Ghana’s information minister Kojo Oppong Nkrumah has said the government was not negligent in signing the Power Distribution Services contract.
Mr Oppong Nkrumah said the county’s diligence over the agreement rather exposed the breach by PDS.
The Ghana government on Tuesday suspended PDS’s deal over what it says were fundamental and material breaches in the payment of demand guarantees by the company.
“It’s as a result of the diligence of the Ghana side that we have discovered that there is a flaw in the guarantees and that is why we have triggered this process,” he told Accra-based Citi FM.
He said the nature of the breach by PDS was such that it was difficult to detect at the initial stages.
“The Millennium Challenge Corporation in the USA did not detect this, the Millennium Development Agency (MiDA) did not detect this, the International Financial Cooperation did not detect this… They are the principal actors even in selecting who the successful bidder is. If this is something that was possible to be detected initially with the combination of all these organizations looking at it, they would have detected it,” Oppong Nkrumah said.
Mr. Nkrumah said a full scale inquiry has been launched into the case.
By Emmanuel Amewugah, Daily Mail GH