The Chairman of the Public Accounts Committee (PAC), James Klutse Avedzi, has cautioned Metropolitan, Municipal and District Assemblies (MMDAs) against renewing contracts with waste management firm Zoomlion, citing the absence of discernible benefits.
During a public accounts committee hearing in Ho, the Ketu North MP underscored that Parliament had sanctioned the non-renewal of the waste management company’s contract.
The caution was made after the Fanteakwa South Municipal Assembly failed to provide the requisite documents to renew its contract with the waste management company.
Furthermore, the committee proposed a comprehensive review of the existing agreement with Zoomlion, considering that numerous Assemblies lack transparency regarding the terms of their contract with the company.
“I am told that there is a clause in the contract that gives automatic renewal. Unless you the assembly will communicate to the company the intention not to renew.
“So go back and read your contract document and then make reference to that clause, and inform Zoomlion that when your contract expires, you will not renew it again. Because you are not deriving any benefits from that, you are just wasting that money.”
Avedzi’s warning comes amid growing concerns about the cost-effectiveness and transparency of Zoomlion’s contracts with MMDAs.
Critics have in the past argued that the company is overcharging for its services and that its contracts are often awarded without due process.