Minority: We demand detailed report on GNPC, Genser Energy agreement

The Minority in Parliament is demanding a detailed report on an agreement between the Ghana National Petroleum Corporation (GNPC) and a US-based Ghanaian owned energy company, Genser Energy Holdings.

It explained that the conditions of the deal, in which Genser committed to pay a reasonable price for gas to power embedded power plants it leased to various large mines and consumers in the cement and ceramics industries, must be interrogated.

“Some of the questions have been answered while others are pending, for the information that cannot be provided, we have directed GNPC to make all those information available to us regarding financial analysis underpinning the agreement and investment decisions,” the Minority noted.

The Africa Centre for Energy Policy (ACEP) and IMANI Africa revealed in a report that the deal in which Genser Holdings committed to pay reasonable price for gas to power embedded or off-grid power plants it leases to various large mines and consumers in the cement and ceramics industries triggers possible financial recklessness on the part of GNPC.

Already, the government has described as misleading reports that Ghana is likely to incur a $1.5 billion financial loss in the agreement.

John Jinapor, the Ranking Member on the Mines and Energy Committee of Parliament, said the committee would review the deal when Parliament resumes because the Minority was also aware that, Ghana Gas was deeply involved.

“We have decided that we will summon Ghana Gas to appear before the House because we are clear in our minds there are some issues that need addressing however, we are expecting further details on the agreement between the GNPC and Genser Holdings,” he revealed and raised concern with financial analysis underpinning the agreement and thinking that went into investment decisions.

Mr Jinapor insisted that the committee would interrogate the issue to its logical solution since the committee’s duty was to ensure the State was not shortchanged.

But Mohammed Amin, a Deputy Minister of Mines and Energy, stated that for now, it was a bit exaggerated because IMANI and ACEP should have been measured while sharing their conclusions.

He intimated that before IMANI and ACEP would put out into the public domain issues of such consequence, they should have made the issues referable to GNPC.

Show More
Back to top button