Why separate Aviation from Transport Ministry?

CDD comments on the Chief of Staff and GIA saga
Accra, April 13, GNA - The Centre for Democratic Development (CDD) on Wednesday said it was deeply troubled by the recent saga between the Chief of Staff and Management of the Ghana International Airlines (GIA), specifically on its governance implications.

A statement signed by Dr E. Gyimah-Boadi, Executive Director of CDD, said the episode had highlighted the consequences and implications of Government's failure to heed to calls for transparency, in handling matters of public interests.

According to the statement, there had not been adequate transparency about the nature of the relationship that existed between the Government and GIA, which should not have been the case. The statement said the saga, demonstrated failure on the part of the New Patriotic Party (NPP) Administration, to change the culture of corporate governance in relation to State enterprises and enterprises where the State had equal interests.

"The government was expected to design policies and programmes, that would reform corporate governance in state enterprises, ...instead what we see is deepening of the same old dysfunctional system and political culture", it said.

The statement indicated that the episode revealed the "dubious merit" by Government to solve problems by creating a portfolio, which in this case created room for injections into the operations of the Airline.

"What is the point of separating the Aviation portfolio from the Transportation Ministry and putting at the head President's Chief of Staff, particularly when the national aviation portfolio has only a rather modest asset base?", the statement asked.

The saga, according to CDD, raised questions on Government's commitment to the Rule of Law as the decision to change the Board of GIA was subjective and personality related, rather than in accordance with pre-determined rules and procedures.

The statement also criticised Parliament for failing to assert its proper oversight role in the area of State enterprises, adding that it was not even clear whether the GIA deal was well deliberated and approved.

It said the Parliamentary Committee on State Enterprises, had not performed to expectation to solve problems encountered by State enterprises, citing bankruptcy and collapse of the Ghana Airways and the debt crisis at the Tema Oil Refinery, as some examples.

"Curiously, Parliamentarians, who are supposed to hold these State enterprises and the Executive accountable for the use of public funds, rather join the chorus in calling on Government to take this or that decision, suggesting that they do not deem themselves empowered to act on their own initiative".

The statement said the involvement of NPP figures in the episode also raised disturbing questions on the lack of separation between State enterprises and business of the ruling party, which highlighted persistence of a neo-patrimonial form of governance which it said, was inimical to development. 13 April 06