John Jinapor, the Ranking Member of Parliament's Mines and Energy Committee has strongly opposed the government's 10-year contract with Strategic Mobilisation Ghana Limited (SML), terming it ‘inimical' to the nation's interests.
The Finance Ministry, led by Ken Ofori-Atta, recently granted SML an additional contract valued at up to ¢24 million per month, a move that has sparked controversy and criticism from various quarters.
Jinapor contends that such agreements are contributing to the nation's economic challenges and suggests that addressing leakages through the awarding of such contracts could mitigate the need for external financial aid, including seeking assistance from the International Monetary Fund (IMF).
Expressing his dismay, Jinapor directed a question to Ken Ofori-Atta, stating, “I feel very sad, and I am asking Ken Ofori-Atta, ‘Why would you do that?' If Ghana were your company, would you sign this deal?”
According to the parliamentarian, the duties assigned to SML could have been handled internally by the National Petroleum Authority's (NPA) robust mechanisms, rendering the additional contract unnecessary.
The controversy surrounding the contract has prompted a petition to the Special Prosecutor, urging an investigation into the Finance Ministry, the Ghana Revenue Authority, and Strategic Mobilisation Ghana Limited concerning the questionable $1 billion contract for revenue assurance in the petroleum downstream, upstream, and gold mining sectors.
Under the terms of the contract, SML is tasked with monitoring and reporting fuel product diversion and dilution, as well as overall noncompliance in the petroleum industry.
Notably, these responsibilities were previously managed by the National Petroleum Authority (NPA). An investigative report by the Fourth Estate has raised substantial questions about the legitimacy and transparency of the contract.
Speaking passionately on the matter during an appearance on JoyNews' PM Express, Jinapor expressed his concern about the financial burden placed on Ghanaians, stating, “Somebody is making so much money on the backs of the sweat of Ghanaians. This contract is inimical. This contract must not stand, and people with a conscience, people who love this country, irrespective of their political colour, must pick against this contract. It is bad, it is not good, and will not stand the test of time.”
The criticisms from Jinapor shed light on the ongoing debate surrounding government contracts and their potential impact on the nation's economic well-being, emphasizing the need for transparency and accountability in such agreements.
