Transaction advisor for GNGC-GNPC takeover blamed for rift

The takeover of the Ghana National Gas Company (GNGC) by the Ghana National Petroleum Corporation (GNPC) appears messy because the transaction advisor failed to do a proper work, Mohammed Amin Adam has indicated.

Mohammed Amin Adam who is the Executive Director of Africa Centre for Energy Policy said the takeover process has been too swift for appropriate consultations to have been done.

He was commenting on what appears to be a disagreement in the take-over involving the two state institutions.

The Ministry of Energy, the supervisory ministry of the GNPC, in a statement issued Wednesday and signed by its Head of Communications, Edward Bawa, said "GoG has executed the legal instrument assigning its entire shareholding in GNGC to GNPC."

The statement added that "GNPC is now the sole shareholder of GNGC and now has full control over GNGC."

But a statement issued by Board Chairman of the Ghana National Gas Company, Dr. Kwesi Botchwey said suggestions that the takeover is concluded are incorrect.

 “Statements suggesting that the takeover has been concluded are, therefore, surprising and premature. The Board & Management of Ghana Gas have not held a single meeting with the Transaction Advisor…”

Mohammed Amin Adam told Joy FM's Top Story Thursday, “The complaint by the Ghana Gas Company suggests that the transaction advisor hasn't done proper work.”

He explained: “Personally I think the process has been too swift. The Minister announced in the budget statement that Ghana Gas Company would be taken over by GNPC, three days after that the Minister announced a transaction advisor, one week after that we heard a statement that Ghana Gas completely been taken over by GNPC.

What are the terms of reference of [the] transaction advisor, when it started work, and whether it consulted the stakeholders remains unanswered questions, Mohammed Amin Adam remarked.

Ranking member of Mines and Energy Committee in Parliament K.T Hammond said the takeover is long overdue.

He said he has since upheld that setting up the Ghana Gas Company was “ill-advised”, describing the ongoing turf war as “comical”.

He complained bitterly about the formation and issues related to the company saying Parliament has been sidelined and not briefed about the company.

Though he said he does not sympathize with any of the institutions, he is convinced that if the difference is not resolved, the future of the country would be at stake. Story by Ghana | Myjoyonline.com| Isaac Essel | [email protected] | twitter @isaacessel