The Minority Group in Ghana’s Parliament is alarmed over the huge cost for the construction of a new multi-purpose dam project at Pwalugu in the Northern part of the country which is estimated to cost the Ghanaian tax payer close to a Billion Dollars.
The components of the Multi-purpose project include a 60 Megawatt Hydro-Power Plant at the cost of US$366 million; a 50 Megawatt ac Solar Power Plant at the cost of US$55 million; and a 24,000 – Hectare Irrigation Scheme at the cost of US$474 million.
These three Turnkey Contract Agreements between the Government of Ghana and Powerchina International Group Limited is currently before Parliament pending approval by the House.
However the Minority National Democratic Congress (NDC) group in Parliament has served notice not to participate in the approval process should government fail to immediately withdraw the agreements before the House for further scrutiny.
Addressing a press conference in Parliament on Wednesday, February 05, 2020, the Minority Leader, Haruna Iddrisu, indicated that they were “vehemently opposed to outrageous of the Project which by all standards has been hugely and unconscionably padded.”
According to him, the cost of the Dam is highly inflated and unacceptable when compared to the cost of similar projects within and outside Ghana since the unit cost per megawatt of power is averaged around 1 million to 2 million Dollars. Meanwhile, the unit cost of the Pwalugu Dam is 6 million Dollars per Megawatt.
He for instance listed some similar projects, their capacity, unit cost and total cost to buttress his point that the US$366 million for a 60MW Hydro Power Dam at Pwalugu was unacceptable and extremely exorbitant.
He cited the Ethiopian Renaissance Dam, Ugandan Isimba Dam, Zambia’s Kafue Dam, and Gilgel Gebe III Dam which all had their unit cost pegged at US$1 million and the Ghana Bui Dam which was constructed under the else while Former President Kufuor Administration at a unit cost of US$1.9 million.
“The Pwalugu Dam at 60MW facility which is expected to cost whooping US$366 million is unacceptable and extremely exorbitant. What this means is that the unit cost of the Pwalugu Dam is a whopping 6 million dollars per megawatt.
“The Minority hereby entreats the Government of President Akufo-Addo and the Majority side of the House to immediately depart from this unlawful and unfortunate conduct failing which the Minority shall adopt legitimate processes to save the Nation from this financial loss.” He cautioned.
Source: Clement Akoloh||africanewsradio.com