Debates of 3 Dec 2018

MR FIRST DEPUTY SPEAKER
PRAYERS 10:50 a.m.
VOTES AND PROCEEDINGS AND THE OFFICIAL REPORT 10:50 a.m.
Mr Speaker 10:50 a.m.
Hon Members, Correction of Votes and Proceedings and the Official Report.
Votes and Proceedings of Saturday, 1st December, 2018.
Page 1 --
rose
Mr First Deputy Speaker 10:50 a.m.
Yes, Hon Member for Effiduase/Asokore?
Dr Afriyie 10:50 a.m.
[Inaudible]
Mr First Deputy Speaker 10:50 a.m.
Something is not right. It does appear that none of the microphones is working.
Page 2…9 --
Mr Muhammad B. Braimah 10:50 a.m.
Mr Speaker, I sought permission from Leadership to be absent but I have been marked as absent without permission.
Mr First Deputy Speaker 10:50 a.m.
Hon Member, your permission should not be sought from Leadership. It should be sought from the Rt Hon Speaker.
Mr Braimah 10:50 a.m.
Mr Speaker, I sought permission from the Rt Hon Speaker, through Leadership.
Mr First Deputy Speaker 10:50 a.m.
Very well. If the records are available, it would be corrected.
Mr Samuel Okudzeto Ablakwa 10:50 a.m.
Mr Speaker, I was on my feet for page 9, the item numbered 7. It should read “…Hannah Prayer Ministry.” So “Prayed” s h o u l d b e deleted and “Prayer” inserted.
Thank you very much, Mr Speaker.
Mr Ras Mubarak 10:50 a.m.
Mr Speaker, the item numbered 5 on page 9. Nelson Mandela's second name has been spelt wrongly. It is “Rolihlahla” not “Rolinhlahla”. So if that could be corrected.
Thank you, Mr Speaker.
Mr First Deputy Speaker 10:50 a.m.
Page 10?
Mr Ablakwa 10:50 a.m.
Mr Speaker, just to draw your attention that the numbers do not add up in terms of the roll call. Doing the arithmetic, Members present, Members absent and Members absent with permission, totalled 256 instead of 274, which is minus our deceased Colleague. Some names are missing, so the Table Office could look at it.
Thank you, Mr Speaker.
Mr Joseph Mensah 10:50 a.m.
Mr Speaker, on page 7, Hon Ebenezer Kojo Kum, Member of Parliament for Ahanta West, has travelled outside the country on official assignment but he has been marked absent.
Mr First Deputy Speaker 10:50 a.m.
If you have filed the Leave of Absence form, even when you are going on official assignment, you would be placed under absent with permission. If you do not file
the Leave of Absence form, you do seek the permission of Mr Speaker to be absent, and notwithstanding the assign- ment, you would be marked absent.
But if you filed, then please verify and the Table Office would correct it. If you did not, then you were absent without permission.
Dr Mark Assibey-Yeboah 10:50 a.m.
Mr Speaker, the Hon Member for North Tongu said that the numbers did not add up so I quickly did the addition. 129 plus 48 plus 97 is 274. His mathematics is not good. Why does he try to do arithmetic? This is not his area. He should stay away from mathematics and things like that. [Laughter.] This is not his thing. Why does he want to be a Jack or all trades? [Laughter.]
Mr First Deputy Speaker 10:50 a.m.
Thank you, Hon Member.
Mr Ablakwa 10:50 a.m.
Mr Speaker, I am grateful. I thought that my Hon Colleague would have stayed away from all of those below the belt comments. [Laughter.]
Mr Speaker, the Clerk-at- the-Table has just drawn my attention. Apparently, I did my additions on 114 instead of 129. I omitted the second column, so that accounted for it. Dr Assibey-Yeboah is right. I was going to withdraw that correction.
Mr Speaker, I am grateful. There is no need for below the belt comments.
Mr First Deputy Speaker 10:50 a.m.
Very well.
Hon Members, the Votes and Pro- ceedings for Saturday, 1st December, 2018, as corrected is hereby adopted as the true record of proceedings.
Hon Members, there is an Official Report for Saturday, 17th November, 2018. Any corrections?

Hon Members, I have admitted two Statements on the International Day of Persons with Disability. The first one is by the Hon Member for Krachi Nchumuru and subsequently two more from the Hon Patricia Appiagyei and the Hon Samuel Okudzeto Ablakwa, which were brought to my attention.

Hon Members, I would therefore invite the Hon Member for Krachi Nchumuru, Hon Majisi to read his Statement, and after that I would allow the two other Hon Members to also comment.

Yes, Hon Member for Krachi Nchu- Nchumuru?
STATEMENTS 10:50 a.m.
Mr John Majisi (NDC -- Krachi Nchumuru) 10:50 a.m.
Mr Speaker, I am grateful for the opportunity given me to make this Statement on the occasion of the International Day of Persons with Disabilities (IDPD).
World estimates on disability
Mr Speaker, it is estimated that over one million people or about 15 per cent of the world's population is living with one disability or the other. For Africa, the
Mr First Deputy Speaker 10:50 a.m.
Hon Ms Patricia Appiagyei?
International Day of Persons with Disability
Ms Patricia Appiagyei (NPP-- Asokwa) 10:50 a.m.
I am grateful, Mr Speaker, for the opportunity to make a Statement to commemorate this year's International Day of Persons with Disability on the theme: ‘‘Empowering Persons With Disabilities and Ensuring Inclusiveness And Equality.''
This day is aimed at promoting the awareness and understanding of disability issues as well as rallying support for the protection of the rights and integrity of persons with disability. It is also meant to promote the awareness of the benefits of integrating persons with disability in every facet of our socio- economic development.
Mr Speaker, I would begin with statistics from the World Health Organisation (WHO) which estimates the world's disability population to be 15 per cent of the world's population. This translates to approximately 110-190 million persons experiencing some form of disability.
Also, statistics from the Ghana Statistical Service, based on the last census conducted in 2010 shows that three per cent of Ghana's population live with a disability. Furthermore, the unemployment rate for persons with disability reaches about 85 per cent in many counties.
Mr First Deputy Speaker 11:20 a.m.
Hon Member for North Tongu?

International Day of Persons with Disabilities
Mr Samuel Okudzeto Ablakwa (NDC -- North Tongu) 11:20 a.m.
Mr Speaker, I am sincerely grateful for the opportunity to make this Statement in commemoration of the International Day of Persons with Disabilities which falls today the 3rd of December, 2018.
This year's celebration is under the theme, “Empowering persons with disabilities and ensuring inclusiveness and equality”.
Mr Speaker, for the past two and a half decades, this day has been dedicated to the annual global observance of the International Day of Disabled Persons pursuant to United Nations Resolution 47/
3.
This day seeks to communicate to the global community the need to promote the rights and wellbeing of persons with disabilities in all spheres of society and development. It also aims to increase awareness of the situation of persons with disabilities in every aspect of political, social, economic and cultural life as part of the 2030 Agenda for Sustainable Development, which boldly and rightfully pledges to “Leave no one behind”.
Mr Speaker, available statistics from the World Health Organisation indicates that about one billion people around the world live with a disability -- that is roughly 15 per cent of the global population of the world's poor are disabled. The percentage of children with disabilities not attending school is extremely variable and is between 65 - 85 per cent in some African countries.
In Ghana, the 2010 Population and Housing Census revealed that there are 737,743 persons living with some form of
Mr Speaker, the Persons with Disability Act of 2006, (Act 715) provides in part 11:20 a.m.
‘‘Section 6: The owner or occupier of a place to which the public has access shall provide appropriate facilities that make the place accessible to and available for use by a Person with Disability.
Section 7: A person who provides service to the public shall put in place the necessary facilities that make the service available and accessible to a Person with Disability.
Section 39: A person or institution which organises a national, regional or district activity, shall as far as practicable ensure that facilities are made available for the participation in the activity by persons with disability.”
Section 60: The owner or occupier of an existing building to which the public has access shall within ten years of the commencement of this Act make that building accessible to and available for use by a person with disability.''
Mr Speaker, the question we must all be asking ourselves is when are we going to rise up and take action as a country by enforcing these clear provisions in the law?
Mr Speaker, long after the 10 year period we gave ourselves to take preparatory measures, 12 years on, many public buildings, including Ministries, Departments and Agencies, Metropolitan Municipal and District Assemblies, schools, hospitals, banks and places of worship are not disability compliant.
Most of these buildings have no disability friendly facilities whatsoever. Surprisingly, even access to many parts of Parliament are not disability friendly.
It is time to show genuine commitment and to lead by example. It is an indubitable truth that inaccessible environments restrict the movement of PWDs and thus negatively affect their health, self esteem and life satisfaction which are three factors critical to successful living.
On the streets of Accra, it is dis- heartening to observe that an apparent majority of persons seeking alms are persons with disabilities. Many of these persons are homeless as they resort to seek refuge under bridges and pavements as their places of abode, amidst all the dangers and they are at the mercy of the vagaries of the weather.
Mr Speaker, Mahatma Gandhi once said, “The true measure of any society can be found in how it treats its most vulnerable members”.
Mr Speaker, under Part V of the Ghana Labour Act of 2003 which deals with persons with disability, it provides for the registration of persons with disability. It also outlines some incentives that both the disabled person and the employer may enjoy.
This is very much in line with the rights of PWDs to inclusive economic growth, full and productive employment which remains paramount to the international community as demonstrated by Sus- tainable Development Goals 4,8,10, 11 and
17.
Mr First Deputy Speaker 11:30 a.m.
Hon Members, in view of the three Statements that have been read, I would admit one
contributor each from both Sides of the aisle and I would bring the discussion to a close.
Dr Emmanuel Marfo (NPP -- Oforikrom) 11:30 a.m.
Mr Speaker, I thank you very much, and I would also want to commend the three Hon Members who made the Statement.
Mr Speaker, this shows that the issue of people who live with disability and how it should be responded to as a country is an important subject. I would want to thank the Hon Members who made the Statement for bringing this important subject to the fore, and to say that even at the continental level, serious efforts have been made to deal with this subject of disability.
Mr Speaker, in the African Union (AU) the first inspirational theme of its Agenda 2063, is prosperous Africa based on inclusive growth''. The AU is pursuing a social policy agenda that has been titled, ‘'Social Agenda 2063'', which would give a concrete effect to the social policy objective of Agenda 2063.
Mr Speaker, one of the pillars of that social agenda is social protection. Just last week at the AU, a protocol to the African Charter on human and people's rights on the rights of citizens to social protection was validated and the document would be sent to the General Assembly of AU and ultimately, it may come to this House for ratification.
I would want to urge all Hon Members to give their support to it so that the Protocol would be ratified because it would provide a continental legal frame work for governments to implement measures that would ensure social protection particularly, for those who live with disability.
Dr Emmanuel Marfo (NPP -- Oforikrom) 11:40 a.m.
Mr Speaker, article 12 of that Protocol
focuses on persons with disability. We should be clear that in addition to thinking about people who are physically disabled, there are other people who must not be forgotten in the equation, and these are children with learning difficulties and people with conditions like albinism.
Mr Speaker, it is regrettable that even today, as I speak, there are people who believe that albinos, for example, are good for doing all kinds of sacrifices. All these people must be brought under the umbrella so that they could be dealt with as people with disabilities.
Mr Speaker, it is regrettable that after the Disability Act has been passed, the measures that are contained in the Act have not been fully implemented.
In that respect, I would associate myself with the numerous recommenda- tions that have been made by the Hon Members who spoke earlier, and also to commend you and the Leadership of this House for bringing the sign language interpretation to the Chamber.

In addition to that we also need to have in our hospitals and police stations, people who have basic understanding of sign language. This is because, as it stands now, people who are, for example, impaired in terms of speech may not be able to have access to justice.

When they go to police stations, they may have to depend on people to interpret for them. If we go to the hospital and there is an emergency, our hospitals do not have, for example, staff who have basic training in sign language.Perhaps we should pay attention to that.

We as Members of Parliament should also take the trouble to learn some basic sign language so that we can become effective representatives of the people.

Mr Speaker, to conclude, as a Parliament, we need to discharge our oversight responsibility over this area in a more forceful way.

In that respect, the Committee for Gender and Children should be up and doing and ensure that the various provisions that protect the rights of people with disabilities are respected, and that measures are put in place to make sure that we implement the Disability Act to the fullest limit.
Mr Benjamin Komla Kpodo (NDC -- Ho Central) 11:40 a.m.
Mr Speaker, I would want to associate myself with the Statements made towards the welfare of people with disabilities.
Mr Speaker, apart from all these legal issues and international declarations, what is of great concern to us should be how these people are managed and cared for in our local communities. We know that the first point of call comes from the family of People with Disability (PWD).
Apart from that, various organisations and Non-Governmental Organisations (NGOs) do take care of people with disabilities. But I would want to emphasise on what the State of Ghana is doing now to help people with disability.
Mr Speaker, Members of the Committee on Local Government and Rural Development of Parliament have taken it as a serious matter for deliberations at our meetings, and we have toured several District Assemblies to see how they are managing people with disabilities.
Mr Speaker, the policy now is to allocate three per cent of total amount due to the District Assemblies Common Fund (DACF) for the welfare of people with disabilities in the various District Assemblies.
In fact, I am one of the critics of authorities taking money from District Assemblies Common Fund for expendi- tures elsewhere. But I have a very soft spot for this particular one, and more so because it is being administered by the District Assemblies.
Mr Speaker, last year, an amount of GH¢54,364,333 was approved by this House for disbursement to the District Assemblies across the nation for the welfare of the PWDs. Earlier, GH¢47.3 million was allocated in 2017, and this year, it is expected that about GH¢60 million would be made available from the DACF towards the welfare of the PWDs.
Mr Speaker, what the District Assem- blies Common Fund has done is to support all the District Assemblies to register all people with disabilities, and to make album of all the people registered so that they can easily be identified in the District Assemblies for attention.
We went to some of the District Assemblies during our tour and found out that they have done very beautiful albums with their pictures and the type of disabilities that they have so that they can be easily accessed for assistance. But we realised that there are many District Assemblies which have failed to do proper registration and the production of the albums.
Mr Speaker, I would call upon our Hon Colleagues to take interest in this so that when they go back to their District
Assembles, they would impress upon the Metropolitan, Municipal and District Chief Executives to get the registration properly done and the people with disabilities properly classified so that they can be given attention.
Most of the support given to them are in the form of paying the school fees of those who are in education. They are supported to pay their school fees; some are given funds to procure items such as refrigerators, sewing machines and corn mills, which can enable them improve upon their economic wellbeing.
But some also use these moneys for daily living and other domestic expenses.
Mr Speaker, I believe we should get involved and make sure that when the funds go there, these people are economically empowered so that they would not have to be dependent on the disbursement.
Mr Speaker, I think the process of giving out the funds is another problem we have discovered in the District Assemblies. One has to register, apply and if the person is an illiterate and unable to apply for the assistance that the person is due, then that person could be left out.
So we have been calling on the District Assemblies to be more proactive; they should go to the people and help them to identify what they need so that they can properly support them.
Mr Speaker, we have also found out that some of the funds given to them are kept in accounts for longer than necessary, when the people who are really disabled need these moneys.
So the District Assemblies are also called upon to make sure that as soon as
Mr First Deputy Speaker 11:40 a.m.
Very well.
Hon Member, I think it is enough on this Statement.
I just wish to state that there was a report which was referred to by the Hon Member for North Tongu, that a member of the Right To Information (RTI) Coalition who suffers a disability was refused access to the Chamber.
The Public Affairs Department has issued a Statement, but I want the records to reflect that it is not the policy of Parliament to disallow people with disability into the Chamber.
Our security are denying the report, but if it did happen, it is most unfortunate and regrettable. But we would assure the public that every effort would be made to facilitate people with disability who wish to enter or visit Parliament in future.
Hon Bedzrah, are you ready to read your Statement on — You did it on Saturday? You should not have done it in my absence. You know I am interested in that very much.
Mr Emmanuel K. Bedzrah 11:50 a.m.
Mr Speaker, sorry, it was taken on Saturday in your absence.
Mr First Deputy Speaker 11:50 a.m.
Very well.
Mr First Deputy Speaker 11:50 a.m.
Hon Members, at the Commencement of Public Business. [Pause.]
Hon First Deputy Majority Whip, where do we start from?
Mr Matthew Nyindam 11:50 a.m.
Mr Speaker, I believe we can lay the Papers listed under the item numbered 4(a). With your leave, the Hon Minister for Health would present the Papers for and on behalf of the Hon Majority Leader.
Mr First Deputy Speaker 11:50 a.m.
Very well.
Hon Members, the item numbered 4 -- Presentation of Papers.
Alhaji Mubarak M. Muntaka 11:50 a.m.
Mr Speaker, I would want to be sure that we have sufficient copies before we go ahead to lay the Papers.
Mr First Deputy Speaker 11:50 a.m.
Hon Minority Chief Whip, you were asking if we have sufficient copies of the Papers. I believe strongly that we do have.
Hon First Deputy Majority Whip, these Papers were to be laid by the Hon Majority Leader in his capacity as Hon Minister for Parliamentary Affairs. They are estimates for the independent constitutional bodies and so I believe you would be in a better place to lay it on his behalf rather than letting Members of the Executive lay those papers.
Mr Nyindam 11:50 a.m.
Very well.
Mr Speaker, because the Hon Minority Leader is the Vice Chairman of the Committee, he has expressed interest to lay them on behalf of the Hon Majority Leader. So I think the Hon Minority Leader
-- 11:50 a.m.
Mr First Deputy Speaker 11:50 a.m.
Hon First Deputy Majority Whip, do not break protocol, please. You would lay the Papers on behalf of the Hon Minister for Parliamentary Affairs.
PAPERS 11:50 a.m.
Mr Haruna Iddrisu 11:50 a.m.
Mr Speaker, I note that the First Deputy Majority Whip has undertaken this obligation on behalf of the Hon Majority Leader and Minister for Parliamentary Affairs.
These very constitutional bodies as you advised then, in accord with the Constitution of Ghana, Audit Service, Parliament of Ghana and the Judiciary, we are expecting that the President as head of the Executive would have conveyed his
position and decision on this matter. May I be assured that that has been done? It is not just a question of laying their estimates.
Their estimates are required by law that the President would formally convey them to us. So do you have the President's foreword on this matter?
I thank you.
Mr First Deputy Speaker 11:50 a.m.
Hon Member, I have them and they are all here; they have been forwarded by the President.
Hon First Deputy Majority Whip, are we ready to do item 4(b)?
Mr Nyindam 11:50 a.m.
Mr Speaker, yes, we will do the item numbered 4(b).
Mr First Deputy Speaker 11:50 a.m.
Very well.
The item numbered 4(b)(i) by the Hon Chairman of the Committee.
By the Chairman of the Committee --
(i) Report of the Finance Committee on the Deferred Payment Agree- ments between the Republic of Ghana represented by the Ministry of Finance and Minis- try of Roads and Highways and Sinohydro Corporation Limited setting the terms and conditions of the deferral of payments under the EPC Contract Agreement in respect of Construction Rehabili- tation of Selected Roads and Interchanges in Ghana -- Phase
1.
Dr Assibey-Yeboah 11:50 a.m.
Mr Speaker, the item numbered 4(ii) and 4(b)(iii) are not ready at the moment. We have not even met on them.
Mr First Deputy Speaker 11:50 a.m.
Very well.
Mr Cassiel Ato Baah Forson 11:50 a.m.
Mr Speaker, my Hon Colleague laid the Sinohydro Agreement but the document is not ready.
Mr First Deputy Speaker 11:50 a.m.
Hon Member, which item are you talking of?
Mr Forson 11:50 a.m.
Mr Speaker, the item number 4(b)(i) is not ready.
Mr Speaker, in fact, the Committee met over the weekend, on Sunday. We expressed some reservations about it and informed the Hon Chairman of the Committee and he was supposed to get the documents ready for us today to have a look at it. But as we speak, we are not aware of it.
I thank you.
Dr Mark Assibey-Yeboah 11:50 a.m.
Mr Speaker, the Committee met in Koforidua last Saturday; he was not there. So for him to try to arrest the laying of the Paper at this stage; the Hon Member was not there. The Hon Minister for Finance and his entire team came and matters were concluded. The Hon Collins Dauda seated next to him would attest to that.
There are no outstanding issues; the Report is ready.
Mr Forson 11:50 a.m.
Mr Speaker, the Committee on Finance had a meeting on Saturday and Sunday. On Saturday, the Hon Collins Dauda represented me because I had an engagement. We met again on the Sunday.
On Saturday when the Committee met, I told the Hon Chairman of the committee that we had issues with the Report and the Hon Collins Dauda actually expressed that at the Committee meeting.
Mr Speaker, we told the Hon Chairman of the Committee that we would like to see the Report before it is laid. As we speak, I have not seen a copy of the Report. So if the Report is ready, they should let us have a look at it.
Personally, I have not seen the Report and so I do not know what he is talking about. The issue here is with the Report which we have not seen.
Mr First Deputy Speaker 11:50 a.m.
Hon Chairman of the Committee, if you have any response, otherwise I intend to --
Dr Assibey-Yeboah 11:50 a.m.
Mr Speaker, over the weekend, there was really a number of businesses before the Committee on Finance. We programmed these --
The matter on the Sinohydro Agreement, we had earlier met here in Parliament and the Minority asked for a breakdown of the EPC Contract Agreement cost. The Hon Minister for Finance who had travelled out of the country said he wanted to be here himself to explain.
He came to Koforidua on Saturday and explained. None of his members present complained. The matter was concluded.
Mr Speaker, all we have to do now is to lay the Report and take it.
Mr First Deputy Speaker 11:50 a.m.
Hon Chairman of the Committee, is the Report ready?
Dr Assibey-Yeboah 11:50 a.m.
Mr Speaker, it is ready.
Mr First Deputy Speaker 11:50 a.m.
Hon Members, the Report is duly laid; it is for distribution to Hon Members. [Interruption.]
Alhaji Muntaka noon
Mr Speaker, with the greatest respect, I am not a member of the Committee on Finance. But the Hon Chairman is very much aware, as he has been a member of the Finance Committee before while in opposition---
There were several instances in this Chamber where he and the then Ranking Member, Dr A.A. Osei, would say that they have not seen a copy of the report.
Mr Speaker, our practice under Order 75 is that when the draft of the report is ready, the Committee is supposed to consider and look at it before it is concluded as the Committee's report.
So if the Hon Chairman of the Committee is saying that he has looked at it alone and so he is going to lay it, he should say so. But he should not say that the Committee's Report is ready, this is because no member has seen it apart from him.
Mr First Deputy Speaker noon
Hon Members, I am surprised at this issue because this is not the first time we have had this matter discussed.
It has always been a disagreement between Hon Chairmen and Hon Ranking Members that after the meeting they must see the Report. When the Leader was here, he had had to settle these matters. There was no hard-and-fast rule saying that when a meeting is concluded, the Hon Chairman must show the Report to the Committee.
Sometimes, the Clerks to Committees would bring them to you to read and make your comments but the Report of the Committee is to be prepared by the Hon Chairman.
If it is distributed and you find that something which you did not discuss is included in it or that something you discussed has been excluded, you are entitled to draw the attention of the House.
But certainly, it cannot be that because the Ranking Member or the Member of the Minority has not seen it, then it is not a report.
The Report has been laid already. It is for distribution. If the Committee has any disagreements on it, they could conclude it.
Yes, Hon Minority Leader?
Mr Iddrisu noon
Mr Speaker, I would be guided by your comments but in practice, I have worked with you at the Appointments Committee as a Ranking Member. I am aware that even as the Committee concludes its work and you peruse the Report, you have courteously shared it with me sometimes through the Clerk to the Committee.
Now, what is important is, in respect of Sinohydro Corporation Limited, the Minority expressed some strong views that they want it contained in the Report.
We have seen instances on this Floor of the House where we have been asked why we did not question it at the Committee level; why we did not get our complaints captured at the Committee level?
I am not a member of the Committee on Finance. I was not where they had their meeting, but if that improves the work of this House, let it be. I do not see what difficulty it is for the Hon Chairman of the Committee to confer with his Ranking Member and other members on the contents of a report and finally sign same to lay before Parliament.
Mr First Deputy Speaker noon
Hon Members, I believe I have heard enough. The Report has been laid and I have ordered that it be distributed. Let us proceed.
Are we ready to do the item numbered 4 (c)?
Mr Nyindam noon
Mr Speaker, we could do the item numbered 5 on page 4--- Motion.
Mr First Deputy Speaker noon
Very well, Hon Members, the item numbered 5; Motion by the Hon Chairman of the Committee?
MOTIONS noon
Chairman of the Committee (Dr Kwabena Twum-Nuamah) noon
Mr Speaker, I beg to move, that this Honourable House adopts the Report of the Committee on Health on the Service Agreement between the Government of the Republic of Ghana, represented by the Ministry of Health and Fly Zipline Ghana Limited for the Delivery of Emergency Health and Blood Products to Public Health Facilities in Ghana.
Mr Speaker, in so doing, I would present your Committee's Report.
Introduction
On Thursday, 22nd November, 2018, the Service Agreement between the Government of the Republic of Ghana,
Represented by the Ministry of Health and Fly Zipline Ghana Limited for the Delivery of Emergency Health and Blood Products to Public Health Facilities in Ghana was presented in Parliament by the Hon Minister responsible for Health, Mr Kwaku Agyeman-Manu.
The Service Agreement was sub- sequently referred to the Committee on Health for consideration and report in accordance with the Constitution and Order 178 of the Standing Orders of the House.
Joining in the deliberations of the Committee, was the Hon Deputy Minister for Health, Ms Tina Mensah and other officials of the Ministry of Health. The Management of Fly Zipline Ghana Limited, a party to the Contract, was also in attendance.
Reference documents
The Committee made reference to the following documents:-
a) The 1992 Constitution of the Republic of Ghana.
b) The Standing Orders of Parlia- ment.
Brief background information to the Service agreement
Universal Health Coverage is critical to the achievement of the Sustainable Development Goals, particularly the Goal 3 -- “ensure healthy lives and promote wellbeing for all at all ages” by the Year
2030.
The World Health Organisation (WHO) defines Universal Health Co- verage as “ensuring that all people have access to needed promotive, preventive, curative and rehabilitative health services, while also ensuring that people do not
suffer financial hardship when paying for these services”.
The concept has to be considered a priority by every country that is desirous of attaining an appreciable level of socio- economic development. The framers of our Constitution in their own wisdom, included a provision that would ensure right to health for all and that is enshrined in article 30 under Chapter Five of the 1992 Constitution of the Republic of Ghana.
Concerted and relentless efforts have been made by various governments and other stakeholders to improve upon Ghana's health indicators tremendously. These include the introduction of the National Health Insurance Scheme (NHIS), the expansion of our hospitals and clinics as well as the Community-Based Health Planning Services (CHPS) compounds and the provision of equipment, logistics and human resources respectively.
Notwithstanding the successes chalked, the health sector is still bedeviled with challenges. Some of which include the inequitable distribution of medical supplies, blood and blood products which adversely affects the quality of health care in the country.
Our primary health-care system, particularly the CHPS system designed to provide health services to people in the rural areas or remote parts of the country face difficulties when it comes to medical supplies due to lack of transport and poor road network.
During childbirth, women could lose large amounts of blood, with some having to receive between six (6) and ten (10) units of blood to survive. Unfortunately, the blood banks in the regions are not always able to meet the demand.
Most facilities that transfuse blood in the Country do not have regular access to componentised blood from the National Blood Service and there is also the lack of equipment used to keep blood and transport within the requisite time period of 90 minutes after pick up.
Bleeding during childbirth is known to be the leading cause of maternal mortality in Ghana, constituting about 30 per cent on the average, followed by hypertension in pregnancies. In 2017 for example, out of a total of one hundred and ninety-seven (197) maternal deaths, one hundred (100) were attributed to bleeding.
Some accident victims also die needlessly because of blood losses and other people, especially those in the rural or remote areas of the country, die from snake bites because of the lack of anti- snake venoms. There is therefore the need for the country to be innovative in finding solutions to the challenges in the health sector, some of which has been mentioned afore.
One of the innovative ways will be the use of the Remotely Piloted Aircraft Systems (RPAS), popularly known as drones to ensure reliable and timely deliveries of essential health care commodities and other medical supplies to health facilities across the length and breadth of the country, particularly those that are unreachable by road.
Fly Zipline, one of the biggest business establishments in the world which provides services through the use of drones, has been identified in this regard.
Following Ghana's discussion with Zipline, a Memorandum of Understanding (MOU) was signed with the company, subsequent to which consultations were made and the Service Agreement in question, was prepared and sent to Cabinet for approval.
Mr First Deputy Speaker 12:10 p.m.
Hon Ranking Member of the Committee on Health, Hon Yieleh Chireh, would you not talk?
Mr Joseph Chireh 12:10 p.m.
Mr Speaker, I would not second the Motion; I want to contribute.
Dr Kojo Appiah-Kubi(NPP -- Atwima- Kwanwuma) 12:10 p.m.
Mr Speaker, I beg to second the Motion.
Question proposed. Mr Joseph Yieleh Chireh (NDC-- Wa
West): Mr Speaker, thank you very much for the opportunity.
Mr Speaker, first, the procedure adopted for this Agreement is not normal. This Agreement was referred to us by Cabinet, and it had sole sourcing approval from the Public Procurement Authority (PPA). If the Hon Minister for Health is to embark on a project of this importance, he ought to have the project properly outlined.
Mr First Deputy Speaker 12:10 p.m.
Hon Member, let me get something clear. Did you say this Agreement was referred to the Committee by Cabinet?
Mr Chireh 12:10 p.m.
Mr Speaker, the Service Agreement was referred to Parliament by Cabinet.
Mr First Deputy Speaker 12:10 p.m.
Alright, you are talking as an Hon Member of the Committee, so I wondered -- I thought “us” referred to the Committee.
Mr Chireh 12:10 p.m.
Mr Speaker, the most important thing is that if this was a policy -- the policies concerning this project ought to be in a memorandum jointly signed by the Hon Minister for Health and the Hon Minister for Finance because it has financial implications for the public purse. This was not done.
In any case, the Agreement has been executed. The Hon Minister for Health signed this Agreement, so are we to rectify it? What are we to do? The procedure is that Parliament must approve the Agreement and then the executing Hon Minister signs it.
Secondly, there was no value-for- money as has been indicated in the Report. Drone technology is widespread and many people practice it; drones are used for so many things.
Why is it that in this particular case we are going for sole sourcing, when it was one of the major problems the New Patriotic Party (NPP) had with the National Democratic Congress (NDC) during their campaign? Now, they want Parliament to approve a sole sourcing Agreement. That is why I think it is abnormal.
If we look at the issue again, we need to identify -- If we had a memorandum, we would identify the real need. Today, we are talking about blood products to be taken by drones to remote areas. We are talking about drones taking essential drugs to remote areas.
The question we should ask is, do we really have supplies of anti-snake and anti-rabies that cannot be delivered? No. The problem is that they are not even available. So if we now want to use drone technology, what would it carry?
In the Agreement and the Report of the Committee, we would notice that there is a request for the Ministry of Health to stock medicines and blood products for them to be airlifted to the places. There is a problem with the Central Medical Stores and other stores generally.
The argument is made, that if we have this we would not need to stock many things; but the question would be, how many kilogrammes of medicine would this drone carry? It is a maximum of 1.5 kilogrammes.
If we look at the cost at the end of the day, there is a request for US$12 million. The Ministry of Health has not budgeted for this particular thing. In the event that Ghana National Petroleum Corporation (GNPC), which is a public institution, defaults in paying -- [Interruption]. Yes, GNPC, Tullow Ghana Limited and Melinda Gates Foundation are to fund the first phase, and we seek additional private sector support.
rose
Mr First Deputy Speaker 12:20 p.m.
Hon (Dr) Kojo Appiah-Kubi, I thought that when you supported the Motion, you would speak -- but now, you can speak.
Dr Kojo Appiah-Kubi (NPP -- Atwima Kwanwoma) 12:20 p.m.
Mr Speaker, thank you for the opportunity to contribute to the Motion on the Floor of the House and to support it and call upon my other Hon Colleagues to also do same because of its good nature.
Ghana has a high mortality rate, the current rate is about 8.1 per a thousand population. Even though, this rate has fallen from 16.7 over a decade to about 8.1 per a thousand population, the rate seems quite high and it is expected that the country reduces this rate considerably in order for us to achieve the Sustainable Development Goals (SDGs) on health.
Mr Speaker, one of the major causes of the high mortality rate is the difficulty of our health facilities in obtaining or making available, essential drugs, especially in hard-to-reach areas.
An innovative way to help in ameliorating the conditions of health facilities in remote areas is the use of remotely piloted aircraft systems, popularly known as drones.
The drones are expected to produce quite a lot of advantages; to improve the availability of essential commodities in our remote and hard-to-reach health facilities, improve efficiency and effectiveness of the supply chain of critical supplies, reduce waste, save lives and improve health outcomes.
That is the most important thing that this system will help improve health outcomes and standards of the people of Ghana.
Mr Speaker, it is therefore gratifying to note that the country has managed to recruit a renowned drone specialist company called Zipline; one of the world's largest drone operators.
This company has considerable experience in Rwanda, as it helped to improve their health outcomes and I believe that if we are able to team up with this company effectively, the country would also reap similar benefits.
Our security agencies have also undertaken background checks of this company and found it to be all right. It is also to provide the country with a lot of advantages. For instance, it will enhance the availability of drugs in our health centres, reduce mortality rate -- this is the most important thing which is to help us achieve our SDGs on health.
Mr Speaker, another advantage which we could expect from this Agreement is job creation. It is expected to create more jobs for our teeming population and one thing we could be proud of in signing on to this Agreement is that it promises to leave behind technology transfer as it is supposed to set up a training school to train Ghanaians in the drone technology; that is very important.
I believe this is a good Agreement that we should support because it is going to help improve our health outcomes and health standards of Ghanaians as well as improve our SDGs on health.
Mr Speaker, on this note, I urge my other Hon Colleagues to support the Motion because -- thank you for the opportunity.
Mr First Deputy Speaker 12:20 p.m.
Yes, Hon Ranking Member for the Finance Committee?
Mr Cassiel Ato Forson (NDC -- Ajumako/Anyan/Essiam) 12:30 p.m.
Mr Speaker, thank you for the opportunity to contribute to the Motion.
Mr Speaker, in doing so, I would like to draw the Committee's attention to page 4, item 4.3 -- “Service fee is US$88,000 per distribution center per month when fully deployed”
This is not factual nor accurate. The Service Agreement before us, that is the Ministry of Health and Fly Zipline Ghana Limited, and if I may refer you to page 39 -- Monthly base service fee is US$145,000.00 per month per distribution center---
Mr Speaker, again I refer you to the page 33 of the same Agreement, we have phase 1, 2, 3 and fully operational. If you look at phase one, it is for five per cent of the work and then if during night time deliveries, you are paid US$11,000.00 per month, per distribution center and then when you come to 25 per cent, you add on US$27,000.00 on top of the 11 per cent.
In phase 3, when they reach 50 per cent, you pay US$59,000.00 on top of the US$27,000.00. Then when it gets to 75 per cent, you pay US$88,000.00 on top of that.
Mr Speaker, that is why on the service level Agreement, they have given us an example of how they did the calculation, so that amount of US$88,000.00 is not accurate and the Committee must withdraw the Report immediately and bring a new one.
The second point is that we were told that each distribution centre is going to cost Zipline US$1million and then they are going to charge us US$145,000.00 per month, so that translates to about US$1.7 million per month, and they are going to

