Energy Bond failure exposes NPP Government: Minority in Parliament

| Updated Nov 08, 2017 at 5:38pm


Minority NDC in Ghana's Parliament. Photo by/Francis Edzorna Mensah.


The National Democratic Congress, (NDC) minority in parliament has described as a complete failure and waste of taxpayers money on the part of government, to have realized, "first in history" less than 100% subscription for the recent energy bond.

The NDC Minority, led by its Ranking Member on Parliamentary Select Committee on Finance, and MP for Ajumako-Enyan-Esiam, Ato Forson, at a news conference on the topic: "Energy bond turns energy bomb", argued that, the failure of the bonds insurance in NPP administration has brought Ghana's image and integrity into disrepute.

Mr. Forson alleged that:, "after an extensive road show costing the tax payer millions of Ghana Cedis, the government delegation that was authorized by the President and his Cabinet to carry out the transaction failed to achieve the stated objective".

The Seven year bond that was expected to raise 2.4 billion Cedis could only close with a subscription of 62.5%(1.5 billion out of 2.4 billion), even after an extension of the closing date of the bond, it was further extended before the government could realise the 2.4 billion Cedis", accusing the Finance Minister plus his team for causing a financial loss to the State.

According to him, " Ghana has become a laughing stock for this gargantuan failure and bomb that cannot be allocated with the recent US$ 2.5 million Ghana Post GPS even in the middle of river Moti".

The Minority has declared their intention to summon the Minister of Finance, Ken Ofori Atta, to appear before Parliament to answer what they called: "the circumstances that led to the willful breaches of the laws and constitution of the Republic of Ghana through this reckless conduct".

He has also called on the sector Minister to apologize unreservedly and in no uncertain terms to the good people of Ghana.

He attributed the failure to unrealistic assumption among other things, saying that between 2012 and 2016, the consumption of various petroleum products in Ghana increased significantly as a result of the electricity shortage, adding that, "in 2016, when the electricity supply situation improved, the consumption for petroleum products declined from 3.36 million metric tonnes in 2015 to 3.13 metric tonnes".

"Total consumption for the first half of 2017 stood at 1.4 million metric tonnes, and is expected to reach 2.96 million metric tonnes at the end of 2017, lower than the 3.13 million metric tonnes recorded in 2016.

The projected consumption is expected to be equivalent to the 2012 consumption of 2.96 million metric tonnes".

Story by Francis Edzorna Mensah