Member, please continue.
    Alhaji Dauda 11:55 a.m.
    Thank you Mr Speaker.

    Mr Speaker, moving away from that, we have ratified the leases for this company. We are also aware that this House has always ratified large-scale mining leases. We have never had the opportunity to ratify a small-scale mining grant.

    Small-scale mining has become very popular in this country, in view of the fact that we want to eradicate galamsey. Government keeps making a call on our citizens to apply for small-scale mining licences to be able to use that in replacement of galamsey operations in the country. This is very laudable.

    However Mr Speaker, this House in my view, cannot be inundated with the ratification of small-scale mining grants. Therefore we need to take a look at article 269 (2). I am happy that the Hon Minister for Lands and Natural Resources is in this House this morning. I hope that he is listening.

    Mr Speaker, with your permission, I would read article 269 (2).
    Mr Speaker 11:55 a.m.
    And then conclude.
    Alhaji Dauda 11:55 a.m.
    Then I would conclude for you Mr Speaker.
    “Notwithstanding article 268 of this Constitution, Parliament may, upon the recommendation of any of the Commissions established by virtue of clause (1) of this article, and upon such conditions as Parliament may prescribe, authorise any other agency of government to approve the grant of rights, concessions or contracts in respect of the exploitation of any mineral, water or other natural resource of Ghana.”
    This provision is a good one that the Minister for Lands and Natural Resources could take advantage of to start with the process of getting Parliament to cede the power to ratify contracts in terms of small- scale licences to an agency of government.
    This way would facilitate the process of granting small-scale licences with the view of addressing the menace of galamsey in this country.
    Mr Speaker, finally, we would also need to take a look at the size of concessions granted by government to mining companies. Some of them are so wide and are not utilised. We need to review the size of mining concessions and make them smaller and relevant to the operations so that the excess would be freed for small- scale mining operators.
    Mr Kojo Oppong-Nkrumah (NPP -- Ofoase/Ayirebi) 11:55 a.m.
    Mr Speaker, thank you for the opportunity to comment on this Report.
    I would like to highlight a few things that this Agreement, once ratified and implemented, would portend to the Ghanaian economy and in particular, to the Obuasi enclave.
    Mr Speaker, your Committee's Report details a few of them. The first is about US$2.4 billion that would accrue to the local business entities within the community over the lifetime of this mine.
    We are also told that this particular development would bring about a little over US$1 billion dollars of investments into the project itself. In return, Ghana expects to get about US$5.3 billion of fiscal inflows of various kinds over the period of this project. We are also told to expect between 2000 and 2500 jobs in addition to efforts at reducing the potential effects of illegal mining operations.
    However, this is not the first time a development Agreement of this kind has been brought to Parliament for ratification. Even though there are many mining leases that I believe have not been ratified, and consequent to that, the development Agreements I believe would not have been ratified, yet few do pass through this House.
    Mr Speaker, part of the challenges when it comes to direct investments and the promises of what would be invested and the jobs, we do not actually have an
    empirical validation of whether these investments have been made, or whether these jobs have been created and whether this estimated inflow has been given to local content or not.
    Yes, we have passed the Local Content Bill and done all the other aggregations but not in terms of proper empirical validation. As we argue for an approval today, I would like to mention to the Ministry that it is important beyond this process to actually validate and ensure that these things that have been promised would live up to that.
    This is because what we would do right after this is to approve some fiscal concessions for them. Why we would approve the concession was because they have promised us that they would do all of these things. So if we would approve fiscal concessions for them, then we must also be interested in validating to be sure that they have done that which they promised to do.
    If we do not, then we would have just approved the concessions for them and subsequently, they might make it more or less and we would not be in a position to know and take some remedial measures in the long run.
    The final point I would want to make is that, the reason for which we are conducting this exercise is simply the fact that pursuant to the approval of the lease itself, a mining or development Agreement in excess of about US$500 million must also be approved by Parliament.
    Mr Speaker, there are many mining leases that we keep complaining that they have not been brought to this House for ratification. Again, as we do this, it is important to reiterate that the Ministry must take steps to ensure that all of those operating in the areas of our various
    minerals, whose leases have not been brought to this House for ratification, are brought for ratification so that we would be in a position to follow up and see whether they are meeting the conditions of those leases.
    Thank you Mr Speaker.
    Mr Suhuyini A. Sayibu (NDC -- Tamale North) 12:05 p.m.