implement it per distribution centre and it would be for four years.

At the end of the four years, the equipment and the distribution centre will still not belong to the nation but to Zipline.

Mr Speaker, the US$145,000 per month would translate to about US$1.7 million per distribution centre. And so if you are to do the mathematics, it means the investor is investing US$1 million and Ghana as a State will pay the investor about US$7 million per distribution centre.

This translates to a return of 643 per cent. So the investor is making 643 per cent profit, yet the equipment does not belong to us.

Mr Speaker, what even strikes me is that, this is only for one. So for the four distribution centres, the investor is making profit of approximately 2,000 per cent. I believe this is ridiculous.

Mr Speaker, I call for this Agreement to be withdrawn immediately. I say this because if you are to look at the Agreement again, the drone would carry a maximum weight of nine litres or two gallons.

Luckily for us, in the Service Agreement, they provided us the specification of the drone. I did some basic online work using the calculations. With those specifications, each drone costs US$1,300.

Mr Speaker, how many drones are they saying we would deploy per distribution centre? US$1,300 per drone, and the person is charging us US$1 million for that

distribution centre. No, I believe there is something fundamentally wrong with the Agreement, and it should be withdrawn. They should go back, do some more work and bring it for approval.

Mr Speaker, the next point is the fact that this Agreement in question is a multi- year commitment on the State. The Public Financial Management Act requires the Hon Minister responsible for Finance to agree, sign and give them a commence- ment certificate.

I would not have asked this question if the memorandum before Parliament was jointly signed by the Ministry of Finance and the Ministry of Health. In this case, it was only signed by the Minister responsible for Health.

We demand that the Minister for Finance, just as we did to the Ameri Agreement, submits to this Honourable House, that he agrees that this Agreement goes through; and that he is in the known and there is the possibility of a future contingency loan that the State may end up in.

Mr Speaker, with these few words, I call on this Honourable House to strongly reject this Agreement and ask the Committee to go back and do further work. Clearly, the Committee's Report is misleading.

The Committee is misleading this Honourable House for us to believe that the Service Agreement is US$88,000. Indeed, it is not US$88,000 but US$145,000 per month per distribution centre. Even that US$145,000 includes the exemption of the customs duties and also a discount, so we should be aware of that.
rose
Mr First Deputy Speaker 12:30 p.m.
Hon Chairman, where are the others? I intended that you would conclude. Where are your other debators?
Yes, Hon Minister?
Minister for Health (Mr Kwaku Agyeman-Manu) 12:30 p.m.
Thank you, Mr Speaker. I stood up to urge my Colleague Hon Members on the other Side to support this Agreement and enable us approve it for us to be able to do some elevation of the use of technology in the health sector.
Mr Speaker, by policy, we are all aiming at strengthening our primary healthcare service delivery. We want to achieve universal health coverage and we are looking at equitable distribution of healthcare. Therefore these are some of the good things we could do to support our people who are living in far-to-reach areas.
Mr Speaker, if you look at the Report and the Service Agreement that was brought here, we passed it through Cabinet, and after Cabinet's approval submitted it to you, Mr Speaker, for the consideration of the House. This was duly referred to the Committee on Health and a lot of work was actually done there.
Mr Speaker, I would want to stress again, that the Hon Minister for Finance did not put his signature on because this is not going to be done from the Consolidated Account. The public purse is not going to come in here.
I am very glad that when the Hon Ranking Member of the Committee was speaking, he mentioned Bill and Melinda Gates Foundation. Is that where Ghana's Consolidated Accounts sits?
Why should the Minister for Finance come in when we have stated explicitly that this would not be paid for by the State,
but we have private sector corporate bodies that have given us indication of their willingness to fund the drone project?
tions and brought it to Parliament because of our constitutional obligation of this being a foreign transaction. That is why we brought it here. We did not come for them to approve the amounts or rates; we did come for them approve
Mr First Deputy Speaker 12:30 p.m.
Hon Minister, please, hold on.
Yes, Hon Minority Chief Whip?
Alhaji Muntaka 12:30 p.m.
Mr Speaker, the Hon Minister for Health is misleading this House.
The Business of this House is to approve matters that have public financial implications. In this House, we do not approve things that are supposed to be done by private people.
If the Hon Minister is stating now that the public has no financial burden of it and that is the reason the Minister for Finance has not signed, , he is at the wrong place because this House approves only things that have to do with public finance.
He should just take it away to the private people because in this House, we approve things that have public financial implications. He should either correct himself or stand by what he said, and find that he is at the wrong place. We are not involved in approving things that have to do with private people because our approval binds the State.
Mr Speaker, maybe that is not what he meant. He should correct himself. If that is truly what he meant, he is at the wrong place.
Mr First Deputy Speaker 12:30 p.m.
Yes, Hon Minister?
Mr Agyeman-Manu 12:30 p.m.
Mr Speaker, this House has been approving Legislative Instruments (L. I.) and Bills, some of which have no financial implications. So, we do not approve only things that have financial implications in this Chamber.
Mr Speaker, the Ministry of Health is leading the entire project and we are getting support from donors, therefore, the public should be interested in this matter. That is why we brought it here.
Again, Mr Speaker, I have said that because of the component part of it being done by foreigners, we deem it as a foreign transaction. That is why we brought it here for its approval.
Mr Speaker, one of my Hon Colleagues was talking about value for money. This is explicitly expressed in the Report, that we are in the process of getting the value for money audit done and it would be submitted to Parliament after this approval when it is ready before we move on.
Mr Speaker, we are building several Community Health (Based) Planning Services (CHPS) Compounds in rural communities. My Hon Colleagues know as much as I do, that we do not have very good roads across the entire length and breadth of our country. Some of these facilities are situated in very far away places from our referral facilities, at best, even the district hospitals.
Mr Speaker, the CHPS compounds provide service. When somebody is bitten by a snake and we would want to rush him from a village to a district centre where
we have a stock of venoms, we might probably see a situation where we cannot get to a facility before death occurs. And if we have these drones flying, we can fly some quantity of anti-snake venoms to the CHPS compounds for them to save lives in those areas.
Mr Speaker, my Hon Colleagues talked about the Central Medical Stores. I would want to inform them that inspite of the fact that we have not rebuilt what was burnt down, we now have 10 regional medical stores that are running and are functional.
Mr Speaker, this Agreement would not be utilised for only one year; we said four years. So if we do not have stock of medicines today, tomorrow and this year, what tells us that by next year or two years, we might not get stock sitting there for these drones to fly to people and to places where we need them?
Mr Speaker, corporate bodies would fund this project and they would need parliamentary approval to give them the confidence that the public is aware and that Parliament has approved of it before they commit their funds to us. Other than that, like my Hon Colleague, Hon Member for Asawase suggested, we would have no business coming here to do anything, but that is like a condition on us.
Those that we have approached have given us indication that they would want to support us fly these drones to some health service delivery areas and would want parliamentary approval before they commit their funds to it.
Mr Speaker, as my Friend, Hon Ato Forson, touted and talked -- I would insist and he should look at the calculations again. The monthly fee is US$88,000 and not the US$145,000 that he talked about.
This is not too small an amount and therefore, donors would want to see parliamentary approval before they commit funds. The amounts can be huge and that is why we are here for that approval.
Mr First Deputy Speaker 12:30 p.m.
Hon Minister, the Hon Member quoted from the Service Agreement. The figures he alleges are different from what is contained in the Report. You insist that what is contained in the Report is the correct one. Can we refer to the specific pages?
Mr Agyeman-Manu 12:30 p.m.
Mr Speaker, if you look at page 33 of the Service Agreement, the last box reads:
“Full operations. If deliveries are available during night hours:
US$88,000”
That is what is put there. I am surprised how we calculated and came to US$88,000, pointing figures of US$145,000 and so forth. It would not be that. We would only pay US$88,000 per month for this.
Mr Speaker, the page 39 that he talked about, that adds on penalties for non- performance on our part. If we are not able to pay promptly, they would add some amount for us to pay. That is why he has tried to do the calculations to come to US$145,000, but this is just an indication that we need to sit up and perform very well.
Mr Speaker, the donors who support us would also do their own due diligence before they commit themselves.
Mr First Deputy Speaker 12:30 p.m.
Hon Ato Forson, did you add the figures at pages 33 and 39 as he alleged?
Mr Forson 12:30 p.m.
Mr Speaker, unfortunately, my Hon Colleague's numbers do not add up because if to look at the page 33 that he made reference to, with your permission, I may read.
“Schedule 2: service Phasing and on Time Discount” shows you exactly how the cost is being built up.
It reads:
“Phase 1 -- Zipline provides notice in writing that it has completed installation of a distribution centre and at least one of the following conditions has been met:
i. the Activation date has been achieved for at least five per cent of public Health Facilities within the service range and selected for delivery by MoH;
ii. during the immediate preceding 30 days, Zipline has made at an average of at least 15 deliveries per day.
If deliveries are available during night hours: US$11,000"
Mr Speaker, phase 2 is when 25 per cent has been completed and they have achieved the same conditions. It goes to US$27,000 on top of the US$11,000.
Mr Speaker, phase 3 is when 50 per cent has been achieved on top of the US$27,000 and the US$11,000, we would get US$59,000 and then when it is fully completed, and that one, it is only 75 per cent, we would pay US$88,000 on top of that.
Mr Speaker, that is why when we go to page 39, it says 12:30 p.m.
“Schedule 4 - Example of Service of Level Calcullation”. So it shows us how the calculations are done here. It is in his own document.

include penalties and others?
Mr Forson 12:30 p.m.
Mr Speaker, no,it does not include penalties. It says, full operations -- US$80,000; phase III -- US$55,000; phase 1 -- US$10,000. So if you add the three, you would get the US$145,000. Mr Speaker, penalties are not included. This is his own document; it is not mine.
It continues to say:
“Monthly-based service fee with one-time payment discount:
US$134,000.”
If this discount has been given and the discount is when you pay promptly. It goes ahead to say that monthly adjusted service fee is US$154,000 and then service fee, if you do not even get the discount, is US$181,000.”
Mr Speaker, this does not include the discount. That is why I did not use --
Mr First Deputy Speaker 12:30 p.m.
Hon Minister, it is important because these figures would go into the record. I would want the explanations; not another accountant explaining because these are two accountants.
Mr Agyeman-Manu 12:30 p.m.
Mr Speaker, my very good Friend is trying to mislead the House. When he read the entirety of page 33, he mischievously refused to read the entire page 39.
Some Hon Members 12:30 p.m.
Read it.
Mr Agyeman-Manu 12:30 p.m.
Mr Speaker, I would read that to his hearing.
Some Hon Members 12:30 p.m.
Which page?
Mr Agyeman-Manu 12:30 p.m.
Page 39.
“DC1 -- Full operations for one (1) distribution centre: US$80,000.”
Alhaji Muntaka 12:30 p.m.
Mr Speaker, he has not finished reading.
Mr Agyeman-Manu 12:30 p.m.
MrPlease, I am reconciling. I am drawing their attention to where we have got it right.
Mr Speaker, if you move back to page 33, the last box reads 12:30 p.m.
“If no deliveries available during night hours: US$80,000.”
That is the figure which has been put here as US$80,000.
Mr Speaker, I will go on to the next box. phase 3 -- for additional distribution centre -- So, if you put on an additional centre, that is where we would get some extra money to be paid.
If we put on additional distribution centre, we are charged some other money which is lower than that and it is the additionals. When we add on as and when we move forward and expand coverage and the frequency of what we deliver, that is what would come to US$145,000, but the base service agreement fees is US$88,000 per month.
Mr First Deputy Speaker 12:30 p.m.
Your point is well made. Please continue.
Mr Agyeman-Manu 12:50 p.m.
Mr Speaker, I will continue. I was talking about our commitment to achieve universal health coverage in line with our colleagues across the globe. All along, whatever
conferences we have attended, WHO and United Nations, have both told everybody across the globe that we should strengthen our primary healthcare service delivery if we seriously want to achieve universal health coverage.
Mr Speaker, we cannot sit CHPS compounds in rural communities or riverine areas where vehicles cannot easily reach in about three hours. When it rains somewhere in western north, we cannot even reach where the facilities are and these are things that we can use to deliver blood, anti-snake venoms, and whatever, to make sure that we do not lose lives when we can avoid it.
Mr Speaker, some aspects of vaccines would have to be carried by these drones to enhance our service delivery system.
My Hon Colleague, the Hon Ranking Member for the Health Committee talked about the supply chain masterplan. Mr Speaker, he was in the Ministry and after fire gutted the Central Medical Stores, we lost commodities belonging to some of our donors, and Global Fund for example lost US$27 million of our commodities and the Ministry signed a Memorandum of Understanding with Global Funds to avoid the country paying pay back of US$27 million to them.

