Government`s suspension of the concessionary agreement with Power Distribution Company, PDS, has aroused public outrage while some have commended government for the action, others have chastised it for failing to do proper due diligence before approving the concession.
But Insurance Expert, Edgar Wiredu believes the mixed reactions that have greeted the PDS suspension is as a result of the conflicting information passed on to the public.
Mr. Wiredu explained that the bone of contention is with the performance bond document guarantee PDS presented to government and has nothing to do with ECG`s eighteen billion assets being mismanaged by PDS.
Touching on ACEP`s call for government to sanction MIDA and its affiliate agencies for not scrutinising the agreement properly before its approval, Mr. Wiredu said government has no control over MIDA and therefore ACEP’s call is inappropriate.
The Africa Centre for Energy Policy, ACEP, is calling for the interdiction of the leadership of the Millennium Development Authority, MIDA, to allow for thorough investigations into alleged fraudulent misrepresentation in the ECG concessionaire agreement, with the Power Distribution Services, PDS.
At a news conference in Accra, Executive Director of the Centre, Ben Boakye, said though ACEP is not surprised about government’s suspension of the contract, it is worrying that MIDA did not do due diligence on the payment of securities provided by PDS.