Millennium Development Authority Quarterly Newsletter Vol. 1 Issue 4

.MiDA NEWS The official newsletter for Compact II June 2017 Vol. 1 Issue 4

SHORTLISTED BIDDERS ATTEND FIRST BIDDERS CONFERENCE

ALSO IN THIS ISSUE

MiDA STAFF ATTEND ANTI-FRAUD TRAINING WORKSHOP ECG PSP STAKEHOLDER COMMITTEE INAUGURATED

GHANAIANS EXPECT IMPROVEMENTS FROM COMPACT II IMPLEMENTATION Millennium Development Authority Quarterly Newsletter Vol. 1 Issue 4

CONTENTS

Ghanaians expect improvements from Compact II implementation...... 3

Shortlisted Bidders attend First Bidders Conference...... 4

Ghana Compact II presented to UK business investors...... 8

Energy Efficiency Curriculum Audit Workshop held in Koforidua...... 9

MiDA trains local firms for MCC Compact II...... 10

ECG PSP Stakeholder Committee inaugurated...... 11

MiDA Board Reconstituted...... 12

MiDA Staff attend Anti-Fraud Training Workshop...... 13

SGI Celebrates World Women's Day with women in Markets...... 14

Ghana Power Compact presents positive outlook for Ghana's economy....15

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GHANAIANS EXPECT IMPROVEMENTS FROM COMPACT II IMPLEMENTATION

rofessor Yaa Ntiamoah-Baidu, Board Chair of MiDA, has re-affirmed that Gha- The Board Pnaians have high expectations of the Gha- Chair made na Power Compact. She said Ghanaians expect these remarks the Compact to bring in the needed improve- at the First ments to help address the challenges facing Bidders’ con- Ghana’s Power sector. ference held in on May “It is clear that we have great expectations from 23, 2017. the implementation of the Compact and we also have great expectations of improvements About 200 from the ECG Private Sector Participation…” hundred par- she said. She emphasized that there is also great ticipants, in- expectations of the winning bidder who would cluding five of have the mandate to turn around the financial the six ECG PSP bidding entities, local and for- and operational fortunes of ECG to realise the eign financial institutions, civil society, the me- improvements envisaged under the Compact II dia and development partners attended the First Programme. Bidders Conference.

Prof Ntiamoa-Baidu also advised on the need A second Bidders’ Conference is expected to be for all stakeholders to help manage the change organised in July 2017 to allow Bidders to con- associated with the Compact’s reform agenda. duct further due diligence on ECG. “We have to take up the challenge of helping the staff of ECG to accept the change” she said.

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SHORTLISTED BIDDERS ATTEND FIRST BIDDERS CONFERENCE

he first Bidders’ Conference on the con- Hon Agyarko added that “years of inadequate cession for the Private Sector Participa- investment, inefficiencies within the utility, and Ttion (PSP) in the electricity distribution a large stock of outstanding receivables, partic- business of the Electricity Company of Ghana ularly in the distribution sector, have all con- (ECG) has been held at the Alisa Hotel in Accra. spired to make the organizations in the sector The ECG PSP transaction is one of five activi- what they are today. As a nation, we should set ties under the ECG Financial and Operational our sights firmly on turning around the fortunes Turnaround Project funded through the Ghana of this strategic sector.” Power Compact. The Board Chair of MiDA, Prof Yaa Ntia- The event, organized by the Millennium De- moa-Baidu said the Bidders’ Conference was a velopment Authority (MiDA), was attended major step towards meeting the objectives of the by over 100 people, comprising local and inter- Compact II Programme. She added that, “since national investors, local financial institutions, the new Board was formed, we have been build- trade associations, and government and reg- ing on all the work that has been done so far in- ulatory institutions. It was a forum to discuss cluding work on the process of identifying qual- the structure of the ECG Concession and share ified private sector partners for ECG through a ideas aimed at improving the process. transparent and competitive process.”

Launching the event, the Minister for Energy, In his welcome remarks, the Chief Executive Hon. stressed the importance Officer of MiDA, Ing Owura K. Sarfo said, “the of reliable and available power supply for na- ECG Financial and Operational Turnaround tional development. “There is no argument that Project aims to strengthen the governance and an improved and efficiently managed power management of ECG by bringing in an accept- sector is key to unlocking the development po- able concessionaire to make investments de- tential of our dear country,” he said. signed to reduce technical, commercial, and col-

a cross section of participants at the bidders conference

4 Millennium Development Authority Quarterly Newsletter Vol. 1 Issue 4 lection losses and improve service quality.” Concession and potential local and internation- “MiDA continues to work together with all al investors. Bidders also toured selected ECG stakeholders on this journey of identifying the sites while in Ghana. best qualified private sector partner for ECG. This partnership will transform the ECG in Additionally, a one-on-one meeting was set up terms of technology in power distribution. Let with each bidder meeting MiDA, the Transac- us seize the opportunity together to improve the tion Advisors & ECG to discuss and seek clarifi- power situation in our dear country,” he added. cations on the process.

