A press release statement from the US Embassy has hinted that Ghana has lost a sum of $ 190 million granted to them the US partners as part of the PDS deal agreement.
The statement further indicated that, based upon the conclusions of the independent forensic investigation, the U.S. position is that the transfer of operations, maintenance, and management of the Southern Distribution Network to the private concessionaire on March 1, 2019, was valid, and therefore the termination is unwarranted.
The Millenium Challenge Corporation (MCC) of the United States of America has officially terminated Ghana’s Power Compact following the decision by the government of Ghana to terminate PDS deal over certain fundamental breaches.
“As such, MCC has confirmed that the $190 million funds granted to Ghana at the March 1 transfer to the 20-year concession from ECG to PDS are no longer available”.
Moving further, the US Embassy indicated that, “the U.S. Government, through MCC, will continue to implement the Tranche I funds of $308 million with the Millennium Development Authority (MiDA).
Further justifying its decision to withhold the undisbursed $190 million as part US$498 million Ghana Power Compact, the US Embassy said its government underscores the importance of contract sanctity as essential to a conducive investment climate and a pre-condition for inclusive economic growth.
Find attach Full Statement by the US Embassy.