They would want us to improve on our master plan and supply chain, and they have identified four big milestones which they would utilise to forgive us the entire amount that they would recover.

Mr Speaker, last two years, when I got to the Ministry, none of these milestones

had been achieved, and as I speak now, we are working on the last one, which we call the Logistics Management Informa- tion System. So we have significantly improved our supply chain system over the last two years. We are now doing the last part of the distribution.

Mr Speaker, we have done our warehousing strategy, and we are on course, trying to look at visibility and how we can move.
rose
Mr First Deputy Speaker 12:50 p.m.
Hon
Member, if it is not on a point of order, I would rule you out before you complete.
Alhaji Collins Dauda 12:50 p.m.
Mr Speaker, thank you very much.
Mr Speaker, the Hon Minister is misleading this House, when in an effort to explain why even though Government has no commitment to this, he sought to bring this Agreement to this House.
Mr Speaker, the Hon Minister said that he considers this Agreement as an international business or an economic transaction. This Agreement that has been brought here, was introduced by way of a parliamentary memorandum, and in the memorandum, which I have in my hand there is nothing that talks about international business or economic transaction.
Mr Speaker, again --
Mr First Deputy Speaker 12:50 p.m.
Hon
Member, you are out of order. These matters were supposed to be considered by the Committee. We are now debating the Committee's Report.
Mr Collins Dauda 12:50 p.m.
Mr Speaker, it is being discussed here, and that is why the Hon Minister introduced it. This international business was not raised by the Hon Minister.
Mr First Deputy Speaker 12:50 p.m.
The Committee members have every opportunity to discuss this matter. Hon Member, you are out of order.
Hon Minister continue.
Mr Agyeman-Manu 12:50 p.m.
Thank you, Mr Speaker.
Mr Speaker, we are doing life span distribution, but some of our roads do not easily give us room to distribute very efficiently, and therefore, this technology would facilitate us to do a little bit more efficient work than where we are at the moment.
Mr Speaker, I would want to stress again, that we have actually contacted a number of our friends in the private corporate sector, who are ready to support us, and I would stress again, that this is not going to be an obligation on the national purse. We are going to get donor facilitation to be able to do this.
Mr Speaker, if we look at the Service Agreement, the company is going to assemble some of the drones in the country, and the indication is that they are going to train some of our young people to be able to do the assembling and also get some adequate knowledge into how these technologies can be done, assembled and flown.
I believe that they would pass on some technological knowledge to our young men, who can also probably build on it and do something even better than where we are now.
Mr Speaker, I do not see anything wrong with utilising donor support to enhance our systems to do better health care service delivery. Sooner or later, if we are not doing so well, our health outcomes and indicators would not improve.
We have committed ourselves to achieving the Sustainable Development Goals (SDGs) and the health related indicators in there. We can use this type of technology as a platform to support us deliver and do better health care in our country.
Mr Speaker, on this note, I would want to take my seat and continue to urge and encourage my Hon Colleagues to approve this Agreement, because there is no point in throwing away money that is going to come to us for free. I do not believe any other thing would help us.
Mr First Deputy Speaker 12:50 p.m.
Hon Zenator Rawlings?

Hon Member, are you not ready to debate? If not, then her name must be cancelled, and I should be informed of it.
rose
Mr First Deputy Speaker 12:50 p.m.
Yes, Hon Member?
Mr Kwame Governs Agbodza (NDC -- Adaklu) 12:50 p.m.
Thank you, Mr Speaker, for the opportunity to contribute to this important Motion on the Floor.
Mr Speaker, I identify with all the important things that the Hon Minister said about health delivery to our people, especially those of us who live in the rural communities. We on this Side would any day, night, and even on Saturdays support Government to deliver that.
Mr Speaker, however, before I go on, I would like to correct my Hon Colleague, the Hon Ato Forson, that the drones to be deployed do not carry nine liters. The Report given to us by the Hon Minister, basically, the per load is what you add to the vehicle itself, and it is just 1.75 kilogrammes.
In effect, it can only carry less than two pints of blood. That should be known. We are not going to be able to carry even two pints of blood, based on the specifications of the drones. So that is to be made clear. It cannot carry nine pints of blood.
Mr Speaker, I have also heard my Hon Colleagues talk about how successful this has been in Rwanda. Sometimes I cringe when I see us rush to use Rwanda as a yardstick. I thought that in terms of democracy and progress of things, we should be ahead of Rwanda. Rwanda, if I would want to put it more blankly, is more like a police state. What is the name of the opposition leader in Rwanda? Do we even know? So we should be careful.
Mr Speaker, in any case, those of us who claim that they have gone to Rwanda to understudy them, I would want to know where the report that they brought back to this House is? They have not brought any report, so they should not even mention the fact that they have gone to
learn anything in Rwanda. If they did, then the House should have been aware of that report. That report would have told us what they learnt from that place.
Mr Speaker, I would go quickly to this point. Are we saying that the Ministry of Health -- This is just by the way. I would, want to inform the Hon Minister that all the ten regions in Ghana have had regional medical stores all the time.
Mr Speaker, these are the questions that we needed to ask, that does Ghana have a stockpile of essential drugs to be sent to places including Adaklu, and that we have not found effective and cheaper ways of delivering it to Adaklu at the moment? No. Does Ghana have a stockpile of drug products that we cannot find ways of delivering to those who need them? No.
In fact, the reverse is what the Hon Chairman of the Committee himself said, that we are unable to get enough blood products to deliver for emergency. So, I do not know the essence of this.
Mr Speaker, secondly, we are talking about delivering blood products. We are a country of superstitious people. Are we aware, or have we carried out public education to tell people that when they are sick somewhere, an aircraft or a drone is going to deliver the blood that would be used for their transfusion? Have we educated the people on that? I do not think we have done that.
Mr Speaker, thirdly, the Agreement we have in front of us here has a Public Procurement Authority (PPA) approval through sole sourcing. I do not know what the Hon Majority Leader thinks about this anyway.

Mr Speaker, the second thing is that essentially, this is to deploy an unmanned aircraft. I am aware that the Government did not even seek to get approval from the Ghana Civil Aviation Authority.

They are yet to get it, because if we read paragraph 4.5, it uses the phrase: “will be”, but this is Government, and what prevents Government from actually getting the authorisation from Civil Aviation Authority with regard to the Safety Directive of 2016, which mandates that approval must be sought for before these things are flown?

Mr Speaker, it is quite curious that a project as important as this Government did not give us any reason why they need to do this, because as far as I am concerned, we do not have any excess blood or drugs that could not be distributed. Two, there is no reason to do this under this emergency where we have to use sole-sourcing. Three, there is no indication that the public is fully aware of the implications.

Mr Speaker, we are going to ask a foreign company—
Mr First Deputy Speaker 12:50 p.m.
Hon Member, are you a Member of the Committee on Health?
Mr Agbodza 12:50 p.m.
Mr Speaker, I am a friend to the Committee and I perused the Report adequately.
Mr First Deputy Speaker 12:50 p.m.
Oh yes, I thought you were a Member, then I would have asked you why you did not raise those matters at the Committee level, but if you are not a Member —
rose
Mr First Deputy Speaker 12:50 p.m.
On a point of order. Hon Member, hold on.
Yes, Hon Chairman of Committee?
Dr Twum-Nuamah 12:50 p.m.
Mr Speaker, thank you very much. I was happy you asked if the Hon Member is a Member of the Committee on Health.
Mr Speaker, in your Committee's Report, we have stated all his concerns. Paragraph 5.10 states and I beg to quote:
“It was also gratifying to note that representatives from the Ghana Civil Aviation Authority (GCAA) also visited Rwanda to investigate the operations of Fly Zipline.
The GCCA pledged to create an air corridor for the drones to prevent collisions with aircrafts.”
Mr Speaker, secondly, the same paragraph—
Mr First Deputy Speaker 12:50 p.m.
Hon Member, what is your point of order? What has he stated that — ?
Dr Twum-Nuamah 12:50 p.m.
Mr Speaker, he stated that GCAA is not aware of this operation, and I am stating that they are already aware of it. Also, in the earlier paragraph, the Committee --
Mr First Deputy Speaker 12:50 p.m.
Your point is well noted. You would have the right of reply.
Hon Member, let the Report guide you. Do not make things that are already catered for in the Report.
Mr Agbodza 12:50 p.m.
Mr Speaker, my point is quite clear, and I wish my Chairman could help me with it. The truth is that this is a very important project. The Government does not have certification to deploy Fly Zipline drones in this country. That is a fact.
Just having an off-the-record conver- sation with the GCAA— When they made Regulation 28, 2016, it was meant to be complied with and the last person to breach that should be the Government. An individual should breach that for us to bring that person to order, but if Government breaches it, what should the Government do to me or anybody who does that?
Mr Speaker, I believe this could be a very good project, but I cannot see anything in this Report that tells me that this is an urgent project that requires sole- sourcing, and that these drones would make healthcare delivery in this country any better.
In any case, if we go to Rwanda, the climate is even different. Even the deployment of the drones in this country in harmattan could be different. But somebody said they did not tell us how they are going to deploy. They gave us a map, and the map, ironically, does not even go through places that need it.
I would have thought that places like the Afram Plains should have been covered by the map they gave us, but it does not. It rather covers the cities; Kumasi, Accra, Tamale and other places. So I do not see the need for this.
Mr Speaker, just to make the point the Hon Minister was arguing with my Hon Colleague. Let me read the last paragraph of page 40 of the Agreement to confirm the cost of this project and it says:
“However, if the Ministry of Health succeeds in excmpting Zipline from applicable import duties and VAT based on Zipline's life-saving medical mission, the monthly gross service fee would be equal to the monthly based subscription fee less the onetime payment discount of US$11,000, which in this example is
US$134,000.”
So, where from the US$88,000 the Hon Minister quoted?
Mr Speaker, if you gave US$134,000 to the Hon Minister every month, he would do a lot by procuring essential drugs that could get to the villages, and I am sure, that the Ministry of Health could deliver those essential products to the various places without a drone. Nobody is against technology, but I believe this Agreement, at this stage, is not good for this House.
As I have said, there is no reason to do this through sole-sourcing. To do this without getting approval for the various reasons; the figures do not add up. I urge my Hon Colleagues, that even though we want healthcare to be delivered in this country, this Agreement smacks of a Government in a rush to do the wrong things, and we should withdraw this Agreement and bring it back when it is corrected.
This cannot be accepted in this House. I do not want to believe anybody is trying to create, loot and share as we are told that it is an acceptable phrase in this House. I urge the Hon Majority Leader to lead the crusade for this to be withdrawn and be done properly and brought back to the House for approval.

At this stage, we on this Side, can never support this Agreement. It is a wrong project.

Thank you very much, Mr Speaker.
Mr First Deputy Speaker 12:50 p.m.
Yes, Hon Member for Effiduase/Asokore?
Dr Nana Ayew Afriye (NPP -- Effiduase/Asokore) 1:10 a.m.
Mr Speaker, I rise to support the Motion and in so doing, I would want to touch on a few arguments made by my Hon Colleagues on the other Side.
Mr Speaker, it is worth to note that absolutely, we cannot replace a life lost. So if a sensitive Government is in a haste to see that an Agreement or a programme like this is implemented, then so be it. It is because we have the people at heart and it is the people who matter; those in the rural areas matter in this regard.
Mr Speaker, I listened to the argument and it was interesting for my Hon Colleague to come from an angle that the drones could lift barely, probably, two gallons of blood. He was corrected by an Hon Colleague that barely, one pint of blood. -- A pint of blood could save three lives.
Indeed, if we want to go into the mathematics of this, yes, 500ml of blood, that is a pint of blood could actually lift a whole blood cell by 1gramme per decilitre. Indeed, if we want to do the mathematics, which talks about the density of blood, because they are discounting the fact that a pint of blood is worthless.
If a pint of blood, indeed, could save three lives, and two kilogrammes could be
about four pints, we are talking about four lives saved. It is nothing mean and nothing to underestimate.
Mr Speaker, it is also worrying that in a global village like this, where everybody is trying to accept technology in the health systems everywhere, in all conferences, in the World Health Assembly, the use of technology in healthcare is one of a kind that is driving us to achieve universal health coverage in 2030.
We see our Hon Colleagues here talking about the fact that drones, today, in healthcare, would amount to spying. It is so sad. It is very sad; it is very terrible.
We cannot entertain that sort of argument here, especially when it borders on life. When that goes on we only have to mourn. We are not prepared to shed tears with Ghanaians, especially those in the rural areas. If others elsewhere do not want it, then the people of Effiduase/ Asokore need this.
Mr Speaker, there are times when you go to the rural areas, you may see that somebody from Ahensan in the Effiduase/ Asokore Constituency may want to come to Effiduase once in a week for anti snake venoms. Normally, they even struggle to find which car is going. We are at the age where technology would submit those things at our doorsteps.

Mr Speaker, imagine the person in Brofoyedu comes to Effiduase once in a week for such items and then, you have an emergency situation where you would have to transport them. In such areas, the cars commute once every six hours. They are overloaded and they are totally full of people.

So, we are talking about access. According to Thaddeus and Maine, 1994:

“One of the most critical reasons of seeking healthcare is access”.

A delay in the decision to access healthcare which is the first “D”, then a delay in reaching care, that is transportation -- [Interruption] Look at the fact that we have such a terrain. We have a huge infrastructural deficit and challenging terrain in this country. In the rainy season, it is sad and that is when we lose most lives, especially in the rural areas.

We come in with tears to sympathise with mothers. We have lost a lot of lives because of blood lost during pregnancy. We are talking about a case where we want to use technology to save a mother, and somebody is talking about the fact that we are using drones to spy. It is sad.

Mr Speaker, just as the donor community in Rwanda was able to support them, it is most likely -- [Interruption] I know that Rwanda is no exception. In public policy, policy does not come from the vacuum. They always caution in public policy not to reinvent the wheel. You have to look elsewhere and see what is happening.

Today, we are being told by my Hon Friends on the other Side that we are looking at Rwanda. Yes, we have to look at Rwanda because in the socio-economic bracket, we fall in the same category. In economic policy, you extrapolate by looking elsewhere. So such is it, and if we do not look at them, who would we look at? The United States of America (USA)?

Mr Speaker, it is absolutely clear -- [Interruption.] -- I have become very socialist today on an issue as donation of blood which is a matter of equity. To whom much is desired, you have to give. We tend to always shed crocodile tears with the rural areas. If we believe that the poor need it most, then this is the time we have to show it here.

We cannot speak on one hand when we are seeking votes from them, that we are just like them. You would see some persons pounding fufu or tending it among other things to identify with the poor. Today, we have to argue on a policy as prime as this, yet we are doing politics with it. Yes, we can do politics but not on the issue of health and on this day.
Mr First Deputy Speaker 1:10 a.m.
Leadership? Hon Minority Leader?
Minority Leader (Mr Haruna Iddrisu) 1:10 a.m.
Mr Speaker, thank you very much for the opportunity to contribute to the debate on the adoption of the Report of the Committee on Health on the Service Agreement between the Government of the Republic of Ghana, represented by the Ministry of Health and Fly Zipline Ghana Limited for the Delivery of Emergency Health and Blood Products to Public Health Facilities in Ghana.
In doing so, I would call for its rejection on the basis that it is premature. We have not laid the necessary conditions. What pregnant Ghanaian women desire and require from Government is not drones. They want support to undertake
rose
Mr First Deputy Speaker 1:10 a.m.
Hon Minority Leader, please hold on.
Yes, Hon Member?
Dr A. A. Osei 1:10 a.m.
On a point of order. Mr Speaker, I just want to remind my dear

The requirement of the law is that as long as it is sole-sourced, there would be value for money. That is a requirement and it is in the law.
Mr Iddrisu 1:20 p.m.
Mr Speaker, when you want to barber a madman, the best thing is to have him in your possession, then you can shave his head. I am holding here, a letter dated 3rd July, 2018, from the Office of the President written by Mercy Debrah Karikari, Secretary to the Cabinet and I quote:

Today, it is not against the law? He is quoting me that I said here that sole sourcing was lawful. I would produce the Official Report for him. I said value-for- money -- after 3rd July, this is Cabinet. He cannot think differently from Cabinet. The Cabinet, as far back as 3rd July, 2018 -- Mr Speaker, why are we in a rush?

Like I said, I have had the opportunity to work at a global level on matters relating to the use of information technology (IT) to improve child and maternal health. I have even advocated on this Floor for the use of telephones for the purpose of birth and death registration to improve the statistics.

Mr Speaker, may I refer you to this document before I come to the Committee's Report. It is the Ministry of

Health and Fly Zipline Ghana Service Agreement. Reference paragraph 5.7 to 5.9 and for our purposes. I have also had the privilege to be Minister for Communi- cations. Under this Agreement, the Government is being called upon to provide a data licence. That data licence would come at a cost.

The Hon Deputy Minister for Communication is here. Our last LTA WiMAX licence was sold for US$67 million. Under this Agreement, we are undertaking that the Ministry of Health would provide them with a data licence.

I would want a confirmation from the National Communications Authority on, one, the availability of spectrum and the use of that spectrum for this purpose. We need that assurance because it is not in the Report.

Mr Speaker, with your permission, I would want to quote exactly from paragraph 7.5 what is required under this Agreement.

‘'Ministry of Health shall provide Zipline access to and copies of all relevant data…''

Mr Speaker, this has to be looked at, but more importantly, where is the assurance of that license? When they say ‘'drones'', like I said, pregnant women in Ghana cannot even afford antenatal care and some cannot even afford laboratory tests. This is not what they require -- in technology of drones.

Mr Speaker, when the Hon Minister responded to Hon Ato Forson, he referred to pages 33 and 39 of the Report. Respectfully, with your permission, I
Mr Agyeman-Manu 1:20 p.m.
On a point of Order. Mr Speaker, I said this morning over and over again, that this Agreement when approved, would not put any financial obligation on the State, but the Hon Minority Leader has made references to releases from Ministries that always delay. Why does he say that this would be on the public purse, when clearly, that would not be done? So, where comes the releases?
Mr Iddrisu 1:20 p.m.
Mr Speaker, the Hon Minister may as well ask that page 40 be expunged from the document he submitted. I quoted from the document. It is not mine, so if he would want it to be expunged, he should say so.
Mr Speaker, in any case, let us get serious. Mr Speaker, how many paragraph 5s does the Hon Charman of the Committee want us to have? The ‘'conclusion'' paragraph 5 -- there is 5.1, 5.2, 5.3, then in pages 6, 7 and 8, there are still paragraphs 5.3 and 5.4. He should do well to correct it so that it would be captured well in the record, for him to know that he is not cruising on a drone accident on pregnant women-rushing us through this particular facility.
Mr Speaker, with your permission, I would want to quote paragraph 9.2 of the original document so that the Hansard will capture it which was submitted by the Hon Minister.
9.5.2 ‘‘License to data.
The MoH hereby grants to Zipline a non-exclusive, royalty free, perpetual, transferable, sub- license-able worldwide license to data…''
Mr Speaker, the MoH cannot do that. It must be the regulator, which is the National Communications Authority (NCA). First of all, its availability must be checked and their readiness to do same. Mr Speaker, why must it be given to Zipline for free? It cannot.
This is a spectrum we value -- millions of dollars. We should not, and that is why I do not support this Motion. It would not be given to them for free. Zipline should not have this license for free. Then it could be given to any other Ghanaian data company so they would do it.
Mr Speaker, I am not in the medical field, but technically, I would need the Ghana Civil Aviation Authority's comfort letter as to what would be the range of drones in Ghana. Is it from Kpando to Sefwi, or it would be just from Kpando to Ho, or it would be from Nkwanta to Suame? What range would it be [Interruption]. No! We still need to know the range. In my strong view, the preconditions have not been met.
Mr Speaker, to the Executive, this is the Parliament of Ghana and I believe we are called upon under article 181 -- my Hon Colleagues may want to find comfort in article 181(5) as international transactions. I have heard the Hon Minister debate and said that this should be approved for corporate entities and that they would guarantee. Where is Ghana National Petroleum Cooperation (GNPC) mandate to do this? No, Hon Member, you were here years ago, and you raised all the questions on GNPC. Values are timeless. Where is the mandate on GNPC and where would they have financing to pay for this? That has not been approved and it should not be approved.
They should concentrate on their core business. They should provide in the Report where it has been said, ‘'corporate social responsibility''.
rose
Mr First Deputy Speaker 1:20 p.m.
Hon Minority Leader, please, hold on.
Yes, Hon Minister for Monitoring and Evaluation?
Dr A. A. Osei 1:20 p.m.
On a point of order. Mr Speaker, I try to be a good Friend to the Hon Minority Leader, but he keeps referring to me. I would want to remind him that on the Floor of this House, GNPC paid for the Black Stars. He was then on the Majority Side. If we are paying for health - health and football, which one is better?
Mr First Deputy Speaker 1:20 p.m.
Hon Member, did he misrepresent you when he said ‘'you were protesting''? You were on the Minority Side then, and you protested. [Laughter].
Dr A. A. Osei 1:20 p.m.
Mr Speaker, you are right. I protested because it was football, but with this, we would want to save lives. We would want to save lives in his constituency and in his village, so that is what he should look at.
Mr First Deputy Speaker 1:20 p.m.
Hon Minority Leader, please conclude.
Mr Iddrisu 1:30 p.m.
Mr Speaker, again, on page 14, schedule 3 of the document, the core element of Zipline RPAS is the ZIPAUAV.
We would need assurance from the Ghana Civil Aviation Authority what this animal in this document represents, what it would fly and others. We do not have it. That is why I said that they should come properly.
Mr Speaker, I would want to serve you notice, that on this matter, we would want to be recorded as strongly opposed to it and ask for head count for the record, that those who voted for drones non-support to pregnant women to improve maternal and infant mortality -- these were Hon Members who approved this and even said that licence should be given free to Zipline from the regulator and no assurance from the Ghana Civil Aviation Authority. [Interruption].
The Hon Minister is not the regulator. Those Hon Ministers who serve the mandate of regulators are in trouble and would be in trouble. The Hon Minister's mandate is policy, he is not a regulator.

Mr Speaker, in concluding, we find a fee of US$88,000.00 and not US$145,000.00, plus or minus exemptions as it was stated in the Report. This means that if the Republic can afford this every other month, how much then do we need for his village to have a CHIP compound?

It is certainly not more than GH¢ 88,000 every month. And so for every year, we could have built a clinic or a CHIP Compound with this money, and that would improve access to maternal and infant healthcare.

