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The establishment of a framework for compensating private businesses for public utility and public service delivery failures

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  • Type of document: PEF Position Papers

WE members of   the Private Enterprise  Foundation  made up of the Association  of Ghana  industries  (AGI),  Ghana  National  Chamber  of Commerce and Industries (GNCCI), Ghana Association of Bankers (GAB), Federation  of Ghanaian   Exporters  (FAGE),  Ghana  Employers  Association (GEA), Ghana Chamber of Mines (GCM) and others, consisting of major identifiable   private    sector   associations    and   entities,   representing    their member companies and professional  bodies including   Insurance  companies, building and civil engineering firms, contactors,  manufacturers, consultancy service providers,  hospitality  industries,  importers  and exporters,  etc.;

Taking into consideration the fact that the declared vision of Government is the achievement of a Golden Age of Business through the development of the private sector as the engine of growth;

Being also aware of the fact that Ghana, as nation, has been facing severe constraints and challenges in the public utility services sector, and in the provision of public services;

Do hereby acknowledge the considerable effort being undertaken by Government   to   establish   a   favorable   macro-economic environment in support of the private sector.

Taking  however  into consideration the  results  of a series  of studies  that have been commissioned by PEF, between 2003 and 2007,  on  the impact of power outages and water supply shortages  on the operation  and performance of  private  sector  businesses,  showing  that  the  frequent  disruptions   in the provision  of public  utilities  and  shortfalls  in the  provision  of   government services  especially   the  undue  delays  in  government   payments   to  private sector   business   operators,   are   having   a   devastating  effect   on   private businesses  especially  on Small-  and Medium-scale enterprises (SMEs).  Our studies revealed in particular that:


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