The Minister for Communications and Digitalization, Ursula Owusu-Ekuful, has defended the government’s decision to grant a 5G licensing contract to Next-Gen InfraCo, a company established a week before receiving the contract.
Her justification comes amid scrutiny from investigative journalist Manasseh Azure Awuni, who questioned the timing of the contract awarded to Next-Gen InfraCo Ltd.
In a Facebook post, Mr Awuni pointed out that the company does not have the needed track record as it was incorporated less than a week before President Akufo-Addo granted executive approval for the deal.
According to him, the contract, which experts estimate to be worth hundreds of millions of dollars, was awarded through sole sourcing without allowing other companies to bid for the project.
Mr Awuni maintained that the lack of competitive bidding raises suspicions about the transparency and fairness of the procurement process.
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However, at a press briefing on May 30, 2024, the Communications Minister said the Next-Gen InfraCo was specifically established to handle the deployment of the country’s 5G spectrum because no existing company did so in Ghana.
She further explained that auctioning the contract was not pursued due to previous experiences and setbacks that had hindered the rollout of the country’s 4G technology.
“This is a special purpose vehicle and once the government took the decision that we will use a neutral infrastructure company to deliver this service, there is no existing neutral infrastructure company that can deliver it at the moment.
“So, it had to be specifically formed for the purpose of delivering this service based on the strategic policies and decisions of the government, and it is borne out of our experiences, and that is why we chose not to auction it,” she stated.
Meanwhile, the minister disclosed that Next-Gen InfraCo (NGIC) is expected to launch internet services across the country within the specified period, followed by expansion to other parts of Africa.