That is not his primary concern, and he wants to give this to a technology company with a free license . We strongly oppose this, until the conditions that I have requested for are satisfactorily met.
Mr First Deputy Speaker 1:30 p.m.
Majority Leader, do you want to contribute or I should let the —
Nuamah — rose
Mr First Deputy Speaker 1:30 p.m.
Very well.
You may now have your right of reply.
Dr Twum-Nuamah 1:30 p.m.
Mr Speaker, thank you —
Mr First Deputy Speaker 1:30 p.m.
Hon Chairman hold on, the Hon Majority Leader wants --
Dr A. A. Osei 1:30 p.m.
Mr Speaker, the Hon Majority Leader has deferred to me — [Interruption.]
Mr Speaker, I do not know why there is fear and panic on that Side while I have not even spoken.
Mr Speaker, the Hon Minority Leader raised some issues, and I would want to address them. First of all, he speaks as if it is a requirement that this contract must be co-signed. There is no law like that.
The Minister for Health in his own capacity can sign this and bring it here, especially when he is telling us that there
is no Central Government commitment, for which he would have needed the signature of the Minister for Finance.
Mr Speaker, with respect to the Civil Aviation Authority, the Ministry is not a Regulator. But discussions have been held with GCAA and they are prepared to do that. But they cannot give the license when Parliament has not approved it. It would be what Kwaku Baako calls, “premature ejaculation”. We need Parliamentary approval to be able to go to all these people and do what is needed.
Mr Speaker, as the Hon Member for Effiduase/Asokore said, this is about lives. Those of us in the urban areas can drive to the hospitals easily.
In some villages, when it rains, even a motorcycle cannot get to the sick. — [Interruption.] — The doctor told us that one pint of blood can save three lives, even one life. I do not know whether they think that one life is not worth it. They should be thinking about it. In Adaklu, saving one life is important. Unless he wants to tell the people of Adaklu that he does not care about their lives.
The Member of Parliament (MP) for Adaklu should go and announce that he does not care about the lives of the people of Adaklu. This is because he does not want it.
Mr Agbodza — rose --
Mr Agboza 1:30 p.m.
Mr Speaker, I thank you for the opportunity. I just want to let my Hon Senior Colleague know that we have already said that any attempt to improve healthcare in this country is good.
But just to let him know that when the Agreement for the Bekwai District
Hospital Project came here to this House, it came with a full value- for -money report. And so when he says that we are in a habit of approving things without value for money, it cannot be entirely correct.
Mr Speaker is my witness.
Mr First Deputy Speaker 1:30 p.m.
I am not your witness in anything — [Laughter]
Hon Member please continue.
Dr A. A. Osei 1:30 p.m.
Mr Speaker, he is tempting me to go on a path that can generate more controversy — [Laughter] and I am inclined not to go there. This is because it could be future law suit.
Mr Speaker, but what I am trying to tell him is that, as the Doctor said, one life is very important.
The use of technology to improve primary healthcare is where everybody is going. As he said, one sits in a track to take six hours to try and give one pint of blood to a village when the drone can do it in no time. Let us please put the politics aside and look at the broader merits of what we are trying to achieve; better healthcare.
Mr Speaker, the Hon Member for Wa West who was a Minister for Health knows that it is important to airlift blood to his constituency,. It would be in his interest that this is done.
Mr Speaker, and so we should not go into areas — that we do not care about lives. This is because it could go that way.
Mr Speaker, just yesterday, there was an incident about blood even in Kumasi, a city. — [Interruption] — That is the whole point; blood is very important for all of us, more so for those in the rural
Mr First Deputy Speaker 1:40 p.m.
Hon Chairman of the Committee, you may now have your right of reply.
Dr Twum-Nuamah 1:40 p.m.
Mr Speaker, I would urge my Hon Colleagues to support this Motion.
Mr Speaker, on the issue of data, if you turn to paragraph nine of the Service Agreement, as part of the operations of
Fly Zipline Ghana Limited and this whole arrangement, there is supposed to be a software to manage the stocks and to train personnel in the stores area of the Ministry of Health. As part of that, we all know that health data is a very sacrosanct data.
We need to assure our partners that we would allow them to have this information not for anything, but to assist them in managing the stocks of which eventually they would be able to prevent stock out. It is not that we are selling a licence to them.
It is allowing them to have access to our stock and diseases levels so that they would be able to assist the Ministry in managing the exhibition of our medical consumables in the country.
Mr Speaker, secondly, as we speak, we have ten Regional Medical Stores in the country. After the Central Medical Stores got burnt down, we now operate a virtual central medical stores where all stocks are distributed to our Regional Medical Stores, such that as and when any agency or facility wants any supplies, the request is granted there.
What this arrangement is going to do is to augment the activities of the existing supply chain so that hard-to-reach areas, where ordinarily the vehicles that carry these consumables cannot go to, the drone technology will solve that problem.
Also, issues of cold-chain; with transportation of blood; one would need a specialised facility to transport them. This facility is going to solve that.
In Ghana, because of the fact that most blood banks in the hinterlands do not have the ability to separate blood into their blood products, all of them transfuse whole blood even though technology now has shown that transfusing whole
blood has a lot of complications. But that is what we are able to do.
Mr Speaker, no matter how small a facility is, with this arrangement, that small facility would have access to this component. This is because the blood would be prepared at the exhibition centre and sent to the facility as and when it is needed just in time.
So one would not even need to get facilities to stock and to componentise this blood. This is what this facility is going to solve.
Mr Speaker, at the Committee level, we were briefed by the Chief Executive Officer of the National Blood Service. She took us through the challenges they are facing in that institution and how this whole facility is going to support them to solve the problems.
Mr Speaker, in addition to the blood supply, the problem of vaccine transportation is going to be solved by this technology. We were shown pictures of where health personnel, during national vaccination exercises, have to walk through rising high waters sometimes almost to their chest levels carrying vaccines so as to reach some hinterlands.
The drone technology would prevent our health workers from going through these challenges. The drones would carry the vaccines to the centres and there would be no challenge for our health workers to walk through waters any more. Sometimes if care is not taken, they can even get drowned.
Mr Speaker, anti-snake venom is supposed to be free in Ghana but because of the fact that most areas do not have them, we have instances where people have to buy these anti-snake venoms.
The challenge is that one needs to store these anti-snake venoms under the right conditions but because we do not have those conditions, most of these anti- snake venoms do not even work.
This facility would enable all these areas where people normally get bitten by snakes to get these anti-snake venoms on time.
Mr Speaker, I would want to suggest and state that I had an unpleasant experience when I was working as a medical doctor in a hospital in Wenchi. An aunt of mine was bitten by a snake in the night and when they brought her to the hospital where I was working, there was no anti-snake venom.
I called Techiman Hospital, called Nkoranza Hospital, Kintampo Hospital and there was none. The woman was almost losing her life until I called a private hospital in Wenchi and we were able to get this anti-snake venom. The moment we gave the anti-snake venom to the woman, she survived and is still alive.
Mr Speaker, I know a lot of us here have had the unpleasant experience of losing some of our constituents because of lack of anti-snake venom. The drone technology would make the whole country accessible so that no matter where one is located. These anti-snake venoms can be sent to persons in time so that we do not lose our countrymen because of these avoidable deaths.
Mr Speaker, I would want to suggest --
rose
Mr First Deputy Speaker 1:40 p.m.
Hon Chairman, you would hold on.
Hon Member?
Mr First Deputy Speaker 1:40 p.m.
Hon Member, you are out of order.
Dr Twum-Nuamah 1:40 p.m.
Mr Speaker, the Hon Member is on my Committee and so I would not go along that tangent with him.
Mr Speaker, let me add that the distribution centres which would be a state-of-the-art would be fully funded by Fly Zipline Ghana Limited. Ghana as a country would pay nothing in building these four distribution centres.
Mr Avedzi 1:40 p.m.
Mr Speaker, probably, we need your direction whether the Chairman is not going to debate the Motion. I say this because he moved the Motion and is supposed to wind up. But he is in full gear debating the Motion and trying to defend something that he should have done when he was presenting the Report. So can Mr Speaker direct him to -- ?
Mr First Deputy Speaker 1:40 p.m.
Hon Member, the Chairman has a right of reply. So he is replying to the issues raised by Hon Members and that is what he is engaging.
Hon Chairman of the Committee, you would continue.
Dr Twum-Nuamah 1:40 p.m.
Mr Speaker, as I said earlier, the distribution centres would all be fully funded by the partners, Fly Zipline Ghana Limited. Ghana as a country would spend nothing in building these four distribution centres and so there is
no cost component there that would be borne by the State.
Mr First Deputy Speaker 1:40 p.m.
Hon Minister, did you say Ghana would not spend anything?
Dr Twum-Nuamah 1:40 p.m.
Mr Speaker, yes.
Mr First Deputy Speaker 1:40 p.m.
Are the donors not Ghanaian companies?
Dr Twum-Nuamah 1:40 p.m.
Mr Speaker, the example I can give is Ghana National Petroleum Corporation (GNPC) -- they are going to bear the operational cost that we would be paying to Fly Zipline Ghana Limited monthly. But the infrastructure that will be built by --
Mr First Deputy Speaker 1:40 p.m.
Hon Minister, the operational cost will cover the infrastructure so on that point, you are misleading the House. You should move away from that. [Laughter]
Dr Twum-Nuamah 1:50 p.m.
Mr Speaker, if you say so.
Mr Speaker, the security concerns about the fact that people's privacy will be invaded, National Security gave us a document where they have done background checks and all those things would be taken care of. There would be no invasion of privacy as far as this Agreement is concerned. So I would want to assure Hon Members that there is no cause for alarm as far as that area is concerned.
Mr Speaker, as it has been alluded to by the Hon Deputy Minister for Aviation, the Ghana Civil Aviation Authority (GCAA) has already had engagement with Fly Zipline Ghana Limited and after this Agreement has been approved by this
House, they would now move into the nitty-gritty, where they would finalise all the arrangements.
Secondly, Mr Speaker, staff of Ghana Health Service and the Ministry of Health would be trained. There would be technology transfer as part of this Agreement. So I believe at the end of the day, Ghana would be better off if we allow this Agreement to pass.
I would appeal to Hon Members to approve this Agreement so that the Ministry of Health could improve the health outcomes of the people of Ghana.
Mr First Deputy Speaker 1:50 p.m.
Hon Members, the debate has revealed certain things I wish we could resolve; the licence of the drones from the GCAA. The Report says that GCAA has agreed to consider them. Those are your words.
Then, there is controversy around this figure; “US$88,000.00” and “US$145, 000.00”. Should we not resolve that and be clear where we are? This is because there is still confusion in the records.
Mr Agyeman-Manu 1:50 p.m.
Mr Speaker, I do not see so much confusion on these records. I explained that the base fee is the US$88,000.00. Going forward, if there is the need for expanding coverage by adding on more, that is when the additional cost would come to add on to the US$145,000.00. But the first four years if we are not adding more drones and expanding so much, we would not pay the US$145,000.00.
Mr Speaker, there are some activities that are consequential to the approval of the Agreement. On the licensing issue, we have only engaged and there is indication that immediately Parliament approves, they would take us through the rigorous exercises to enable us achieve those ones.
I believe these are issues that should not stop us from approving the Agreement.
I thank you, Mr Speaker.
Mr First Deputy Speaker 1:50 p.m.
Hon Majority Leader, I would be guided by your direction. I would still have thought that as long as we are considering this Report, and it says that Zipline Ghana Limited is required to obtain GCAA or National Security approvals and to comply with health and environmental rules, and satisfy all legal requirements in Ghana, this suggests that there are still matters which are outstanding. [Uproar]
Hon Minster, I believe this matter should be concluded.
Mr Agyeman-Manu 1:50 p.m.
Mr Speaker, I would take that advice from you and I would want us to suspend the consideration of the Report and let us see the indication by virtue of written documentation which we could bring to you to enable us do the work.
I thank you, Mr Speaker.
Alhaji Muntaka 1:50 p.m.
Mr Speaker, I did not hear the Hon Minister for Health properly. He wants it deferred so that he provides which additional information? [Inter- ruption.]
That is why I am seeking the leave of Mr Speaker --
Alhaji Muntaka 1:50 p.m.


Mr Speaker, you might have heard him. I am seeking your leave for him to be heard again because I did not hear the reason he gave for it to be stood down. Is he bringing an additional information? I did not hear him because there was a lot of noise in the Chamber. Could he kindly repeat the reason he wants it stood down?
Mr First Deputy Speaker 1:50 p.m.
Hon Minority Chief Whip, I suggested that the House should get more information on these areas and the Hon Minister for Health seems to agree with me that the Committee does further work on concluding the authorisations and legal requirements and then satisfy the House before we put the Question.
Hon Majority Leader, you came in at the middle of the debate but the suggestion --
I would want to defer the Question for the Committee to do some additional work, on particularly paragraph 4.5, which suggests that there are outstanding regulatory approval and compliance with the law before the House takes it decision. The Hon Minister seems to agree with me, so I would defer the Question for the Committee to come back and advise us on that before we take the next step.
Mr A. Ibrahim 1:50 p.m.
Mr Speaker, I would
want precision so that they would not resubmit this Report to create confusion. What would be the content of the additional work? What are they supposed
to do to be able to crosscheck and see whether additional work has been done?
Mr First Deputy Speaker 1:50 p.m.
Hon Member, you were not paying attention but the Votes and Proceedings would capture my exact words.
Mr Kyei-Mensah-Bonsu 1:50 p.m.
Mr Speaker,
I believe we could move to item numbered 7 on page 5 of the Order Paper.
Mr First Deputy Speaker 2 p.m.
Yes, item numbered 7 by the Hon Chairman of the Committee?
MOTIONS 2 p.m.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 2 p.m.
Mr Speaker, I beg to move, that this Honourable House adopts the Report of the Finance Committee on Ghana's membership and subscription to the Share Capital of the Africa50 Fund for an amount of twenty million United States dollars (US$20,000,000) as Ghana's initial subscription to the Africa50 Fund (Vehicle for Accelerated Infrastructural Develop- ment in Africa).
Mr Speaker, in so doing, I present your Committee's Report.
Introduction
The request for approval of Ghana's membership and Subscription to the Share Capital of the Africa50 Fund for an amount of twenty million United States dollars (US$20 million) as Ghana's initial subscription to the Africa50 Fund (vehicle
Chairman of the Committee (Dr Mark Assibey-Yeboah) 2 p.m.


Project Development in order to gain full legal status and enjoy privileges and exemptions of the Fund.

Provision in 2018 Budget

In a response to whether budgetary allocation has been made in the 2018 Budget Statement, it came to light that Government has made adequate provision in the 2018 budget of the Ministry of Finance to cater for the payment of the remaining amount of US$15 million.

Conclusion

The Committee, having carefully examined the referral is of the view that Ghana's membership with the Africa50 Fund is in the right direction.

The Committee therefore recommends to the House to adopt its Report and ratify by resolution Ghana's membership and subscription to the Share Capital of the Africa50 Fund for an amount of, twenty million United States dollars (US$20 million) as Ghana's initial subscription to the Africa50 Fund (Vehicle for Accelerated Infrastructural Development in Africa) in accordance with article 75 (2) of the 1992 Constitution and the Standing Orders of the House.
Mr Alex Adomako-Mensah (NDC-- Sekyere Afram Plains) 2 p.m.
Mr Speaker, I beg to second the Motion.
Mr Speaker, Africa50 was launched to help address the most pressing impediments to infrastructural provision in the African continent. The aim of Africa50 is to improve Africa's infrastructure as quickly and broadly as possible, especially in sectors such as energy and transportation, which have important multiple economic effects.
Mr Speaker, Ghana's membership is necessary to secure confidence and investment in the private sector -- a non- African investor to undertake the necessary infrastructural projects.
Mr Speaker, Ghana stands a greater chance of borrowing heavy capital from Africa50 for the Ghana Investment Infrastructure Fund to finance its investment deficits.
Ghana has paid US$5 million, remaining US$15 million. It is because of this that Ghana is not enjoying the numerous benefits that other countries are enjoying. It would, therefore be more appropriate if Ghana is able to settle the remaining US$15 million to enjoy the benefits.
Mr Speaker, when it comes to the provision of the 2018 Budget Statement, we were informed in the Committee that necessary allocation had been made to cater for full payment in order to gain the legal status and exemption of the Fund. If Ghana is to ratify this treaty, it would go a long way to help Ghana's infrastructural development, so that we could borrow from Africa rather than go to the international world.
With these few words, Mr Speaker, I second the Motion.
Question proposed.
Mr Daniel Okyem Aboagye (NPP-- Bantama) 2 p.m.
Mr Speaker, I rise to support the Motion numbered 7 on page 5 of the Order Paper.
Mr Speaker, one of the challenges that we have as a developing country is the issue of infrastructure; be it roads, hospitals and what have you. I believe that if we look at the Report of the Committee, the focus of Africa50 is to assist member countries to develop their infrastructure.
This is consistent with our 2019 Budget Statement, especially when we talk about a situation where we are trying to leverage and take advantage of our bauxite to get a facility from Sinohydro Corporation to help develop our infrastructure, which is a critical need for our continuous development as a nation.
It is also consistent with Goal 9 of the Sustainable Development Goals (SDGs), which encourages industry, innovation and infrastructure. If we look at the benefits of Africa50, in paragraph 5.2 on page 5 of the Report, it basically provides the opportunity for member countries to leverage and get opportunities to raise money to finance their development agenda.
It also promotes the development of a highly efficient and productive private sector of member countries. There are also a number of benefits.
Mr Speaker, what I like about Africa50 is the fact that it goes ahead to tell the whole world that Africa is ready for development, and the market is open. It leverages both member States, regional and international organisations to bring money or invest in our infrastructure. Mr Speaker, I believe it opens doors for all of us to take advantage of.
I would also want to point out the fact that if we look at paragraph 5.6 on page 6 of the Report, provision has been made in the 2018 Budget Statement to pay for the difference; the US$15 million, that is left to support Ghana's membership and subscription to this laudable idea.
I believe that if we get into this, we would not only get concessionary or cheaper loans as funding members, but we would be able to take advantage to
support our budgetary and infrastructural needs.
Mr Speaker, on this note, I would like to encourage my Hon Colleagues to support and adopt this Report as well as ratify the request that is before us.
I thank you very much for the opportunity, Mr Speaker.
Mr First Deputy Speaker 2 p.m.
Hon Members, while Hon Acheampong speaks, the Hon Second Deputy Speaker would take the Chair.
Mr Richard Acheampong (NDC -- Bia West) 2:10 p.m.
Mr Speaker, thank you very much for the opportunity to speak to the Motion captured on page 4 of today's Order Paper.
Mr Speaker, Africa 50 is a very laudable idea and I call on all Hon Members to support your Committee's Report. Already, we have committed US$5million to this project and so, whether we like it or not, we need to pay the remaining US$15 million, to make it up to a US$20 million project so that among the 55 countries, Ghana could also stand the chance to benefit in terms of leveraging our capital development, infrastructure and so on.
This is a very good initiative, better than the Sinohydro Project that we have committed ourselves to signing. We hear people say it is a barter arrangement but in the original agreement, we cannot find the barter expressed in the document. On every US$500million, we are paying US$146million on the US$500million facility.
Under this Africa 50, we stand a better chance of gaining than going for the
MR SECOND DEPUTY SPEAKER
Mr Second Deputy Speaker 2:11 p.m.
Hon Members, since this is not a controversial Motion and you have agreed on it, I think I should put the Question but I see that the Hon Majority Leader is on his feet.
Mr Kyei-Mensah-Bonsu 2:11 p.m.
Mr Speaker, it is not really a contribution but I am looking at the Report we have before us and the Committee, analysing the referral to them, they are telling us in bullet 1.0 -- the reference documents. These documents were the 1992 Constitution of Ghana and the Standing Orders of the Parliament of Ghana. Just these two documents.
Mr Second Deputy Speaker 2:11 p.m.
Hon Majority Leader, what are you referring to?
Mr Kyei-Mensah-Bonsu 2:11 p.m.
Mr Speaker, paragraph 1.0 on page 2 of the Report.
I am not impressed at all by what the Committee has done. The source documents should include the work programme of Government which is the Budget Statement and how do we situate this in the context of the work programme of Government? How do we situate this because it is Africa50, in the context of the AU agenda for development which is Agenda 2063 and in the SDGs?
These are critical source documents that the Finance Committee should be informing us that they benchmarked this against those documents. They just write to us that they looked at the 1992 Constitution and the Standing Orders of Parliament and to me, that is certainly not spot-on at all.
The Finance Committee should be spreading their tentacles to look at these source documents in order for them to brief us whether we are on the right track or not but to say to us that the documents they consulted are the 1992 Constitution
and the Standing Orders, with respect to them, I disagree with them. It appears to me that they restricted themselves to the narrow path which will certainly not be good for us as a House.
Dr Assibey-Yeboah 2:11 p.m.
-- rose --
Mr Second Deputy Speaker 2:11 p.m.
Hon Chairman of the Finance Committee, your Leader is on his feet -- Are you standing On a point of order against your Leader?
Dr Assibey-Yeboah 2:11 p.m.
Mr Speaker, I can never do that.
Mr Second Deputy Speaker 2:11 p.m.
So what are you attempting to do?
Dr Assibey-Yeboah 2:11 p.m.
Mr Speaker, the only thing missing is for us to insert ‘inter alia' there, because for the Hon Majority Leader to also suggest that we restricted ourselves to only these documents will be most unfair to the Committee.
So what is missing there was for us to have said that we refer to these documents ‘among others, and we cannot list all the reference documents that we used in our deliberations.
Mr Speaker, so that is what is missing.
Mr Second Deputy Speaker 2:11 p.m.
When you use the term ‘inter alia', it means they are not the main documents but the point that the Hon Majority Leader has made is drawing your attention to the fact that these are key documents guiding Africa's development, including Ghana and that they should have been mentioned in the Report. So, it is just not sufficient to add ‘inter alia'. Do you understand?
I agree with you that it is difficult to tabulate all the relevant protocols, Instruments and Agreements but the major ones should have been referred to. I believe that in the body of the Report, at least, it is quite convincing why we are going in for this loan.
So it is something that should be noted by the Committee so that in your future Reports, you could bring that on board. I will move on to put the Question.
Question put and Motion agreed to.
Mr Kyei-Mensah-Bonsu 2:11 p.m.
Mr Speaker, if we could go to item numbered 8.
Mr Second Deputy Speaker 2:11 p.m.
Item numbered 8 -- Resolutions by the Hon Minister for Finance.
Mr Kyei-Mensah-Bonsu 2:11 p.m.
Mr Speaker, if I may seek leave from the Chair and the indulgence of Hon Colleagues to have the Hon Deputy Minister for Finance run through the Resolution on behalf of the Hon Minister.
Mr James K. Avedzi 2:11 p.m.
Mr Speaker, we will allow the Hon Deputy Minister to do the work because it is becoming the accepted norm that the Hon Minister himself will never step here to do Business and she who doubles as an Hon Member of the House, will do.
The only time we see the Hon Minister is when he presents the Budget Statement. So we will allow her to do it.
Mr Kyei-Mensah-Bonsu 2:11 p.m.
Mr Speaker, the concurrence is acceptable but what is not acceptable is what he says that it has become an accepted norm that he Hon Minister never steps here until he is to deliver the Budget Statement. That is not right. On this occasion, the Hon Minister has not been available the whole of last week as he travelled out.
Mr Kyei-Mensah-Bonsu 2:11 p.m.