    Thank you very much Mr Speaker, for the opportunity to associate myself with the Report that has been ably presented by the Hon Chairman of the Committee.
    Mr Speaker, I would want to reiterate the point that has just been made by my Hon Colleague from the other Side of the House, Hon Kojo Oppong-Nkrumah, to the effect that there is knowledge that some mining companies in this county have been operating without their leases being ratified by this House which is against the law.
    I also would want to make an appeal to the Ministry not only to bring those companies to this House for the right thing to be done, but to also apply the law fairly to all mining companies.
    There have been issues of some mining companies complaining about unfairness in the application of the request of these mining leases before they operate. I would appeal to the Ministry to be fair in the application of this law to all the mining companies.
    Mr Speaker, I would also want to make the point about the need for local content to be aggressively pursued, even as we grant this lease to AngloGold Ashanti. I recalled that the Hon Minister has ever
    had a spark with AngloGold Ashanti over this matter.
    It was in relation to how he felt that some Ghanaian companies were not being treated fairly on the matter of local content and the need for them to be given the opportunity to also take advantage as far as this lease is concerned.
    Mr Speaker, so I would want the company to know that we would be keeping an eagle eye on them, even as we grant this lease, hoping that they would also live up to their responsibility of ensuring that they build Ghanaian businesses in the discharge of their functions as institutions that are investing in this country.
    Mr Speaker, with these few words, I would like to thank you for the opportunity to contribute to this Motion and also associate myself with the Report.
    Mr Speaker 12:05 p.m.
    Minority Leadership.
    Minority Leader (Mr Haruna Iddrisu) 12:05 p.m.
    Mr Speaker, let me thank you for the opportunity to contribute to the Motion for this House to adopt the Report of the Joint Committee on Mines and Energy and Finance on the Development Agreement, granting stability terms to AngloGold Ashanti (Ghana) Limited (AGAG), as indicated.
    Mr Speaker, in doing so, I urge this august House, probably under your leadership that Parliament should take particular interest in the exercise of the granting of mineral rights to any person, especially corporate persons. I am inviting Mr Speaker and Colleague Members of Parliament that we take a different attitude to this.
    The people of Ghana expect us as their elected representatives, if for nothing, to secure their wellbeing and welfare in the exercise of this right.
    Mr Speaker, the letter say and I beg to quote 12:05 p.m.
    “Please refer to your letter dated 14th June 2018 (copy here attached) on the subject matter above which relates to minimum corporate income tax in Ghana. We write to confirm our agreement to the commitment in the said letter …”
    Mr Speaker, what is the commitment mentioned in that letter? Cabinet has conveyed a commitment to us. I would work and walk with a Cabinet commitment and not with a commitment in this letter. Therefore, we are interested. If Cabinet so approved 32.5 per cent, let it be stated in the letter.
    When a letter is written this way without stating the amount -- We are talking business with corporate entities and these are international businesses of high-standing. What is your commitment, Hon Minister? Is it 32.5 per cent or it is the 35 per cent corporate tax? They should say so.
    Mr Speaker, even as we go through the Committee's Report, may I respectively refer you to paragraph 4.4 in page 3? It reads with your permission:
    “The feasibility study that was undertaken revealed good pros- pects for the Obuasi mine. It also indicated that the mine has an estimated life of twenty-one (21) years with estimated mineral reserves of 6.3 million ounces and other resources totalling about 33.5 million ounces.”
    Mr Speaker, given that the price of gold today is US$1,266, that would bring in some US$7.9 billion. So if you come with 35.5 million ounces at 42.5 billion dollars;
    what would the Government of Ghana and the people of Ghana benefit from this? So in agreeing, we must look at the numbers. I am using today's current price of gold.
    Mr Speaker, what is even more important, which is conspicuously lost in this stability Agreement is for us to have negotiated and won forward tax. Assuming tomorrow, the uncertainty in the global market about gold prices goes in our favour, with increases in gold prices. The Government of Ghana and the people of Ghana must benefit from a windfall.

    Mr Speaker, the Hon Majority Leader is reminding me that I would be able to speak to some of the issues when we come to the tax exemption. But in this Agreement, ten years is mentioned at some places and in other places seven years.