The Bidders’ Conference facilitated interaction between the shortlisted Applicants for the ECG

Bidders in a one-on-one meeting with MiDA and ECG

Manila Electric Company

BXC Company Ghana Ltd Engie Energie Services

The TATA Power Company Ltd

CH Group

5 Millennium Development Authority Quarterly Newsletter Vol. 1 Issue 4 Bidders tour some ECG sites

6 Millennium Development Authority Quarterly Newsletter Vol. 1 Issue 4 Bidders tour some ECG sites

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GHANA COMPACT II PRESENTED TO UK BUSINESS INVESTORS

irector for Communication and Outreach discuss prospects in Ghana’s energy sector and at MiDA, Pamela Djamson –Tettey, has other investment opportunities. Her presenta- Dpresented the Ghana Power Compact tion highlighted challenges in Ghana’s power Programme to UK business investors at a two- sector which would be addressed through Pow- day UK-Ghana Trade Forum held in London. er Compact, as well as procurement opportuni- She was part of a Ghana Government delegation, ties therein. led by Hon. Yaw Osafo Maafo (Senior Minister) which visited the United Kingdom promoting Held from June 27 to 28 2017, the UK-Gha- investment opportunities in the various sectors na Trade Forum provided a platform for The of Ghana’s economy. UK-Ghana Chamber of Commerce (UKGCC) and its members to develop new trade pros- Mrs Djamson-Tettey joined Hon. Joseph Cud- pects and partnerships with Ghana. The forum joe (Deputy Energy Minister), Hon presented an opportunity for the participants to (Minister for Railway Development), Rt. Hon. also interact with high-ranking Ghanaian gov- The Lord Paul Boateng, Member of the British ernment officials, policy-shapers and prospec- House of Lords and other speakers including tive commercial partners on the economic and CEO of the Ghana National Petroleum Corpo- political prospects for both Ghana and the UK. ration, Dr. Kofi Koduah Sarpong on a panel to

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ENERGY EFFICIENCY CURRICULUM AUDIT WORKSHOP HELD IN KOFORIDUA

takeholders from the Ministry of Edu- Junior High School and, Senior High School / cation, National Council for Curriculum TVET and identified reviews required to make Sand Assessment, Ghana Education Service the various educational levels responsive to the (GES), Energy Commission and Millennium De- educational needs on energy conversation and velopment Authority (MiDA), have met to re- efficient usage. view and discuss integrating energy efficiency and conservation learning into Ghana’s school The workshop is part of various activities un- curriculum. der the Energy Efficiency and Demand Side management project, one of six projects making The group gathered in Koforidua- from June 6 up the Ghana Power Compact Programme. The to 9, to identify how to get pupils and students Compact identifies energy efficiency and con- involved in energy efficiency and conservation servation as an important strategy towards ad- strategies thereby reducing Ghana’s energy dressing the perennial power challenges Ghana waste. The stakeholders audited four streams faces, and therefore leverages on the valuable of the Kindergarten syllabi, nine subjects for contributions schools and educational institu- both Primary and Junior High, 42 for Senior tions can make towards socialization and distri- High and 28 for Technical and Vocational Ed- bution of information about clean energy to the ucation and Training (TVET). The participants youth and their parents. worked in three groups namely KG/Primary,

Participants at the energy efficiency curriculum audit workshop

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MiDA TRAINS LOCAL FIRMS FOR MCC COMPACT II

