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Open house as Bosch takes up new office in Accra

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Bosch, a leading global supplier of technology and services, has been present in Africa through an appointed network of dealers more than a100 years.

In support of the growth and development of Africa, Bosch established offices in several new key locations on the continent in the recent past.

Two years ago, Bosch opened its sales, marketing and services subsidiary in Ghana. The company currently celebrates the move to another location and the opening of the new, larger Office: to meet the growing demand for Bosch products in the country.

Presently, Bosch Ghana employs more than 20 associates. The company has operations in all of its four business sectors in the country: Mobility Solutions, Industrial Technology, Consumer Goods, and Energy and Building Technology.

In celebrating the new office opening, the divisions will showcase solutions and offers available to the Ghana market. Bosch continues to increase its business in the country and also provide significant value-add to the Ghana economy and population.

Bosch Ghana supports the national industrialization “Better Ghana Agenda”. by providing tools and services that will enhance the effectiveness of Ghanaian industries. By maintaining our slogan “Invented for Life”. We aim to transform the lives both professionals and local indigenes through the provision of innovative and efficient products and services to enhance and support the industrial drive in Ghana.

In the past two years, Bosch Ghana has enjoyed many successes in development of economic growth of the country, including the establishment of the Power Box at the Sokaban wood village where carpenters have access to Bosch power tools and onsite training.

In the same light establishing Solution Box’s on construction site within Ghana, further strengthening the alliance to the construction industry.

In addition, the established of cooperation with Accra Technical & Training Centre (ATTC) in the provision of vocational training to artisans & craftsmen.

Some 4,000 artisans are trained monthly through the programs established by Bosch Power Tools division.

Through actively promoting young talent Bosch Ghana employ 4 beneficiaries of the “Afrika kommt!” scholarship programme, an initiative of German Industry which further educates young executives locally and internationally.

Coal is significance to global electricity generation

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Despite legitimate concerns about pollution and greenhouse gas emissions, coal will continue to be significant in the future, the International Energy Agency (IEA) has said.

It urges “greater efforts…by government and industry to embrace less polluting and more efficient technologies to ensure that coal becomes a much cleaner source of energy in the decades to come”.

According to the IEA’s recent World Energy Outlook 2017, in the last 16 years, nearly all those who gained access to electricity worldwide did so through new grid connections, mostly from fossil fuels – 45 per cent of which came from coal.

Such electricity generation was “playing a crucial role in industries such as iron and steel”.

In Nigeria, where the government is pushing to develop a full-fledged steel industry, it has been decided that 30 per cent of the country’s electricity should come from coal.

But the government has been careful in handing out licences for mining coal for power generation.

“One of the processes for the issuance is that applicants must have power generating licence before they can be granted licences for coal mining in the country,” the Minister of Mines and Steel Development, Dr. Kayode Fayemi, said recently.

“We have dictated that coal deposits in the country would only be awarded for power and licences for mining of coal deposits would only be awarded to those who want to generate electricity.

“Since the inception of this administration, no licence for coal has been awarded which is not for the purpose of power generation.

“So, if you acquire a licence for mining coal you have to also have that for power,” Dr. Fayemi added.

According to Foraminifera Market Research, a Lagos-based market research company, Nigeria’s coal is one of the most bituminous in the world owing to its low sulphur and ash content and therefore the most environmental friendly.

This would fit in with the campaign for cleaner energy sources, the company said, adding that nearly three billion tonnes of indicated reserves had been identified in 17 coalfields, with over 600 million tonnes of proven reserves in Nigeria.

The country currently generates about 3,000 megawatts of electricity and it has been estimated that it would require at least 40,000 megawatts to support its moves to be among the top 20 economies in the world by 2020.

Experts estimate that a coal powered plant in Nigeria would cost one-sixth of the amount of gas and since coal is also used to power railways in the country, Foraminifera says “coal mining and processing is highly needed”.

Dr. Fayemi is all for using coal power to resolve Nigeria’s erratic electricity supply.

Addressing mining communities and companies in Enugu recently, he said that the government would partner with the African Development Bank (AfDB) to fund coal projects in the country.

“While the $150 million World Bank loan recently approved for the sector may not cover coal projects, arrangements have been reached with the AfDB to fund coal projects in order for the country to take advantage of its huge coal reserves to solve its power problems,” he said.

Dr. Fayemi said that the AfDB funding would be made available to investors who could establish coal power plants that generated as much as 500 megawatts.

“We have an existential need for power in this country, and we have to do something about it and we can get power from coal which we have in abundance,” he explained.

