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MiDA resolute with local ownership in ECG

Martin Esson Benjamin - CEO, MiDA
Martin Esson Benjamin - CEO, MiDA

The Millennium Development Authority (MiDA) has stressed that it will protect the interest of the government of Ghana in selecting a private manager for the ECG.

It follows concerns raised by one of the concessionaires, a French electricity conglomerate, EDF which together with its local partner, CH Group is protesting the 51% mandatory Ghanaian ownership in the new entity.

But MiDA maintains that though it has been notified of the concerns, it will work for the interest of Ghana.

“MiDA confirms that it has received such a letter on the bidders’ concern about the government of Ghana’s policy to have 51% Ghanaian ownership in the structure of the concession. MiDA wishes to assure all Ghanaians that it is managing the transaction on behalf of the government of Ghana and would ensure that the transaction is managed for the benefit of the people of Ghana,” the company indicated.

Meanwhile the General Secretary of the Public Utilities Workers’ Union (PUWU), Michael Adumatta Nyantakyi insists government must ensure that Ghanaians hold majority shares in the Concession.

“We have said that the concession is not the best option, but if that is still the option- that is if majority is still in the hands of Ghanaians, it is better than majority in the hands of foreigners.”

Ghana to get over 498m dollars

Ghana signed the Power Compact with the United States of America acting through the Millennium Challenge Corporation (MCC), an independent United States government agency, on the sidelines of the US Africa Leaders’ Summit in Washington DC on August 5, 2014.

The Ghana Power Compact would provide Ghana with a grant sum of four hundred and ninety eight million, two hundred thousand United States Dollars (US$498,200,000) to improve the performance of Ghana’s power sector, unlock the country’s economic potential, create jobs, and reduce poverty.

About US$350 million of the grant is being invested in ECG to make the country’s power distributor operationally and financially more efficient.

By: Pius Amihere Eduku/citibusinessnews.com/Ghana

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