The Minority Caucus in Parliament has expressed serious reservation over the Akufo-Addo/Bawumia administration’s decision to award Ghana’s 5G spectrum to Next Gen Infraco Company Limited, a newly incorporated entity, under a deal it describes as opaque and against national interests.
Minority Leader Cassiel Ato Forson slammed the non-competitive process through which the deal was granted.
Executive approval was given by President Akufo-Addo on August 22, 2023, just one week after the company’s incorporation.
In a press statement released on Monday, the Minority leader stated, “This sweetheart deal was done through a non-transparent arrangement without any competitive process whatsoever.”
The Minority argues that a competitive bidding process could have generated between $400 million to $500 million upfront, which could have been used for critical development projects.
Instead, the deal was settled for a mere $125 million, payable in yearly instalments over ten years.
“The corrupt Akufo-Addo/Bawumia government is giving away this important asset for a paltry sum.”
“This revenue could have been channelled into critical development projects in this time of economic bankruptcy and excruciating hardships,” Forson asserted.
The deal grants Next Gen Infraco exclusive rights to build, own, and operate the entire 5G infrastructure network across Ghana, making it the sole provider of wholesale 5G mobile data and voice services for the next ten years.
This arrangement, according to the Caucus, is detrimental to existing mobile network operators (MNOs) and internet service providers (ISPs).
“Next Gen Infraco would control 62.5% of every data/voice bundle package, with only 7.5% going to the government and 30% for MNOs and ISPs. The monopoly and exclusive rights granted under this deal are unfair and unacceptable,” the Minority said.
The Minority also pointed out that the multi-year contract with Next Gen Infraco lacks the required parliamentary approval, rendering it unlawful stating, “This transaction is almost concluding at the blindside of Parliament, which makes it null, void, and of no legal effect.”
Ato Forson further alleged that some entities in the consortium benefiting from this ‘sweet’ deal are owned by cronies of President Nana Addo Dankwa Akufo-Addo and the Minister for Communications, with questionable track records. The regulatory framework and investment commitments from these entities have not been clearly defined.
“The Akufo-Addo/Bawumia government appears to be in an indecent haste to give away the country’s 5G spectrum for a pittance,” he said.
The Minority Leader emphasized the need for thorough scrutiny of the deal and called on stakeholders to ensure the national interest is protected.
He warned that the NDC Minority Caucus will collaborate with other stakeholders to ensure Ghana’s national interest is upheld in the transaction.