Dr. Fayemi said he wanted the private sector to set up coal power plants to provide electricity for their industries, noting that the Dangote Group, the country’s largest cement producer, was one such business.

The IEA report was welcomed by the World Coal Association (WCA), which is holding a forum in London next week on the link between coal and the Sustainable Development Goals (SGDs).

WCA Chief Executive Benjamin Sporton said: “It’s in powered up grids in developing Asia and Africa where governments have identified a role for low emissions coal technology to meet their integrated energy access and climate objectives.

“Twenty-four countries including major economies such as India, Nigeria and throughout Southeast Asia have identified low emissions coal technologies as critical to powering their economic development while reducing emissions in their Paris Agreement pledges.”

Mr Sporton added: “This highlights the need for investment in a range of technologies, including coal.

“There is a perception that global energy access and climate objectives can be achieved without coal, a claim this report contradicts.

“That is why the World Coal Association continues to call for international support from development banks and other institutions for low emission coal technologies to be deployed where they are needed.”

Wind power generation; experts visit South Africa

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As part of efforts for the country to consider wind power generation, a 15-member delegation of engineers energy experts from the country have  visited Lekela, a renewable power generation company in South Africa.

The visit by the 15 engineers and managers from the Ghana Grid Company (GRIDCo), and the Electricity Company of Ghana (ECG), was designed to share best practice on connecting renewable sources of energy like wind power to a country’s national grid.

The Ghanaian delegation visited Lekela’s Loeriesfontein and Khobab wind farms. Each site has an installed capacity of 140 MW and both were recently connected to South Africa’s Eskom grid, providing a parallel for the Ghanaian experts to research.

The delegation attended ‘Grid Code testing’ for each site. This is undertaken before a wind farm can be connected to a country’s national energy grid. For commercial operations a wind farm must be tested to certify that is complies with both performance requirements and the grid code.

The Vice President of Business Development for Sub-Saharan Africa at Lekela, Mr Mikael Schoultz, said, “one of the great advantages of wind power is the short time it takes from construction starting to energy being produced.”

“The more knowledge we can share between African nations on processes like this, the quicker we can work together to deliver clean, sustainable power to homes and businesses. Adding 225 MW of clean wind energy to Ghana’s existing hydro power plants will help deliver the reliable electricity supply the country will benefit from.”

The Director of Engineering at GRIDCo, Mr Samuel F Kwofie, said, “this proved a highly valuable trip. We are looking forward to the construction, integration and operation of the Ayitepa wind project, beginning next year. As the first utility scale wind farm in Ghana, it will add considerable energy to Ghana’s grid and lay the groundwork to build more renewable energy sources in the country.”

“Our visit to the Loeriesfontein wind farm in South Africa has deepened our understanding of wind technology. It has also made clear the technical benefits wind energy brings to the grid, particularly in voltage stability,” he added.

The General Manager for Regulatory and Governmental Affairs of ECG, Mr Ebenezer Baiden, said “the visit and training sessions were an eye opener to the Ghanaian Delegation in three ways: First, it provided a clear understanding of the prerequisites for commissioning a wind farm, processes required and the criteria for acceptance of test results.”

He said the visit also afforded the team the opportunity to know how wind power projects could support grid balancing and dispatch.

The South African based company intends to build and operate Ghana’s first utility scale wind project, the 225 MW wind farm at Ayitepa.

Financial close and construction are expected to start in 2018 and the first electricity will be ready to flow to the grid nine months later.

As a result of the short construction phase, preparing the grid connection has quickly become a priority.

The future arrives in the Gulf as the Future Cities Show season kicks off

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The second edition of the Future Cities Show, that will take place in Dubai, UAE, from April 9-11, 2018, will set the tone for smart cities through the three pillars – sustainability, innovation, happiness and showcase the future of urban life. With a theme of achieving sustainability through innovations, the show will showcase the cities of the future by highlighting the latest and the most innovative technologies that will change the future.

As the worldwide smart cities movement gains momentum, Future Cities Show reflects and also presents the transformation of urban societies, infrastructure and environment that currently hosts more than 54 per cent of the 7.5 billion people and uses 75 per cent of the power generated.

A recent white paper, Evolution of Smart Cities and Connected Communities, co-sponsored by the Consumer Technology Association and the United Parcel Service (UPS), says, market value of smart cities is expected to jump from $14.85 billion in 2015 to $34.35 billion by 2020, representing a compound annual growth rate of over 18 per cent.

The white paper found that a key driver of smart cities growth is the ongoing trend of global urbanisation. “With 70 per cent of the World’s population forecast to live in cities by 2050, the need for sustainable, liveable world cities is essential for a prosperous future,” said the report.