    Mr Speaker, I believe it is not too late, the Hon Minister should note this 12:05 p.m.
    if they say they would invest that US$880 million, we would need a breakdown. How much they would invest in year one and two, then, we can monitor. It is not just for them to come on paper to state US$880 million would be committed over a period. We must monitor them over the period.
    Mr Speaker, finally, the employment status -- somewhere, we are giving them the right. Someday, they could just wake up and ask workers to go home in the name of redundancy, among other reasons. We need to tighten it.
    When the Committee met, I had a petition from the Mines Workers' Union. Please, we must protect the workers and Ghanaian workers in the mines such that these corporate entities do not run after them and take undue advantage of them.
    We must strengthen the contractual relationships. As to when they could ask a worker to go home, we have seen the crises in many of the mines. So yes, we would approve, but we should tighten some aspects of it.
    Mr Speaker, I believe that if we do an evaluation over the last 30 years, Ghana has not had its proper due and share of
    the contribution of mining to our national economy because we have not negotiated well and we have not represented well in terms of getting these matters done.
    So with the capital investment, they must come back to this House with an elaborate -- we would want to follow them through; how much of the US$880 million would be invested each year and how much the Ministry would be policing. How do they get rid of the vehicles that they bring in, in the name of the tax exemptions that we grant? We are interested in them.
    In conclusion, Mr Speaker, the people of Obuasi and all other Ghanaians living in mining areas are major stakeholders like the workers, and we entreat the Hon Minister to engage and engage well. The welfare of the people of Obuasi -- Today, corporate social responsibility should go beyond funeral donations and out- doorings. They must demonstrate that as a corporate entity and good corporate citizen, this is what they have been able to do for the people of Obuasi.
    Mr Speaker 12:15 p.m.
    Hon Minority Leader, you have been talking about your conclusion for a long time -- [Laughter.]
    Mr Iddrisu 12:15 p.m.
    Mr Speaker, I am done but the welfare of the people of Obuasi; they could construct the roads as a corporate social responsibility. It is possible. Government must also appreciate the
    benefit it takes out of Obuasi and construct the road for the people as compensation.
    Mr Speaker 12:15 p.m.
    Thank you very much. Hon Majority Leadership.
    Majority Leader (Mr Osei Kyei- Mensah-Bonsu) 12:15 p.m.
    Mr Speaker, I thank you very much for the opportunity to also add my voice to approve of this Agreement, and indeed, approve of the Report of the Joint Committee on Mines and Energy and Finance on the Development Agreement between the Republic of Ghana and AngloGold Ashanti (Ghana) Limited.
    Mr Speaker, as we have been told, the Obuasi mines, after all these years, admittedly, is getting exhausted and it is heart-warming that AngloGold Limited and Ashanti Goldfields Company Limited have come together to form AngloGold Ashanti (Ghana) Limited (AGAG) to rescue this mine, or at least, to prolong the life of the Obuasi mines.
    Mr Speaker, the process of extracting gold at Obuasi which would be resorted to by AGAG, is the deep shaft mining as opposed to the open cast mining that many of these galamsey operators resort to.
    Mr Speaker, article 257 of the Constitution which with respect, I beg to quote 12:15 p.m.
    “(6) Every mineral in its natural state in, under or upon any land in Ghana, rivers, streams, water courses throughout Ghana, the exclusive economic zone and any area covered by the territorial sea or continental shelf is the property of the Republic of Ghana and shall be vested in
    Mr Speaker, article 268 provides, and I beg to quote 12:15 p.m.
    “(1) Any transaction, contract or undertaking involving the grant of a right of concession by or on behalf of any person including the Government of Ghana, to any other person or body of persons howsoever described, for the exploitation of any mineral, water or other natural resource of Ghana made or entered into after the coming into force of this Constitution shall be subject to ratification by Parliament.”
    Article 269 (2) provides, and I beg to quote:
    “Notwithstanding article 268 of this Constitution, Parliament may, upon the recommendation of any of the Commissions established by virtue of clause (1) of this article, and upon such conditions as Parliament may prescribe, authorise any other agency of government to approve the grant of rights, concessions or contracts in respect of the exploitation of any mineral, water or other natural resources of Ghana.”
    Mr Speaker, article 269 (2) talks about approval of concessions and says that it could be done by any of the Commissions established by an Act of Parliament; but article 268 says that ultimately, those grants shall be subject to ratification by Parliament.
    We should not mix the two. That is what is expected to be done; even if they are approved by agencies and commissions, the ultimate ratification should come to Parliament, which is what we are doing.
