$74m waste bin contract with Zoomlion not terminated - Jospong

Earlier, reports indicated that the government has terminated the contract with the Jospong.

The contract which was signed on October 26, 2016, was intended for the procurement of one million litter bin liners for distribution to households to improve sanitation in the country.

Confirming the cancellation of the contract to Accra-based Class FM, Deputy Minister of Local Government and Rural Development, OB Amoah disclosed that "When we came in, we looked at our funding and the companies involved in the arrangement. We made them aware that we were not happy with the contract … At the end of the day, we think that we cannot go ahead with the contract and we informed them, accordingly. We have written to them that we are not proceeding with the contract."

But Chief Executive Officer of Zoomlion has refuted the reports that the $74m bin distribution contract the company had with government has been terminated.

Addressing the media Thursday, Joseph Siaw-Agyepong explained that the contract elapsed following government's inability to raise funds for the supply of the litter bins to households across the country.

"It [the contract] was under investigation and the CID investigated it and what came out of it, nothing.

"Because we have passion for doing this business and solving problems, we went to Ecobank and they gave us 10 million. Naturally it isn’t that we didn’t perform, government didn’t have money to pay. Not that it was terminated, the contract elapsed by itself after two years.

"We didn’t supply because government didn’t have money. There is no contract termination and those headlines are mischievous," he said.