he Millennium Development Authority since we start- (MiDA) has organized a training work- ed and a num- Tshop for companies seeking service con- ber of them tracts in the Millennium Challenge Compact II did not meet Programme. the require- ment. In fact The training is part of a series of events aimed submissions at enhancing the capacity of firms interested in from a num- bidding to implement service projects under the ber of Ghana- Power Compact. Speaking to journalists on the ian companies side-lines of the workshop, the Chief Executive did not meet Officer of MiDA, Ing Owura Safo explained that the minimum the event is targeted at equipping local consul- threshold,” he tancy firms to favourably compete with others noted. who will be taking part globally. Ing. Safo explained that there are strict standards “We don’t want the situation where people put as contained in the MCC/MiDA Procurement in bids, and they are not winning because they processes that must be met hence the decision are not meeting the requirements, and when to undertake the training to equip Ghanaians. they don’t meet the requirements it doesn’t help us,” he said. “Our intention is that by having “When we are talking about consultancy there is this particular workshop, all bidders, particular- technical proposal and there is financial propos- ly Ghanaians will know how to submit propos- al, you need to meet a certain basic threshold. als and that these proposals will be compliant Our basic threshold is 80 percent and a number and will meet our requirements so that they will of submissions do not meet the 80 percent and enhance their chances of winning,” he added. some of these are Ghanaians. We are hoping that this will address the issue for us,” he said. Ing. Safo stated that many Ghanaian bids sub- mitted in response to the Request for Proposals Source: Lawrence Segbefia/citibusinessnews.com/ did not meet the standard. Ghana Edited: Kofi Boadi “We have received a number of submissions

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ECG PSP STAKEHOLDER COMMITTEE INAUGURATED

Members of the stakeholder committee swearing the oath of Office

seven member Stakeholder Commit- Inaugurating the Stakeholder Committee, tee was on May 10 inaugurated in Ac- Professor Yaa Ntiamoa- Baidu, Board Chair A cra. The Committee, which would of MiDA said “we believe that in order to at- deal with the Electricity Company of Ghana tain the best outcome for the people of Ghana, (ECG) Private Sector Participation (PSP) Activ- it is important to engage all key stakeholders ity, is tasked to ensure continuous stakehold- in the ECG PSP process. We also believe that er engagement during the implementation of in order for the ECG PSP Activity to be suc- the Compact II Programme. It will, in partic- cessful, the people of Ghana must own the ular, review at the request of the MiDA Board process and be actively involved in it. It is specific reports, proposals, agreements, and for this reason that the Board of Directors of documents related to the ECG PSP Activity. the Millennium Development Authority re- solved to establish a Stakeholder Committee The members on the Committee are drawn for the ECG PSP Activity.” She then charged from Government, Private Sector and Civ- the Committee to work diligently and always il Society organisations versed in the PSP dis- seek the best interest of the people of Ghana. cussion. They include Mrs Majorie Adbin of the Private Enterprise Federation, Mr Ernest The Minister for Energy reiterated govern- Afriyie Asare (Energy Foundation), Michael ment’s commitment to ensuring that the coun- Adumatta Nyantakyi (Public Utilities Work- try’s power sector is positioned to meet the ers Union -PUWU) and Mr. Ben Boakye Af- growing needs of industry, businesses and rica Centre for Energy and Policy (ACEP). households. “The reforms being implement- ed under the Compact II Programme, together Others are Mr. Albert Sam (Ghana Journal- with infrastructural investments hold the key to ists Association- GJA), Hon. Samuel Rich- arresting permanently our country’s perennial ard Ziggah (National Association of Lo- power problems” he said. cal Authorities -NALAG) and Mr. Kofi Bentil (Imani Center for Policy & Education).

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n March 13, 2017, President Akufo- and Petroleum), Gender, Children and Social Addo inaugurated a 14 member re-con- Protection. The Attorney General and Minister stituted MiDA Board at the Jubilee for Justice, as well as the Minister for Business OHouse. The new Board, composed of 11 voting Development are new inclusions on the Board. and three observing members, has Professor Yaa They replace the Minister of State for Devel- Ntiamoa-Baidu - former Acting Pro-Vice-Chan- opment Authorities and the Minister for Petro- cellor (Research, Innovation and Development) leum. All Ministers of State have voting rights. at the , as its chair. Professor Other voting members include the MiDA CEO, Ntiamoah -Baidu will also serve as the Principal representatives of the Association of Ghana In- Government Representative for the implemen- dustries (AGI), Private Enterprise Federation tation of the second Compact. (PEF) and the Private Voluntary Organisation in Development (GAPVOD). The change in government on January 7 necessi- tated a re-constitution of the MiDA Board which The observing members are the Board Chairman is composed of six ministers of state. The MiDA of the Electricity Company of Ghana (ECG), Board, according to the MiDA Act (897 sect. 7), NEDCO Board Chairman and the Millenni- must be composed of not less than seven and um Challenge Corporation (MCC) Resident not more than 11 voting members. Country Director.

