Power Distribution Service denies any wrongdoing in the execution of power concession deal

The Power Distribution Service (PDS) has said that it acted in good faith in its concession agreement with the government through the Ministry of Finance.

PDS

In a statement issued after the government announced the immediate suspension of the deal due to the discovery of some improper actions by PDS said it “wishes to state for the record that it has always acted and will continue to act in good faith at all times.”

Ghana’s Minister for Information in a statement on Tuesday said it suspended the concession agreement after the government discovered some breaches in the company’s obligation in the provision of Payment Securities.

“The decision follows the detection of fundamental and material breaches of PDS’ obligation in the provision of Payment Securities (Demand Guarantees) for the transaction which have been discovered upon further due diligence. The Demand Guarantees were key prerequisites for the lease of assets on 1st March 2019 to secure the assets that were transferred to the concessionaire,” the statement said.

The government also indicated that it will conduct a full enquiry into the matter.

In a response, PDS said it “will go through the process by complying with the terms of the Transaction Agreement executed between it and ECG on one hard and GoG through MoF on the other hand.”

“PDS also wishes to assure the Ghanaian public that it will not rush to put out any information until it has been sufficiently substantiated, in the interest of safeguarding the transaction and the image of Ghana,” it added.

Read the statement below:

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