    The Hon Minority Leader raised issues about what is before us, which is the note verbale that was exchanged between AGAG and the Ministry of Lands and Natural Resources, and has translated into this. It is supposed to be an annex to the Agreement.
    This is supposed to ensure greater revenue stream to the Government of Ghana. The Stability Agreement was for an initial period of 10 years. Now, the intention of the Government is to introduce a new fiscal regime. As he said, over several years, we have mined gold at Obuasi in particular and we have not had the required dividends.
    So going forward, the Government now intends to have more from the companies that extract gold and other precious minerals. Government proposes to rather impose tax not on profit, but on turnover.
    They have assured us that they would be able to stabilise within six years four months, rounded up to seven years, after which the Government of Ghana has the authority to kick-in a new tax regime, which is tax on the turnover and no longer on the profits. It took a bit of time to renegotiate this portion until they finally
    agreed. This is a new arrangement altogether.
    We are not really in a position to determine what the rate would be, except that we know the revenue streams would certainly be greater than the current Agreement with the other companies, including Newmont Ghana Limited.
    It is envisaged that beyond the period of seven years, the new regime would be established, and that would allow the Government to lock-in AGAG. So, it is a better arrangement than what was obtained previously.
    Mr Speaker 12:25 p.m.
    Thank you very much.
    Hon Minister, any comment? If you are so inclined, let it be brief.
    Minister for Lands and Natural Resources (Mr John Peter Amewu) 12:25 p.m.
    Mr Speaker, I thank you for allowing me to contribute, and I also thank Hon Members for their contributions to this Agreement.
    Mr Speaker, so far this has been one of the progressive, flexible, equitable and fair Agreements within our framework in this country. This Agreement has departed from the previous regressive natures of mineral concessive Agreements to a more progressive regime.
    It is estimated that within the life of 21 years of the mine, the present net value contribution of this Agreement to the economy amounts quite closely to US$3.5 billion, which is equivalent to 51 per cent of the total take within 21 years.
    Mr Speaker 12:35 p.m.
    Thank you very much, Hon Minister.
    Question put and Motion agreed to.
    Item numbered 16; Resolution -- Hon Minister.
    RESOLUTION 12:35 p.m.
    Minister for Lands and Natural Resources (Mr John Peter Amewu) 12:35 p.m.
    Mr Speaker, I beg to move
    WHEREAS by the provisions of article 268 (1) of the Constitution, any transaction, contract or undertaking involving the grant of a right or concession by or on behalf of any person or body of persons howsoever described, for the exploitation of any mineral, water or other natural resource of Ghana made or entered into after the coming into force of the Constitution is made subject to ratification by Parliament.
    BY THE PROVISIONS of section 43 (1) of the Minerals and Mining Act, 2006 (Act 703), where a mineral right is for mining or exploitation, the Government shall acquire a ten per cent free carried interest in the rights and obligations of the mineral operations in respect of which financial contribution shall not be paid by Government.
    BY THE PROVISIONS of sections 49 (1) and (3) of the Minerals and Mining Act, 2006 (Act 703), the Minister on the advice of the Minerals Com- mission may enter into a
    development agreement under a mining lease with a person, where the proposed investment by the person will exceed five hundred million United States dollars and the Development Agreement shall be subject to ratification by Parliament.
    IN PURSUANCE of the said article 268 (1) of the Constitution and the provisions of the Minerals and Mining Act, 2006 (Act 703), the Government of Ghana has caused to be laid before Parliament through the Minister responsible for Lands and Natural Resources the Development Agreement Gran- ting Stability Terms to AngloGold Ashanti (Ghana) Limited (AGAG).
    NOW THEREFORE, this House in accordance with the said Article 268 (1) of the Constitution and the provisions of the Minerals and Mining Act, 2006 (Act 703) hereby resolve to ratify the said Development Agree- ment Granting Stability Terms to AngloGold Ashanti (Ghana) Limited (AGAG).
    Chairman of the Committee (Mr Emmanuel K. Gyamfi) 12:35 p.m.
    Mr Speaker, I beg to second the Motion.
    Question put and Motion agreed to.
    Resolved accordingly.
    Mr Speaker 12:35 p.m.
    We have 20 minutes to do any further Business.
    Mr Kyei-Mensah-Bonsu 12:35 p.m.
    Mr Speaker, Motion numbered 17.
