The Minority in Parliament has rejected a $250 million World Bank loan intended for the Ghana Energy Sector Recovery Programme (ESRP).
The purpose of the loan was to fund the ESRP, focusing on activities designed to lower electricity purchase costs and boost revenue collection for distribution utilities.
The PforR aimed to support Ghana’s Energy Sector Recovery Programme (ESRP) by enhancing the financial stability of electricity distribution and expanding access to clean cooking solutions.
On June 12, 2024, the World Bank approved a $250 million credit from the International Development Association (IDA) and a $10 million grant from the Energy Sector Management Assistance Program for the Ghana Energy Sector Recovery Program for Results (PforR), pending parliamentary approval.
According to the Bank’s report, Ghana experiences high electricity distribution losses due to low collection rates and tariffs that do not cover costs, which hampers the operational and financial performance of energy utilities. The report also reveals that the Government of Ghana annually transfers approximately 2% of GDP to address the energy sector’s financial shortfall.
Meanwhile, the Majority in Parliament, led by Alexander Afenyo Markins, has expressed their “total” disappointment with the unexpected adjournment announced by Speaker Alban Sumana Kingsford Bagbin.
The Majority’s disappointment deepened when the Speaker failed to deliver his closing remarks and the customary comments from the two Leaders.
The Leader of Government Business expressed his regret “at the turn of events,” stating that it is unacceptable for the Speaker to adjourn the House sine die without adhering to established conventions prior to recess.
Afenyo Markins criticized the procedure, asserting, “The business of this House is conducted based on consensus in consultation with the Speaker.”
He informed the press that, as a leader, he had coordinated with all parties regarding the “early adjournment” announced by the Speaker, intended to address other pressing national issues before the recess.
Markins also committed to gathering the necessary signatories from his members to seek a recall in accordance with the Standing Orders of Parliament and the 1992 Constitution of Ghana.
