The government of Ghana has announced plans to terminate the contract for the construction of the Pwalugu Dam, citing the need for a new approach to ensure the timely and effective execution of the project.

Eric Opoku, the Minister for Food and Agriculture, revealed the decision during a press briefing following a three-day tour of departments and agencies under his ministry. Opoku stated, “We will terminate the Pwalugu contract immediately, seek a new contractor, and secure funding to ensure the project is executed without further delays.”

When questioned about potential legal ramifications, such as judgment debt, Opoku reassured the public that due diligence would be observed. “Before we terminate the contract, we will refer the matter to the Attorney General’s department for advice. We are fully committed to executing the Pwalugu project, which will become a signature initiative of John Mahama in the North,” he added.

The Pwalugu multipurpose dam project, initially launched in 2019 under the previous government, was awarded a $993 million contract. The project aims to create a hydro-solar hybrid system, combining 60 MW of hydropower with 50 MW of solar power. It is also intended to alleviate perennial flooding in northern Ghana by absorbing excess water from the Bagre Dam and enhance irrigation for agriculture.

Although the project had been slated for completion by 2024, the Ghana Irrigation Development Authority (GIDA) recently disclosed that, despite $12 million being spent on mobilization and site development, actual construction work has yet to begin.

Source:TheDotNews