GPGC saga: AG was fully aware of contract termination, says NDC

The National Democratic Congress (NDC) has refuted claims by the Attorney General, Godfred Yeboah Dame that he was not fully informed of the termination of the GPGC agreement.

The NDC says the Attorney General was a member of the legal team that represented Ghana at the arbitration. 

Addressing the media in a press conference on 28 June 2021 on the position of the NDC on the termination of the GPGC agreement, Sammy Gyamfi, the national communications officer of the NDC said it is on record that, the AG led Ghana’s legal team at most of the sittings of the Arbitration Tribunal hence he cannot deny knowledge of the case.

“Distinguished friends from the media, another point worthy of mention in this discussion is the crass incompetence and sloppiness with which the Attorney General’s Department and the Akufo-Addo government handled the court processes to set aside the Arbitral award. As you may be aware, at Arbitration, the Republic of Ghana was represented by lawyers from the AG’s Department which included the Deputy AG at the time and now AG, Godfred Yeboah Dame, and a Ghanaian Law firm, Amofa & Partners”

Gyamfi added, “We’ve seen the Attorney-General trying to play Pontius Pilate and create the impression that he was not involved in this whole matter and that his attention was drawn to this case only after his appointment as Attorney General. Ladies and gentlemen, that is not true because it is clear from the arbitral award that he was one of the lawyers on record. In fact, our checks show that at most of the sitting of the Arbitration Tribunal, he, Godfred Dame was the one who led the government of Ghana side,” he added.

Avoidable debts

He said the NDC was disappointed in the government for running the country into avoidable debts.

“The NDC is appalled and disgusted by the incompetence, sloppiness and recklessness that was displayed by the NPP Akufo-Addo government, particularly, the AG’s department in the conduct of this case.” 

In January 2021, the International Court of Arbitration awarded costs of US$134 million and interest of US$30 million against the Government of Ghana over its cancellation of an emergency power agreement with GPGC Ltd.

The contract was cancelled during the tenure of the former energy minister Boakye Agyarko, one of several arrangements scrapped by the NPP on the basis that Ghana did not need the power agreements.

The ruling by the International Court of Arbitration ordered the Government to Ghana to pay to “GPGC the full value of the early termination payment, together with mobilisation, demobilisation and preservation and maintenance costs in the amount of US$134,348,661, together also with interest thereon from 12 November 2018 until the date of payment, accruing daily and compounded monthly, at the rate of LIBOR for six-month US dollar deposits plus 6%”.

The Government of Ghana was also to pay GPGC an amount of “US$ 309,877.74 in respect of the costs of the arbitration, together with US$3,000,000 in respect of GPGC’s legal representation and the fees and expenses of its expert witness, together with interest on the aggregate amount of US$3,309,877.74 at the rate of LIBOR for three-month US dollar deposits, compounded quarterly”.

Elliot Nuertey

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