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Business News of Friday, 13 September 2019

Source: laudbusiness.com

PDS has no money; not qualified to hold concession – Bentil

Kofi Bentil, Vice President of policy think tank, Imani Ghana, has said the Power Distribution Service (PDS) does not have the wherewithal to handle electricity distribution in the country.

PDS have been found to lack the financial capacity to provide $12.5m in guarantees when they took over ECG management in March 2019, according to reports.

The company has been suspended but the agreement to provide demand guarantees has been now downgraded to insurance guarantees.

The Millennium Development Authority (MiDA) and International Finance Corporation (IFC) who are the transaction advisors commissioned an investigation into the PDS deal.

Commenting on this development, Mr Bentil, also a private legal practitioner in a tweet said : “On PDS, let me be clear, PDS has NO MONEY!!

“All these investigations will prove this simple point!! PDS doesn’t qualify to hold the concession.”

He added: “The various ‘financial guarantees’ are to buy time! The earlier we remove them and bring in others the better.”