Boakye Agyarko, a former Energy Minister has disclosed that the cancellation of Ghana’s Emergency Power Agreement with GCGP Limited is an occurrence he cannot be held responsible for its termination.
Speaking in an interview, Mr. Agyarko intimated that, the termination which led to a $134 million judgment debt slapped on the country and saw government presenting itself at the arbitration is a phenomenon which cannot be initiated by him.
“I just realized that they had filed for arbitration on August 11, 2018. This was after I had left the ministry. I never knew they had gone for arbitration. I am told that the government presented itself at the arbitration. How would someone accuse me of cancelling the contract? I have not cancelled any contract, I don’t have the power nor the need or desire to cancel it. I am for what will help Ghana”.
Admittedly, Mr. Agyarko opined that albeit the contract was cancelled during his tenure, subsequent actions and negotiations which transpired during that time concerning the power deals were decisions of Cabinet.
“It was during my tenure [but] don’t say I cancelled the contract. Let me say emphatically that I Boakye Kyeremanteng Agyarko I did not use my will or power to cancel anyone’s contract.
“The decision was that we should negotiate them out. We sent the report to cabinet and I presented to Cabinet. Cabinet accepted the report with all recommendations. I was asked as sector minister to implement the report”.
He further stated that, he had no power to undertake such activity on his own during his tenure in office and as such finds it surprising that he has been linked to the development.
The power agreement, signed in 2015, was among those reported to have been cancelled by the former Energy Minister, with the reason that they were irrelevant and would have eventually led to the ballooning of Ghana’s debts in the energy sector.
GCGP Limited in a ruling secured in its favour from the International Court of Arbitration is to get $134 million and US$30 million in interests from the government of Ghana over the cancellation of the contract.
Meanwhile, the Institute for Energy Security (IES) has said the US$134 million judgment debt likely to hit the Government of Ghana is one that is damaging to the country’s reputation and finances.
According to a fellow at the Institute of Energy Security, Beatrice Annan, what this means is that they “will have to use taxpayers’ money in excess of US$134 million to pay the foreign entity, which is GPGC. It further means that, as a struggling economy as we are, the government will have to cough up another US$30 million to pay interest.
“Beyond the financial damage that has been caused to the country, it also damages our reputation. So the international community will begin to look at Ghana with another eye and for us, we think that it is not a good brand to build as a nation”.