More than 250 smart city projects are currently underway across 178 cities around the world, according to a new report from market research company Navigant Research, while hundred other cities are preparing to join the smart city movement.

Future Cities Show focuses on education, wellbeing, knowledge sharing, collaboration among government-private-universities-society, user-driven innovation, livability discussions, sustainable energy solutions, sustainable economic development and sustainable societal development to drive the wellbeing of all nations.

The three-day event, takes place within six months of the UAE’s announcement of the launch of a new cabinet portfolio – the Ministry of Artificial Intelligence and Saudi Arabia’s granting of ‘citizenship’ to Sofiya – a robot – the first country to make this move.

Earlier, Dubai set up the World’s first functional 3-D printed office in front of the Emirates Towers Hotel – marking the beginning of Dubai city’s journey towards becoming a smart city. The emirate will host the Museum of the Future by 2019 that will offer a glimpse of future technologies and products.

On top of these milestones, the introduction of electric vehicles, testing of driverless cars and the testing of the first flying taxi in Dubai marks the beginning of a new journey towards reinforcing & strengthening Dubai’s status as the smartest city in the world.

Soon, Dubai might become the first city in the Middle East to allow flying taxis to carry passengers from one point to the other – that could influence architects and engineers design buildings with multiple landing balconies or landing pads for flying taxis and transport regulators to design safe air routes for flying taxis to avoid head-on collisions.

Future Cities Show will be full of activities that include an exhibition that showcases innovative technologies and sustainable solutions as well as a conference that will discuss future technologies and how cities will be retrofitted with new sensors, energy saving systems, processes and change management.

Dawood Shezawi, Chairman of the Organising Committee of the Future Cities Show – says, “The testing and introduction of robots, drones and flying cars indicate one thing – the future has arrived. We will see unprecedented changes, disruptions and challenges as well as innovative solutions emerging that will create a completely new urban environment where technologies will dictate our life, work and activities.

“Future Cities Show will display, test, demonstrate and discuss future technology, Internet of Things and how they change the urban environment, systems and processes and help all stakeholders including – urban planners, architects, master-planners, engineers, scientists as well as consumers – see the future unfolding in front of their eyes.

“As we witness the unfolding of the Fourth Industrial Revolution (Industries 4.0) in front of our eyes that is fast disrupting traditional industries, systems and processes and paving way for internet, artificial intelligence, virtual reality, augmented reality and cloud-based solutions, it is important to understand how the future cities will shape up and more importantly, how lives will evolve in the smart or future cities.

Future Cities Show activities are based on the 17 Sustainable Development Goals (SDGs) set by the United Nations and adopted by 193 countries in September 2015. The show also incorporates the 10X Dubai directives which were set by His Highness Sheikh Mohammed bin Rashid Al Maktoum, UAE Vice President, Prime Minister and Ruler of Dubai. This is a radical programme that seeks to establish “X Labs” in every government entity and position Dubai 10 years ahead of the rest of the World.

 

First West Africa offshore training centre inaugurated

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Mr Egbert Faibille Jnr, Acting Chief Executive Officer of Petroleum Commission, has said as a first step to enhance the capacity of Ghanaians in the oil and gas operations, it was important to reduce expenditure by indigenising training and minimizing overseas training.

He said the government was committed to ensuring in-country retention of benefits of Petroleum operations and that it was imperative to innovate ways to sustain the growth of Ghanaian enterprises in the oil and gas sectors at all times.

Mr Faibille Jnr said this at the inauguration of Rigworld International Service Company’s magnificent and ultra-modern training Centre at Kejebri near Takoradi, to equip Ghanaian youth aspiring for jobs in the extractive industry.

The centre, valued at US$8.5 million is fully equipped with advanced simulators, helipad, water survival training pool, medical centre, prime on-site accommodation, and restaurant and fitness centre.

The highly equipped oil and gas training facility, which is the first of its kind in the West African sub-region, has advanced simulators for real-time training and development.

The training centre would offer a variety of safety and survival courses, including Basic Offshore Safety Induction and Emergency Training, Further Offshore Emergency Training, Helicopter Underwater Escape Training and Compressed Air Emergency Breathing System.

Other courses to be offered are, Well Control and Intervention Training, Banksman and Slinger, Forklift Training, Crane Operations, Rope Access Training, Health, Hose Assembly Training, as well as the provision of offshore medicals, among others.

Mr Faibille Jnr commended the management of the Centre for conceiving and executing the project within a year, adding “it is a testament of the commitment and dedication by the leadership of an indigenous Ghanaian Company-Rigworld international and this is worth commending”.

