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NOTIFICATION OF AWARD OF CONTRACT No.15

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Program Implementation Agreement

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Ghana Power Compact

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back9th September, 2015

SECOND POLICY DECISION MAKERS WORKSHOP FOR PSP TRANSACTION IN ECG


MIDA
Ms. Mona Quartey contributing to discussions on PSP in ECG

The second workshop for policy decision makers for the PSP transaction in ECG was held at the Tang Palace Hotel in Accra. The workshop, organized by the Reform Unit of MIDA, was intended to introduce policy decision makers, from various institutions associated with Ghana’s power sector, to the key decision areas that would require sign off for the PSP transaction agreement in ECG to happen. The workshop was also to apprise the decision makers of the progress of work of the Financial Advisory Services Agreement (FASA) implementation.

Several high ranking officials and decision makers on whose shoulders the PSP transaction in ECG rest were all present. Among those present were Ms Mona Quartey, the Deputy Minister for Finance, Mrs. Della Sowah, deputy minister for Gender Children and Social Protection, and the board members and management members of ECG. Other institutions present include the Public Utilities and Regulatory Commission (PURC), the Energy Commission (EC), Attorney General’s Department, Public Utilities Workers’ Union (PUWU) representing staff of ECG, and the board of MiDA represented by its chairman Professor Samuel Sefa-Dedeh.

The workshop was facilitated by Ing. Owura Sarfo, CEO of MiDA, with the International Finance Corporation (IFC), the transaction advisors for the Government of Ghana on the PSP leading in presenting the various possibilities of structuring the transaction agreement for the PSP of ECG. The transaction structuring issues discussed at the workshop bordered on issues about the ownership in NewCo, which would be the new company to be set up to carry out the concession arrangement in ECG, regulation of tariffs, bid parameters and selection criteria for the tender, key performance indicators for the concession agreement, restructuring of ECG, and government’s support requirements for the transaction. The presentations showed various PSP arrangements in Africa and other parts of the world, dwelling on the UMEME example in Uganda as a successful PSP.

From the presentations, participants were expected to distill their preferences which would be incorporated in the transaction structuring report. The Transaction Structuring Report would present the Government of Ghana with various options for the PSP transaction, from which a decision would be taken on Ghana’s preferred option for the concession agreement. Mr. Michael Awuah, Reform Unit Manager, believes the workshop has been successful considering that nearly all invited officials were present. “We had a lot more people contributing ideas and asking questions. These are the people who ultimately have to take the decisions”, He said.