The Energy Ministry has rejected claims that $90 million out of the $250 million loan being sought from the World Bank for the Ghana Energy Sector Recovery Programme will be used to pay consultants for the project.

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

The objective 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.

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

• Read also: Parliament rejects $250m Energy Sector Recovery Programme loan over $90m consultancy fee

On Tuesday night, Parliament suspended the approval process of the deal following concerns raised by the Asawase MP, Muntaka Mubarak, that more than $90 million of this amount would go into paying consultants.

Chairman of the Energy Committee, William Owuraku Aidoo disagrees with the Asawase MP's position.

Speaking on Joy FM's Midday News, he said he doesn't believe "he [Muntaka] read the document before he stood up to make the assertions he made."

"Honestly, I don't know where he got that from because there is a document that was circulated to all Members of Parliament and it is very clear that the 90 million was totally not for consultancy purposes."

Mr Aidoo outlined the breakdown indicating that "The 90 million was for the procurement and installation of smart pre-paid meters along with its associated software, which was 2.5 million, that goes to ECG."

"And then 10 million of that 90 million goes to NEDCo. In addition to that, part of the 90 million was for the enhancements to data management systems and that was 5 million US dollars. And then you have the strengthening of the commercial information system, 10 million. And then finally, associated ICT systems for improving the operational efficiency of ECG, that is 2.5 million. So this is what the 90 million comes to,” he said on Wednesday, July 31.

He however fell short of stating the amount allocated for consultancy.

"I don't have the figure right now," he added.