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Mon, 03 Jul 2017 Feature Article

The Fallout Of Contaminated Fuel: Government Contracts

The Fallout Of Contaminated Fuel:Government Contracts
03 JUL 2017 LISTEN

How political party contributions are influencing government contract s in Ghana. Must contracts be given to whom you know or to the party that has the technical know-how and the money? What’s the way forward?

Last week the Ghanaian pubic woke up to find their traditional media inundated with the ‘Contaminated Fuel’ story. The spectacle was much the same with the Social Media. It was followed by public outcry and the familiar blame game. The NDC Minority in Parliament had called for an immediate investigation into the alleged sale of the contaminated oil to Movenpiina Energy by Alfred Obeng Boakye the MD for Bulk Oil Storage Transport (BOST). The minority group also called for the MD’s interdiction.

In less than 48 hours after the Minority’s press conference the Minister of Energy Boakye Agarko set up an eight-member committee to investigate intothe circumstances that precipitated the sale of the dirtied oil. And like dominos, one reaction led to another and another. The acting Chief Executive Officer of the National Petroleum Authority (NPA) Alhassan Tampiludropped the hint thatMovenpiina and Zup Oil the two companies that purchased the over 5 million litres of contaminated fuel would likely face sanctions.Beyond that NPA legal team will pursue the companies and investigations will be carried out.

It’s understood both companies are not licensed to undertake any commercial activity in the downstream petroleum industry. This presupposes that their activities infringe on section 11 of the NPA Act 691, 2005. But why did they do it? Did the BOST Boss know about their status at the time?

“There’s a standard sanctions which are known to everybody in the industry. For every trivial activity that they engage in they pay GHc 10, 500 approximately US$5, 000,’’ Mr. Tampuli said.

Since the big story broke out sides had been taken amid lamentation and aspersion. My own write-up on the subject was somehow critiqued. I was reminded that during the NDC administration contaminated fuel was transacted therefore the latest case isn’t a big deal. Well let’s remind ourselves that what’s wrong is wrong. And there’s no need to double down what’s deemed corruptible. Remember, it isn’t about the NPP or the NDC it’s about Ghana and its people. It’s about the average Ghanaian who has been left impoverished, disadvantaged and underprivileged in spite of the country’s huge mineral resources.

And I think while we are debating the debate and looking into the current subject, I suggest all previous transactions made by BOST retrospectively(since Ghana lifted its first oil) must be open for onward investigations.

Indeed, the latest contaminated fuel is a subject that touches political nerves especially the minority NDC and the majority NPP. And as journalists, analysts, bloggers and experts weigh into the issue; party supporters, surrogates as well as foot soldiers haven’t been left out in the ongoing debate.

A leading member of OccupyGhana, a pressure group Sydney Casely -Hayford has charged Parliament to haul before it the governing board of BOST to answer some questions among them: Why BOST sold contaminated fuel to some companies without National Petroleum Authority (NPA) licence.

But perhaps what stuck with me most in the wake of the controversial story was the submission made by Kennedy Agyapong Member of Parliament (MP) for Assin Central in Central region during a radio interview. Mr. Agyapong spoke passionately about the subjectand one could sense the palpable emotions in his tone as he made his case known to the public. He alleged there’s huge collusion and fraud in the past sales of contaminated fuels. It’s believed about 38 companies in 2015 purchased contaminated oil from BOST under similar circumstances.

“All the fuels said to be contaminated in the past are done deliberately and I have documents to prove that,’ he claimed.

Who should get what as part of party contributions?

Much of Mr. Agyapong’s submissionfocused on the sacrifices and contributions some of the party members had made towards the growth of the party. The apparent sideling of the party’s chief contributors by the leadership seemed to be a grave concern for the Assin Central legislator. He bemoaned the practice and warned that the NPP risk losing power in 2020, if the leadershipdidn’t change their attitude.

Without a doubt, I get his argument: “Hwan na enhuhu na obi enkeka.”

How can you cut the hand that feeds the mouth?Why would you give contracts to individuals who are supposedly NDC card bearers and leave those whose finances and contributions helped put NPPat the top rung of the ladder? And I think that would amount to what one mightview as spite in the face if it turns out they (the contributors) perhaps have the requisite qualification but are not considered.

It’s against this backdrop that I think the country must relook its political party campaign financing system.

What’s the way forward?
In the 2008 United States presidential election fundraising increased significantly compared to the levels achieved in the previous presidential elections, according Federal Election Commission (FEC). President Barack Obama then democratic candidate raised 778, 642, and 962 and spent $760, 370,195. His republican counterpart Senator John McCain also raised 383, 913, and 384. And out of that amount he spent $358,008,447. Most of Obama’s contributions came from the grassroots.

Unfortunately our system is allergic to transparency. Everything is done in secrecy and no one knows who is funding who, how much he’s contributing and what’s the source of the financier’s contributions? I even doubt whether the Electoral Commission—the nation’s electoral body has knowledge of how much for example the two major political parties the NPP and NDC raised in the 2016 presidential election. This and other factors have conspired against our quest to have a corruption free government over the years.

Political party funding are the methods that a political party uses to raise money for campaign and routine activities. This is internationally known as political finance. But it is called campaign finance in the United States.

No political party in the world can survive without funding.Much as vehicles need fuel to function so do political parties need funding to be able to operate effectively.In Ghana and elsewhere political parties are funded by contributions from party members and individual supporters (via membership fees/ dues/ subscriptions and or small donations. Also organizations, which share their political views, make contributions too. But the role of money in politics in recent times has possibly become the biggest threat to democracy.

Many governments today have become corrupt because most of their political campaigns had been funded through drug monies, and huge corporations that indulge in money laundering etc. In fact when it comes to corruption in political campaign funding one cannot even exempt the United States, arguably the best democracy in the world. And as we (Africa and for that matter Ghana) continue to monetize our political campaigns let’s not forget that we’re equally breeding another brat—corruption.

It’s a huge challenge that confronts both matured and burgeoning democracies and it’s my hope that there will come a time that sanity will prevail in our political campaigns and monetization will not become a yardstick or political barometer.

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