The Ministry of Finance has stated that its management of petroleum revenues has been in accordance with the Petroleum Revenue Management Act (PRMA) and that it accepts the challenge by a civil society organisation for an investigation into the matter.
A civil society body with interest in the energy sector, Africa Centre for Energy Policy (ACEP), accused the government, particularly the Ministry of Finance, of misusing the remainder of funds after transfers to the Ghana Stabilisation Fund (GSF) had exceeded its cap.
The allegation has gained currency with the opposition New Patriotic Party also repeating the same claims at a press conference last week.
In a statement signed by the Deputy Minister of Finance, Mr Cassiel Ato Forson, and made available to the Daily Graphic, the Ministry of Finance said the Bank of Ghana had established the Contingency Fund with an amount of GHȻ50 million drawn from the excess over the cap on the GSF.
“The fact that the Contingency Fund exists today with a balance of GHȻ50 million testifies to the fact that no moneys have been spent from it. This defeats ACEP’s claim that the excess amount over the GSF cap never reached the Contingency Fund since the Contingency Fund was first established in May 14, 2014, with the GHȻ50 million,” the ministry said in a statement issued by its Public Relations Unit.
It further explained that the remaining amount had been deposited into the Debt Service Account for debt repayment and that due process would be followed before the use of the money.
“It is very inaccurate for ACEP to suggest that the US$176.49 million, which represents the excess over the cap on the GSF as of end-March 2014, has been used by government to close its financing gap. It is also untrue that Parliament’s powers have been usurped and the constitution violated,” the statement denied.
It added; “We, therefore, accept the challenge by ACEP for an investigation to be carried out on the use of the excess funds over the GSF cap in order to put this matter to rest.”
Source by: Graphic Business