“This suggests that when given the opportunity, the right incentives and favourable playing field, Ghanaian businesses are capable of delivering quality services in upstream petroleum subsector and other spheres of our economy”.

He said the training centre had come handy as a key facility in manpower development for the emerging oil and gas industry in the country.

The Acting CEO pointed out that as part of the Government’s intention to ensure the development of indigenous manpower to enable optimal and sustained local participation for in-country value creation, the Accelerated oil and gas capacity programme has been launched.

He therefore tasked the management of the Centre to ensure collaboration with the industry as well as ensure that the training programmes were of high standards and aligned to the needs of the industry, adding “it is imperative for Rigworld International to place the continuous audit of the centre’s programmes high on its agenda”.

Mr Faibille Jnr challenged the Board and Management of Rigworld International to find out how they could make the facility a regional centre of excellence by reaching out to countries such as Cote D’ivoire, Sierra Leone, Liberia, Senegal, Mauritania and even countries in East Africa that were now emerging as oil and gas producers.

The General Manager of Rigworld Training Center, Mr Carlos Akyeampong, said the idea of building the centre was conceived in 2016, following the desire to find suitable and lasting solution to the problem of lack of relevant training and expertise within the oil and gas industry.

He said with the increased mining activity in West Africa especially Ghana, it has become important to have adequate and the necessary training facilities to train and empower the workforce so as to ensure that safety practices met international standards.

The establishment of Rigworld Training Centre was, therefore, part of the forward-looking and giant steps to boost local content and participation in the oil and gas sector,” Mr Akyeampong added.

Dr Kofi Abban, Managing Director of Rigworld International Services, paid a glowing tribute to his mother, Mrs Leticia Amoa Abban for financially supporting him with an amount 35,000 cedis to start his business and that the training centre was a move geared towards supporting government’s effort to ensure that enough locals were trained and well equipped to facilitate and execute the needs of the oil sector within the confines of the internationally accepted practices and operations.

“It was against this background that our company decided to complement government’s effort with the establishment of an international-standard oil and gas training centre to train locals for this industry.”

He said the centre would offer exciting courses and that it currently had four expatriates with more than 16 Ghanaians assisting.

Dr Abban commended the chief and people of Kejebri for the land and support which had resulted in the success of centre.

Present at the ceremony was the former President Flt. Lt. Jerry John Rawlings and his daughter Dr Ezenator Rawlings, Vice president of the Western Regional House of Chiefs, Awulae Amihere Kpanyili.

GRIDCO, KEPCO sign agreement for Centre of Excellence establishment

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Boakye Agyarko

The Ghana Grid Company Limited (GRIDCO) and the Korea Electric Power Corporation (KEPCO) have signed an agreement for the establishment of a GRIDCO Centre of Excellence at the Kwame Nkrumah University of Science and Technology.

The training centre would be equipped with the state of the art facilities that would be available to the engineering community and universities in Ghana.

The signing took place in Accra at a ceremony to commemorate the Project Completion of the Human Resource Development Infrastructure Plan Establishment for the Ghana Transmission System.

Mr. Jonathan Amoako-Baah, the Chief Executive Officer, GRIDCO, said the first phase of the project was signed on March 16, 2013 with $2.6 million funding from the Government of Korea.

KEPCO as the implementing agency included a GRIDCO Human Resource Development Master Plan, Curriculum Development, Textbook Development, Training of Trainers and Training Centre Design.

“All these key tasks have been completed through the efforts of the staff of the two utility companies with support from KOICA,” he said.

Mr Amoako-Baah noted that a total of 80 of their technical staff were initially selected for the training of trainers programme at the fundamental level from three core operational areas.

He said out of these, 40 were chosen to participate in an advanced offshore training in Korea to serve as the main core trainers.

“I will be the first to admit that GRIDCO has benefitted immensely from training received for its staff under the first phase of this partnership; both offshore and in Ghana,” he stated.

“Our mandate is to grow GRIDCO into a high performing organisation and this growing partnership with our Korean friends will serve as a catalyst to make GRIDCO the model electricity grid company,” he added.

Mr Amoako-Baah said: “Working with our Korean partners has made us better off and we can already see immense prospects ahead with our efforts to grow a grid consultancy that will take a share of the growing electricity market within the sub-region and beyond.

“We can also see ourselves going into Maintenance Agreements with the Mining Companies and some of our partners within the West African Power Pool (WAPP) for the maintenance of their capacitors, transformers and other switchyard equipment”.

