Sunday, 08 December

Handing over PDS assets to EDF: It's all "lies" – NPP


The governing New Patriotic Party (NPP) has denied knowledge of plans by the government to contract France-based EDF to take over the operations and assets of the embattled Power Distribution Services (PDS).

The opposition National Democratic Congress (NDC), at a press conference in Accra on Tuesday, 10 September 2019, accused the government of planning to engage the French energy firm to take over the operations of PDS.

This, the General Secretary of the NDC, Mr Johnson Aseidu Nketia, who addressed the press, said will enable President “Nana Akufo-Addo and his relatives to appropriate the 51 per cent Ghanaian shareholding in PDS for themselves with the objective of taking control of Ghana’s power distribution sector for the next 20 years.”

“We are also aware of frantic efforts by President Akufo-Addo to bring in EDF of France to take-over the assets of ECG in pursuit of his ongoing state-capture agenda,” Mr Nketia noted.

“We, hereby, serve notice to the Akufo-Addo government that any attempt to use this scandal as an avenue to appropriate the assets of ECG for cronies and assigns of President Akufo-Addo will be fiercely resisted by the people of Ghana,” the General Secretary added.

Reacting to the claims on 505 on Class91.3FM on the same day, a Deputy General Secretary of the NPP, Nana Obiri Boahen said the NDC was peddling “lies”.

He told sit-in host Joshua Kojo Mensah that: “A committee set up is supposed to present a report and that will be made public but that has not been made public and, therefore, to all intents and purposes, we are all waiting for the publication of the committee’s report. As for our colleagues manufacturing lies, peddling lies; introducing falsehood has been the stock-in-trade of that party because the report has not come out, so, why do you go all-out manufacturing stories saying a French company is taking over…”

PDS has been under investigations for alleged fraudulent conduct in connection with its takeover of the assets of the Electricity Company of Ghana (ECG).

A statement issued by the Minister of Information, Mr Kojo Oppong Nkrumah, on Tuesday, 30 July 2019, announced the suspension of the concession agreement and explained that the decision followed the “detection of fundamental and material breaches of PDS’s obligation in the provision of Payment Securities (Demand Guarantees) for the transaction which were discovered upon further due diligence”.

“The demand guarantees were key prerequisites for the lease of assets on 1 March 2019 to secure the assets that were transferred to the concessionaire,” it said.

However, FTI Consulting, a United States-based consulting firm commissioned by the Millennium Development Authority (MiDA) to investigate whether or not PDS duly won the contract to manage the assets of the ECG confirmed that insurance guarantees were, indeed, paid to back the PDS’s takeover of the assets and operations of the ECG.