Government has suspended its concession agreement with the Power Distribution Services (PDS) bringing back the Electricity Company of Ghana (ECG) in full control.
According to Information Minister, Kojo Oppong Nkrumah, the decision was taken after government detected “fundamental and material breaches of PDS’s obligation in the provision of Payment Securities (Demand Guarantees) for the transaction which have been discovered upon further due diligence.”
We have through deep intelligence detected that they have issues with those guarantees that were provided…they were not valid and as a step, we have taken measure to secure the assets of the state by suspending the concession agreement,” he told host Evans Mensah.
Power distribution Service took over The Electricity company of Ghana after a concession agreement was signed between the government of Ghana and PDS earlier this year.
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STATEMENT RELEASED BY INFORMATION MINISTRY