He has just come but there are some post-budget discussions that he is having with the Ministry. He intends to be with us tomorrow. Mr Speaker, so, if you may indulge the Hon Deputy Minister, he could stand in the place of the Hon Minister.
Mr Second Deputy Speaker 2:20 p.m.
Hon Members, I believe that as we all know -- delegatus non potest delegare “delegated legislation or authority cannot be delegated again.” So, on key government policies we expect the substantive Hon Ministers who are Cabinet Ministers to be before the House.
But there are good reasons why Hon Members of Parliament are asked to be Hon Deputy Ministers, particularly at the Ministry of Finance.
This is because we know that the Hon Minister for Finance is a very busy person and there is a lot of work -- so when there is no key government policy or it is not a policy issue, then we should always allow the Hon Deputy Ministers to stand in and represent the Hon Ministers who sit in Cabinet.
So I totally agree that we should allow our Hon Colleague, the Deputy Minister for Finance to move the Motion. Leave is hereby granted.
RESOLUTIONS 2:20 p.m.
Minister for Finance) 2:20 p.m.
Mr Speaker, I beg to move that
WHEREAS by the provisions of article 181(5) of the Constitution, the terms and conditions of any international business or economic transaction to which the Government of Ghana is a party shall not come into
operation unless the said terms and conditions have been laid before Parliament and approved by Parliament by a Resolution supported by the votes of a majority of all Members of Parliament:
PURSUANT to the provisions of the said article 181(5) 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 the terms and conditions of a request for Ghana's Membership and Subscription to the Share Capital of the Africa50 Fund for an amount of twenty million United States Dollars (US$20, 000,000) as Ghana's initial subscription to the Africa50 Fund (Vehicle for Accelerated Infrastructure Development in Africa). By the provisions of article 75 of the Constitution any treaty, agreement, or convention executed by or under the Authority of the President in the name of Ghana is made subject to ratification either by an Act of Parliament or by a resolution of Parliament supported by the votes of more than one-half of all the Memb ers of Parliament. In accordance with the said article 75 of the Constitution the President has caused to be laid before Parliament through the Minister responsible for Finance, Articles of Association of Africa50 Project Finance and Africa50 Project Development on 13th November, 2018.
THIS HONOURABLE HOUSE 2:20 p.m.
Mr Second Deputy Speaker 2:20 p.m.
Hon Majority Leader, do we move to item numbered 9?
Mr Kyei-Mensah-Bonsu 2:20 p.m.
Mr Speaker, that is so.
Mr Second Deputy Speaker 2:20 p.m.
Hon Members, Motion numbered 9.
Hon Chairman of the Committee?
MOTION 2:20 p.m.
Mr Second Deputy Speaker 2:20 p.m.
Any seconder?
Mr Alex Adomako-Mensah (NDC -- Sekyere Afram Plains) 2:20 p.m.
Mr Speaker, I beg to second the Motion and make a few comments.
Mr Speaker, the rationale for the establishment of African Trade Insurance Agency is to provide a political and credit risk insurance for the promotion of trade and investment in membership countries. Mr Speaker, there are numerous benefits for Ghana to become a member of the ATI.
As stated, the membership of Ghana is necessary to secure the confidence and investments of the private sector. Some of the neighbours of Ghana who are competing for the attention of global investors have already registered on this so it is very important for Ghana to ratify this Treaty.
Mr Speaker, but my problem here is that the Committee was informed that the German government has committed a grant total of US$18.5 million and Ghana is supposed to pay US$1.6 million, but this was not considered in both the 2018 and 2019 Budget Statements but rather the 2020 Budget Statements.
Mr Speaker, if Ghana really means business, then we should have committed to this and ratify it to get the benefits that we are supposed to get. Our neighbours are enjoying but we are not and we have postponed it to 2020. Mr Speaker, this is where I have a problem.
I believe that the Government of Ghana needs to create a fertile environment for the insurance companies in Ghana to also build their capacities and meet the international standards. Mr Speaker, with these few words, I thank you very much.
Question proposed.
Mr Daniel Okyem Aboagye (NPP -- Bantama) 2:30 p.m.
Mr Speaker, I rise to support
the Motion and to say that the benefit of joining the ATI is remarkable to the point that I believe it will support our trade activities.
Mr Speaker, commerce is defined as trade and aids to trade. If you look to the aids to trade, one of the elements apartment from banking, advertising and communication is insurance. For that matter, if we are able to get into this ATI as a member, the benefits that are outlined On page 7 of the Report would be available to us as a country.
To just say one or two of them, it is going to basically avoid the situation where we would always depend on sovereign guarantees to be able to get affordable loans to support our develop- ment efforts.
I believe this will also help exporters and investors and financial institutions to be able to access products that might not be available to us today as a result of the membership of this insurance agency.
Mr Speaker, there are many other benefits; increase in availability of affordable projects, trade financing and other things that are going to be available to Ghanaians especially when US$18.4 million of this US$20 million is provided in the form of grants by Germany to support us in getting to this.
I believe this is a step in the right direction and I encourage Hon Colleagues to support this Motion.
Mr Speaker, thank you for the opportunity.
Mr Richard Acheampong (NDC -- Bia East) 2:30 p.m.
Thank you, Mr Speaker, for the opportunity. I rise to support the Motion and make few observation.
Mr Second Deputy Speaker 2:30 p.m.
Hon (Dr) Appiah-Kubi?
Dr Kojo Appiah-Kubi (NPP -- Atwima- Kwanwoma) 2:30 p.m.
Thank you, Mr Speaker, for the opportunity to contribute and support the Motion listed as item 9 on the Order Paper.
Mr Speaker, an African Trade Insurance Agency is already in existence, and it is supposed to confer a lot of blessings to member countries. That is the more reason I would suggest that Ghana becoming a
member would be a blessing. So we need to support that.
A trade agency like the African Trade Insurance Agency was established in 2001 purposely for the provision of political, credit and commercial risk insurance. The idea was to promote trade.
The rationale behind the establishment of the African Trade Insurance Agency is to provide insurance, co-insurance, re- insurance, guarantees and other financial instruments and services for the purposes of trade and investment. It is believed that with this, it would ease the perception of high risk of doing business in Ghana.
Mr Speaker, it also reduces political risk of doing business with other African countries. These political risks are important hidden transaction costs that reduces international trade. Therefore for Ghana to become a member, it is believed that these transaction costs would be reduced and would contribute towards boosting trade in the country.
Mr Speaker, it would also create and generate additional tax revenues in the country because it would increase economic activities, trade and also generate employment.
Mr Speaker, on the other side of the coin is the fact that this would increase the number of foreign investors. It is likely to increase foreign investors in the country due to the conducive investment environment. There should also be rules and regulations regarding repatriation of profits back to the various countries.
Mr Speaker, an African Trade Insurance Agency harbours a lot of economic blessings that Ghana stands to reap, and I would encourage my Hon Colleagues to
support, and contribute towards approving this Motion.
Mr Speaker, I thank you.
rose
Mr Second Deputy Speaker 2:30 p.m.
Hon Majority Leader, I thought this was a straight forward case?
Mr Kyei-Mensah-Bonsu 2:30 p.m.
Yes, Mr Speaker.
Mr Second Deputy Speaker 2:30 p.m.
But you want to be heard?
Mr Kyei-Mensah-Bonsu 2:40 p.m.
Mr Speaker, it is such a minor matter. I believe the Committee has done a good job on the Report that was submitted to us. Listening to Hon Dr Appiah-Kubi, he has added what otherwise is not found in the Committee's Report. It is all well and good.
Mr Speaker, when you look at the conclusion of the Report, it relates to what Parliament is required to do under article 75(2)(b) of the Constitution, which provides, and I would want to quote verbatim:
“75 (2) A treaty, agreement or convention executed by or under the authority of the President shall be subject to ratification by --
(b) a resolution of Parliament supported by the votes of more than one-half of all the members of Parliament.”
Mr Speaker, that is the recommenda- tion from the Committee but the Constitution imposes an obligation on us to ensure that what we do by way of
Mr Kyei-Mensah-Bonsu 2:40 p.m.


ratifying conventions, protocols and treaties would inure to the benefit of Ghanaians.

Mr Speaker, that is what is required of us under article 40 of the Constitution which provides:

“In its dealings with other nations, the Government shall --

(a) promote and protect the interest of Ghana;”

So Mr Speaker, you would expect the Committee, when they report to us, not only to quote article 75(2)(b), which is just the process of making whole this Treaty, but what is intended to be beneficial to Ghanaians, for which reason we report to Parliament that we should accept this. It should be benchmarked against article 40.

So while I agree with the Committee for what they have done, I keep telling them that they should spread their tentacles to look at what is relevant and benchmark their Report on these documents and in this particular case, article 40 of the Constitution. I have called the Hon Chairman of the Committee and he agrees with me, but going forward, that should inform the Committee's Report.
Mr Second Deputy Speaker 2:40 p.m.
The Hon Majority Leader has provoked a debate.
Dr A. A. Osei 2:40 p.m.
Mr Speaker, a point of information.
Mr Second Deputy Speaker 2:40 p.m.
Let me get the information before I go to the Hon Chairman.
Dr A. A. Osei 2:40 p.m.
Mr Speaker, Hon Majority Leader is a Member of the
Committee. I just want to remind him that we did approved the Report.
Mr Second Deputy Speaker 2:40 p.m.
I do not want to refer to precedence but there is precedence in the House. One can, as a Member disagree with the Report of his Committee on the Floor because the Committee Report represents the position of the majority Members of the Committee.
One might have raised some objections that were, maybe, ill-considered by the Committee and so, he would want plenary to hear those issues. So he is entitled to raise them on the Floor again. He is not estopped from raising them. We have done it before and the Hon Majority Leader is right to do so now. I believe that he is in order.
Mr Kyei-Mensah-Bonsu 2:40 p.m.
Mr Speaker, to set the record straight, unfortunately, for the consideration of this particular referral, I was not at the Committee meeting. Mr Speaker, I have had some discussions with the Committee Chairman so, I believe we can move on.
rose
Mr Second Deputy Speaker 2:40 p.m.
The records have been set straight, but let us listen to the Hon Chairman of the Committee who seems to have disagreed with the position of the Hon Majority Leader. Let me listen to you.
Dr Assibey-Yeboah 2:40 p.m.
Mr Speaker, here we are and the Hon Majority Leader has quoted article 40 of the Constitution. Mr Speaker, what came before us was for us to ratify this Treaty.
If it were an international economic transaction, that would have been under article 181 and the Committee references that one. For a treaty being ratified, it would be article 75 and that is what we referred to.
Now, the Hon Majority Leader says that there are some articles of the Constitution which relate to international transactions but that is not -- [Interruption.] Not international transaction but the article 40 that he quoted is some benefits that the country derives.
Respectfully, that cannot come in this Report because we have been asked to ratify this Treaty and that is what we are doing.
Mr Kyei-Mensah-Bonsu 2:40 p.m.
Mr Speaker, I really do not want to have a debate with the Hon Chairman on this matter. I believe he understands the issue that I have raised and I guess we can make progress.
Mr Second Deputy Speaker 2:40 p.m.
Hon Majority Leader, article 40 is under the Directive Principles of State Policy and therefore in our dealings with the international community, all the organs of State are asked to be guided by those provisions. It applies to the Executive and the Legislature.
In the main Report, the Committee could have referred to it that it guided the Executive in its dealings with the international community and that Ghana stood to benefit from that. But the conclusive part is basically on ratification and I believe the Committee got that correct.
We are only being informed that in future reports, we should advert our minds to article 40 to see whether we are all being guided by those principles. And so I totally agree, that so far as the conclusion is concerned, the Committee got it right.
With this, I will put the Question.
Dr A. A. Osei 2:40 p.m.
Mr Speaker, I agree with you but we just have to be careful that we do not set the precedent where all Reports would be guided by everything in the Constitution because one can make an argument that human rights of the people must be protected under different articles. That is my worry.
We have to be careful that we stick to the relevant ones. Otherwise, we would have a requirement that we should be guided by everything in the Constitution.
Mr Second Deputy Speaker 2:40 p.m.
I am sure you listened to me and there was no reference to us being guided by all the provisions of the Constitution. I said the Committee could refer to it in the Report, but so far as the conclusion is concerned, the right provision is article 75 (2) (b) and that the Committee was right in doing so.
Dr A. A. Osei 2:40 p.m.
Mr Speaker, for example, the Committee could also be guided by human rights under article 12. Should it refer to it? I just want us to be a bit cautious because we would get into a situation where these issues would arise then people would quote everything in the Constitution --
Mr Second Deputy Speaker 2:40 p.m.
Hon Member, I do not disagree with you. Even the reference to the Constitution, which is in the referral documents, is sufficient to show that they went through the other provisions of the Constitution and so I disagreed with the Hon Majority Leader and I said that the Committee was right.
Question put and Motion agreed to.
Mr Second Deputy Speaker 2:40 p.m.
Item numbered 10. Am I right?
Mrs Osei-Asare 2:40 p.m.
Yes.
RESOLUTION 2:40 p.m.
Minister for Finance) 2:40 p.m.
Mr Speaker, I beg to move
WHEREAS by the provisions of article 75 of the Constitution any treaty, agreement, or convention executed by or under the Authority of the President in the name of Ghana is made subject to ratification either by an Act of Parliament or by a resolution of Parliament supported by the votes of more than one-half of all the Members of Parliament.
INACCORDANCE with the said article 75 of the Constitution the President has caused to be laid before Parliament through the Minister responsible for Finance an Agreement Establishing the African Trade Insurance Agency (ATI Treaty) on 31st October
2018.
NOW THEREFORE, this Honourable House hereby resolves to ratify the said Agreement Establishing the African Trade Insurance Agency (ATI Treaty).
Mr Second Deputy Speaker 2:40 p.m.
Any seconder?
Dr Assibey-Yeboah 2:40 p.m.
Mr Speaker, I beg to second the Motion.
Mr Second Deputy Speaker 2:40 p.m.
I thought your Hon Colleagues would do that so I looked in that direction. Anyway, it is the same thing.
2. 50 p. m.
Dr Assibey-Yeboah 2:40 p.m.
Mr Speaker, when an Hon Minister moves a Motion, it is the Hon Chairman of the Committee that seconds it.
Mr Second Deputy Speaker 2:40 p.m.
Can you refer me to the authority that says when an Hon Minister moves a Motion, it is the Hon Chairman that should second it? Which Standing Order or which authority can you refer me to?
Dr Assibey-Yeboah 2:40 p.m.
Mr Speaker, if an Hon Minister moves a Motion --
Mr Second Deputy Speaker 2:40 p.m.
I know that the Hon Deputy Minister has moved the Motion but your statement seems to convey the impression that that must be the situation.
Dr Assibey-Yeboah 2:40 p.m.
Mr Speaker, when an Hon Minister moves a Motion, I will not leave it to Hon Members of the Minority to second it.
Mr Second Deputy Speaker 2:40 p.m.
Why? Do you not trust your Hon Colleagues opposite?
Dr Assibey-Yeboah 2:40 p.m.
Mr Speaker, if they refuse to second the Motion --
Mr Second Deputy Speaker 2:40 p.m.
I agree that if they fail to do so, you are entitled to second it, not if they fail to, not if they refuse. If they fail to do so, you are entitled to second the Motion.
Question put and Motion agreed to.
Resolved accordingly.
Mr Second Deputy Speaker 2:40 p.m.
Hon Majority Leader, do we take item numbered 11?
Mr Kyei-Mensah-Bonsu 2:40 p.m.
Mr Speaker, yes, item numbered 11.
Mr Second Deputy Speaker 2:40 p.m.
Item numbered 11, Chairman of the Committee?
Chairman of Finance Committee (Dr Mark Assibey-Yeboah) 2:40 p.m.
Mr Speaker, before I move the Motion, let me draw the House's attention to this. We have one Report and this Report would cover seven Motions. These would be items numbered 11, 17, 19, 21, 23, 25 and 27.
Mr Second Deputy Speaker 2:40 p.m.
Hon Member, just a minute, items numbered 11, 17, 19, 21, 23, 25 and 27?
Dr Assibey-Yeboah 2:40 p.m.
Yes, Mr Speaker.
Mr Second Deputy Speaker 2:40 p.m.
So are you requesting for permission to move all these Motions at a go?
Dr Assibey-Yeboah 2:40 p.m.
Rightly so, Mr Speaker.
Mr Second Deputy Speaker 2:40 p.m.
Leadership, what is your position on this? There is one Report covering about seven Motions and the request is for us to take all the seven Motions. Particularly, the Minority Leadership, what is your view on that?
Mr A. Ibrahim 2:40 p.m.
Mr Speaker, I have just been hinted by the Hon Ranking Member of the Finance Committee that that is what they have agreed to do. So it is agreed upon.
Mr Second Deputy Speaker 2:40 p.m.
The Hon Ranking Member has agreed on it?
Mr A. Ibrahim 2:40 p.m.
Yes, Mr Speaker.
Mr Second Deputy Speaker 2:40 p.m.
Hon Chairman, you may proceed.
MOTIONS 2:40 p.m.
Chairman of Finance Committee (Dr Mark Assibey-Yeboah) 2:40 p.m.
Mr Speaker, I beg to move, that this Honourable House adopts the Report of the Finance Committee on the Third Addendum Supplemental to the Master Facility Agreement dated 16th December, 2011 (as amended by an Addendum dated 21st June 2013 and an Addendum dated 15th December, 2017;
That this Honourable House adopts the Report of the Finance Committee on the Second Addendum Supple- mental to the Five Party Agreement (FPA) dated 13th June, 2012, as amended by an Addendum dated 21st June, 2013, a second Addendum dated 15th December,
2017;
That this Honourable House adopts the Report of the Finance Committee on the Additional Accounts between Agreement between the Republic of Ghana and China Development Bank (CDB);
That this Honourable House adopts the Report of the Finance Committee on the Charge Over Additional Accounts between the Republic of Ghana and China Development Bank (CDB);
That This Honourable House adopts the Report of the Finance Committee on the Deed of Con- firmation to Off taker Agreement between GNPC acting on behalf of the Government of the Republic of Ghana as seller and UNIPEC Asia Company Limited as buyer;

That this Honourable House adopts the Report of the Finance Committee on the Deed of Security Confir- mation between the Republic of Ghana and China Development Bank (CDB); That this Honourable House adopts the Report of the Finance Committee on the Second Addendum Supplemental to the Accounts Agreements dated 13th June, 2012 (as amended by an addendum dated 21st June, 2013) between the Republic of Ghana and China Development Bank (CDB).
Mr Speaker, in so doing, I present the Committee's Report 2:40 p.m.
Introduction
The
i.Third Addendum Supplemental to the Master Facility Agreement dated 16th December, 2011 (as amended by an Addendum dated 21st June, 2013, and an Addendum dated 15th December, 2017);
ii. Second Addendum Supplemental to the Five Party Agreement dated 13th June, 2012 as amended by an Addendum dated 21st June, 2013, a second Addendum dated 15th December, 2017;
iii. Additional Accounts Agreement between the Republic of Ghana and China Development Bank
(CDB);
iv. Charge Over Additional Accounts between the Republic of Ghana and China Development Bank
(CDB);
v. Deed of Confirmation to Offtaker Agreement between the Ghana National Petroleum Company (GNPC) acting on behalf of the Government of the Republic of Ghana as Seller and UNIPEC Asia Company Limited as Buyer;
vi. Deed of Security Confirmation Agreement between the Republic of Ghana and China Development Bank (CDB); and
vii. Existing Accounts Agreement between the Republic of Ghana and China Development Bank (CDB).
were laid in Parliament on Friday 9th November, 2018 (in respect of i - vi) and 23rd November, 2018 (in respect of vii) .
The Agreements were subsequently referred to the Finance Committee for consideration and report in accordance with article 181 of the 1992 Constitution and Orders 169 and 171 of the Standing Orders of the Parliament of Ghana.
A Deputy Minister for Finance, Hon Kwaku Kwarteng and other officials from the Ministry of Finance attended upon and assisted the Committee in its deliberations on the Agreements.
The Committee expresses its gratitude to the Honourable Deputy Minister and the officials from the Ministry of Finance for attending upon the Committee.
References
The Committee referred to and was guided by the following documents inter alia during its deliberations on the Agreement:
a. The 1992 Constitution of the Republic of Ghana.
b. The Standing Orders of the Parliament of Ghana.
c. The Public Financial Manage- ment Act, 2016 (Act 921).
Background
The Master Facility Agreement between the Government of the Republic of Ghana and the China Development Bank (CDB) for an amount of three billion United States dollars (US$3,000,000,000.00) to finance Infrastructural Development Projects in Ghana was first laid in Parliament and approved on 26th August, 2011.
The Facility was to be disbursed through two windows (that is tranche A
Mr Speaker, in so doing, I present the Committee's Report 2:40 p.m.


Amendments to existing finance documents

The following finance documents are to be amended to allow GOG and CDB sign the 3rd and 4th Subsidiary Agreements:

The Master Facility Agreement - The Third Addendum Supplemental to the Master Facility Agreement dated 16th December, 2011, (as amended by an Addendum dated 21st June, 2013, and an Addendum dated 15th December, 2017).

The major amendments to the MFA are:

Definition of availability period (that is 1st Availability Period, the 2nd Availability Period, the 3rd Availability Period or the 4th Availability Period: These have been defined to clearly provide for the availability period for each Subsidiary Agreement).

Definition of Additional Accounts and introduction of Additional Accounts Agreement (that is. Additional Collection Account, Additional Debt Service Reserve Account, and Additional Owner Contribution Account. These are to cater for the additional Subsidiary Ag reements).

Definition of Final Repayment Date, in respect of the 3rd Subsidiary Agreement and the 4th Subsidiary Agreement.

Definition of Grace period in respect of the 3rd Subsidiary Agreement and the 4th Subsidiary Agreement.

Interest margin, contrary to the margins for tranche A and tranche
Mr Speaker, in so doing, I present the Committee's Report 2:40 p.m.
Introduction of the Charge over Additional Accounts to govern the introduction of the additional accounts in the Additional Accounts Agreement.
Clause 5.3. that details currency and amount is amended to allow GOG submit utilisation request in amounts not less than US$10,000,000 (previously US$20,000,000) and in higher multiple integrals of US$10,000 (previously US$5,000,000) for 3rd and 4th Subsidiary Agreements.
Amendment of the Commitment fee calculation to allow GOG pay to CDB a commitment fee of an amount equal to one per cent. (1 per cent) per annum on the undrawn and uncancelled portion of the Commitment (previously the total Commitment). This will formalise the arrangement between the two parties with respect to commitment fee calculation.
The Five Party Agreement - Second Addendum supplemental to the Five Party Agreement dated 13th June 2012 (as amended by an Addendum dated 21st June 2013).
The Five Party Agreement is amended to recognise the changes to the MFA and the Introduction of the Additional Accounts Agreement. The major changes are related to the definitions and Clauses of the following:
Additional Aggregate Debt Service Reserve Amount;
Additional Debt Service;
Additional Debt Service Fraction;
Additional Owner Contribution Amount;
Additional Transfer Amount.
The Accounts Agreement -- Second Addendum supplemental to the Accounts Agreement dated 13th June 2012 (as amended by an addendum dated 21st June
2013).
The existing Accounts Agreement and related transfer amounts for the firstt and second subsidiary agreements are amended to distinguish them from the accounts that will be established for the 3rd and 4th Subsidiary Agreements. To distinguish them, all the previous accounts and transfer amounts have “Existing” as part of their names. They include:
Existing Accounts (that is Existing Collection Account, the Existing Debt Service Reserve Account or the Existing Owner Contribution Account).
Existing Aggregate Debt Service Reserve Amount;
Existing Required Amounts;
Existing Debt Service Reserve Amounts;
Existing Debt Service;
Existing Excess Amount;
Existing Transfer Amount.
New Finance Documents to be Signed
The following new finance Agreements are to be signed between GOG and CDB
upon signing of the 3rd and 4th Subsidiary Agreements.
Additional Accounts Agreement; it spells out the obligations of GOG in terms of deposits and withdrawals from the following accounts to be established for the third and fourth Subsidiary Agreements:
Subsidiary Loan Disbursement Account;
Additional Debt Service Reserve Account;
Additional Owner Contribution Account;
Additional Collection Account.
The Additional Debt Service Reserve Amount is amended to 1.3 times of debt service amount (previously 1.5 times).
Charge Over Additional Account; GOG custodies or charges to the Lender by way of first fixed charge and as a continuing security for the repayment and discharge of the secured liabilities of GOG's rights and interest from time to time with respect to the Additional Accounts; and all Accounts Proceeds.
Deed of Security Confirmation GOG acknowledges, agrees to and affirms the terms of the 2018 Addenda, the Additional Accounts Agreement and the transactions contemplated thereby.
GoG further acknowledges and agrees that its obligations and duties (including, without limitation, its indemnification obligations) and the rights, powers and remedies of the Lender under the Charge over Accounts shall remain in full force and effect and be unaffected by the 2018 Addenda and the Additional Accounts Agreement.

GoG also acknowledges and agrees that, notwithstanding the terms of the 2018 Addenda, the Additional Accounts Agreement and the transactions contemplated thereby, its grant, or purported grant of a security interest in the Charged Assets pursuant to the Charge Over Accounts shall continue to be in full force and effect and be unaffected by the 2018 Addenda and the Additional Accounts Agreement.

Deed of Confirmation to Offtaker Agreement

To be signed between GNPC (the seller) and the UNIPEC Asia Company Limited (the buyer). Each party acknowledges, agrees to and affirms the terms of the 2018 Addenda , the Additional Accounts Agreement and the transactions contemplated thereby.

Each party further acknowledges and agrees that its rights and obligations under the Offtaker Agreement shall remain in full force and effect and be unaffected by the 2018 Addenda and the Additional Accounts Agreement.

Observations

Master Facility Agreement (MFA)

The Master Facility Agreement between the Government of Ghana (GoG) and the China Development Bank (CDB) covers an umbrella Facility amount of US$3.0 billion under which subsidiary Agreements are executed to finance relevant infrastructural projects.