    MOTIONS 12:35 p.m.
    Chairman of the Committee (Dr Assibey-Yeboah) 12:35 p.m.
    Mr Speaker, I beg to move, that this Honourable House adopts the Report of the Joint Committee on Mines and Energy and Finance on the Tax Concession Agreement between the Government of the Republic of Ghana and AngloGold Ashanti (Ghana) Limited (AGAG) for Obuasi Mine Re-development.
    Introduction
    The Tax Concession Agreement between the Government of the Republic of Ghana and AngloGold Ashanti (Ghana) Limited for the Obuasi Mine Redevelop- ment was laid in the House on 15th March, 2018 by the Hon Minister for Lands and Natural Resources, Mr John Peter Amewu.
    Pursuant to Orders 169 and 188 of the Standing Orders of the House, the Request was referred to the Joint Committee on Finance and Mines and Energy for consideration and report.
    The Committee met and considered the request with a Deputy Minister for Finance, Hon Kwaku Agyemang Kwarteng, a Deputy Minister for Lands and Natural Resources, Hon Benito Owusu-Bio as well as officials from the Ministries of Finance and Lands and Natural Resources and from the Minerals Commission, and they hereby present this Report to the House pursuant to order 161 (1) of the Standing Orders of the House.
    Background
    Article 257 (6) of the 1992 Constitution vests mineral rights in Ghana in the President in trust for the people of Ghana. Under the Minerals and Mining Act, 2006 (Act 703), the Minister for Lands and Natural Resources, on behalf of the President, is responsible for granting mining rights to qualified applicants.
    Upon the grant of a mining lease for the exploitation of the stipulated minerals, the Minister is required to submit the lease to Parliament for ratification, in accordance with article 268 (1) of the Constitution and section 5 (4) of the Minerals and Mining Act, 2006 (703).
    The Minister is further empowered under sections 48 and 49 of Act 703 to enter into Stability and Development Agreements, including fiscal concessions with a holder of a mining lease if the investment proposed will exceed five hundred million United States dollars (US$500 million).
    These Stability and Development Agreements may provide for stability and other terms that relate to the operation of the mining lease.
    Section 49 (3) of Act 703 requires Development Agreements to be ratified by Parliament.
    Obuasi Mine
    The Obuasi Gold Mine is the oldest existing mine in Ghana, having started production in 1897 and has produced over 32 million ounces of gold during its 120- year life.
    As part of the arrangements for the merger of AngloGold Limited and Ashanti Goldfields Limited to form AngloGold Ashanti Limited (AGA) in 2004 to support plans of extending the life span of the
    Obuasi mine, the Government of Ghana granted AGA a Stability Agreement (ratified by Parliament) which conferred various fiscal concessions and stabilisation on the company's subsidiaries in Ghana, namely AngloGold Ashanti (Ghana) Limited (AGAG) which operates the Obuasi Mine and AngloGold Ashanti (Iduapriem) Limited (AAIL) operating the Iduapriem Mine.
    The Stability Agreement for these entities are operational and valid until April
    2019.
    While the Iduapriem Mine continues to run profitably, the Obuasi operation, in spite of continued investments by AGA, has for the most part been making losses due to challenges from operational difficulties, compounded by the sudden fall in gold price in 2013.
    This prompted AGAG to undertake a major restructuring programme, under an Amended Programme of Mining Operations (APMO) approved by the Government of Ghana in November 2014, in accordance with the mining laws of Ghana. During the period of limited operations under the APMO, the Obuasi Mine was invaded by illegal miners in February 2016.
    The main objective of the APMO was to conduct a feasibility study to determine an operating scenario for the Obuasi Mine which is sustainable for the longer term.
    As part of the restructuring process, underground mining was suspended at the end of 2014 and the entire workforce retrenched in accordance with applicable laws and the collective agreement between the company and its workers.
    Additionally, nearly 60 per cent of the company's concession was relinquished
    to Government, reducing AGAG's mining lease area from about 475 square kilometres to about 201 square kilometres.
    A smaller size workforce of about 750 was engaged on fixed term contracts, while the mine moved into a limited operation phase in 2015, which involved smaller scale production principally through the retreatment of tailings.
    As required under the APMO, a feasibility study to map out the future options to redevelop the Obuasi Mine was conducted, while construction of the underground declined, which is a key component to the future mechanisation of the mine continued. Environmental reclamation works also continued during the period.
