Of every $150 charged by Frontiers Healthcare Services for a coronavirus test at the Kotoka International Airport, it paid $10 in royalties to the Ghana Airport Company Limited (GACL), the Minister of Transport, Kwaku Ofori Asiamah, has told Parliament.
This is different from the $153,000 it paid in rental charges for a year for the space it operated, the Minister added.
In an answer to a Parliamentary question asked of him by the Minority Leader, Haruna Iddrisu, Mr Asiamah said due processes were followed in awarding the contract to Frontiers.
Mr Iddrisu wanted to know how much has accrued from the testing at the end of December since the company started operating in September 2020 and the breakdown of the distribution and utilisation to respective contractual parties.
The total amount realised from the test between September 1, 2020 and December for 115, 730 tests was US$17,359,500 with additional 1,157 tests, covering children between the ages of five and 12 exempted from paying, he revealed.
“The GACL was to take US$10 and Frontiers was to keep the rest (US$140) as service charge. So per the agreement, Frontiers kept US$16,202,200 for its services. The GACL on the other hand received US$1, 157, 300 as royalties,” the Minister said.
Indicating that the only parties to the concession were the GACL and Frontiers, Mr Asiamah said that but for the testing regime, 570 positive cases of COVID-19 detected at the airport would have been imported into the country.
Asked if Frontiers used any other facilities of the GACL in the discharge of their service Mr Asiamah said all the airport company gave out was the space.
“They paid US$153,430 for the space for a year. All the cost for setting up the place, was borne by Frontiers Health Services,” he stated.
Since February this year, however, he said the cost for testing had been reduced to US$50 for ECOWAS citizens and US$150 for non-ECOWAS citizens but Frontiers continues to pay the royalty of US$10 for every test.
Charges at the Airport for royalties, he said, ranges between US$5 and US$10 insisting that “we were within the range”.
On releasing the space to Frontiers, Mr Asiamah said due process was followed in granting Frontiers the space.
“I don’t think that anything untoward has happened in terms of arrangement in relation to royalties,” he submitted.
BY JULIUS YAO PETETSI