The MFA was first signed on 16th December, 2011, and subsequently amended twice by an Addenda dated 21st June, 2013 and 15th December, 2017)

Change in Security for the Facility

The Committee was informed that following the drop in crude oil prices in 2014, the underlying security provided the Government of Ghana to support its repayment obligations to CDB weakened.

CDB therefore delayed the approval of additional Subsidiary Agreements (SAs).

To reinstate the financing cooperation framework, CDB made a request for additional resources to enhance the security cover for the Facility. Government in 2015/2016 negotiated to extend the 13,000 bbl/day crude oil liftings under the Offtaker Agreement, to add 600MT/day LPG and to procure a Sinosure credit insurance to enhance the security cover for the Facility.

Upon resumption of negotiations in 2017/18 however, CDB agreed to procure only the Sinosure credit and political insurance for the two subsidiary agreements since the amount in the Debt Service Reserve Account (DSRA) was enough to cover the two Subsidiary Agreements.

Sinosure Premium

The Committee noted that the Sinosure premium is charged on the principal and interest amounts. This translates to 5.56 per cent which is payable upfront in one lump sum. CDB is financing 85per cent of the Sinosure premium under the loan whilst the remaining 15 per cent will be paid by the Government of Ghana.

The Committee was informed that the cost of Sinosure insurance premium is competitive compared with the premium charged by similar international bodies such as SACE (Italy), UKEF (United Kingdom), OPIC (USA), Ashra (Israel) and EKN (Sweden).

Reduction in the Debt Service Cover

With the introduction of the Sinosure insurance cover, the debt service cover ratio being the Debt Service Reserve Amount (DSRA) has been reduced from 1.5 times to 1.3 times by CDB.

Revised Tenure

The Committee observed that Government does not intend to extend the expiry date of the Offtaker Agreement. Government has therefore agreed with CDB to tie the tenor of the two subsidiary agreements to the existing Offtaker Agreement expiry date.

The revised tenor of the two subsidiary agreements is nine (9) years instead of ten (10) years. The Accra Intelligent Traffic Management Project which was initially placed under Tranche A is now placed under Tranche B.

Conclusion

In view of the foregoing observations, the Committee recommends to the House to adopt this Report and approve by resolution, the

i. Third Addendum Supplemental to the Master Facility Agreement dated 16th December, 2011, (as amended by an Addendum dated 21st June, 2013 and an dated 15th December, 2017).

ii. Second Addendum Supplemental to the Five Party Agreement dated 13th June, 2012 as amended by an Addendum dated 21st June, 2013, a second Addendum dated 15th December,

2017

iii. Additional Accounts Agreement between the Republic of Ghana and China Development Bank

(CDB).

iv. Charge Over Additional Accounts between the Republic of Ghana and China Develop- ment Bank (CDB).

v. Deed of Confirmation to Offtaker Agreement between the Ghana National Petroleum Company (GNPC) acting on behalf of the Government of the Republic of Ghana as Seller and UNIPEC Asia Company Limited as Buyer.

vi. Deed of Security Confirmation Agreement between the Republic of Ghana and China Development Bank (CDB); and

vii. Existing Accounts Agreement between the Republic of Ghana and China Development Bank (CDB); these are all

in accordance with article 181 of the 1992 Constitution of the Republic of Ghana.

Respectfully submitted.
Mr Second Deputy Speaker 3 a.m.
Any seconder?
Yes, Hon Ranking Member?
Mr Cassiel Ato Baah Forson(NDC -- Ajumako/Enyan/Essiam) 3 a.m.
Mr Speaker, I beg to second the Motion and in doing so, I would start from page 4 of the Committee's Report.
Mr Speaker, you would notice the original terms, tranche A and tranche B,
Mr Cassiel Ato Baah Forson(NDC -- Ajumako/Enyan/Essiam) 3:10 p.m.
which have been modified, and we have the new terms. If you look at the tenure, the modification would mean that the tenure of the loan has been reduced. Again, the grace period for tranche A was five years and for tranche B, three years and under the modification, we would have only three years.
The interest rate still remains the same as tranche B, and the upfront fees of 0.25 per cent flat still remains the same. The Commitment fee of one per cent per annum on signed, undrawn and uncancelled portion Debt Service Reserve Account (DSRA) has moved from 1.5 times to 1.3 times. The Sinosure premium was not in existence in tranche A and tranche B but under the modification, it is 5.56 per cent flat.
Mr Speaker, I would start from the commitment fee. This is a House of record and I would make reference to the Official Report of Saturday, 28th July, 2018. If you look at column 5193, a Statement was made by Hon Afenyo-Markin and with your permission, I read from the fourth paragraph. It says:

These are matters of public record.

They went for a US$3 billion loan and within three years, they could not meet all the requirements for drawing down. [Interruption.] The Chinese put in penalty clauses.”

Mr Speaker, in the CDB loan, my Hon respected Colleague knows

that I was a member of the Committee on Finance at the time and part of the deliberations. In the CDB loan, the Government of Ghana was to procure a US$3 billion facility. There were so many penalty clauses that if we did not draw down, they would charge us.”

Mr Speaker, the point I would want to raise here is that when we were debating the Sinohydro Agreement, Hon Afenyo- Markin made a point and challenged me that under the CDB loan, the previous administration paid penalties being commitment fee amounting to US$300 million.

On that day, I tried to correct that impression, but unfortunately, I did not catch the eye of Mr Speaker. These are matters of public record, so at the Committee of Parliament, we had the opportunity to ask the Minister for Finance to correct that impression. We were told that commitment fee paid up to the end of 2017 amounts to US$56 million.

Mr Speaker, clearly, that amount cannot be US$300 million. It is unfortunate that Hon Afenyo-Markin is not here but since this has gone into the Official Report, I would plead with you to ask the Hansard to expunge this from our records. If it cannot be expunged from the records, I would ask my Hon Colleague, Afenyo- Markin to apologise to this Hon House for giving us wrong information.

This is very important because I tried on a number of occasions to correct that impression. That is why I brought the Official Report. The commitment fee under the Agreement is one per cent on signed, undrawn and uncancelled portion of the commitment fee.

So the commitment fee is not being paid on US$3 billion. It is based on the subsidiary agreement that we have signed

to date, of which we have not been able to draw down. So someone could make a mistake and calculate the commitment fee on the entire US$3 billion but not on the subsidiary agreement that Parliament and the Government of Ghana have approved.

Mr Speaker, my next point is on the Sinosure premium. In order for this facility to be active and for Ghana to be able to sign two additional subsidiary agree- ments, we are now going for a Sinosure premium. This is an additional cost. This has resulted in an increase in an all-in cost from 4.15 to 6.1.

This means that this loan agreement has become more expensive by approximately two per cent from modifications. [Interruption] It is not about who caused it. It is this Administration that caused it and I would like to put that on record.

Mr Speaker, under the old Adminis- tration, we used tranche A and tranche B and the all-in cost was 4.15. Now, the all in cost has moved from 4.15 to 6.10 per cent and that is more expensive. Most importantly, my concern is the fact that we would ask China Development Bank (CDB) to loan us 85 per cent of the Sinosure Premium before we pay for it.

This means that even for the Sinosure premium, we would borrow and pay interest on it before we pay for the premium. I thought that the Ministry for Finance would have made provision in the 2019 Budget and be able to pay the entire premium, so that we would not end up borrowing for the purposes of paying for insurance of which we would end up paying interest on the very insurance that we are using to access the loan.

I do not have major concerns about the agreements because they are all as a result of the modifications of the terms

that this Hon House has been asked to approve. After all, these are agreements that the old Parliament approved. In 2011, the Master Facility Agreement was approved by us.

It is something that my Hon Colleague, the Minister for Monitoring and Evaluation led the Minority Report and opposed the CDB Agreement - This is a matter of public record.

Mr Speaker, these records are in the Hansard of 25th August, 2018, and he opposed it vehemently. We all work for Mother Ghana and obviously, we want this project to go on and I am sure he has regretted his actions and today he wants us all to support him.

Mr Speaker, we believe in the Project and so, we would support it and we would want the Government to obviously ensure that the Accra Intelligent Traffic System is implemented to the full and also for the Coastal Fishing Harbours to be implemented.

Mr Speaker, with these few words, I support the Motion.
Minister for Monitoring and Evaluation (Dr Anthony Akoto Osei) 3:10 p.m.
Mr Speaker, I am surprised that the Hon Member would want to go to the records and categorically say that we opposed it. Criticising it does not mean that it was rejected. He should get his statements right. It was because we criticised it so well that they had to go back and renegotiate some of those terms. He should thank us for that.
Mr Speaker, at that time, we also on the other Side of the aisle said that the gas facility had to be done and that was why we were in support. It was the other Agreements that we did not support. For example, tranche A is libor plus 2.95.
Mr Second Deputy Speaker 3:10 p.m.
Hon Member, have you corrected it?
Dr A. A. Osei 3:10 p.m.
Mr Speaker, I have withdrawn that part.
Mr Second Deputy Speaker 3:10 p.m.
You may continue.
Dr A. A. Osei 3:10 p.m.
Mr Speaker, I would like to give the previous Government credit. When we criticised, especially, -- I would like to clarify why Hon Afenyo-Markin talked about the US$300 million. What he meant was that potentially, if they did not go and make the change, it could that much. [Interruption.] Yes, because that Agreement said one per cent of the entire US$3 billion, and so it forced them to go back and renegotiate for this new one.
For clarity, it said, ‘' signed undrawn and uncancelled'', but the original contract was for the entire US$3 billion. So they had to go back to negotiate, but it is just that they could not get enough time to bring it back to Parliament. The Hon Member should thank us for raising that issue for them.
Mr Speaker, on the matter of grace period and the nine years, --
Mr Forson 3:10 p.m.
On a point of order. Mr Speaker, it is important I correct that. The Hon Minister for Monitoring and Evaluation stated that the Hon Afenyo- Markin said ‘'potential''. I have the Hansard of 28th July, 2018, with me, and with your permission, I would want to quote only one paragraph of it. It says that:
‘'Within three years, they had paid in excess of US$300 million in penalties alone for failing to draw down on the facility''.
Mr Speaker, the Hon Member made an emphatic statement. He said ‘'they have paid''. I would not come out, if he had used the word ‘'potentially''. I tried as much as possible to catch the attention of the Hon Speaker to correct that. This is a House of record, so we should allow it to be.
Mr Speaker, he also made another point. I was sent by the previous Hon Minister for Finance, Mr Seth Terkper, to go to China to negotiate the Agreement when I became the Deputy Minister for Finance.
With this Loan Agreement in question, the Government of Ghana never paid commitment fee on the back of the entire US$3 billion. I negotiated it on behalf of the Ministry of Finance at the time for unsigned and undrawn. At that time, no payment had been made, so that was not the case. I have the records.
Mr Second Deputy Speaker 3:10 p.m.
Hon Member, you have made your point, and I believe in his submission he ac- knowledged that but he was talking about what happened at the end of the day -- that if we were to pay one per cent commitment fee, it would amount to --
Dr A. A. Osei 3:10 p.m.
Yes, Mr Speaker, the Agreement we approved in this House, was 1 per cent of the US$3 billion --
Mr Second Deputy Speaker 3:10 p.m.
Hon Minister, please, Mr Speaker is speaking. That was not what the Hon Member for Ajumako/Enyen/Essiam said, which is what is on the record. So he actually misled the House. I believe he did not get it right, but your explanation is quite clear, that at the end of the day, the commitment fee would have amounted to US$300 million and not that the US$300 million had been paid within three years.
You are right, so you may continue.
Dr A. A. Osei 3:10 p.m.
Mr Speaker, I led the debate that day, and I concede that he said that but the Minority's position was that potentially it could go up.
Mr Speaker, one of the events that has happened and has caused a re- negotiation is the following; Sinohydro required 30 tonnes of oil as part of the collateral and at the time when the Minority were in office, the price of oil had gone down and if we were pushed for more, we would have had to supply more oil to be able to make the collateral.
To avoid that risk, Government would go for the Sinosure Insurance so that the payment does not depend on the price fluctuation in oil. This is why the Sinosure Insurance has been determined and my Hon Friend knows that.
Mr Speaker, one of the issues under this is that the grace period has not changed, and the Government is determined to commit us to the Offtake Agreement. Once that is done, the period would go down, which is good for Ghana, so that nobody goes to touch the offtake. If the Offtake Agreement is changed, so many things would be changed.
So we decided to stick to it to ensure that we do not run the risk of having the oil issue, but as I indicated, it is good that after they heard our voice, they went to renegotiate for the one per cent per annum of the signed, undrawn and uncancelled.
Mr Speaker, as the Hon Member said, with the two Subsidiary agreements that would come to the House, one relates to the Intelligent Traffic Management System and the other is the Landing Site.
Some people have raised issues about the Intelligent Management System, but the Government has at least committed to go for it, but the most important one which would help the country is the Landing Site and it is for that reason that some of us believe that it should be supported.
This is because all the coastal areas would now get more modern sophisticated landing sites. For that reason, my Hon Friend from Adaklu would be happy to know that it is around the country.
Mr Speaker, it is important that it is done very quickly. It started in 2011 and we are in 2018, so the sooner we get it done -- The Government has signalled that the balance of US$1.5 billion would be used to construct rail ways.
Mr Speaker, with these few words, I would urge Hon Colleagues, including the Hon Deputy Minority Leader, to support the Report of the Committee.
Mr James Klutse Avedzi (NDC -- Ketu North) 3:20 p.m.
Mr Speaker, I beg to support the Motion that the House approves this Agreement so the necessary amendments can be made to all these Agreements.

Mr Speaker, I would like to remind the Hon Minister for Monitoring and Evaluation that when he says that they did not oppose this Agreement, but they criticised it, he should recollect that he was the person who spoke for the Minority at the time. He said that they were opposed to the Master Facility Agreement, that we should not approve it but rather bring the Subsidiary Agreement and make it a stand alone Agreement and bring them when — [Interruption.] That is the position. And they did not see why we should go for a US$3 billion Master Facility Agreement and we then break it down to a Subsidiary Agreement —

Dr A. A. Osei — rose --
Mr Second Deputy Speaker 3:20 p.m.
Hon Deputy Minority Leader, your Hon Colleague is on his feet; he disagrees with you.
Dr A. A. Osei 3:20 p.m.
Mr Speaker, this is a House of record. In fact, if we should check, our aim was just to address their minds to the fact that they could have done better. We went on record saying that all of us knew the Gas Agreement and that is why we were in support of bringing them by Subsidiary Agreement, and we urged them not to bring the other Agreement until we had done better.
That is on record. This is because the fact is that they wanted them to do the Gas Project, and we could not have been against it if they could not do the Gas Project, and so he should be careful.
Mr Speaker, the criticism was on the terms, which they finally agreed after it was passed and they went ahead and renegotiated. So it has been beneficial. The same way, if we are doing landing sites in Ketu South, he should be happy.
Mr Kyei-Mensah-Bonsu 3:20 p.m.
Mr Speaker, the Fourth Republican Constitution provides in article 35(7) and I beg to quote:
“As far as practicable, a govern- ment shall continue and execute projects and programmes commenced by previous Governments.”
Mr Speaker, that exactly is what is happening. Times where when an advisor to the President said that the President at the time should not continue to execute the projects and programmes of the previous governments because their names would be attached and the Government would not have any credit. Times where —
Mr Second Deputy Speaker 3:20 p.m.
Hon Majority Leader, are you referring to something that happened outside the House or on the Floor of the House?
Mr Kyei-Mensah-Bonsu 3:20 p.m.
Mr Speaker something that happened in this country — [Laughter]
Mr Second Deputy Speaker 3:20 p.m.
Then you have to be guided by our Standing Orders. I am sure because of that you are not being specific. But at the same time, guide yourself against going into something that the person might say, if he had the opportunity, he could have defended himself. And so you may proceed.
Mr Kyei-Mensah-Bonsu 3:20 p.m.
Mr Speaker, I believe that you have fond memories of those times, and clearly remember who said what.
It is important for us to continue projects and programmes that are useful to this country and would inure to the benefit of this country.
Mr Speaker, I was part of the discussion at the time. I was the Minority Leader at the time. We severely critiqued the form and character of the Master Facility Agreement. That was the stance at the time. And circumstances do change and when they do so, they could even alter the contours of any Agreement, and that is what is happening today.
Mr Speaker, the Agreement has been revised and reviewed, and I am happy that the former Deputy Minister for Finance spoke about some issues. He dwelt on Sinosure premium, and that, it is going to add to some cost. That is agreed, but what he did not talk about was the interest rate — Libor + 2.95 per cent in Tranche A, and 2.85 per cent in Tranche B.
Mr Speaker, today, it is uniform; 2.85 per cent. There is some savings there, and he elected not to talk about that.
Mr Speaker, again, for the DSRA, 1.5 times, and 1.3 times. That is even better. So when we net out, what the Hon former Deputy Minister said is even incorrect. And so we should know that we worked to improve on the Master Facility Agreement, and I believe that at the end of the day, what we should be concerned with is what benefit is accruing to the people of this country.
Mr Speaker, I have listened to contributors on the other Side, and I believe we are in agreement with continuing with this, especially, given the fact that they have been reviewed and revised, and that Ghana stands to benefit from this Agreement.
Mr Kyei-Mensah-Bonsu 3:20 p.m.


Mr Speaker, with that, just as Hon Members have spoken, I would urge Hon Colleagues to vote massively for this.
Mr Second Deputy Speaker 3:20 p.m.
Hon Chairman, just for clarification; the modified terms, are they applicable to Tranche A or B? This is because the reference made by many Members seemed to have been confusing the two. Some are referring them to Tranche A and others to Tranche B. I want to be clear about that.
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, previously, the Subsidiary Agreements were to come under either Tranche A or Tranche B, so you would see that the tenure in Tranche A was 15 years and that for Tranche B was 10 years.
Now, we are no longer going for the third and fourth Subsidiary Agreements and no longer under these Tranches. We are now coming under the Modified Terms so that it would be for the 9 years and all the other indicators given here.
So previously, any Subsidiary Agreement that we signed would come under either Tranche A —
Mr Second Deputy Speaker 3:20 p.m.
And so it is the aggregate.
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, yes. We have now modified the terms.
Mr Speaker, you would recall that when I was presenting the Report, the Offtaker Agreement where we give them crude oil was for a number of years. We do not want to extend the Offtaker Agreement.
And so now, this new third and fourth Subsidiary Agreements would expire when the Offtaker Agreement originally signed
for 15 years and has already run for six years, this new Modified Terms would run, together with the Offtaker Agreement. So all of them would expire at the time. So we are now going with the Modified Terms.
Mr Second Deputy Speaker 3:20 p.m.
For nine years?
Dr Assibey-Yeboah 3:20 p.m.
Yes Mr Speaker.
Mr Second Deputy Speaker 3:20 p.m.
That is all right.
Hon Members, I would put the Question on the Motions numbered 11, 17, 19, 21, 23, 25 and 27 together.
Question put and Motions agreed to.
Mr Second Deputy Speaker 3:20 p.m.
Hon Members, we now move to the Resolu- tions.
Item numbered 12 on the Order Paper.
rose
Mr Second Deputy Speaker 3:20 p.m.
Yes, Hon Majority Leader?
Mr Kyei-Mensah-Bonsu 3:20 p.m.
Mr Speaker, the Hon Deputy Minister to continue with that enterprise. I would just want to remind you that because we have put all the Motions together, we could as well take the Resolutions 12, 18, 20, 22, 24, 26 and 28. So the Hon Deputy Minister would mention them and we take them all at the same time.
Mr Second Deputy Speaker 3:20 p.m.
Hon Majority Leader, I thank you for emphasising it, but I am sure that was what she was going to do.
Yes, Hon Deputy Minister for Finance?
RESOLUTIONS 3:20 p.m.
Minister for Finance) 3:20 p.m.
Mr Speaker, I beg to move, that
WHEREASby the provisions of article 181(5) of the Constitution the terms and conditions of any international business or economic transaction to which the Government of Ghana is a party shall not come into operation unless the said terms and conditions have been laid before Parliament and approved by Parliament by a Resolution supported by the votes of a majority of all Members of Parliament;
PURSUANT to the provisions of the said article 181(5) 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 the terms and conditions of a Third Addendum Supplemental to the Master Facility Agreement dated 16th December, 2011 (as amended by an Addendum dated 21st June 2013 and an Addendum dated 15th December, 2017.
THIS HONOURABLE HOUSE 3:20 p.m.
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, I beg to second the Motion.
Question put and Motion agreed to. Resolved accordingly.
Deputy Minister of Finance (Mrs Abena Osei Asare) on behalf of the
Minister for Finance) 3:20 p.m.
Mr Speaker, I beg to move,
WHEREAS by the provisions of article 181(5) of the Constitution the terms and conditions of any international business or economic transaction to which the Government of Ghana is a party shall not come into operation unless the said terms and conditions have been laid before Parliament and approved by Parliament by a Resolution supported by the votes of a majority of all Members of Parliament;
PURSUANT to the provisions of the said article 181(5) 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 the terms and conditions of a Second Addendum Supplemental to the Five Party Agreement (FPA) dated
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, I beg to second the Motion.
Question put and Motion agreed to.
Resolved accordingly.
Deputy Minister for Finance (Mrs Abena Osei Asare) on behalf of the
Minister for Finance) 3:20 p.m.
Mr Speaker, I beg to move, that
WHEREAS by the provisions of article 181(5) of the Constitution the terms and conditions of any international business or economic transaction to which the Government of Ghana is a party shall not come into operation unless the said terms and conditions have been laid before Parliament and approved by Parliament by a Resolution supported by the votes of a majority of all Members of Parliament;
PURSUANT to the provisions of the said article 181(5) 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 the terms and conditions of an Additional Accounts Agreement between the Republic of Ghana and China Development Bank
(CDB).
Minister for Finance) 3:20 p.m.
Mr Speaker, I beg to move, that
WHEREAS by the provisions of article 181(5) of the Constitution the terms and conditions of any international business or economic transaction to which the Government of Ghana is a party shall not come into operation unless the said terms and conditions have been laid before Parliament and approved by Parliament by a Resolution supported by the votes of a majority of all Members of Parliament;
PURSUANT to the provisions of the said article 181(5) 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 the terms and conditions of a Charge Over Additional Accounts between the Republic of Ghana and China Development Bank (CDB).
Dr Osei-Assibey 3:20 p.m.
Mr Speaker, I beg to second the Motion.
Question put and Motion agreed to Resolved accordingly.
Deputy Minister for Finance (Mrs Abena Osei Asare) on behalf of the
Minister for Finance) 3:20 p.m.
Mr Speaker, I beg to move, that
WHEREAS by the provisions of article 181(5) of the Constitution the terms and conditions of any international business or economic transaction to which the Government of Ghana is a party shall not come into operation unless the said terms and conditions have been laid before Parliament and approved by Parliament by a Resolution supported by the votes of a majority of all Members of Parliament;
THIS HONOURABLE HOUSE 3:20 p.m.
HEREBY RESOLVE AS 3:20 p.m.
Dr Osei-Assibey 3:20 p.m.
Mr Speaker, I beg to second the Motion.
Question put and Motion agreed to Resolved accordingly..
Deputy Minister for Finance (Mrs Abena Osei Asare) on behalf of the
Minister for Finance) 3:20 p.m.
Mr Speaker, I beg to move, that
WHEREAS by the provisions of article 181(5) of the Constitution the terms and conditions of any international business or economic transaction to which the Government of Ghana is a party shall not come into operation unless the said terms and conditions have been laid

before Parliament and approved by Parliament by a Resolution supported by the votes of a majority of all Members of Parliament;

PURSUANT to the provisions of the said article 181(5) 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 the terms and conditions of a Deed of Security Confirmation between the Republic of Ghana and China Development Bank

(CDB).
Dr Osei-Assibey 3:20 p.m.
Mr Speaker, I beg to second the Motion.
Question put and Motions agreed to
Question proposed.
Deputy Minister of Finance (Mrs Abena Osei Asare) on behalf of the
Minister for Finance) 3:20 p.m.
Mr Speaker, I beg to move, that,
WHEREAS by the provisions of article 181(5) of the Constitution the terms and conditions of any international business or economic transaction to which the Government of Ghana is a
party shall not come into operation unless the said terms and conditions have been laid before Parliament and approved by Parliament by a Resolution supported by the votes of a majority of all Members of Parliament;
PURSUANT to the provisions of the said article 181(5) 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 the terms and conditions of a Second Addendum Supplemental to the Accounts Agreements dated 13th June 2012 (as amended by an addendum dated 21st June 2013) between the Republic of Ghana and China Development Bank
(CDB).
THIS HONOURABLE HOUSE 3:20 p.m.
Dr Osei-Assibey 3:20 p.m.
Mr Speaker, I beg to second the Motion.
Question put and Motions agreed to
Mr Second Deputy Speaker 3:20 p.m.
Hon Deputy Minister, you were addressing Mr Speaker. I did not tell you that I wanted you to repeat the numbers but you said “they”.
Mrs Osei-Asare 3:20 p.m.
I apologise, Mr Speaker.
Mr Second Deputy Speaker 3:20 p.m.
You are welcome.
Resolved accordingly.
Mr Kyei-Mensah-Bonsu 3:20 p.m.
Mr Speaker, if I may invite the House to consider item numbered 13 -- Motion on the Third Subsidiary Agreement in relation to Coastal Fishing Landing Sites.
Mr Second Deputy Speaker 3:20 p.m.
Item numbered 13 -- Hon Chairman of the Committee.
MOTIONS 3:20 p.m.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 3:20 p.m.
Mr Speaker, I beg to move, that this Honourable House adopts the Report of the Finance Committee on the third Subsidiary Agreement between the Republic of Ghana and China Development Bank (CDB) for an amount of one hundred and eighty-five million, five hundred and seventy thousand United States dollars (US$185,570,000.00) in relation to Coastal Fishing Landing Sites Project under the tranche B facility.
Mr Speaker, in so doing, I would present your Committee's Report.
Introduction
The Third Subsidiary Agreement between the Republic of Ghana and China Development Bank (CDB) for an amount of one hundred and eighty-five million, five hundred and seventy thousand United States dollars (US$185,570,000) in relation to the Coastal Fishing Landing Sites Project under the Tranche B Facility was laid in Parliament on Friday 9th November, 2018, by the Hon Deputy Minister for Finance, Mrs Abena Osei- Asare, on behalf of the Minister responsible for Finance.
The Agreement was subsequently referred to the Finance Committee for consideration and report in accordance with article 181 of the 1992 Constitution and Orders 169 and 171 of the Standing Orders of the Parliament of Ghana.
A Deputy Minister for Finance, Hon Kwaku Kwarteng and other officials from the Ministry of Finance attended upon and assisted the Committee in its deliberations on the Agreement.
The Committee expresses its gratitude to the Hon Deputy Minister and the officials from the Ministry of Finance for attending upon the Committee.
References
The Committee referred to and was guided by the following documents inter alia during its deliberations on the Agreement:
a. The 1992 Constitution of the Republic of Ghana;
b. The Standing Orders of the Parliament of Ghana; and
c. The Public Financial Management Act, 2016 (Act 921).
Chairman of the Committee (Dr Mark Assibey-Yeboah) 3:20 p.m.


