Finance

Reinstate PDS – MCC to govt

It has emerged that the Millennium Challenge Corporation (MCC) asked the Ghana government, through the Finance Minister, to reinstate PDS to their original position as managers of Ghana’s power sector before the contract was terminated by Ghana.

A letter from MCC to the finance minister sighted by Starr News said the reinstatement of PDS is a condition under which Ghana can attract the remaining 190 million dollars of the compact money meant to enhance the operations and distribution of power in the country.

“Formerly announce the reinstatement of the PDS’ concession rights under the transaction agreement,” it said.

The letter was received by the government before the finance minister announced the decision to terminate the PDS deal on Saturday.

The Government of Ghana has announced that it can no longer continue with the concession arrangement with PDS.

“On the strength of all the information gathered about the purported Demand Guarantees provided by PDS as security for the transfer, the Government of Ghana is of the firm opinion that there is no valid Payment Security. Al Koot has clearly denounced and repudiated the instruments and expressed a clear intention not to be bound by any present or future obligation arising out of same. It is quite apparent that the alleged signatory of the purported Demand Guarantees, Yahaya Al Nouri, was not duly authorised by Al Koot to execute same according to the company’s Delegation of Authority instrument. The product was also not one of the company’s product lines.

“It would be illusory for Ghana or any of the parties to the LAA and BSA to consider that a valid and enforceable Payment Security was furnished by PDS in fulfilment of an essential Condition Precedent for the Transfer to PDS. In direct response to an observation in the FTI Final Report about the possibility of Ghana prevailing in a law suit against Al Koot, we say that the people of Ghana would consider it highly irresponsible on the part of government to act on the remote possibility that a Qatari court may find that there was a valid guarantee in place when Al Koot has unequivocally repudiated same as not its act. In any event, the Demand Guarantees are governed by the laws of Ghana, and not Qatar. Further, Qatar does not subscribe to Common Law for the doctrine of judicial precedent to be applicable,” a government statement said.

Source: Ghana/Starrfm.com.gh

Ogyem Solomon

Solomon Ogyem – Media Entrepreneur | Journalist | Brand Ambassador Solomon Ogyem is a dynamic Ghanaian journalist and media entrepreneur currently based in South Africa. With a solid foundation in journalism, Solomon is a graduate of the OTEC School of Journalism and Communication Studies in Ghana and Oxbridge Academy in South Africa. He began his career as a reporter at OTEC 102.9 MHz in Kumasi, where he honed his skills in news reporting, community storytelling, and radio broadcasting. His passion for storytelling and dedication to the media industry led him to establish Press MltiMedia Company in South Africa—a growing platform committed to authentic African narratives and multimedia journalism. Solomon is the founder and owner of Thepressradio.com, a news portal focused on delivering credible, timely, and engaging stories across Ghana and Africa. He also owns Press Global Tickets, a service-driven venture in the travel and logistics space, providing reliable ticketing services. In addition to his media ventures, Solomon serves as a Brand Ambassador for Alabuga, a prominent Russian industrial company, representing their interests and expansion across Africa. He previously owned two notable websites—Ghanaweb.mobi and ShowbizAfrica.net—both of which contributed to entertainment and socio-political discussions within Ghana’s digital space. With a diverse background in media, digital journalism, and business, Solomon Ogyem is dedicated to telling impactful African stories, empowering youth through media, and building cross-continental media partnerships.

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