Mr Boakye Agyarko, the Energy Minister, in a speech read on his behalf said one of the policy initiatives of the Ministry was to enhance the development of the needed institutional and human resource capacity for the sector.

He said that therefore any programme or project which aims to build or develop the human capital within their utilities, regulators and the Ministry was welcome.

He said the GRIDCO’s Human Resource Development Infrastructure Plan Phase One, which had been completed was in line with this policy and therefore, had the Ministry’s full support.

Mr Kim Yukyum, the Country Director, Korea International Cooporation Agency (KOICA), said Phase One of the project was rolled out to utilise the implementing Agency, KEPCO’s experience to make a customised Transmission Training Environment in Ghana.

Mr Kim Jeong-hwan, KEPCO Director General, said the Centre of Excellence when completed would serve as a training hub for the West Africa sub-region.

Mr Kim Sung-sao, the Korean Ambassador to Ghana, said energy played a key role in the development of every nation.

He said they were looking forward to a greater collaboration between the two nations for the development of the energy sector in Ghana.

Professor Kwasi Obiri-Danso, the Vice Chancellor of the KNUST, in a speech read on his behalf noted that the University would provide the land for the establishment of the Centre of Excellence.

He said the Centre when completed, would afford the KNUST’s College of Engineering the opportunity to obtain requisite equipment in training undergraduate and postgraduate students and also provide continuing education for GRIDCO staff.

US$669.4m expected from petroleum sector

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Boakye Agyarko, Minister of Energy

The government is hopeful of earning some US$669.4 million from the petroleum sector in 2018, the 2018 Budget and Policy Statement to Parliament, has said.

Presenting the 2018 Budget and Policy Statement to Parliament, the Minister of Finance, Mr. Ken Ofori-Atta, said “the total petroleum revenue for 2018 is estimated at US$669.4 million, with benchmark revenue projected at US$335.86 million”.

The amount is expected to be grossed from the export of some 53.25 million barrels of oil and other revenue – generating sources in the petroleum sector.

The projected revenue from the petroleum sector is based on expected increase in oil and gas production from the three major producing fields — Jubilee, Tweneboa Enyera and Ntomme (TEN) and Sankofa Gye Nyame (SGN) – in 2018 and other sources of petroleum receipts.

Royalties from crude oil and gas are projected to amount to US$183.61 million, while carried and participating interest in the oil and gas sector is expected to amount to US$484.20 million.

The benchmark revenue was calculated based on a projected crude oil price of $57.36 per barrel and a gas price of $3.94 per million metric British Thermal Unit (MMBtu).

The 2018 budget is on the theme: “Putting Ghana back to work” and seeks to restore confidence in the economy and energise the entrepreneurial spirit within every Ghanaian.

The oil and gas sector is expected to be one of the major drivers of growth in the country, with the minister touting the positive achievements in the sector.

The favourable ruling by the International Tribunal for the Law of the Sea (ITLOS) also paves the way for the country to drill more wells and increase production.

The country raked in about US$362.58 million from the sale of its petroleum resources from January to September 2017.

The revenue, which accrued from combined oil production from the Jubilee and Tweneboa Enyera Ntomme (TEN) fields, was more than a 50 per cent increase over the US$172.91 million recorded from the same period in 2016.

A total of 5.8 million barrels of crude oil was lifted from the two major producing fields, with Jubilee contributing 3.8 million and the TEN field with 2.0 million barrels of crude oil.

“Total petroleum receipts, that is, proceeds from liftings and other sources as at September 2017 was US$362.58 million (GH¢1,552.13million). This compares with the receipts of US$172.91 million (GH¢671.49 million) for the same period in 2016,” he said.

The total receipts of US$362.58 million was distributed in line with provisions in the Petroleum Revenue Management Act (PRMA), Act 815 between the Ghana National Petroleum Corporation (GNPC), which is the national oil company and other statutory funds earmarked to receive petroleum revenues.

The GNPC was allocated US$126.67 million, made up of Equity Financing Cost of US$74.86 million and an amount of US$51.81 million, representing its share of the net Carried and Participating Interest.

The amount transferred in 2017 from the total proceeds to the ABFA was US$127.09 million (GHȻ546.31 million). A total of GH¢265.3 million from the ABFA allocation was spent on the four priority areas – agriculture (GH¢21,156,840.43), physical infrastructure & service delivery in education  (GH¢202,379,893.20), physical infrastructure & service delivery in health (GH¢6,044,229.09) and road, rail and other critical infrastructure development (GH¢34,357,771.92) –  and the Public Interest and Accountability Committee (PIAC).

