A Deputy ministerial nominee for Energy, Dr. Mohammed Amin Adam, has described the renegotiation of the Ameri Power Contract as a better deal that saved the country from losing huge sums of money.
According to the Deputy Minister Designate, the renegotiation team, led by a former Energy Minister, Peter Amewu, was able to negotiate properly and help reduce the initial cost of Ameri that was brought to parliament.
He said the initial Ameri cost that was brought to parliament was 13% less than the original cost of Ameri, however he said through their renegotiations, they were able to reduce the cost to 13%.
The Karaga lawmaker made these remarks while appearing before parliament’s appointment committee. Dr. Amin Adam said the renegotiations team which he was part of, also played a key role by improving the payment terms, because the country initially was supposed to pay $90 million at a go, but they were able to spread that sum over a period.
“The renegotiation led by Mr Peter Amewu was a better deal,” he stressed.
The Ameri power deal was entered into by the former NDC government, however the then opposition and now ruling New Patriotic Party (NPP) promised to review the terms if it won the elections.
In February 2017, a month after coming into office, the NPP government set up a committee to review the deal. It concluded that the deal was overpriced by $150 million. A move to reverse the deal through parliament was boycotted by the minority in parliament.
In July 2018, the former minister who was dismissed by the president Nana Akuffo Addo for what was termed as “misleading the president,” presented a revised Ameri deal to parliament after the president reportedly gave his approval. The new deal was primarily handing over the deal to a new company to execute.
But a joint parliamentary committee blocked approval of the new deal until the minister presented five crucial documents.
Story by: Yakubu Alhassan