    With the lull in activities and the mine put under care and maintenance from 2016, at an annual cost of US$50-60 million, the mine was invaded by illegal miners in early February 2016, resulting in a declaration of force majeure by AGAG on 9th February 2016, for a period of 12 months.
    Law and order was restored at the mine by the Government in November 2016, mainly through negotiations with the local communities and illegal miners, relocation of miners onto parts of the area relinquished by AGAG, and the presence of the security forces.
    The force majeure was lifted by AGAG in February 2017. Security has since been maintained by the Government and it is expected that recommencement of mining operations will enhance the security situation.
    The feasibility study has shown good prospects for a mine with estimated life of 22 years.
    Mr Cassiel Ato B. Forson (NDC -- Ajumako/Enyan/Essiam) 12:35 p.m.
    Mr Speaker, I beg to second the Motion and in doing so, I would like to draw your attention to some few issues that we raised at the Committee.
    Mr Speaker, let me say that AngloGold Ashanti is to contribute about US$870 million for the redevelopment of the Obuasi Mines.
    I believe that the time has come for us as Parliament to have a mechanism in place to monitor these inflows of capital injection. Often, we sit down and contractors, and obviously, sometimes Government, present us with documents with the hope that investments of that magnitude are going to come into the economy, only for us in future to do audit and to realise that those inflows do not actually come in.
    Mr Speaker, I believe that going forward, Parliament as an institution should have a mechanism to be able to monitor that indeed, an amount of US$870 million is going to come into the economy for the purposes of redevelopment of the Obuasi Mines.
    We were told that indeed, without the tax exemption, that investment will not be viable. They are investing approximately US$880 million, but the Government of Ghana is to exempt them from taxes to the tune of approximately US$259 million. That means we are also contributing quite significantly to this redevelopment as a country.
    Unfortunately, we often grant this tax but the companies concerned do not bring in this investment. Apart from the tax exemption that we are granting to these companies, we are stabilising the company against future imposition of taxes for the concession period which is about 10 years.
    Mr Speaker, again, we have been signaled today that new taxes are going to be introduced called the Turnover Tax or the Minimum Corporate Income Tax.
    What this simply means is that, unlike the other taxes that we are going to stabilise for the next 10 years, that Minimum Corporate Income Tax , also called the Turnover Tax, are only going to be exempted for a seven year period.
    What I am trying to say is that though we are exempting an amount of up to US$259 million, I strongly believe that if we are to do the calculation and add the Minimum Corporate Income Tax that is yet to be imposed as a country, indeed, the amount of US$259 million will end up exceeding it.
    Mr Speaker, so, I will urge you to encourage the Ghana Revenue Authority (GRA) to ensure that the AngloGold Ashanti (Ghana) Limited does not exceed the amount of US$259 million.We need the revenues to develop as a country and we cannot continue giving tax exemptions to companies for the purposes of developing themselves.
    I support this Agreement because of the employment creation. The people of Obuasi need to be employed and this company obviously has in the past, contributed into employment generation and the economy at large.
    We would encourage them to do more, but I am only cautioning, that going forward, we should have a mechanism to check that indeed, US$880 million is going to come into the country.
    Mr Speaker, with these few words, I support the Motion.
    Mr Speaker 12:35 p.m.
    Thank you very much.
    Question proposed.
    rose
    Mr Speaker 12:35 p.m.
    The Hon Minister will definitely make a contribution.
    Let the Leadership decide who contributes.
    Minority Leader (Mr Haruna Iddrisu) 12:35 p.m.
    Mr Speaker, thank you very much. As I indicated, article 174 vests the power of tax exemption in Parliament not in the Hon Minister for Finance.
    Therefore, it is important that at all times the Ministry of Finance and other Hon Ministers who intend to grant tax exemptions should invoke and seek the prior approval of Parliament before they are granted--
    Mr Speaker, on this particular matter, and in contributing to the earlier Motion, I have asked for clarity Particularly relative to corporate tax. Is it for seven years or 10 years?
    Mr Speaker, the Hon Majority Leader assures me that it would be an attachment and so l would pray and hope that it would be properly attached and we would follow through. I am sure that Mr Speaker would direct.
    Mr Speaker, I have with me a Memorandum to Parliament by the Hon Minister for Finance and signed by Hon Kwarteng. Mr Speaker, it is at page 10. What becomes exemption for AngloGold Ashanti is cost to the Government of Ghana. We are forgiving that exemption, but it is cost to the State, therefore it is a loss to the Ministry.
