Parliament rejects $250m Energy Sector Recovery Programme loan over $90m consultancy fee

Audio By Carbonatix

Parliament has rejected a $250 million loan for the Ghana Energy Sector Recovery Programme.

The financing agreement is between government and the International Development Association (IDA) of the World Bank Group

The object of the loan is to provide funding for the ESRP to support specific activities aimed at reducing the costs of electricity purchases and increasing revenue collection of the distribution utilities.

Read also: Affirmative Action bill passed into law

Additionally, it is geared towards improving the financial management system of ECG as well as supporting the National LPG Promotion Programme.

But the consideration of the agreement was halted following a revelation by Asawase legislator, Muntaka Mubarak.

He drew Parliament's attention to the fact that more than $90 million of this amount will be spent on consultancy alone.

Both the Minority and Majority members on the Finance Committee had unanimously backed the approval until Muntaka Mubarak threw a spoke in the wheels.

DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.

Tags:

Energy Sector Recovery Programme

Loan

Parliament