A former Chief Executive Officer of the Bui Power Authority, Fred Oware has challenged the NDC administration to stop complaining and continue with the Bui Power project which the NPP administration began before it left office in 2008.
According to him, the NDC government’s complaints that there are no funds to continue the project is uncalled for since funding rests with the Chinese government.
Mr. Oware, who is also First Vice Chairman of the NPP, was addressing a news conference in Accra on Wednesday February 16, to respond to issues raised by NDC General Secretary, Johnson Asiedu Nketia on the Bui City project. Mr. Asiedu Nketia had vowed to sponsor the invitation of former president Kufuor, who was the chairman of the Authority, to answer questions regarding funding for the project.
He also blamed the past administration for not leaving behind any document that could help with the implementation process. But Mr. Oware discredited the claims saying “such irresponsible statements can only come from one who does not read materials sent to him” or one who “plainly chooses to be mischievous.”
Mr. Oware maintained that all necessary arrangements for takeoff were in place before the NPP left power.
According to him, a look into the Bui Hydroelectric Project, EPC/Turnkey Project Contract Volume 1 Schedule of Payment, subsection No. 17 Provisional Sum would reveal that various funds were allocated for specific aspects of the project. He said a total of $28 million was made available to cater for Employers Permanent Facilities, Irrigation Structures and Facilities for Resettlement. “Additionally, there was a sum of $12 million under Schedule No. 2 Road and Bridge Works, which was to be applied to road works within the proposed City,” he said.
Mr. Oware is of the view that the government requires more funding than initially anticipated to complete the project because the Mills-led government froze all contract payments for the first six months of 2009 which attracted penalties. This, he said, has also pushed back the completion date from 2012 to 2013.
He indicated that in view of the government’s quest to increase local content, the current “board has appointed a number of subcontractors to undertake the resettlement housing, with charges higher than the Chinese rates,” adding “the Chinese contractors continue to supervise the resettlement project so they will charge a percentage of the subcontractor’s fees which are additional losses to the state.”
Mr. Oware further alleged that a company purported to be owned by Mr. Asiedu Nketia is the only block manufacturing company for the entire resettlement project. He stated that “the higher prices charged by Mr. Asiedu Nketia, ultimately affects the project cost.”
Mr. Asiedu Nketia has denied his company is the only block manufacturing company contracted for the entire project.
According to Mr. Nketia, his company has no direct involvement with the Bui Power Authority of which he is a Board member. He explained that he was awarded a sub-contract by Syno Hydro, who are the original Chinese contractors.
Mr. Oware promised Parliament of some interesting revelations if it critically examines the composition of government’s request for an additional US$118 million to complete the project. He cautioned Mr Asiedu Nketia that if he “succeeds in calling President Kufuor for public hearing, further details would be made of his own contribution to the difficulties he is complaining about.”