Background

The Master Facility Agreement between the Government of the Republic of Ghana and the China Development Bank (CDB) for an amount of three billion United States dollars (US$3,000,000,000.00) to finance Infrastructural Development Projects in Ghana was first laid in Parliament and approved on 26th August, 2011.

The Facility was to be disbursed through two windows (that is: Tranche A and Tranche B) and specific dis- bursements under each of the Tranches were to be determined project-by-project as would be spelt out in subsequent Subsidiary Agreements.

The following projects were originally proposed to be financed under Tranche A of the Facility (Tranche A was further divided into A1 and A2):

Tranche Al: Infrastructure Renewal for integrated industrial minerals pro- cessing ventures

(a) Western Corridor Infrastructure Renewal Project -- Railway Components [Rehabilitation/ modernisation of Takoradi - Kumasi and Dunkwa - Awaso railway lines in line with Scenario 1 of EU funded feasibility study conducted by Bonifica].

Project Developer is the Ghana Railway Development Authority (GRDA). Project implementation is under a performance-based design-build-maintain contract (estimated amount of US$500 million)

(b) Western Corridor Infrastructure Renewal Project - Takoradi Port Phase 1 Retrofit/Rehabilitation.

Project Developer is the Ghana Ports and Harbours Authority (GPHA). Project implementation is under a performance-based design-build-maintain contract (estimated amount of US$150 million)

(c) Sekondi Free Zone Project - Development of onsite infras- tructure and utility services for the proposed industrial minerals processing estate, including an alumina refinery.

Project to be implemented by a Free Zone Developer to be licensed by the Ghana Free Zones Board (GFZB) under a build-operate- transfer contract (estimated amount of US$100 million)

Tranche A2: Infrastructure Development for accelerated agricultural modernisa- tion

(a) Accra Plains Irrigation Project Phase 1 covering 5000 hectares.

Project Developer is the Ghana Irrigation Development Au- thority (GIDA). Project Imple- mentation is under a build- operate-transfer contract (estima- (ted amount of US$100 Million).

(b) Coastal Fishing Harbours and Landing Sites Project -- Axim, Dixcove, Elmina, Winneba, Mumford, Senya Bereku, Jamestown, Teshie, Gomoa Fetteh, Ada, Keta, Moree.

Project Developer is the Ghana Ports and Harbours Authority (GPHA). Project implementation is under design-build contracts

(estimated amount is US$150-250 million).

(c) Eastern Corridor Multi-modal transportation project -- Volta Lake facilities components - upgrade of ferries/pontoons and landing sites for Kpandu/ Amankwakrom, Kete Krachi- Kwadwokrom, Yeji-Makango, Tapa Abotoase, Dzemini; as well as upgrade of Akosombo and Buipe ports.

Project Developer is the Volta Lake Transport Authority (VLTA). Project implementations is under design-build-maintain contacts (estimated amount of US$150-500 million)

The following projects were proposed to be financed under Tranche B (Tranche B was also sub-divided into B1 and B2):

Tranche Bl: Oil and Gas Sector Infrastructure Development

(a) Western Corridor Gas Infras- tructure Project - Offshore Gathering Pipeline, Early Phase Gas Processing Plant, Onshore Trunk Pipeline including gas dispatch facility; retrofit of Tema Oil Refinery (TOR) to enable processing of natural gas liquids (NGLs); and deployment of helicopter fleet for enhanced surveillance of facilities.

Project Developer is the newly created Ghana National Gas Company Limited, and project implementation is under performance-based design- build-maintain contracts (esti-

mated Amount of US$850 Million).

(b) Phase 1 of the Takoradi Petroleum Terminal Project - to be sited at Pumpuni.

Project Developer is the Bulk Oil Storage and Transportation Company Limited, with project implementation under performance- based design-build-maintain contract (estimated amount of US$200 million)

(c) Western Corridor “Oil Enclave” Toll Road Redevelopment Project

Project Developer is the Ghana Highways Authority. Project implementation is under a design-build-maintain contract (Estimated Amount of US$150 Million).

Tranche B2: Special Projects

(a) Deployment of an ICT-based integrated communications platform to enhance security and surveillance of all infrastructure and facilities in the Western Corridor “Oil Enclave”.

Project Developer is the National Security Council. Project implementation is under a performance-based design- build-maintain contract (estima- ted amount of US$150 million)

(b) Accra Metropolitan ICT- enhanced Traffic Management j Project -- This includes an additional financing to enable accelerated completion of
Chairman of the Committee (Dr Mark Assibey-Yeboah) 3:20 p.m.


“stranded” road construction works on key congested road arteries for the metropolis, especially

(i) Nsawam Road (Achimota - Ofankor segment);

(ii) Dodowa Road (Tetteh Quarshie - Haatso Junction); and

(iii) La Beach Road.

Project Developer is the Urban Roads Department, with project implementation under a build- operate-transfer contract. (estimated amount of US$150-200 million)

(c) Small and Medium Enterprises (SMEs) Projects Incubation Facility - Through collaboration between CDB's Special Facility for African SMEs and NTHC Ltd., a blueprint has been developed to pilot a US$100 million facility to support local capability building of Ghana SMEs involved in public- private partnerships for infrastructure development (estimated amount of US$100 million).

After the signing of the Master Facility Agreement on 16th Decembery,2011, two Subsidiary Agreements (SAs) were signed for the Western Corridor Gas Infrastructure Project (WCGIP) and the ICT Enhanced Surveillance Project (ICT Project) in June 2012 and April 2013 respectively. The two projects together amounted to one billion dollars (US$1.0 billion) out of the three billion (US$3.0 billion) Master Facility.

The ICT Project is fully disbursed while US$824.15 million has been disbursed under the WCGIP.

The Third Subsidiary Agreemnt presently before the House is one of two additional Subsidiary Agreements for which preparations are completed for implementation. These two additional Subsidiary Agreements are:

a) Third Subsidiary Agreement for the Coastal Fishing Landing Sites Project, and

b) Fourth Subsidiary Agreement for the Accra Intelligent Traffic Management Project.

The signing of these two additional Subsidiary Agreements (SAs) would bring the number of SAs executed under the Master Facility Agreement to a total of four, and amounting to a total commitment of one billion, three hundred and ninety- six million, four hundred and ten thousand United States dollars (US$1,396,410,000.00).

The Third Subsidiary Agreement is for an amount of one hundred and eighty- five million, five hundred and seventy thousand United States dollars (US$185,570,000) to be utilised for the Coastal Fishing Landing Sites Project in Ghana under the Tranche B Facility.

Purpose of the Third Subsidiary Agreement

The Purpose of the Third Subsidiary Agreement is to draw funds from the Master Facility amount to undertake the Coastal Fishing Landing Sites Project in Ghana.

Terms of the Third Subsidiary Agreement

The terms are as follows:

Project Amount -- US$208,000,000 GOG contribution -- US$32,750,000 (US$31.20 million for the

project and US$1.55 million for sinosure premium)

Facility Amount: US$185,570,000 (US$176.80 million for project and US$8.77 Million for Sinosure premium)

Tenor -- 9 years

Grace period -- 3 years

Interest rate -- 6M Libor + 2.85 per cent per annum

Commitment fee -- 1.00 per cent per annum

DSRA -- 1.3 times

All-in-cost -- 6.10 per cent p.a. (i.e. applying 6M Libor of 2.86 per cent).
Chairman of the Committee (Dr Mark Assibey-Yeboah) 3:20 p.m.
Project Description and Scope The project involves the construction
of ten (10) Fishing Landing Sites and handling facilities to boost the Fisheries Sector. The landing sites and related facilities will be constructed at the following places:
Teshie in the Greater Accra Region;
Axim and Dixcove in the Western Region;
Elmina, Winneba, Mumford, Senya- Beraku, Fetteh-Gomoa and Moree in the Central Region; and
Keta in the Volta Region.
The proposed Landing Sites are made up of several physical facilities that are to
be developed under this project. The facilities relate to the peculiar physical characteristics and potential fish production capacity of each of the landing sites. The facilities will include:
Breakwaters for a sheltered berthing and anchorage bay;
Quay walls for the berthing, loading/ unloading of canoes and trawlers;
Navigational aids for the safe arrival and departure of canoes and trawlers;
Fish handling sheds for the transfer and sale of fresh fish under all weather conditions;
Ice blocks/crush making plant for the manufacture and sale of ice

blocks or crushed blocks to fishermen;

net mending and drying yards for fishermen to spread and mend or dry their nets;

pre-mixed Fuel supply yard for the installation of pre-mixed fuel tanks for sale of pre-mixed fuel to fishermen;

canoe/trawler repair yard for the maintenance and repair of damaged canoes or trawlers;

maintenance/Repair of outboard motors and marine engines yard;

services to the fishing ports: roads, driveways and vehicular parks, water supply, electrical power supply, telephone lines; and

port administration building to accommodate the port management, the port staff of the Department of Fisheries.

Observations

Placement under the Tranche B facility

The Committee noted that the Coastal Fishing Landing Sites Project was originally placed under the Tranche A Facility with interest margin of 2.95 per cent and tenor of 15 years.

However, Government has negotiated with CDB to move it to the Tranche B Facility with an interest margin of 2.85 per cent and a tenor of nine (9) years. This will ensure that the Offtaker Agreement is not extended beyond its current term.

Benefits of the project The Committee observed that the

development of the fishing landing sites

will ensure safe launching and landing of particularly artisanal fishing canoes, create and maintain a hygienic environment for the processing and handling of fish, minimise post-harvest losses and enhance value addition to the fish caught by artisanal fishermen. The project will further contribute to closing the infrastructural gap in the fisheries sector.

Contribution of the fisheries sector to the economy

The fisheries sector plays a major role in the economy of Ghana. It contributes about three per cent (3%) to the Gross Domestic Product (GDP). It further provides employment opportunities for marine fishermen, boat-yard workers, suppliers of auxiliary goods and services.

The sector also contributes to foreign exchange earnings of the country as an estimated twelve per cent (12%) of total national fish product is exported. The Project would therefore help to strengthen the Sector and boost its contribution to the economy.

Conclusion

The Committee, in view of the foregoing, recommends to the House to adopt this Report and approve by resolution, the Third Subsidiary Agreement between the Republic of Ghana and China Development Bank (CDB) for an amount of one hundred and eighty-five million, five hundred and seventy thousand United States dollars (US$185,570,000) in relation to the Coastal Fishing Landing Sites Project under the Tranche B Facility in accordance with article 181 of the 1992 Constitution of the Republic of Ghana.

Respectfully submitted.
Mr Richard Acheampong (NDC--Bia East) 3:20 p.m.
Mr Speaker, I beg to second the Motion moved by the Hon Chairman of the Committee. This is a straightforward Motion and I believe there is no controversy in respect of this Facility. Looking at the all-in-cost of 6.1 per cent, I believe it is worth considering. Originally, we were to pay the cost of 2.95 per cent but it has been renegotiated to 2.85 per cent.
Mr Speaker, I would call on Hon Members to support this facility so that we could construct the ten fishing landing sites to create employment for our people. I would then call on the authorities to make sure that the benefits, as listed in this Committee's Report, would be pursued so that the people in those communities would also benefit.
We should not just approve the facilities and in the end, the intended purpose would not be achieved. We would urge the authorities to use the moneys for the intended purposes so we could physically see the projects being executed.
Mr Speaker, I would also call on my Hon Colleagues to support the Motion. I thank you very much, Mr Speaker.
Mr Second Deputy Speaker 3:20 p.m.
Hon Member, the landing sites are 10 but I heard you mention nine.
Mr R. Acheampong 3:20 p.m.
Mr Speaker, I said ten. [Uproar.]
Mr Second Deputy Speaker 3:20 p.m.
Well, you would go through the record of the proceedings. It is a slip of tongue but you said nine.
Mr R. Acheampong 3:20 p.m.
Mr Speaker, yes, I have withdrawn that part. It is supposed to be 10. I thank you for the correction.
Question proposed Mr James Klutse Avedzi (NDC--Ketu
North): Mr Speaker, I support the Motion and urge the House to approve it, but I would want the Hon Chairman of the Committee to pay attention and correct the figures.
Mr Speaker, if we look at page 5 of the Report, the Chairman of the Committee indicated the approval of the US$185,570,000.00 and paragraph four gave a total of (US$1,396,410,000.00).
We are adding two Subsidiary Agreements and this one is US$185,570,000.00. The amount of the second one we would look at is US$210,660,000.00. Now, if we add these two to the US$1 billion, which is the total of the two earlier Subsidiary Agreements, it would not give us US$1,396,410,000.00. The total would be US$1,396,230,000.00. There is a difference of US$180,000.00.
Mr Speaker, so, we would want to find out where that money would go to. I presume that the US$185,570,000.00 should rather be US$185,750,000.00. That would balance it, but the Hon Chairman should confirm it or give us the correct figure.
Mr Second Deputy Speaker 3:20 p.m.
Hon Chairman of the Committee, have you taken notice of that?
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, the two projects, first and second Subsidiary Agreements have disbursed US$1billion. We are adding two more which would be US$185,570,000.00 and US$210,660,000.00 that is to come.
Now, Mr Speaker, these figures that we have provided are taken from Parliament.

So, if he says it could have been US$185,750,000.00, I am not sure. This is because the exact figures in the Memorandum of Understanding to Parliament are the ones we have reproduced here.
Mr Second Deputy Speaker 3:20 p.m.
Well, Hon Member, we need to look at whether it adds up to that figure.
When you add them, do you get the
US$1,396,410,000.00?
Mr Avedzi 3:20 p.m.
Mr Speaker, it is the point that if we add the two additional Subsidiary Agreements to the US$1billion already disbursed, we would get a total of US$1,396,230,000.00 and not US$1, 396,410,000.00. So if that is what we have in the Report, I believe we would need a confirmation from the Ministry of Finance that brought the Agreement.
Mr Speaker, so we should stand it down and have the figure corrected because the total of these two additional amounts and the earlier US$1billion cannot give us US$1,396,410,000.00. That is my point.
Mr Second Deputy Speaker 3:20 p.m.
Hon Deputy Minority Leader, did you say the third one is US$210,660,000.00?
Mr Avedzi 3:20 p.m.
Yes, Mr Speaker.
Mr Second Deputy Speaker 3:20 p.m.
All right. Hon Chairman of the Committee, have you got the figure?
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, in truth, what he is saying is correct, but if we go ahead to approve this, it causes no harm. The earlier US$1 billion and these two new subsidiary Agreements are stand-alone. The Motion before us is to
approve the third subsidiary which is US$185,570,000.00. We also approved the next one which is US$210,660,000.00.
Mr Speaker, so what I would do, with your leave, is to amend the figure in paragraph 4 on page 5 the amount of US$1,396,40,000.00 because that is an addition that we have done in Committee to say that, if we add all the four Subsidiary Agreements--- That is where we are signalling that this would be the amount left out of the bulk of US$3billion.
At every point, when they have disbursed, they know the total amount. So, I do not believe there is any disagreement with what we are doing now. Mr Speaker, I would seek your leave and amend US$1,396,410,000.00 to
US$1,396,230,000.00.
Mr Avedzi 3:20 p.m.
Mr Speaker, once he has amended the figure, it is all right. We now know the total amount that we have so far approved.
Mr Speaker, the project sites, as indicated on page 6 of the Report, talk about Teshie in the Greater Accra Region; Axim and Dixcove in the Western Region; Elmina, Winneba, Mumford, Senya- Beraku, Fetteh-Gomoa and Moree in the Central Region; and Keta in the Volta Region.
As we are approving this, we need to have the Commercial Agreements also brought to the House so that we would know in detail how much each of these landing sites would cost.
Now, the total amount involved is US$185,570,000.00. So, once we have the Commercial Agreements, we would know -- [Interruption] -- It is not premature because we have come to a situation where the Commercial Agreement even came
together with the Financial Agreement, if you recollect. That has been the trend of late.
I am only reminding the Ministry that they come as early as possible with the Commercial Agreement, without which I do not think that construction of this site could begin.
rose
Mr Avedzi 3:20 p.m.
Mr Speaker, my Hon Friend should sit down.
Mr Speaker, the Ministry should take note and bring the Commercial Agreement as early as possible so that the House could look at it, and the Ministry could go ahead to award the contract for the construction of these landing sites.
Mr Speaker, with these few words, I support the Motion.
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, at the Finance Committee and here in Parliament now, we are approving the Financing Agreement and he knows that the relevant Ministry would bring the Commercial Agreement later on.
Mr Speaker, but it is strange that he called for the Commercial Agreement. On this same facility for the Atuabo Gas Plant, the Commercial Agreement never came to Parliament, but we are not minded to go on that tangent. We would bring the Commercial Agreement.
Mr Second Deputy Speaker 3:20 p.m.
Hon Chairman, that is the right thing to do. Your Side too had on a number of occasions actually called for the Commercial Agreement --
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, it never came.
Mr Second Deputy Speaker 3:20 p.m.
Yes, but you would agree that that is the right thing to do. This is the House, and that is what we are looking for. If there are challenges, one could always come to explain why the Commercial Agreements are not before the House; but the proper thing is that the Commercial Agreement should come with the Financial Agreement, so that we go through all of them before we give the approval.
Hon Members, but I know about the bureaucracy and challenges in the system, so we should use that and not try to rather play the usual politics. Let us move away from it and improve the system, particularly the debates on the Floor of the House.
Hon Majority Leader, do you want to have a bite before I put the Question?
Majority Leader (Mr Osei Kyei- Mensah-Bonsu) 3:20 p.m.
Mr Speaker, just a minor correction.
I think that at the end of the day, the application before us is for this House to approve of an amount of US$185,570,000.00 in relation to the Coastal Fishing Landing Site Projects under the Tranche B Facility.
It is not about the other one; but it is important to flash back to know that this is what we have done in total. What is before us now is the US$185,570,000.00 in relation to the Coastal Fishing Landing Site Projects. So, that is what we are about to do.