The members are the Ministers for Finance, The Board now has three female members, Trade and Industry, Energy (previously repre- which is an increase from just one on the sented separately by the Ministers for Power previous Board. 12 Millennium Development Authority Quarterly Newsletter Vol. 1 Issue 4

MiDA STAFF ATTEND ANTI-FRAUD TRAINING WORKSHOP

Participants at the workshop

taff of MiDA have undergone a three day fraud cited in Compact Implementing countries. training workshop on Anti-Fraud and Cor- Sruption (AFC) organised by the Millenni- The MCC perceives fraud and corruption as a um Challenge Corporation (MCC). The work- risk to the US agency achieving its mission of re- shop run from April 10 to 12 2017, and had staff ducing poverty through economic growth and of Cardno Ghana- Fiscal Agent of MiDA also therefore adopts a strong stance against fraud attending. and corruption. In this regard, the Control of Corruption Indicator is one of the eligibility The training for MiDA staff and its agencies is measures applied to determine country qualifi- part of similar exercises organised by the MCC cation for the MCC Compact funds. in Compact implementing countries across the world. The workshops aim to promote MCC ac- Facilitators of the workshop, led by Thomas Ho- tions to prevent and detect fraud and corruption henthaner (Vice President and Acting General before it occurs, and to responsibly address any Counsel- MCC), Christopher Williams (Senior problems after they emerge during the develop- Director for Anti-Fraud and Corruption- MCC) ment and implementation of Compacts. and Nicole Megalo (Investigative Analyst in the USAID Office of Inspector General, Office of In- Participants were introduced to MCC’s AFC vestigations), took turns to deliver the various Policies, with facilitators using case studies to sections of the three module workshop. illustrate various instances of corruption and

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SGI CELEBRATES WORLD WOMEN’S DAY WITH WOMEN IN MARKETS

For two consecutive years, Ghana’s performance in the assessment of government efforts to im-

he Social and Gender Inclusion (SGI) team prove the situation of TIP has been below the joined other global celebrants to observe minimum standards, resulting in the country’s Tthis year’s International Women’s Day classification under a Tier 2 Watch List. Ghana (IWD) with an outreach to the Nima and Maa- therefore is on the brink of losing support from mobi Markets in Accra. donor agencies that provide funding assistance towards the country’s development projects, The team, led by Dr Cherub Antwi-Nsiah, Di- including the Compact Funds. Should this hap- rector of the SGI Unit was supported by Mr pen, the market women would not benefit from Samuel Afram- Access Project Manager, Frank the intervention the Access Project seeks to bring Boadi- Communication and Outreach Officer, by improving legal and safe electricity supply to Frank Botchway Communication and Web Of- micro, small and medium enterprises operating ficer and Adwowa Anowa Ammah-Tagoe Ad- in markets and economic enclaves. min Officer – Ops. Ellen Eyison Dzah, Social & Gender Inclusion The outreach to the two markets, eligible bene- Officer, encouraged the market women to be ficiaries of the Access Project, was to highlight vigilant and show boldness in reporting sus- the significant contributions of women working pected incidences to human trafficking to the in the markets to the social and economic devel- appropriate authorities. She said women are opment of Ghana, and also sensitise them on the more likely to spot social vices in their commu- incidence of Human Trafficking, also referred to nities particularly because most women stay as Trafficking in Persons (TIP). at home while the men are at work. She there- fore encouraged the market women to extend Dr Antwi-Nsiah explained that MiDA SGI chose the same sense of vigilance to the market place, to focus on TIP for this year’s IWD celebrations where records show that TIP is happening. because it is as much a development issue as it is a gender concern. She indicated that global- The market leaders thanked the MiDA team for ly, 80% of human trafficking victims are wom- their visit and pledged to support the campaign en, while over 30,000 children are believed to be against TIP. working as porters, or Kayayei in Accra alone according to a report by the International Or- ganisation for Migration (IOM).

