- Boakye Agyarko has been sacked as the energy minister
- The event of energy minister's sacking can be traced to the recent political history
- The minister for lands and natural resources, John Peter Amewu, is the substantive minister of energy
The sacking of Boakye Aygyarko as energy minister comes as no surprise to learners of Ghana's recent political history.
We know that Boakye Agyarko was relieved of his duty following controversies over the Ameri power deal in which a renegotiation saw the Energy Ministry inflate the cost by 150,000 million dollars.
So far, Boakye Agyarko has revealed his intentions of reacting to this removal when 'the dust settles' over his sacking.
Interestingly, this is not the first time a minister of energy has ever been sacked from office. Under the Jerry Rawlings administration, the former president sacked his minister for mines and energy, Edward Saliah after the administration's policies on powering the country and preventing an erratic power supply was just not working.
It never ends there, in fact, the former president, John Agyekum Kufuor asked his energy minister, Joseph Kofi Addah, was asked to proceed on leave in the wake of the horrific load shedding exercise.
It was during his tenure as energy minister that Ghana endured over a year of the energy crisis. But, he was generally not personally blamed for the crisis. Some commentators called for his dismissal, calls which the President resisted.
Fast tracking to the Mahama administration, the then minister of power, Kwabena Donkor, was also convulsed to resign as the power minister after his inability to end the power crisis.
In fact, it was during his tenure that the energy minister was contradicting notices from the Electricity Company of Ghana (ECG) over whether or not 'dumsor' had ended. It was during the Mahama era that the controversial Ameri deal sprang up - the controversy which saw the energy minister, Boakye Agyarko, was sacked.
The $510 million Ameri power deal was signed between the Mahama led government in 2015 at a time when the country was experiencing the power crisis.
This power deal was to help bring Ghana out of the energy crisis which had cost the country millions of cedis.
However, the deal triggered a well of controversy with civil society groups including IMANI, ACEP raising issues about the cost of the power plant.
Before the Akufo-Addo administration, the NPP vowed to review the agreement if it won power and shortly after it did, the Akufo-Addo led government quickly set up a 17-member committee led by Philip Addison, a lawyer, to investigate the details of the agreement.
Based on this new agreement, the government believed a new deal will save the country a whopping amount of $400 million over a 15-year period.
Under this agreement, a new company- Mytilineous International Trading Company will take over the management of the Ameri power plants for 15 years.
The new company has offered to pay Ameri an amount of $52,160,560.00, with the government paying the remaining $39 million to the Dubai based company so they can wash their hands off the deal entirely.
According to Boakye Agyarko, this new agreement will see the price at which government buys power to be reduced from 14.5919 cents to 11.7125 cents per kWh which will lead to a savings of $405.067 million.
“The drop in the tariff of US cents 2.8793 per kWh has resulted in a yearly cost savings of about $27.004 million. The total cost of savings over the 15 year period is $405.067m,” excerpts of the new agreement stated.
This new agreement by Boakye Agyarko was fiercely rejected by the opposition NDC which argued that the deal will make Ghana pay double the amount for the original contract to AMERI.
Based on all these controversies, the government set up a committee to examine the new agreement only to realize the entire power agreement was a poor job done.
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Source: Yen Newspaper