Ambulance Spare Parts: $34.9 million not paid to Ghana Auto Group Limited-MoH clarifies

The Ministry of Health (MoH) has described as untrue suggestions that some $34.9 million has been paid to Service Ghana Auto Group Limited in relation to the servicing of ambulances. A statement from the Ministry explained that on September 10, 2020, the Ministry of Special Development Initiatives signed a contract with Service Auto Group Ghana Limited for the provision of after-sales service and maintenance for 307 Mercedes Benz Sprinter 315 CDI ambulances. It said the contract stipulated that the supplier shall provide the client with a projected budget for requisite spare parts and lubricants to ensure the smooth servicing and maintenance of the fleet. The statement said since the inception of the contract, the Ministry of Special Development Initiatives had utilised a portion of its annual budget allocation to support the National Ambulance Service and fund the maintenance agreement. It said following the dissolution of the Ministry of Special Development Initiatives, the Special Initiatives Develop ment Secretariat took over the execution of the contract. The statement said on March 10, 2023, the Office of the Chief of Staff requested the Ministry of Health to explore ways to support the National Ambulance Service in maintaining the fleet of ambulances due to Parliament's refusal to approve the budget estimates of the Special Initiatives Development Secretariat for the 2023 fiscal year. It said subsequently, the Ministry of Health wrote to the Ministry of Finance requesting the establishment of letters of credit for an amount of $34,904,505.00 on behalf of Service Ghana Auto Group Limited for the procurement of spare parts for the 307 units of ambulances. The Ministry of Finance responded, indicating it could only fund up to $10 million of the requested amount and recommended that the Ministry of Health explored financing the difference through the National Health Insurance Authority (NHIA), the statement said. It said the NHIA, in correspondence with the MoH and the Ministry of Finance, stated it w as unable to fund the cost of the procurement of the spare parts as part of the 10 per cent allocation to the MoH because it was not captured in the allocation formula approved by Parliament. The statement said the MoH was committed to ensuring a sustainable maintenance regime for all fleets procured for the National Ambulance Service to provide reliable, efficient, and safe emergency medical services. It said all documentation covering the transaction was a matter of public record and could be accessed by the public. The MoH assured that it was ready to support any effort that would bring further clarity to the issue in the interest of the public. Source: Ghana News Agency