PIAC – the committee with oversight responsibility on the prudent management of the country’s petroleum resources – also received about GH¢1.3m for its activities between January and September 2017.

 

 

Poor sanitation is desecrating Ghana’s image…

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Each day, nearly 1,000 children die due to preventable water and sanitation-related diarrhoeal diseases. This one of the rationales for the United Nations adopting ‘water and sanitation for all’ as SDG goal six.

Last week Friday, at the official launch of the National Sanitation Campaign (NSC), it was revealed that poor sanitation and open defecation continues to rob the nation of US$369million annually.

The Coalition of NGOs in Water and sanitation (CONIWAS) indicated that apart from the loss of lives due to preventable diseases associated with poor sanitation and water, the amount represents a loss of foreign exchange which is realised through tourism and other profitable ventures.

The statistics are frightening: only 15 percent of Ghanaians have access to improved sanitation which includes improved toilet facilities; and around 19 percent of Ghanaians practice open defecation, while a whopping 60 percent share a latrine.

Thus, if we are really to realise SDG 6 then the country has a lot of work to do in this respect; and hopefully, the launch of NSC will lead us inexorably toward that path. Our citizens’ attitude has not helped much either.

22,000 tonnes of plastic waste is generated annually, while only 2 percent of this waste is recycled. Our drains and gutters are clogged with plastic waste – and this comes to bear when the rains come down heavily – flooding in many parts of the city then becomes apparent, with city officials running helter-skelter, looking for and trying to devise solutions.

The President launched the NSC recently, and inaugurated the NSC Brigade. Personnel of this outfit will conduct regular visits to all offices to ensure there is compliance, and where it so requires take legal action against those infringing the laws.

In the President’s desire of make Accra one of the cleanest cities in Africa, a lot of work – which includes changing the attitudes of Ghanaians – needs to be done in this regard. As an official of CONIWAS noted during the launch, the poor sanitation situation in our country today has dented our self-esteem and dignity…and we need to restore it by adopting good sanitation practices, like not littering where one is not supposed to; and this attitude of using gutters as disposal sites must change for the better.

We need to rally behind the NSC and ensure that we are all good ambassadors of health and sanitation.

 

Capital requirement also encompasses Savings and Loans …

A former Governor of the Bank of Ghana, (BoG), Dr. Kofi Wampah, once observed that the formal banking system in developing economies such as ours tends to ignore the low end of the market, which it perceives as risky and unviable.

Since as much as 60 percent of the population is considered unbanked and hence not in the formal economy, deepening financial inclusion becomes imperative – and this regard, non-bank financial institutions play a critical role in bridging this gap, especially considering the importance of SMEs in any economy. Even as the central bank has taken steps to increase liquidity in the financial intermediation space, the non-bank financial sector is no exception. There is currently speculation Savings and Loans companies could see their stated capital increase in tandem with reforms in the banking sector as a whole.

All this is to ensure that these financial institutions are adequately capitalised to undertake the various bank and non-bank activities they are engaged in respectively. In 2014, Savings and Loans companies saw their minimum capital increased to GH¢15million and speculation is rife that it will be increased further to between GH¢50-GH¢70million.

There has been no official communication to this effect, but shareholders in the industry are said to be locked in discussions to this end, which means the likelihood is great. In the scandals that engulfed some non-bank financial institutions like microfinance companies, little has been heard from Savings and Loans companies, which seems to mean they are more judicious in their dealings.

As the regulator, the BoG, must have done its research and investigations into the operations of non-bank financial institutions and come up with what is believed to be an acceptable threshold at which to peg the stated capital.

Thus, in this regard there is little we can advance since we believe stakeholder input was gauged before coming out with the new stated capital. It is rather important for the BoG to have a hold on activities in the banking landscape, so that scandals which occurred in the microfinance industry are averted and depositors’ money safeguarded.

We believe it is for the industry’s good, and all must endeavour to strive for a successful and well-capitalised industry. What is important is that customers’ deposits must not be unduly exposed to all manner of risks.

Ken Ofori Atta: Dangerously overconfident? 

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Ken Ofori-Atta, Minister of Finance

Finance Minister Ken Ofori Atta seems be the beating heart of the ‘new Ghanaian economy’. He went to parliament and presented a ‘boastful budget’, saying the economy is working.

Ofori Atta said on the floor of parliament: “We have turned the economy around and our policies are yielding results and bringing relief to Ghanaians. “I am glad to recall that we are on course to end the year with a fiscal deficit of 6.3 percent from 9.4 percent”.

