Parliament adopts report on the State Interests and Governance Authority Bill, 2019

Parliament has adopted the report on the State Interests and Governance Authority Bill (SIGA), 2019 after the drafted Bill was laid and referred by the Speaker of Parliament.

Presenting the report on the Bill by the Chairman for the Parliamentary Select Committee on Constitutional, Legal and Parliamentary Affairs who also doubles as the Member of Parliament for Offinso South, Mr. Ben Abdallah Banda, he said the Bill seeks to reform the governance structure of all State entities.

Ben Abadallah Banda indicated that none of the interventions of the government to help streamline the operations and activities of the State entities have had the intended impact.

He pointed out that as a result, government has resolved to adopt the single entity model to help harmonize guidelines and policies, to oversee and administer entities, which the State has interest as well as State-Owned Enterprises (SOEs).

 The chairman reiterated that the model will involve the establishment of an Authority, to enhance co-ordination in the management of state interests and ensure a clear line of accountability from State-Owned Enterprises and other State interests. He further explained that it is expected that the Authority will boost performance and enhance the profitability of the entities. He added that the Authority will ultimately lead to increased returns to the State in the form of dividends and surpluses.

The Chairman for the Committee revealed that the Authority is expected to oversee three categories of entities; State-Owned Enterprises, Joint Venture Companies and other entities including regulatory bodies which the State has an interest in.

According to the chairman,the Committee was informed that the SIGA Bill provides for not more than 5 percent of dividends received and accruing to State-owned Enterprises and joint venture companies on an annual basis, loans and grants, monitoring fees, administrative penalties, and other internally generated funds accruing to the Authority.

By: Theresa Adezewa Aryeetey