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GHANA POWER COMPACT PRESENTS POSITIVE OUTLOOK FOR GHANA’S ECONOMY

n advisory partner at KPMG Ghana, has MiDA was represented at the event by stated that the Ghana Power Compact Mawunyo Rubson, Director Generation Aoffers a bright economic outlook for the Projects, who gave a presentation on the country in the year 2017. Andrew Akoto said this at a Power Compact and procurement opportu- business forum held at the Alisa Hotel in Accra nities on behalf of the CEO of MiDA. Other and MiDA staff were Fuseini Abu Director Procure- organised by the Ghanaian German Econom- ment, Pamela Djamson-Tettey, Director Com- ic Association (GGEA). According to him, the munication and Outreach and her team Frank Private Sector Participation (PSP) activity in the Botchway and Frank Boadi. Electricity Company of Ghana (ECG) if imple- mented would bring about the needed reforms The Power Compact, a five year fixed term in Ghana’s energy sector. agreement signed between the Republic of Ghana and the United States of America, Speaking on the topic Emerging Economic seeks to implement recommended reforms Opportunities in 2017, Mr Akoto explained that proposed more than two decades ago in Ghana’s despite the numerous challenges the Ghana- Power Sector. The Power Sector Reforms ian economy faced in 2016, the reforms under started in 1994 following severe power the PSP in ECG activity should entice investors crisis in the late 70s and early 80s resulted in the into the country. Dr Natalia A. Koliadina, the establishment of the regulatory bodies- Energy Resident Representative of the International Commission and the Public utility and Regulatory Monetary Fund (IMF) in Ghana, who also spoke Commission (PURC), the breaking up of the at the event, said there were positives to look to Volta River Authority which prior managed adding that she expects Ghana’s economy to see the generation and transmission of power. It growth. also envisaged the introduction of PSPs in the distribution arm of the power sector value chain.

A cross section of participants at the GGEA business forum Inset: Mr. Mawunyo Rubson, Generation Projects Director at MiDA delivery a presentation

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Millenniumita Corp, a Development global player in Authority the development of IT Software solutions, on January 18 2016, officially 4thhanded Floor, overHeritage an SAP Tower, software it has been developing for the Ghana Power Compact Programme to SLiberationMiDA. A Road, short handingAmbassadorial over ceremony Plaza was organised by Sita Corp at MiDA Board Room, to com- memorate the handover. The ceremony demonstrated that Sita Corp had fulfilled its obligations with the developmentRidge West, of Accra. the programme and had handed over a clean and working system to MiDA. Mr John Boakye, Chief Finance Officer (CFO) at MiDA in a handshake with Srinivas Jinka, Project Manager on the projectPostal acknowledged Address the handover. Private Mail Bag 56 SitaStadium Corp has Post more Office than 20 Accrayears of experience offering SAP implementation and services to organisations in various industries such as consumer goods, manufacturing, financial services, retail and public sector. FollowingEmail: the ceremony, MiDA News (MN) had a chat with Srinivas Jinka (SJ), to find out more about the [email protected] programme and its usefulness to the Compact. MN: Hello and welcome. Can you explain what the SAP PROGRAMME is? Website: SJ: SAP is a Management Information System (MIS) software. What we developed is the SWIFT Solution (SOFTWAREwww.mida.gov.gh IMPLEMENTATION FAST TRACK) which is used by all major fortune 400 companies in the world. The programme is tailored for Compacts and has been used in the Malawi, Zambia and Indo- nesiaTelephone: Compacts. Ghana is the fourth Compact nation to implementation of the programme. MN:+(233) What 302 is the666619 benefit of using the SAP? +(233) 302 666621 SJ:+(233) The very 302 good 666624 benefit of having the SWIFT Solution is budgetary control, i.e. keeping track of how you are spending money. It helps ensure that projects stay within budgets and within project time. TheFax: programme will thus help MiDA manage its spending on the various projects; ascertain what they are+(233) spending 302 on,666579 and how they are spending. The programme will also help MiDA to produce reports to send to MCC. SAP will capture the activities in the projects, allow the project managers to plan costs, give projections on how much project activities cost, and take approvals. It can also assist manage project sub activity tracking. SAP will help track project milestones, expenditure and reporting. MN: Are there other benefits aside managing project spending? SJ: The solution would provide transparent procurement processes. A project manager can use the system to identify procurements already started, those initiated but not started and the stages these projects are. MN: Who will use the sap? SJ: The programme will be primarily used by the Fiscal Agent and Procurement Agent of MiDA. The oth- er users will be project directors, and the Finance and management personnel. MN: How would sap affect or improve MiDA’s relationship project contractors? SJ: A major benefit would be payments due contractors. The tracking component of the programme helps to track payments due contractors. Once contractors honour their deliverables SAP will notify MiDA of due payments to contractors based on their payment schedule. If everything is good, contractors should not have any problems and payments would happen in a timely fashion. MN: How long has it taken to train users of the program? SJ: There was two weeks of training for the MiDA personnel. This was completed in December 2015. We have had a week, after the training, to test the systems functionality. During the period, we dedicated sometime to capture historical data. There is always a learning curve. I would say it take about 2-3 months to use the solution. MN: What will be your final words? SJ: The way other compacts have benefitted. It will make life easy for you. Do not keep anything pending. It takes time to learn but once you start capturing all the information and completed it will be just a click of a button. Using SAP efficiently will capture all the information needed for the users.

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