“Overall, GDP grew by 7.8 percent as of June against 2.7 percent in the same period of 2016, and it is estimated to grow by 7.9 percent at the end of June 2017 – up from the original forecast of 6.3 percent,” he added.

The significant concern here is about Ofori Atta being too optimistic in his economic projections, when our fragile economy can falter or be threatened at any given time. We once witnessed good projections under the previous government, but the economy became flimsy in the long run before their exit.

This is an economy emerging from apocalypse, thus sounding as if all is well based on macroeconomic indicators which cannot actually reach out to the poor masses is bothersome. The overconfidence placed on an ongoing macroeconomic adjustment presents a real dismissal of the very poor walking dangerously on our streets in search of food or money for survival

Overconfidence can be subjective, based on one’s judgement; however, from a psychological perspective, people with privileged educational, social and economic backgrounds get ample ground to be overconfident.

In the minister’s instance, his overconfidence seems readily justified when considering the fact that all economic indicators are gaining good standing, while international bodies are also okaying our economic growth.

However, there is no glaring evidence that the indicators will stand the test of time – or will reach downward to about 2.3 million very poor Ghanaians. Ofori Atta’s overconfident posture in his governments’ ability to turn the economy around suggests a personal belief in our failed institutions that may ultimately turn out be unfounded.

The 2017 budget, which projected 750,000 jobs being created under the ‘Planting for Food and Jobs’ programme was not mentioned.  We are yet to know the number of people employed under it so far. We do not know how many got jobs and how successful it is for now.

It is unclear to what extent the minister is aware of what the prior government’s economy went through, and how flaunting their confidence in the media backfired beyond their imagination. The previous government’s confidence in the economy was badly affected by an unexpected oversupply in global oil output, which pushed down prices drastically.

The economy hasn’t been diversified, and its over-reliance on oil, cocoa and gold prices makes it fragile. For years now, issuing bonds has been our trusted source of revenue. The new government has been doing the same as the last one, but to a lesser degree.

It is highly possible that the new government may be operating on the assumption that global prices for our commodities will remain the same and all is well. The old government thought the same, but got hit by reality.

We will one day see the full implications of Ken Ofori Atta’s confidence when the economy gets held up in exogenous economic turbulence that militates against the impatient masses.

In sum, Ken Ofori Atta being successful and saving Ghanaians from the worst of what we experienced in 2016 will be well-appreciated, but we want to avoid a premature sprint for glory while there’s a chance of any economic challenge leaving us all in the dark once again.

Measuring the Performance of the 110 Ministers

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The President Nana Akufo- Addo during his famous inauguration speech on the 7th of January 2017, challenged Ghanaians not to be spectators but active citizens during his era of governance.  Active citizenship means Ghanaians must be able to measure the contribution of each of the 110 ministers and their deputies to the priorities and programs of the NPP government. As active citizens, we need to review the performance of government ministers bereft of propaganda and emotional partisan considerations and rather be driven by data and evidence.

However, before we can do that, we need to KNOW the performance agreement signed with each minister/deputy and what are the measures for success so we can hold them to account for their stewardship as servants of the people of Ghana.

The timing of the topic is relevant especially as the Government prepares to submit its programs and budget for 2018 to parliament and this offers the space to situate the discussion so it contributes to the reflections of the President as he reviews the performance for the financial year of 2017 and clarifies expectations for 2018.  It could also inform reflections and decision making on potential reshuffles, separations, promotions and new appointments etc. This writer will submit that the application of modern Human Resources (HR) methodologies in performance management could facilitate  a “non-propaganda centred”  mapping of the line of sight of each ministers’ contribution and performance to the overall government goals, ambition, strategy and programs.

 

Performance Management

The executive wing of government has business goals to achieve and each member of government must be able to show with evidence their contribution towards the achievement of the goals. An individual employee’s performance is a function of effort, ability, collaboration and technology. Performance management represents one of the key enablers for attaining competitive advantage for every organization irrespective of the sector whether government or non-government, profit or not for profit.

As a concept, performance management helps to define and measure the contribution of an employee to the organization’s business and provides clarity on the “Line of sight” of every member to the overall goals.

As a process  it helps to reconcile personal goals with organizational goals to enable achievement of strategic intent, purpose and ambition. As a methodology provides evidence to measure behavior (how) and results(what) & its correlation to positive or negative organizational outcomes and performance. In Organizational Development – it also serves as a risks management diagnostic tool to trigger change as performance can be thought of as Actual Results vs Desired Results and any discrepancy is defined as the performance improvement zone. As a cycle, it has 3 key components. The first is the Performance planning where goals and objectives & success indicators & expectations are established and performance of work is monitored. The second is coaching & feedback to modify variance in performance & reinforce and recognize positive contribution. The third is performance evaluation or appraisal -where individual performance is formally rated or measured, ratings summarized and documented and feedback delivered and corrective actions applied ie  outstanding performance rewarded and underperformance addressed. Performance management if done well, ensures all employees receive the tools, skills and authority they need to be successful in their jobs and also helps to differentiate good, average and poor performers.

