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in General News

Majority in Parliament Rejects NDC’s Calls for Prosecution in SML-GRA Contract

Prince Agyapongby Prince Agyapong
May 3, 2024
Reading Time: 3 mins read
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Minority Leader, Hon. Alexander Afenyo-Markin

Minority Leader, Hon. Alexander Afenyo-Markin

In a significant move that has sparked debate across Ghana, the Majority in Parliament led by the Majority Leader, Hon. Alexander Afenyo-Markin has firmly rejected the demands put forth by the main opposition National Democratic Congress (NDC) for the prosecution of individuals allegedly linked to the SML-GRA contract. The dismissal of these demands comes amidst heated debates and growing tensions surrounding the controversial agreement.

Members of the Majority caucus have staunchly defended their position, asserting that there exists insufficient evidence to implicate any government official in causing financial loss to the state through the SML-GRA deal. Consequently, they deem the calls for prosecution by the NDC as unjustified and unfounded.

Speaking to journalists, the Majority Leader, Hon. Alexander Afenyo-Markin, articulated the government’s stance on the matter. He emphasized President Nana Addo Dankwa Akufo-Addo’s decision to initiate a comprehensive review of the contract, underscoring its alignment with the public’s best interests.

“Now we are aware that our friends in the NDC are calling for certain prosecutions. I think that they have not paid attention to the whole issue and they only want to do politics as usual. Their call is unfounded for the simple reason that there isn’t any established proof of any officer of state causing financial loss to the state.”

Hon. Alexander Afenyo-Markin, Majority Leader

Hon. Afenyo-Markin further clarified aspects of the contract, highlighting that payments to SML are not sourced from the government’s revenue but are instead generated from the petroleum sector.

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“They are paid 0.05% per litre of revenue that they generate as a result of the system that they put in place to monitor activities in the petroleum sector,” Afenyo-Markin explained.

In addition to addressing the contractual specifics, the Majority Leader urged the main opposition to refrain from actions detrimental to Ghanaian businesses. “It is instructive to also note that the company opened its doors to the Mines and Energy Committee to inspect and to see the nature of their operations,” he stated. “What I want to urge our colleagues in the opposition is that they should not kill Ghanaian businesses.”

The Majority, Hon. Afenyo-Markin cautioned against a disproportionate focus on due diligence and transparency, which could inadvertently harm local enterprises while foreign entities receive preferential treatment. He emphasized the need for a balanced approach that fosters the growth of Ghanaian businesses without compromising accountability and oversight.

SML GRA deal
SML-GRA deal

The SML-GRA contract, which stands for the Strategic Marine Logistics Ghana Revenue Agency contract, has been a contentious issue in Ghana’s political landscape. The contract involves SML, a company that provides services related to the monitoring and management of petroleum activities in Ghana.

The NDC has criticized the contract, arguing that it has resulted in financial losses to the state, while the Majority caucus maintains that the contract is beneficial and that the payments made to SML are not directly from the government’s revenue but from the revenue generated by SML itself.

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The NDC, however, has maintained its stance, arguing that the SML-GRA contract is fraught with issues that have led to financial losses for the state. The party has called for a transparent investigation into the contract and the individuals involved, asserting that the Majority’s dismissal of their calls for prosecution is an attempt to shield those responsible for alleged mismanagement.

The disagreement over the SML-GRA contract highlights a broader debate in Ghana about the role of government contracts, the protection of local businesses, and the transparency of public finances. While the Majority caucus argues that the contract is beneficial and that there is no basis for prosecution, the NDC insists on a thorough investigation into the matter. This dispute underscores the complex dynamics of Ghanaian politics and the ongoing challenges in balancing economic development with accountability and transparency.

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