Congress Raises Alarm After Missing Records on $19 Million Agro-Processing Contract
Capitol Hill, Liberia – In a shocking revelation, lawmakers were left in disbelief on Thursday when the Public Procurement and Concession Commission (PPCC) announced it has no documentation regarding the awarding of a $19.41 million contract for the Special Agro-Processing Zone (SAPZ) project in Grand Bassa County to a Ghanaian firm.
During a session of the 55th Legislature’s third session, PPCC Executive Director Bodger Scott Johnson informed representatives that his agency lacked knowledge of how the multi-million-dollar contract was granted. “We have no record about how this over $19 million contract was given out,” Johnson stated, leaving many lawmakers questioning the integrity of the procurement process.
Johnson appeared alongside several key officials, including the Minister of Public Works and the Chairman of the National Investment Commission, prompting a deeper investigation into the circumstances surrounding the contract, specifically the apparent lack of local labor participation.
Representative Thomas Goshua, who serves Grand Bassa County District 5, initially raised concerns over the contract’s award process. He emphasized that the project site construction contract was given to HM & A without sufficient involvement from local workers, especially those from Grand Bassa, who had offered their land for development.
“It is frustrating how our government managed to award a contract worth $19 million to a Ghanaian company without any Liberian being considered,” Goshua expressed during the session, highlighting the need for local engagement in projects that impact their communities. He pointed out that various roles in transport and manual labor could have been filled by locals, thus contributing to the economic upliftment of the area.
In response to the inquiries, Johnson explained that the PPCC’s role is to regulate and monitor compliance as set forth in the Public Procurement and Concession Act, which does not seem to extend to the non-communication of contract awards from other entities, such as the National Investment Commission or the Ministry of Finance and Development Planning. “The Ministry of Finance should have an idea because there is a project office at the MFDP that handles international project activities,” he suggested, indicating possible gaps in communication between the involved agencies.
The SAPZ project in Buchanan is a significant initiative designed to revitalize Liberia’s agricultural sector, with the promise of creating over 156,000 jobs and attracting approximately $150 million in new investments. Supported by a $43 million European Union grant aimed at expanding electricity access, the project includes the construction of roads and utility installations to facilitate further investment.
Yet, as lawmakers scrutinized the contract, concerns grew about the gaps within local content laws. Mr. Hassan Kiazolu, Director General of the National Bureau of Concessions, revealed that the existing framework primarily encourages local sourcing of goods and services but fails to mandate local labor involvement, risking a repeat of the current oversight. Kiazolu emphasized the need for comprehensive reform, urging legislators to redefine local content expectations.
The urgency of addressing these gaps was underscored by the unveiling of a potential letter of “no objection” sent to the African Development Bank prior to the contract award, as alleged by Goshua. This raised further alarm among legislators who felt the lack of oversight was unacceptable.
“This is a huge leakage; it is troubling. We need to ask the hardest questions to get to the bottom of this,” commented Representative Jacob C. Debee of Grand Gedeh County District 3, conveying the gravity of the situation. Colleagues echoed this sentiment, with Representative Marie Johnson calling for deeper investigations into the matter, suggesting that similar issues may lurk beneath the surface.
Following extensive discussions, a motion was put forth by Grand Bassa County District 4 Representative Alfred H. Flomo to refer the issue to the House Committee on Concessions and Good Governance for an in-depth investigation. The motion was unanimously approved, with expectations for a committee report to plenary within two weeks.
This decision marks a pivotal moment, opening the door to an extensive probe into the procurement process of the $19.41 million SAPZ contract. It also aims to address the underlying issues in Liberia’s concession and procurement oversight framework, raising hopes for greater accountability moving forward.
— Reported by Nexio News
