Paper presented by MR MICHAEL AIDOO at the “Invest in Ghana

Seminar, 2010” themed INFRASTRUCTURE – A CATALYST TO

ECONOMIC DEVELOPMENT held at LA PALM ROYAL BACH HOTEL on
September 14, 2010 and organized by the Ghana Investment
Promotion Centre (GIPC).

Mr. Chairman

Your Excellency The President Of The Republic Of Ghana –Prof J.E.A

Mills

Ministers Of State

Members Of The Diplomatic Corps.

Nananom, Nii-Me, Naa-Mee

Members Of The Inky Fraternity

Friends Colleagues Of The Private Sector

Ladies and Gentlemen

On behalf of the executives and members of The Progressive Road

Contractors Association (PROCA) and on my own behalf, I wish to
express our gratitude for inviting me to share some thoughts on your
chosen theme INFRASTRUCTURE – A CATALYST TO ECONOMIC
DEVELOPMENT on the occasion of your “Invest in Ghana Seminar,
2010”.

Michael Aidoo GIPC Speech 14 September 2010 Page 1

Mr. Chairman, situational analysis indicates that the seminar organizers
could not have come up with any better theme than the one chosen
thus, I have decided to speak on

1. The role of the private sector in the development of infrastructure,

2.The Private sectors position on Public Private Partnerships,

3. Areas where investors are expected to participate

4. Comment on the conditions and modalities for the P.P.P. as well as

the Challenges and experiences with PPP.

5. Mr Chairman, then I will delve into the possible way forward

On The role of the private sector in the development of infrastructure,

Mr. Chairman, in my opinion, a country’s infrastructural needs could
span from, road development, electricity supply, provision of water,
hospital provision and provision of schools as well as technological
provision among others and I believe that without the private sector,
the country’s infrastructural needs cannot be met. This is because

Mr Chairman, if the government considers policies on infrastructure

development, it is the private sector that implements them in the form
of contract execution, supplies and provision of services. (Eg …use
Nyaho clinic).

I also think that the necessary framework should be developed to

enable the private sector to assist in designing and developing
strategies for the country as well as being encouraged to provide input
in policy planning.

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 Mr. Chairman, I am also of the opinion that as a group we have to
institute proper supervision, implementation, and provide adequate
vehicle in the selection of Key infrastructural needs of the country.

I also believe, Mr. Chairman, that associations within the individual

sectors must be empowered to take some of the decisions concerning
their industrial sectors. For instance:- the board of directors of ECG
must have more members from the private sector than the government
institutions. Representatives from government institutions may find it
difficult to constructively argue strongly, if there is a most senior official
from the government sector on the board:- (Give example… assuming
there is a minister on the board).

Private sectors in Ghana and Africa as a whole can be improved mainly

if successive governments practise what they preach about private
investments and business. As private businessmen and women, most
of our successes are based on policies laid out by the Governments.
(Use the road sector as an example.)

Mr. Chairman, the Private sector’s position on Public Private

Partnerships is that, partnership is very important and must be
encouraged but I believe proper contractual agreements should be
reached between the two.

I also believe that local successful businessmen and women must be

encouraged to take part of such partnership alongside their foreign
private players. In such partnership the private sector must have equal
say or more say to enable them impart the experience and knowledge
they have.

Michael Aidoo GIPC Speech 14 September 2010 Page 3

 Whilst I appreciate professional education, qualification and degrees, I
also believe that practical expertise is also important in some areas.
(explain practical expertise/qualification).

The Said partnerships shall have access to necessary experts from

countries with well planned and developed infrastructure.

Mr. Chairman, on Areas where investors are expected to participate, I

believe all areas must be open to the public for investment by the
private sector. Even in the long term planning, the civil service sector
must be opened to the private sector for consultation and policy
planning. The reason is that, the private sector all over the world does
better than either the public or government institutions. I can give so
many examples but I reckon that the majority of the people here,
would agree with me. (Eg… private junior high school)

Mr. Chairman, my Comments on the conditions and modalities for the

P.P.P. are that conditions and modalities of PPP must be well
advertised so that the public will have well informed ideas about their
existence.

Mr. Chairman, I think contracting the media to do series of publications

to highlight the PPP case and subjecting it to public scrutiny will be a
nice way to creating awareness among the public on issues relating to
P.P.P.

Michael Aidoo GIPC Speech 14 September 2010 Page 4

 I also suggest the formation of agencies to serve in this direction so
that the public/private sectors can sign up to alliances and cooperatives
with the agencies.

I support the idea of the private sector making inputs into the
modalities and conditions guiding the PPP.

Mr. Chairman, the Challenges and experience with PPP suggests that
the challenges start from the 1st day of forming the partnership till
completion of its objectives. An efficient team is important; this means
that the right persons be chosen. The composition of the partnership
should be well qualified persons and not political appointees with no
real expertise in the industry. If it is chosen only on political party lines,
then the risk to choose a person without experience or very little
experience could be very high. Also, when the government changes, its
political appointees would also change, making the risk more real. (Eg …
the trust bank)

The possible way forward, Mr. Chairman, is to bridge the gap between
the public and the private sector, involve the private sector in the
decision making, have confidence in the private sector, make and
implement rules that will protect the private sector and finally make
sure laws in the country are enforced. (Give examples)

Thank You.

Michael Aidoo GIPC Speech 14 September 2010 Page 5