The Alliance of CSO’s have said that the lack of, or inadequate consultations by the government on the bill passed to leverage Ghana’s present and future minerals royalties through the Special Purpose Vehicle (SPV), Agyapa Royalties, is responsible for the lack of public support for its implementation.
“While the intention of government may be genuine, and aimed at optimizing the benefits of gold royalties to the state, we are of firm conviction that the lack of, or inadequate consultations on the bill that eventually passed into the Minerals Income Investment Fund (MIIF) Act, (2018), Act 978, with its 2020 amendments, is responsible for the lack of public support for its implementation.”
In a news conference held in Accra, 25th August 2020, Chairman of the Public Interest and Accountability Committee, Dr Steve Manteaw, reading a statement on behalf of the members of the Alliance of CSO’s said that, the opaque manner of the implementation of the Act amongst others do not engender public trust around matters of public policy.
“The opaque manner in which the Act is being implemented: the relatively weaker transparency and public oversight arrangements, and the haste with which the government is running to the market, in spite of concerns being raised by a broad spectrum of the Ghanaian populace, do not engender public trust around matters of public policy. This approach rather raises moral and governance questions.”
The association then went on to say that, Ghana may suffer undesirable consequence if the government proceeds to the market amidst the public outcry.
“We are deeply worried that if government proceeded to the market amidst the public outcry, and threats of future policy reversal from major opposition party, Ghana may suffer the undesirable consequence of a rather high premium, as investors may be sensitive to political risks associated with such investment.
“It is also worth noting that the current financial difficulties of the country, imposed by COVID-19, and are pending elections, present lethal disadvantage for Ghana on the London Stock Exchange; as a desperate country looking for resources to invest.”
The association further went on to acknowledge the fact that attempts are being made to engage the public by the MIIF to provide answers to some questions Ghanaians have on Agyapa Royalties but however, said government’s action is drifting away from its promises in its 2016 manifesto, which promise to ensure mineral revenues are efficiently managed for the benefit of Ghanaians.
“We take this opportunity to also draw the attention of the government to its own 2016 manifesto commitment in respect of mineral sector, Ref. Page 27, Natural Resource- Land, Forestry and Mining, paragraph (f), where the NPP pledged to: ‘Ensure that mineral revenues are efficiently managed for the benefit of Ghanaians, and to enact a consolidated Mineral Revenue Management Law, similar to the Petroleum Revenue Management Act 2011 (Acts 815) to guide the use of mineral revenues in the strategic sectors of our economy’.
“We however, regret to note that we are being served, and against which we are holding this press conference, is a far cry from what was promised.”
They then urged the government to be transparent with the proceeds of the deal and its implementation.