    Mr Speaker, in the document that the Hon Minister brought to Parliament, I see US$275 million, but in the Hon Chairman's Report, I saw US$259 million and I saw
    that what has been affected is the exemptions in respect of customs import. In his document, it is US$177 million but in the Report it is US$161 million.
    What amount are we exempting in respect of the customs import? Because we have US$259 million but in the main document which was referred to Parliament, which I have here as Approval of Tax at Page 10, it is US$275 million.
    Mr Speaker, this House must give this approval with clarity and certainty. If we are granting exemption for US$259 million or US$275 million, let us say so.
    Mr Speaker, finally, I know the Committee tried in respect of another paragraph in the same document, where AngloGold Mr Speaker, I am referring to pages 7 and 8 of the Hon Deputy Minister's document -- “A strong environment would enable continuous funding of the Obuasi community trust and AGAG has committed to an ongoing contribution of US$2 per ounce.”
    Mr Speaker, my wish is that it would be either US$4 or US$5 an ounce [Interruption] I said higher returns for the State and the people of Obuasi, because I do not know what they would do with US$2.
    Mr Speaker, the Hon Member knows the state of Obuasi better than I do and he knows the people are wailing in abject poverty, and so it is this Community Development Fund which would give them some social intervention. Mr Speaker, so one would have expected that we would have negotiated it better.
    Mr Speaker, finally, my request to the Hon Minister for Finance and the Hon Majority Leader is that, in the earlier document that I referred to, there is an attachment which has been referred to, that which says this was approved in November 2017 -- the fiscal concessions.
    Mr Speaker, when they are referring to this next time, they should attach it so that we could go through the fiscal concession, because at the back page of the main Agreement we are told that this Agreement -- Mr Speaker, this is my last comment. When the Hon Minister brings this to us we would want to be able to see the document.
    Mr Speaker, we are told in the document that there is a fiscal concession that was sent to the Hon Minister for Finance as a confidential document. Mr Speaker, Parliament would want to see that document next time, so that we would know what they have operated it with.
    Mr Speaker, with these few words, I thank you.
    Mr Speaker 12:35 p.m.
    Hon Majority Leader?
    Mr Kyei-Mensah-Bonsu 12:35 p.m.
    Mr Speaker, I would yield to the Hon Deputy Minister for Finance.
    Mr Speaker 12:35 p.m.
    Very well.
    Hon Deputy Minister for Finance?
    Deputy Minister for Finance (Mr Kwarteng): Mr Speaker, thank you.
    Mr Speaker, to start with, the total exemption in respect of customs is actually US$259 million as reported by the Committee.
    The difference that the Hon Minority Leader referred to arose as an error that was made when the assessment was being done. If we take a look at the Tax Concession Agreement, the National Health Insurance Levy was not exempted, but traditionally, we had been making the error of exempting the National Health Insurance Levy whenever VAT was exempted.
    On this occasion, we decided to correct that and the correction was made before the Committee, so the Committee's assessment is the right one.
    Mr Speaker, it is with great expectation that the people of --
    rose
    Mr Speaker 12:35 p.m.
    Hon Member, do you rise on a point of Correction or Order?
    Mr Forson 12:35 p.m.
    Mr Speaker, I rise on a point of Information.
    Mr Speaker, the Hon Deputy Minister said that the total tax exemption for customs is US$259 million, but that is not accurate. Mr Speaker, if we look at the Committee's Report on page 11 there is Royalties -- US$40 million, Income Tax -- US$2 million, Capital Allowances -- US$56 million, Customs Import -- US$161 million and these would give us a total of US$259 million. Mr Speaker, so customs cannot be US$259 million.
    Mr Speaker, again, what he is referring to had to do with the US$161 million and the US$167 million that the Hon Minority Leader raised.
    Mr Speaker, that amount was revised downwards because the National Health Insurance Levy was removed as part of the customs levy, therefore, we saved approximately US$6 million. Mr Speaker, that is the explanation but not the US$259 million.
    Mr Speaker 12:35 p.m.
    Thank you very much.
    Hon Deputy Minister?
    Mr Kwarteng 12:35 p.m.
