PPA charging contractors illegal fees – MP alleges

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The National Democratic Congress (NDC) Member of Parliament for Ashaiman, Ernest Norgbey, has accused the Public Procurement Authority (PPA) of engaging in an illegality after a directive to contractors to register with the authority at a fee.

The PPA has directed Ministries, Departments and Agencies to ensure local contractors register with the authority at a fee of GH¢300 and foreigners at $200 in order to qualify for any contract. A directive the MP argues is illegal.

Speaking to Starr News’ Parliamentary correspondent Ibrahim Alhassan, Mr. Norgbey said the PPA requires parliamentary approval to charge any fee.

“The law says that any governmental agency that will want to charge fees or levies must come to parliament for approval. So if they have not done that, I don’t see the legal basis for them to be charging $200 (for foreign contractors) and then GH¢300 cedis for locals.

“I realised that they are breaching some sections of the procurement Act. If you look at section 3, that’s their mandate, there is nothing there to show that they have to charge those fees”.

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According to the MP, he has consequently instructed his lawyers to write to the PPA seeking for answers for the development.

“I caused my lawyers to write to them officially so that they give me the legal basis for which they have entered into this venture for which they are charging fees for companies to pay before they bid for government contracts.”

Norgbey added he will head to court if the PPA fails to point to the legal basis upon which it is acting.

“If I’m not convinced we will have to resort to the courts so that the court will put an injunction on them to stop charging those fees because at this point as I’m speaking to you it’s illegal.”

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