$250m ESRP Loan: $90 million not for consultancy - Deputy Minister of Energy refutes

The Ministry of Energy has debunked claims that over $90 million of the $250 million loan from the World Bank for the Ghana Energy Sector Recovery Programme (ESRP) will be used for consultancy.

This comes after parliament suspended the approval process for the loan after Asawase MP Muntaka Mubarak raised concerns over consultancy fees.

However, the Deputy Minister of Energy and Chairman of the Energy Committee in Parliament, William Owuraku Aidoo, disagreed with Mutaka’s claims.

In an interview with Accra-based Joy News, he stated that the $90 million is designated for various projects, including the procurement and installation of smart pre-paid meters, enhancements to data management systems, and improvements to ECG's operational efficiency.

”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."

"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.

He, however, did not specify the exact amount allocated for consultancy fees.

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

The Energy Sector Recovery Programme (ESRP) is a financing agreement made with the International Development Association (IDA) of the World Bank Group which aimed to reduce electricity purchase costs, increase revenue collection for distribution utilities, improve ECG's financial management system, and support the National LPG Promotion Programme.

ID/MA