Graphic Online

Graphic Online 

John Boadu confirms decision to rescind Ameri deal ‘for now’

BY: Zadok K. Gyesi
John Boadu
John Boadu

The General Secretary of the ruling New Patriotic Party (NPP), John Boadu has confirmed that government has rescinded its decision to review the AMERI Power deal, which was sent to parliament last two weeks.

Speaking to journalists in Cape Coast after a thanksgiving service to mark the 71st anniversary of the formation of the United Gold Coast Convention (UGCC), Mr Boadu said the matter was discussed at last Thursday's Cabinet meeting.

The government had sought Parliamentary approval to review the build, own, operate and transfer (BOOT) agreement it entered with Africa and Middle East Resources Investment Group (AMERI Energy) on February 10, 2015.

A memorandum submitted to Parliament asking for the approval indicated that the new transaction had a waiver of $52.7 million due AMERI Energy that the government of Ghana would have had to pay.

Besides, the memo added that, there would be a reduction in the standby letter of credit (SLC) from $51 million to $37.5 million and cost savings of $405.067 million over a period, while electricity tariffs on end users would be reduced.

It said President Nana Addo Dankwa Akufo-Addo had given Executive approval for the novation and amendment agreement due to the gains to be made in favour of the country.


Parliament, however, deferred approval of the revised AMERI deal to its next meeting with some members arguing that the amended deal lacked input from the Attorney General and Minister of Finance. 

Last week, media reports suggested that President Akufo-Addo had been misled in giving an executive approval to the new deal.

The reports consequently said President Akufo-Addo had asked that it should be withdrawn from Parliament since it did not have inputs [advice] from Attorney General and Minister of Finance.

Over the weekend, there were calls for the president to dismiss the Minister of Energy, Mr Boakye Agyarko and all those involved who may have misled the presidency.

Letters said to have been written by AMERI, which were released on social media, said AMERI had no knowledge of the new agreement.

According to AMERI, it was not involved in any discussion with the Energy Ministry on renegotiating or amending the power deal signed with the John Mahama-led government in 2015.

However, another letter also in circulation indicates that Ameri authorised Nicholas Mawuse Addo to represent it in the deal.

Speaking at a thanksgiving service in Cape Coast to mark the 71st anniversary of the formation of the United Gold Coast Convention (UGCC), Mr Boadu encouraged the public not to be disturbed by the deal since government will surely review it.

"We must not be disturbed at all," he said, adding “We will rescind our decision for now and review that project to make sure that Ghanaian people get their monies worth and value for money in everything that we do.”