Power Distribution Services Ghana (PDS) has reacted to the government's decision to suspend the concession agreement it had with the company.
A statement signed by Chief Executive Officer of PDS, William Hutton-Mensah said the company will go through due process by complying with the terms of transaction agreement between their company and the Electricity Company of Ghana (ECG), as well as the government.
According to the statement, the PDS has always acted and will continue to act in good faith at all times.
“PDS wishes to state for the record that it has always acted and will continue to act in good faith at all times. PDS will go through due process by complying with the terms of the Transaction Agreements executed between it and ECG on one hand and GoG through MoF on the other hand,†the statement said.
Suspension
Government has on Tuesday suspended its concession agreement with the Power Distribution Services (PDS) who were the distributors of electricity in Ghana.
This moves means that the Electricity Company of Ghana will once again take full control of power distribution.
The decision according to government was taken following the detection of fundamental and material breaches of PDS’ obligation in the provision of Payment Securities (Demand Guarantees) which was discovered upon “further due diligence.â€
“The Demand Guarantees were key prerequisites for the lease of assets on 1st March 2019 to secure the assets that were transferred to the concessionaire,†a statement signed by the Minister of Information, Kojo Oppong Nkrumah stated.
Despite the action, the statement clarified that “The general public and customers are assured that this development will not interfere with the distribution of electricity services to customers.â€
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