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All that rhetoric about
this AMERI power deal…
By Dr. Michael J.K. Bokor
Tuesday, December 15, 2015
Folks, you must also have been following developments
concerning the agreement that Ghana signed with AMERI for
the supply of gas turbines to help it solve the "Dumsor"
crisis. I have been doing so, critically analyzing every
statement made about the deal by just anybody, especially
following the publication by the Norwegian newspaper, VG.
The most important question nagging me at this point in my
analysis of the situation is: Could Dr. Kwabena Donkor
(Minister of Power) and all those leading the Ghanaian side
think that they could inflate the cost of the turbines (and
accessories supplied by AMERI) without being exposed? In
this Internet age? With all the documentation available to
trace happenings from the source to the target?
My careful assessment of the issues point me to many
directions, the most poignant of it is that I am tempted to
believe the Ministry of Power and the government's version
of the rhetoric until those raising the flag provide
authentic documentary evidence on the matter to substantiate
their allegations. Why?
1. I have found the Norwegian newspaper's publication as a
huge agenda based on sensationalism, particularly the
over-emphasis on the single individual of interest to the
management of the newspaper (Umar Farooq Zahoor) who is
painted with a wide brush as a criminal fraudster wanted by
the Norwegian police and Interpol. The impression created,
then, is that the government of Ghana dealt with a criminal
to dupe Ghanaians. Even, if granted that the Farooq guy has
ever been imprisoned for fraud, does it make him a lifetime
fraudster who cannot do any business with any entity short
of swindling that entity? Character changes.
The fact is that His Royal Highness Sheikh Ahmed Bin Dalmook
Al Maktoum who owns the entity AMERI Energy with whom they
signed the contract has been de-emphasized in the Norwegian
newspaper's publication. Why so? Is the Sheikh also a
fraudster or someone being manipulated by Farooq to dupe
Ghana? Where is the evidence?
Interestingly too, the Editor of the newspaper (Bakke Foss)
confirmed that the deal between Government of Ghana and the
AMERI Group was a Build, Own, Operate and Transfer (BOOT)
agreement for the ten gas turbines—a later stance that
contradicts his own earlier submission.
2. I find it difficult to accept the newspaper's claim that
the price of the gas turbines had been astronomically raised
(510 million Dollars). The suggestion that the turbines
could cost less (220 million Dollars) elsewhere doesn't
satisfy me, especially considering the forces influencing
such internal deals. The explanation about General
Electric's involvement and the impression created that it
could have been a better partner isn't here or there. Then
also is the involvement of the Greek company. Too many
question marks are left hanging on the newspaper's claims,
especially when no documentary evidence is provided (quoted
from) to hinge those claims on. It’s all a matter of
sensationalism.
3. The Minister of Power said the agreement was laid before
Ghana's Parliament for ratification, which has been
confirmed by the MPs reacting to the issue. What did our
Parliament do to go beyond the surface before approving that
agreement? Did the MPs simply rubber-stamp it without doing
their own background checks? If they did, what sort of
characters are they?
Those in the NPP turning round to support the Norwegian
newspaper's version are giving a very bad account about
themselves and creating the negative impression that they
are more interested in doing dirty politics with the matter
than helping the public know what they (the MPs) knew before
endorsing the agreement.
The Minister of Power has refuted the newspaper's allegation
that Ghana has paid money to AMERI, which the Editor of the
newspaper has refused to accept. So also is the energy think
tank Africa Centre for Energy Policy (ACEP). In its
statement, ACEP said:
“We know that Government has not made any payment to AMERI.
But when VRA makes the monthly payments prescribed by the
contract, it will constitute payment for the turbines and
the use to which it is being put. Indeed for the entire 5
years, these payments are to be made to AMERI. AMERI will be
paid US$850,000 per turbine per month. This will amount to
US$8.5 million for the ten turbines, with cumulative annual
payments of US$102 million. In addition, an amount of
US$16.6 million will be paid as variable cost. This brings
the total payment due to AMERI and its partners to almost
US$120 million".
This particular angle is disturbing, especially if we see it
as an after-the-fact statement designed to confuse. It is a
matter of whether the government has already paid any money
to AMERI or not; it isn't to be pushed to the future. It is
simply about the past: Has the government already paid AMERI?
This question shouldn't be difficult to answer if those
responding to the government's statement debunking the
newspaper's claims can do their homework properly. After
all, the money for that payment won't come from the private
pockets of President Mahama or Dr. Kwabena Donkor (Minister
of Power). So, it could only come from the official national
coffers. How difficult is it for any of those people to do
their checks with the Bank of Ghana, the Ministry of
Finance, or any other state institution responsible for
payments of that sort?
But even then, under the terms of the agreement, I wonder
how AMERI could supply the equipment without being paid
anything upfront. That is why those responsible for looking
into the technicalities of the agreement should go ahead to
dig much deeper into its intricacies for us to know what we
need to know.
4. Whether the government has already paid for the turbines
or not, we know that work on the installation of those
turbines is complete and they should soon start operating to
ease the crisis. Had AMERI failed to provide the turbines, I
would have very serious questions to ask the government. All
the same, I wonder how the equipment (turbines) would be
supplied without anything being paid to AMERI (even to cover
transportation!!). This is where I expect the Minister of
Power to come clean.
There could be more gray areas; but for now, I will pause to
continue monitoring the situation. Anything new that comes
up will be thrown into the conversation.
Before I sign off, though, let me say that the kind of
politics that has begun being done with this Norwegian
newspaper's publication by the NPP fits into its agenda. Its
spokespersons have already begun crucifying the government
just on the basis of the newspaper's version. Fraudie Blay
(Acting Chairman) is even calling for a Parliamentary
inquiry into the matter---as if he doesn't already know that
if it comes to the crunch, Parliament itself will be painted
black for ratifying the agreement to enable the deal to be
consummated. How does Fraudie Blay think at all? And he
claims to be a lawyer!!
Again, the rashness with which the NPP has accused President
Mahama and his brother (Ibrahim) of being connected to AMERI
to create the impression that they are beneficiaries of the
power deal is nauseating. Ibrahim's company (Engineers and
Planners) has already reacted strongly to that allegation,
warning that it will proceed to court if the
image-tarnishing antics continue.
Indeed, our Ghanaian system is inefficient/ineffective,
apparently because people find it difficult to separate
partisan politics from any human endeavour at all that is
undertaken. As is unfolding, we can see what this AMERI deal
will turn into.
Again, I blame Parliament for its inability to pass the
right to information law so Ghanaians can go wherever in the
public system to get any piece of information they need. In
other countries, the citizens enjoy that right.
Unfortunately for us, our lawmakers don't see the value of
such a law, which is why Ghanaians easily become fascinated
by anything about Ghana published by outside sources.
Had Dr. Kwabena Donkor been "transparent" enough to inform
Ghanaians at home about the AMERI power deal (even though
the matter had been laid before Parliament and we expected
our news media to publicize it), the people wouldn't have so
enthusiastically latched on to what this Norwegian newspaper
has sensationalized to the government's dismay.
In a democracy, transparency in the handling of affairs,
especially anything connected with public funds, is
imperative. It is only then that the citizens will be
informed about goings-on and work hard to sustain the
system. Otherwise, doom looms!!
I shall return…
• E-mail: mjbokor@yahoo.com
• Join me on Facebook at: http://www.facebook.com/mjkbokor
to continue the conversation.
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