Local NewsBlog

Ken Ofori-Atta: Akufo-Addo is committed to fixing the roads

Ken Ofori-Atta: Akufo-Addo is committed to fixing the roads

Ken Ofori-Atta: Akufo-Addo is committed to fixing the roads

During his presentation of the 2022 Mid-Year Review Budget Statement and Economic Policy and Supplementary Estimate of Government, Mr. Ofori-Atta said, “Our “Year of Roads” plan is on very much course.”

“We have made substantial progress on Phase I of our Agreement with Sinohydro Corporation Limited, which consists of Engineering, Procurement and Construction (EPC) Contracts for 442 km of highways and two interchanges.

Others include the Tamale Interchange Project, which was finished and put into service, the PTC Roundabout Interchange Project, which is 35 percent complete, and the improvement of a few Feeder Roads in the Ashanti and Western Regions, with many more to come.

The La Beach Road Project (Lots 1 & 2), which includes a three-tier interchange at Nungua, was 34% and 50% complete, respectively, as of June 2022, according to him. Other significant road and bridge projects were also moving smoothly, he said.

According to him, as of June 2022, the flyover on the Accra-Tema Motorway from the Flower Pot (Spintex road) and Phase II of the Obetsebi Lamptey Circle Interchange are both 57% and 30% complete, respectively.

According to Mr. Ofori-Atta, progress on the Chirapatere Bus Terminal building project, the expansion of the current Aboabo drain, and the Kumasi-Lake Roads and Drainage Extension project is all at 92 percent as of the end of June 2022.

According to him, Lot 1 of the partial Bawjiase-Adeiso Road reconstruction is 98% complete, while Salaga-Ekumdipe-Kpandai Road upgrading is 70% complete.

The Minister said that in all 16 Regions, progress on the building of 50 prefabricated bridges to provide connection inside regions cut off by rivers had reached roughly 80%.

Regarding road financing, the Minister stated that the Design, Build, Finance, Operate, and Maintain (DBFOM) Accra – Tema Motorway and Extension PPP Project (27.7km) is at the procurement stage under the Ministry of Roads and Highways (MoRH) Public-Private Partnership (PPP) program for road infrastructure.

He said that site preparation work will likely start in September 2022.

According to the Public Private Partnership Act, 2020 (Act 1039), he said, “The Government of Ghana has made a strategic decision to procure the Accra-Tema Motorway and Extensions Project through GIIF with a mandate to deliver a GIIF-led PPP financing solution, where maximum funds are raised from the market, but majority ownership of the project remains with GIIF on behalf of the Ghanaian Government.”

He said that GIIF, MoRH, the Office of the Attorney General, and the Ministry of Finance were all actively reviewing the draft Concession Agreement (CA) between GIIF and MoRH.

When finished, the CA, according to him, should be approved by the PPP Committee, the Cabinet, and Parliament.

According to Mr. Ofori-Atta, tolls on the finished road would be used to pay lenders, reimburse construction costs throughout their entire useful lives, and reward equity investors.

He said that the Ghanaian government would finance the project via GIIF in exchange for shares in the Special Purpose Vehicle that organization would establish.

Related Articles

Leave a Reply

Your email address will not be published.

Back to top button
WP Radio
WP Radio