President John Mahama is optimistic the second compact of the Millennium Challenge Corporation will provide Ghana the necessary leverage to achieve its Energy For All Programme.
Speaking at the signing of the compact in the USA, President Mahama said he is happy that his vision for the energy sector is on course, as millions of Ghanaians would benefit from the agreement.
He said the signing of the new compact with the MCC is clear demonstration of the growing cooperation between Ghana and the US.
The Chief Executive of the Millennium Challenge Corporation (MCC), Dana Hyde, applauded the Mahama government for its courage and steady conviction to take on bold reforms that will lead to opportunities for millions.
She welcomed the decision by Ghana to continue to make critical policy and regulatory reforms in the power sector.
The signing of the second compact comes after three years of preparatory work, with particular emphasis on Ghana's priorities.
The first compact saw the release of $ 547 million to Ghana to undertake strategic investment in the infrastructure and agricultural sectors to reduce poverty.
Under the second compact, the MCC will make an initial investment of $ 308.2 million including funding to put the electricity company of Ghana on a sustainable path, and upgrade infrastructure to reduce outages and improve service.
The second tranche of $ 190 million will be made available if Ghana accomplishes a set of reform targets set forth in the compact.
One of the reforms is the introduction of private participation in the management of the ECG, a policy which has already received mixed reactions from Ghanaians.
Source: Daily Graphic
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