Extension of Karpower deal worse than AMERI - Minority

The Minority in Parliament has sounded another alarm over the controversial Karpower deal which was extended from ten to twenty-years in March 2018, despite the then opposition New Patriotic Party (NPP) talking down the deal and describing it as bad.

Addressing the press in Accra on Wednesday, a former Deputy Power Minister, John Jinapor, described the reviewed Karpower deal as a “scandalous and corruption-ridden” agreement.

This was during a press conference held in opposition to proposed amendments to the AMERI deal.

Mr. Jinapor warned that the renegotiated Karpower deal was even worse than the AMERI deal that civil society had also kicked against.

“This renegotiated agreement is even worse than the AMERI Novation agreement presented to parliament by Mr. Boakye Agyarko… The renegotiated Karpower agreement stinks to the heavens with big fishes in government superintending the looting of the state under this new deal”.

The Electricity Company of Ghana (ECG) board has not approved this deal, according to Mr. Jinapor.

“What they have done is to do double the tender. Anytime you double the tender of a PPA [Private-Public Partnership Agreement], the rule of thumb is that the capacity charge drops to between 30 and 40 percent”.

“What this government has done is to renegotiate the deal, double the tender and give us a minimal reduction of about 8 percent. So who is seeking to cream off the 32 percent,” he asked.”

Mr. Jinapor concluded by saying the Minority will soon release details on the deal they consider scandalous.

“The renegotiated deal was poorly negotiated and fraught with inflated and padded figures. The Minority will soon engage the Ghanaian public on this stinking deal and we shall make the details available”.

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