 

Types of Performance Objectives

Process objectives are objectives of a facilitation/collaboration type ie process oriented objectives that enables the delivery of an output or outcome objective. Typically  organizational effectiveness processes  ie Communication/PR, Human resources, ICT, Supply Chain, Procurement etc . Output objectives are objectives that produce a physical result that can be empirically verified e.g.  construction of a free SHS school, frequency of meetings, number of reports, client satisfaction survey result, etc. Outcome objectives are objectives which demonstrate that change or transformation has taken place as a direct consequence of the delivery of a process or output objectives. E.g. as a result of the construction of the free SHS, or teacher training program on how to teach science and mathematics, there is an improvement in teaching and learning outcomes.

 

Criteria & Measures

Every leader and manager needs to have a basis or criteria to measure and evaluate performance. Process criteria help to measure how well things are done in terms of processes, procedures, protocols, methodologies e.g. how long does it take for the Ministry of Health to post doctors after their housemanship etc.  Outcome/Impact criteria helps to measure the impact of performance on overall organizational and operational performance e.g. what change has occurred as a result of the introduction of the anti-galamsey operations of the Ministry of Lands and natural resources.  Money measures help to assess how performance has led to increased revenues, reduced waste and duplication, and created more agility and positive results. Time measures can be expressed as planned performance against actual performance using tools such as project management plan, work timetables, amount of backlog and speed/quality of response etc. Measures of effect can also help to evaluate observed changes or transformation in behavior, technology, products, customer satisfaction as result of the delivery of the objective. Reaction measures can be assessed from engagement with stakeholders e.g. via customer satisfaction surveys or 360 degree feedback or upward feedback from subordinates etc. These are tools that the President can apply to review the performance of the 110 ministers and their deputies.

 

Challenges

Leaders are confronted with many challenges or cognitive biases that can affect the objectivity of the assessment process and outcome and the President as a human being is not an exception and as a rater of his team of ministers, he can have his biases. Horns Effect occurs where the rater is biased because of a negative first impression /incident of performance and this negatively affects judgment of the overall performance. The Halo effect is the opposite where the rater remembers a positive first impression / incident of performance and that informs overall judgment. Recency effect bias occurs where the rater remembers only most recent vivid incident of performance while overlooking the entire performance during the performance cycle. Personality & values biases occurs where the rater favorably evaluates team members who are like minded in terms of values and personality. Grade inflation & compression occurs where the rater is either too generous or too mean in his rating.

The central tendency bias occurs where 2/3rds   or 66% of the team are average and the 1/3rd  or 33% are spread between poor or outstanding performers. The confounding variable challenge occurs where it is very difficult for the rater to clearly establish cause and effect of performance due to a confounding factor or contextual factor that is hard to explain.

 

Conclusion

A new paradigm shift of objectively measuring the performance of Ministers and deputy ministers  is required to enable Ghanaians as active citizens hold the executive wing of government accountable for their stewardship. Five key enablers will be required. Firstly Political will by the President to manage his ministers and deputies based on evidence not on propaganda. Secondly multilayered engagement across all sectors of the economy in the design, execution, monitoring, evaluation and learning and documentation of the entire performance management value chain. For example engagement with civil society, academia, business, donor community, general public at national, regional,  district and community level will ensure an integrated approach towards managing the performance of ministers and their deputies. Thirdly there is need for rigor in ensuring the objectives for the Ministers and their deputies have a clear theory of change ie expectations of transformation or impact expected as well as consistent application of measurement tools devoid of partisan considerations. Fourthly boldness by the President to recognize outstanding performance and also address under performance firmly without fear or favour. Fifthly, the media must play a leading role in focusing discussions on the performance of Ministers on the substance and not the “sensational politics” of the delivery of performance objectives. As for political parties, I know they will simply do partisan performance reviews, we must not give such people air time to spew hot air – lets help the President to measure what was agreed to be delivered and let’s examine how it was done with evidence not emotions!Mr President I also urge you to start a culture of publishing the performance evaluation of all the 110 Ministers and deputies for all active citizens of Ghana to review when they are completed.

 

The writer is a Human Resources & Organizational Development Practitioner

[email protected]

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