Minister-designate for Roads and Highways, Governs Kwame Agbodza, has disclosed that per details provided to the new government, the current certificates of unpaid arrears in the road sector are over Ghc 20 billion.
He told the Appointments Committee that if he is approved, he will have discussions with the finance minister on how to deal with the road sector debt.
He said,’Based on documents provided to the transition team, the Government of Ghana (GOG) is in excess of Ghc 20 billion. There are two main sources of payments to contractors in this country: road funds and GOG.
He said since the capping of the road fund, most contractors wish their projects were under GOG because part of the amount accrued is being used to fund other projects, including the free SHS.
He told the Appointments Committee of Parliament during his vetting on Monday, January 20, that the current debt in the sector amounts to 130 million Ghana Cedis; however, the interest that accrued on this amounts to 665,665 million Cedis.
“Whatever solution we have, we still owe, and we have to pay. That is why I say I will meet with the minister.
“If approved, I will sit with the finance minister to see how we can deal with this; this is money being wasted.
“We need to sit up and meet with stakeholders, contractors, and awarding agencies on the issues. The way we award contracts is problematic,” he said.
By: Rainbowradioonline.com/Ghana