    Mr Speaker, thank you and I am grateful to the Hon Member. Mr Speaker, actually, when I said customs, I was referring to the import and National Health Insurance Levy but his explanation

    is right. It is true that on this occasion we have been able to claw back some money for government because we refused to treat it as has been treated traditionally.

    Mr Speaker, but it is with great expectation that the people of Obuasi witnessed the debate of this particular Motion. I say so because, in the last two or three years that the operations of AngloGold Ashanti has been down, it has gone down with the Obuasi community.

    Mr Speaker, hotels that got patronage from AGA's visitors are folding up, jobs that came with contractors who came to do business with AGA have gone down; Jobs that were generated by the operations of AGA have also gone down, and clearly, these have impacted adversely on the economy of Obuasi.

    Mr Speaker, it is for this reason that we look at today's debate with great expectation and it is my hope as the Hon Member for Obuasi and the entire Obuasi and Andansi area that Parliament approves this Agreement so that the revival of the Obuasi Mine would become a reality, so that the life of the once golden Obuasi would come back.

    Mr Speaker, on this note, I thank you.

    Question put and Motion agreed to.
    Mr Speaker 12:35 p.m.
    Hon Members, we would take the Resolution.
    RESOLUTIONS 12:35 p.m.
    Minister for Finance) 12:35 p.m.
    Mr Speaker, I beg to move that
    WHEREAS by the provisions of Article 174 (2) of the Consti- tution, Parliament is empowered to confer power on any person or authority to waive or vary a tax imposed by an Act of Parliament;
    THE EXERCISE of any power conferred on any person or authority to waive or vary a tax in favour of any person or authority is by the said pro- visions made subject to the prior approval of Parliament by resolution;
    BY THE COMBINED operation of the provisions of section 150 (i) of the Customs Act 2015, (Act 891), the Export and Import Act, 1995 (Act 503), the Export Trade, Agricultural and Industrial Fund Act, 2013 (Act 872), the Value Added Tax Act, 2013 (Act 870), the Value Added Tax (Amend- ment) Act, 2015 (Act 890), the Value Added Tax (Amendment) Act, 2017 (Act 948) and other existing Laws and Regulations applicable to the collection of customs duties and other taxes on the importation of goods into Ghana, the Minister for Finance may exempt any statutory corporation, institution or individual from the payment of duties and taxes otherwise payable under the said Laws and Regulations, or waive or vary the requirement of such statutory corporation, institution or individual to pay such duties and taxes;
    IN ACCORDANCE with the provisions of the Constitution and at the request of the
    Government of Ghana, acting through the Minister responsible for Finance, there has been laid before Parliament a request by the Minister responsible for Lands and Natural Resources for the prior approval of Parliament, the exercise by the Minister for Finance of his power under the Laws and Regulations relating to the Tax Concession Agreement between the Government of the Republic of Ghana and Anglo- Gold Ashanti (Ghana) Limited for Obuasi Mine Re-development.
    NOW THEREFORE, this Ho- nourable House hereby approves the exercise by the Minister responsible for Finance of the power granted to him by Parliament by statute to waive taxes under the Tax Concession Agreement between the Go- vernment of the Republic of Ghana and AngloGold Ashanti (Ghana) Limited for Obuasi Mine Re-development.
    Dr Assibey-Yeboah 12:35 p.m.
    Mr Speaker, I beg to second the Motion.
    Question put and Motion agreed to.
    Resolved accordingly.
    Mr Speaker 12:35 p.m.
    Hon Majority Leader, at this juncture, you may move the Motion for adjournment as discussed.
    Mr Kyei-Mensah-Bonsu 12:35 p.m.
    Mr Speaker, I thought we could conclude the Consideration of the Witness Protection Bill.
    Of course, if there are any matters that would affect our continuing, then I would say we are safely in your hands.
    Mr Speaker 12:35 p.m.
    That would be taken first thing tomorrow morning, if possible.
    Mr Kyei-Mensah-Bonsu 12:35 p.m.
    Mr Speaker, very well, in which case, I beg to move that this House be adjourned till tomorrow at 10.00 o'clock in the forenoon.
    Mr Iddrisu 12:35 p.m.
    Mr Speaker, I beg to second the Motion for adjournment.
    Mr Speaker 12:35 p.m.
    We should all make sure that we start at 10.00 o'clock in the forenoon to maximise the time.
    Question put and Motion agreed to.
    ADJOURNMENT 12:35 p.m.