Call to Action: Former President Mahama Urged to Cancel Lithium Lease Agreement

A prominent figure in academia, Professor Ransford Gyampo of the University of Ghana, has called upon former President John Dramani Mahama to make a commitment to revoke the Lithium lease agreement signed by the Akufo-Addo administration if elected president in the upcoming 2024 general elections. Professor Gyampo expressed his concerns about the deal, emphasizing its potential negative impact on Ghana.

Lack of Trust in Parliament’s Scrutiny

Professor Gyampo raised doubts about Parliament’s ability to thoroughly scrutinize the Lithium deal, citing the potential influence of interested parties in swaying MPs. He expressed a lack of trust in Parliament’s effectiveness, stating that it often barks but fails to take meaningful action.

Minority in Parliament’s Demand for Transparency

The Minority in Parliament, led by John Jinapor, demanded that the government present the 15-year mining lease with Barari DV Ghana Limited to the House before the commencement of lithium mining. Jinapor asserted that, according to Article 268 of the 1992 Constitution, such agreements require prior parliamentary approval.

Minister’s Assurance and Opposition

Meanwhile, the Minister of Lands and Natural Resources, Samuel Abu Jinapor, hinted at seeking parliamentary approval for the agreement, emphasizing the need for approval before the contract becomes fully valid. The former Chief Justice, Sophia Akuffo, echoed the sentiment that the lithium lease requires ratification by Parliament.

Unique Terms of the Agreement

Minister Jinapor highlighted the unique terms of the agreement, including a 10 percent royalty rate – unprecedented in the country’s history. He emphasized the government’s efforts to secure a 19 percent state participation, with plans to increase Ghanaian participation through listing on the Ghana Stock Exchange.

The Significance of Lithium in Green Energy

The granted 15-year mining lease to Barari DV Ghana Limited reflects the growing global interest in lithium, a key mineral used in lithium-ion batteries. As the world seeks alternatives to fossil fuels, lithium-ion batteries play a crucial role in the green energy transition. The agreement incorporates terms to ensure optimal benefits for Ghana, including increased royalty rates, state and Ghanaian participation, and value addition to the mined mineral.

Background on Lithium and Green Energy Transition

The push for lithium mining in Ghana aligns with the global shift towards green energy, driven by concerns over climate change. Lithium-ion batteries, essential for electric vehicles, are at the forefront of this transition. The mining lease covers an area of approximately 42.63 square kilometers, with the potential to position Ghana as a significant player in the emerging market for green minerals.

In summary, the call to action urges Former President Mahama to pledge the cancellation of the Lithium lease agreement, with ongoing discussions highlighting the importance of parliamentary approval, concerns about potential corruption, and the unique terms of the agreement that could shape Ghana’s role in the global green energy transition.