Mr Speaker, I also guess the Hon Chairman of the Committee should have effected a minor correction on page 6, in paragraph 5.0 of the Report. The all-in-all cost is 6.10 per cent per annum, that is applying the six-month Libor of 2.85 per cent it is not “2.86 per cent”. I should think that it is a minor typographical error. If I am right, I guess the Hon Chairman would --
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, this says that presently, six months Libor is 2.86 per cent. If we apply the six-month Libor that prevails now, it is 2.86 per cent. So it is correct. The 2.85 per cent is a margin, and the 2.86 per cent is the six- month Libor. [Interruption.]
Mr Speaker, the Hon Majority Leader should know that this is my space. [Laughter.] The margin is the 2.85 per cent; the six-month Libor is the 2.86 per cent. [Interruption.]
Mr Second Deputy Speaker 3:20 p.m.
Well, it is a technical area, but let me listen to the Hon Deputy Minority Leader.
Mr Avedzi 3:20 p.m.
Mr Speaker, the Hon Chairman is completely wrong. He applied 2.85 per cent which we are to add to the six-month Libor, but says that if we apply 2.85 per cent plus the six-month Libor, the all-in-all-cost would be 6.1 per cent. We do not say that we are to apply a six-month Libor of 2.86 per cent; where did he get the 2.86 per cent from?
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, it is because we can find out the six-month Libor --
Mr Avedzi 3:20 p.m.
No Mr Speaker.
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, this is my Report.
Mr Avedzi 3:20 p.m.
Mr Speaker, we are telling him that his Report is wrong.
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, the Hon Chairman writes the Report.
Mr Second Deputy Speaker 3:20 p.m.
Please, let there be order.
Hon Chairman, this is not your Report. [Interruption.] All the Committees are the Rt Hon Speaker's. [Interruption.]
The Hon Majority Leader has drawn my attention. I can refer to the Hon Majority Leader that in all the Motions that you have always moved, you say “your Committee”; “Mr Speaker's Committee”, that is what is said, but it is the Report of the Committee to the House. It is now the property of the House, which is now debating it, and your attention is drawn to some errors.
I am tempted to agree with the Hon Majority Leader and the Hon Deputy Minority Leader that you got that figure right, but in applying it, you got it wrong. It is 2.85 per cent per annum. So when you got to the all-in-all-cost, 6.10 per cent per annum, there was no need to continue to say that it is applying six months Libor of 2.86 per cent. Where does the 2.86 per cent come from?
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, that is precisely the point. The six-month Libor varies from day to day. So at any point in time -- [Interruption]. The fact that it varies from day to day does not mean that it changes every day.
At the point of putting the Report together, we checked the six-month Libor because he would have asked. The six- month Libor that pertains now is 2.86 per cent because the all-in-all-cost would change when the six-month Libor changes.
Mr Avedzi 3:20 p.m.
Mr Speaker, the Hon Chairman should just accept it and amend the Report. Which date does he refer to here? Is it right now or the time he wrote the Report and signed it?
Mr Speaker, let me further amend the amendment proposed by the Hon Majority Leader.
Mr Second Deputy Speaker 3:20 p.m.
Hon Deputy Minority Leader, you can only propose an amendment; you cannot be seen to amend.
Mr Avedzi 3:20 p.m.
All right, Mr Speaker.
What he said that it is applying the six-month Libor of 2.86 per cent should rather read, “applying six months Libor plus 2.85 per cent”; it should not be “of”.
Dr Assibey-Yeboah 3:20 p.m.
Mr Speaker, I seek your leave and the indulgence of the House to delete “(that is applying 6M Libor of 2.86 per cent)” from the Report because try as I have, the opposers do not want to come to the understanding, but this is what it means -- there is a margin and then the Libor. To make progress, I would just delete what is in the parenthesis. Mr Speaker, I so amend the Report.
Mr Second Deputy Speaker 4 p.m.
Hon Chairman, I do not think that you are entirely right. You have not been clear, and you should have been very specific.
If you talk about six months from this date to that date, that would be six month Libor and then that might have been the 2.85 per cent but you have not specified the months. I am sure today as we Sit, that is not included in your calculation, we are approving it and the LIBOR might be different.
Mr Kyei-Mensah-Bonsu 4 p.m.
Mr Speaker, you said that you are convinced that is wrong. I am not only convinced, I am persuaded that the Hon Chairman is totally wrong.
Mr Speaker, let Hon Chairman know that even though our Standing Orders provide that as a basis for this Report, he is required to write the Report and once the Committee approves of it, it is the Committee's Report and no longer his Report.
When it comes to the plenary and we adopt same, it is the Report of the House and not his report and so, with respect to him, let him not over indulge himself in this matter. The rate is 2.5 per cent as the Hon Deputy Minority Leader indicated, it is six month LIBOR + 2.85 per cent.
He writes, and which unfortunately, I think it is a typographical error to which he does not want to admit, it says it is six- month LIBOR of 2.86 per cent. Where is that “of” coming from? Let the Hon Chairman eat the humble pie and we will make progress.
Mr Second Deputy Speaker 4 p.m.
Well, the Hon Chairman will say there was no pie for him to eat so that is the problem. Let me put the Question and clearly state that the Report is on the US$185,570,000 and it is good that the Hon Minority Leader drew our attention to it and the Hon Deputy Minister has taken note of that but that one is not before us.
What is before us is the approval of US$185,570,000 and so, I will proceed to put the Question on that Motion.
Question put and Motion agreed to.
Mr Second Deputy Speaker 4 p.m.
Hon
Members, we will move to the item numbered 14 on the Order Paper to take the consequential Resolution by the Hon Deputy Minister for Finance.
RESOLUTIONS 4 p.m.
Minister for Finance) 4 p.m.
Mr Speaker, I beg to move, that
WHEREAS by the provisions of article 181 of the Constitution and sections 55 and 56 of the Public Financial Management Act of 2016 (Act 921), the terms and conditions of all government borrowings shall be laid before Parliament and shall not come into operation unless the terms and conditions are approved by a resolution of Parliament in accordance with article 181 of the Constitution;
PURSUANT to the provisions of the said article 181 of the Constitution and sections 55 and 56 of the Public Financial Management Act, 2016 (Act 921), at the request of the Government of the Republic Ghana acting through the Minister responsible for Finance, there has been laid before Parliament a Third Sub- sidiary Agreement between the Republic of Ghana and China Development Bank (GDB) for an amount of one hundred and eighty-five million, five hundred and seventy thousand United States dollars (US$185,570,000.00) in relation to Coastal Fishing Landing Sites Project under the Tranche B Facility.
THIS HONOURABLE HOUSE 4 p.m.
HEREBY RESOLVES AS 4 p.m.
Mr Second Deputy Speaker 4 p.m.
Any seconder?
Dr Mark Assibey-Yeboah 4 p.m.
Mr Speaker, I beg to second the Motion.
Question put and Motion agreed to.
Resolved accordingly.
Mr Kyei-Mensah-Bonsu 4 p.m.
Mr Speaker, if you can move to the item numbered 15 on the order paper.
Mr Second Deputy Speaker 4 p.m.
Item numbered 15 on the Order Paper -- Motion. Hon Chairman of the Committee?
MOTIONS 4 p.m.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 4 p.m.
Mr Speaker, I beg to move that this Honourable House adopts the Report of the Finance Committee on the Fourth Subsidiary Agreement between the Republic of Ghana and China
Development Bank (CDB) for an amount of two hundred and ten million, six hundred and sixty thousand United State dollars (US$210,660,000.00) in relation to the Accra Intelligent Traffic Management Project under the Tranche B Facility.
In so doing, I present the Committee's Report.
Introduction
The Fourth Subsidiary Agreement between the Government of the Republic of Ghana and China Development Bank (CDB) for an amount of two hundred and ten million six hundred and sixty thousand United States dollars (US$210,660,000.00) in relation to the Accra Intelligent Traffic Management Project under the Tranche B Facility was laid in Parliament on Friday 9th November, 2018, by the Hon Deputy Minister for Finance, Mrs Abena Osei- Asare, on behalf of the Minister responsible for Finance.
The Agreement was subsequently referred to the Finance Committee for consideration and report in accordance with article 181 of the 1992 Constitution and Orders 169 and 171 of the Standing Orders of the Parliament of Ghana.
A Deputy Minister for Finance, Hon Kwaku Kwarteng and other officials from the Ministry of Finance attended upon and assisted the Committee in its deliberations on the Agreement.
The Committee expresses its gratitude to the Hon Deputy Minister and the officials from the Ministry of Finance for attending upon the Committee.
References
The Committee referred to and was guided by the following documents, inter
alia during its deliberations on the Agreement:
a. The 1992 Constitution of the Republic of Ghana.
b. The Standing Orders of the Parliament of Ghana.
c. The Public Financial Manage- ment Act of 2016 (Act 921)
Background
The Master Facility Agreement between the Government of the Republic of Ghana and the China Development Bank (CDB) for an amount of three billion United States dollars (US$3,000,000,000.00) to finance Infrastructural Development Projects in Ghana was first laid in Parliament and approved on 26th August, 2011.
The Facility was to be disbursed through two windows (that is tranche A and tranche B) and specific disbursements under each of the Tranches were to be determined project-by-project as would be spelt out in subsequent Subsidiary Agreements.
The following projects were originally proposed to be financed under Tranche A of the Facility (Tranche A was further divided into A1 and A2):
Tranche A1: Infrastructure Renewal for Integrated Industrial Minerals Pro- cessing Ventures
(a) Western Corridor Infrastructure Renewal Project -- Railway Com- ponents
[Rehabilitation/Modernisation of Takoradi - Kumasi and Dunkwa - Awaso railway lines in line with Scenario 1 of EU funded feasibility study conducted by Bonifica].
Chairman of the Committee (Dr Mark Assibey-Yeboah) 4 p.m.


Project Developer is the Ghana Railway Development Authority (GRDA). Project implementation is under a performance-based design- build-maintain contract (estimated amount of US$500 million).

(b) Western Corridor Infrastructure Renewal Project -- Takoradi Port phase 1 Retrofit/Rehabilitation.

Project Developer is the Ghana Ports and Harbours Authority (GPHA). Project implementation is under a performance-based design-build- maintain contract (estimated amount of US$150 million).

(c) Sekondi Free Zone Project -- Development of onsite infrastruc- ture and utility services for the proposed industrial minerals processing estate, including an Alumina Refinery.

Project to be implemented by a Free Zone Developer to be licensed by the Ghana Free Zone Board (GFZB) under a build-operate-transfer contract (estimated amount of US$100 million).

Tranche A2: Infrastructure Development for Accelerated Agricultural Modernisa- tion

(a) Accra Plains Irrigation Project phase 1 covering 5000 hectares.

Project Developer is the Ghana Irrigation Development Authority (GIDA). Project implementation is under a build-operate-transfer contract (estimated amount of US$100 million).

(b) Coastal Fishing Harbours and Landing Sites Project - Axim, Dixcove, Elmina, Winneba, Mumford, Senya Beraku, Jamestown, Teshie, Gomoa Fetteh, Ada, Keta, Moree.

Project Developer is the Ghana Ports and Harbours Authority (GPHA). Project implementation is under design-build contracts (estimated amount is US$150- 250 million).

(c) Eastern Corridor Multi-modal Transportation Project -- Volta Lake facilities components -- upgrade of ferries/pontoons and landing sites for Kpandu/ Amankwakrom, Kete Krachi- Kwadwokrom, Yeji-Makango, Tepa Abotoase, Dzemini; as well as upgrade of Akosombo and Buipe ports.

Project Developer is the Volta Lake Transport Authority (VLTA). Project implementations is under design-build-maintain contracts (estimated amount of US$150-500 million).

The following projects were proposed to be financed under Tranche B (Tranche B was also sub-divided into B1 and B2):

Tranche B1: Oil and Gas Sector Infrastructure Development

(a)Western Corridor Gas Infrastructural Project --

Offshore Gathering Pipeline, Early Phase Gas Processing Plant, Onshore Trunk Pipeline including gas dispatch facility; retrofit of Tema Oil Refinery (TOR) to enable processing of natural gas liquids (NGLs); and deployment of

helicopter fleet for enhanced surveillance of facilities.

Project Developer is the newly created Ghana National Gas Company Limited, and project implementation is under per- formance-based design-build- maintain contracts (estimated amount of US$850 million).

(b) Phase 1 of the Takoradi Petroleum Terminal Project -- to be sited at Pumpuni.

Project Developer is the Bulk Oil Storage and Transportation Company Limited, with project implementation under performance- based design-build-maintain contract (estimated amount of US$200 million)

(c) Western Corridor “Oil Enclave” Toll Road Redevelopment Project. Project Developer is the Ghana Highways Authority. Project implementation is under a design- build-maintain contract (estimated amount of US$150 million).

Tranche B2: Special Projects (a) Deployment of an ICT-based

integrated communications platform to enhance security and surveillance of all infrastructure and facilities in the Western Corridor “oil Enclave”.

Project Developer is the National Security council. Project implementation is under a performance-based design-build- maintain contract (estimated amount of US$150 million)

(b) Accra Metropolitan ICT-enhanced Traffic Management Project -- This includes an additional financing to enable accelerated completion of “stranded” road construction works on key congested road arteries for the metropolis, especially (i) Nsawam Road (Achimota-Ofankor segment); (ii) Dodowa Road (Tetteh Quarshie - Haatso Junction) and (iii) La Beach Road.

Project Developer is the Urban Roads Department, with project implementation under a build- operate-transfer contract. (estimated amount of US$150-200 million)

(c) Small and Medium Enterprises (SMEs) Projects Incubation Facility -- Through collaboration between CDB's Special Facility for African SMEs and NTHC Ltd., a blueprint has been developed to pilot a US$100 million facility to support local capability building of Ghana SMEs involved in public-private partnerships for infrastructural development (estimated amount of US$100 million).

After the signing of the Master Facility Agreement on 16th December 2011, two Subsidiary Agreements (SAs) were signed for the Western Corridor Gas Infrastructure Project (WCGIP) and the ICT Enhanced Surveillance Project (ICT Project) in June 2012 and April 2013 respectively. The two projects together amounted to one billion dollars (US$1.0 billion) out of the three billion (US$3.0 billion) master facility.
Mr Richard Acheampong (NDC -- Bia East) 4:10 p.m.
Mr Speaker, I beg to second the Motion ably moved by the Hon Chairman of the Committee to approve the Fourth Subsidiary Agreement between the Government of Ghana and the China Development Bank of US$210,660,000.00.
Mr Speaker, I just want to make a few observations. At page 8 of the Committee's Report, under Component 1, we are to spend US$100 million on the Intelligent Traffic Management System.
Mr Speaker, the details of the project is not provided here and so, if you say that the project will improve infrastructure, what are we talking about here? Are we talking about street lights or what, specifically?
Mr Speaker, at the Committee level, we inquired from the people who appeared before us, because we were told that the previous procurement that was made in respect of street lighting had the batteries buried so it could not last long before expiration.
But this time around the batteries would be hanged so that the life span of the batteries would be longer. So we are expecting that going forward, what has been told to the Committee would be done.
Mr Speaker, I beg to read paragraph 7.1 on page 9 of the Report - Improved Traffic Flow in the Capital. Mr Speaker, it reads:
“The Committee was informed that the Accra Intelligent Traffic Management System (AITMS) would synchronise traffic flow and traffic information systems in the capital. The system would provide real-time information to guide drivers on the status of traffic on the various roads, especially during peak hours.”
Mr Speaker, how would they do this? Would they send text messages to drivers and commuters that traffic jam would be experienced at certain parts of Accra at a specific time? I heard my Hon Colleague say that it would be done on radio, but how could a driver who is not listening to a radio station get such an information?
Mr Speaker, they should give us more information -- if an application would be developed and every vehicle that is registered would have access to it then if a person wants to drive, the person could just access this application and see the traffic situation and flow in the metropolis for guidance. We do not have enough information as far as this Report is concerned.
Mr Speaker, that is my only concern on the issue of improved traffic flow in the capital because we would spend US$100 million. If the people who use these roads do not change their attitudes and there is no orientation for them, this loan could be secured but at the end of the day, nothing good could come out of the facility.
We would have the application and develop it but the pedestrians -- Mr Speaker, for instance the N1 road has markings but people still want to cross when the traffic lights are working and they kill themselves. At the end of the day, if education is not enough and there is no proper orientation, we would take the US$100 million, but people would not comply, so let us give them proper orientation.
Mr Speaker, the Report is not telling us that the people would be given orientation or education to commuters and drivers on how to use our major roads. These are some of the things that we need to -- it is the work of the National Road Safety Commission but we do not have any education component in the Report.
Mr Speaker, that is my concern and I do not have any serious issue against the work of the Committee, but I just want to call on them to give us more information. For instance, how could drivers access those traffic information going forward?
I believe that the Committee could still go ahead and recommend to the House for adoption because the terms are flexible and I would call on Hon Members to support this Fourth Subsidiary Agree- ment.
Mr Speaker, thank you very much for the opportunity.
Question proposed.
Mr Daniel Okyem Aboagye (NPP -- Bantama) 4:10 p.m.
Mr Speaker, thank you.
I rise to support the Motion on the Floor and to say that the traffic situation in Accra is quite disturbing and as we all know, in some cases, it takes about an hour or two for those of us who live in Tema to even get to Parliament because of traffic.
Mr Kwame G. Agbodza (NDC -- Adaklu) 4:20 p.m.
Mr Speaker, I rise to support this Motion for the approval of US$10, 660,000 for the Accra Intelligence Traffic Management System.
Mr Speaker, there is no doubt that if we drive around Accra, especially during the rush hours we would see specific traffic bottlenecks that make us miserable. It is even more difficult when sometimes we notice that emergency vehicles such as ambulances and security vehicles try to respond to situations. The fact is that the traffic situation does not allow them to do that effectively and so anything we could do to improve this would be a step in the right direction.
Mr Speaker, I believe that those calling for the Ministry of Roads and Highways to come to the House with the necessary commercial agreement have an important case. When we look at the fact that US$100 million is supposed to be used for a certain outcome but the details of what we ought to do to achieve that outcome are quite sketchy -- indeed, we would not install a US$100 million worth of traffic lights on a 34 kilometre road. That is not the intention.
There might be something that the Ministry would be considering and that is why it is important for the Hon Minister to come to this House with the commercial agreement which we believe would have details of these things.
Mr Speaker, also very important is that, just recently, your Committee on Roads and Transport joined other Committees to be part of the National Transport Policy Review Programme which we are told by now should be with the Hon Minister and en route to the presidency for approval.
Mr Speaker, it is quite clear that what we are doing in this country in terms of addressing the many issues about transportation is disjointed.
Every Ministry hides in their own corner -- Ministry of Railways would have its master plan, Ministry of Roads and Highways would have its master plan as well as the Ministry of Aviation. However, there is no single document that connects everything and make things work how they should.
I am just worried that if we go ahead to take these loans without any recourse to this -- as we have been told that the President would take custody of the National Transport Policy shortly, I believe that it would probably be a good idea that anything we do from now, in terms of improving transportation across the country, should form part of the National Policy on Transportation.
I believe that it would be a better way of spending money rather than how we are doing it.

Mr Speaker, if you take the component one, I am not sure why the Committee did not impress on the sponsors of this Bill to tell them a bit more about this, but as it stands, somebody can say the US$100 million is not accounted for but that is not to say that there is no use for it.

Mr Speaker, but interestingly, I would also take the opportunity to once again recommend to my Hon Colleagues that today, a mischief maker might just take US$210,666,000 and divide it by the kilometres of road that is captured here, which is basically 34 kilometres and begin to say that a kilometre cost a certain

amount of money, but that would have been wrong.

We have learnt that process in this House, where we basically take global figures and apply them to things and assume that somebody is attempting to do something wrong. Today, I would not do that because I know that is not what it is supposed to be.

It included interchanges, but nobody told us what the price of an interchange is. What we are sure of is that the length of road to be done is just 34 kilometres for

US$210,666,000.

I am therefore just encouraging my Hon Colleagues; let us take time anytime anything comes to this House to be approved to seek the details and not jump into conclusion to go to the public and say this government or the other is attempting to create, loot and share.

If we do that we bastardise our Colleagues who are professionals and have been working during former President Kufuor's time, former President Mill's time, former President Mahama's time and who are working now with President Mahama. [Interruption.] They do not go round trying to connive with any government to steal money through the cost of a project.
Mr Second Deputy Speaker 4:20 p.m.
Hon Member, I think you had a slip of tongue.
Mr Agbodza 4:20 p.m.
Mr Speaker, oh, I mean now with President Akuffo Addo.
Mr Speaker, it would have been easier for me to go to town and ask how on earth we are building 34 kilometres of road for about US$210 million. It would have been easy for me to do, but I am sure people outside would have been wondering what kind of thinking goes into this.
Mr Agbodza 4:20 p.m.


In the same way, when it comes to the opposition, when other people are in Government, they should be kind to this country and be kind to the professionals in this country, look for the details before they conclude as to whether somebody is trying to steal money.

Mr Speaker, I see nothing wrong with this Agreement. I believe it would improve and probably resolve some of the road bottlenecks in our city. I fully support this, but I hope the Ministry of Road and Highways would come to this House with a commercial agreement which would spell out the detailed way they would want to spend this money to make our lives better.

Thank you very much, Mr Speaker, for the opportunity.
Mr Second Deputy Speaker 4:20 p.m.
Hon Majority Leader?
Majority Leader (Mr Osei Kyei- Mensah-Bonsu) 4:20 p.m.
Mr Speaker, I thank you very much and to also lend my support to adopting the Report of the Finance Committee on this facility, which is about
US$210,660,000.
Mr Speaker, I agree with Hon Colleagues that where there is scanty information, the Minister in particular when he is coming with the commercial agreement, should provide greater details about the application of the money. I agree entirely with that.
Mr Speaker, it is because if we do not do that Parliament would not be positioned to trace and track the use of resources available to the country and we would be shirking our oversight responsibilities. So I agree entirely with that.
Mr Speaker, I agree with the last Hon Member who spoke when he said if somebody wants to be simplistic, he would say we are borrowing an amount of US$210 million to do a 34 kilometre road. In road construction, if we are dealing with single carriage way, that is where we do the calculations. This is a dual carriage. That then should tell one immediately that we are dealing with two times that stretch, which is 68 kilometres and not 34 kilometres.
Mr Speaker, even then, if you deal with 68 kilometres, it would give a very high rate which would be in the region of about US$3.17 million per kilometre, and that would be outrageous, except as he himself have said, there are four interchanges, and one is a three-tier interchange.
Mr Speaker, I am even wondering whether this amount would be enough to do all the four interchanges; one being a three-tier and to also do 68 kilometres. I am even thinking that amount might not even suffice for a 68 stretch of road. And we should not forget, if one does a dual carriage on such a busy stretch, there would have to be a median, and that median in all likelihood would be concrete. That will also add to the cost.
That is why I think that we need fuller details to be given to us, but for anybody to say that we are using US$210,666,000 to do a 34 kilometre road and so jumps to town, I am happy that the Hon Member says that would not only be simplistic but very pedestrian for anybody to use that argument.
These things should be factored into it. Any consultant might tell you that the amount may not in all likelihood even suffice because we are going to do four interchanges one of which is a three-tier interchange.
So let the Hon Minister for Roads and Highways come with the greater details in the Contract Agreement and we would see where we are.
Mr Speaker, I thank you very much.
Mr Second Deputy Speaker 4:20 p.m.
Hon Members, even though Hon Members have underscored the need for further information, it is clear that the facility is for a good purpose. So we would go ahead to adopt it and later on in the Commercial Agreement, we look at the other information.
Question put and Motion agreed to.
Mr Second Deputy Speaker 4:20 p.m.
We would move on to the consequential resolution at the item numbered 16 on the Order Paper.
RESOLUTIONS 4:20 p.m.
THIS HONOURABLE HOUSE 4:20 p.m.
HEREBY RESOLVES AS 4:20 p.m.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 4:20 p.m.
Mr Speaker, I beg to second the Motion.
Question put and Motion agreed to. Resolved accordingly.
Mr Second Deputy Speaker 4:30 p.m.
Hon Members, I am subject to the direction of the Hon Majority Leader, but my body is telling me that it needs a rest. We are prepared to serve and sacrifice for mother Ghana.
Yes, Hon Majority Leader?
Mr Kyei-Mensah-Bonsu 4:30 p.m.
Mr Speaker, I was thinking that we could attend to the Right to Information Bill, 2018. Unfortunately, the people to shepherd it are not here with us. The Chairman and the Ranking Member are not here with us. So I believe we have done a good work up to close to 4:30 p.m. So, we can take a well-earned adjournment until tomorrow.
Mr Second Deputy Speaker 4:30 p.m.
Hon Members, I think we need to actually prioritise the consideration of the Right to Information Bill. It is very important.
Whatever the situation, we have to pass this Bill this time around.
I recall the time I was the Hon Chairman of the Committee, I stressed that we could do it. We could not. The current Hon Majority Leader has also emphasised it and this time around, we should not fail the people of Ghana. From 1999 up to date -- It is not a good record. So please, let us salvage ourselves.
Mr Ahmed Ibrahim 4:30 p.m.
Mr Speaker, I sensed the collective wisdom of the House and even when you put the last Question, Hon Members found it difficult to gather the energy to respond either “Aye” or “No”. Mr Speaker, once the response does not come, it calls for a joint caucus meeting. [Laughter.]
Mr Speaker, there was supposed to be a joint caucus meeting last week. We could not have it and it was supposed to be tomorrow. When I signalled the Hon Majority Leader, he said we should have it on Wednesday. Mr Speaker, this Wednesday must be Wednesday.
We must have it for the continuous flow of information and for the Ministry of Finance to appreciate how Hon Members sit from 10 o'clock till this time. Even if the Hon Minister is not available, we allowed the Hon Deputy Minister to let the Business go on. Mr Speaker, I hope that these gestures of the House would be sent accordingly.
So Mr Speaker, the House is in your hands.
Mr Second Deputy Speaker 4:30 p.m.
Hon Deputy Minority Whip, is that part of the Business of the House?
Some Hon Members 4:30 p.m.
Yes.
Mr Second Deputy Speaker 4:30 p.m.
I do not see that on the Order Paper. [Laughter.]
Mr Ahmed Ibrahim 4:30 p.m.
Mr Speaker, it was supposed to be tomorrow, Tuesday, 4th December, 2018 on the provisional Order Paper but it was not put there, but Leadership has agreed that tomorrow, it should be part of the provisional Order Paper that there would be a joint caucus meeting on Wednesday, 5th December, 2018 for Leadership to brief Hon Members about other activities and issues.
Mr Speaker, I believe you are aware?
Mr Second Deputy Speaker 4:30 p.m.
I thought there were some other channels of communication in connection with such matters which we usually refer to as “the usual channels”.
Some Hon Members 4:30 p.m.
They are all blocked.
Mr Second Deputy Speaker 4:30 p.m.
I do not have any basis to think that they are blocked and so, please, still try to go through that because some of these information are only for your consumption; they are not for the consumption of the public. So this is a
plenary session which is recorded and shown on daily basis. This is what I can say to guide you.
With this, I will proceed to adjourn the House.
ADJOURNMENT 4:30 p.m.