Ghana hits $170million judgement debt, AG fires Jinapor and former boss

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Ghana hit $170million judgement debt, AG fires Jinapor and former boss

Attorney General, Godfred Dame has taken a swipe at the former Deputy Minister of Power, John Jinapor over his role in an agreement that has resulted in $170million judgment debt to the Ghana Power Generation Company (GPGC).

According to Mr Dame, the decision by the signatories to sign such agreement was uninformed.

”The fundamental question that we asked is why the agreement was entered into in the first place? Why did John Jinapor and his former boss execute the signatory of this agreement and afterwards set up a committee to review those agreements?

”It is because you yourself had realised that this was going to result in excess capacity,” he said.

”Indeed, the cost was very, very monumental. As per report of the PPA Committee, if all the agreement signed by John Jinapor and his former boss had been allowed to run each year, the nation was going to be exposed to payment to the sum of $586million.

”Cumulatively, between 2013 and 2018, the nation was going to pay as much as $1.76 billion,” he told Joy News.

A London-based United National Commission on International Trade Law tribunal has ordered the government of Ghana to pay a contractually defined ”early termination payment” of more than US$134.3 million plus interest and costs.

This follows the termination of the contract between the government of Ghana and an independent power producer, Ghana Power Generation Company (GPGC) in 2018.

Meanwhile, a US-based Ghanaian Professor Kwaku Asare has criticised the Attorney General and other persons hired to protect the country against the payment of the judgment debt to GPGC, slept on the job.

Sharing this thoughts on this development, Professor Asare in a Facebook post said, ”We have an Attorney-General Department. We have hired and paid two foreign law firms, Omnia Strategy and Vilterra Fietta.

”Yet, we fell asleep and did not take advantage of the 28-day window afforded us to challenge the arbitration panel’s decision that we should pay $17m to GPGC for terminating a contract. Omnia appeared in court on Day 25 to ask for an extension of 56 days. The court was kind to grant the extension but not for full 56 days and set March 8, 2021 as the new deadline.

”The government then found better things to do only to show up with a filling on April Fool’s day, this time represented by Volterra Fietta, with the excuse that it had been delayed for COVID and general elections.

”The judge shut the door describing the delay as ”significant and substantial” and the excuse as ”unreasonable and intrinsically weak.”

”What is dis? I just do not understand why we do these things to ourselves. Setting reasons for the termination, which require a separate inquiry, the Attorney General and the foreign law firms should be held accountable for this inexcusable delay that has potentially cost us the opportunity to appeal the arbitration decision.”