Finance Committee to Probe Escalating Price of Building Materials

The Finance Committee of Parliament was yesterday directed to launch an investigation into the escalating price of building materials in the country.

The committee will be assisted by the leadership of Committee on Works & Housing and the Committee for Trade & Industry for the probe and report back to the House within four weeks, First Deputy Speaker, Joseph Osei-Wusu, directed.

The move followed a request by Members of Parliament (MPs) from both sides of the House demanding to know the driving force behind the escalating prices of cement and other building materials after the NPP MP for Obuasi West had raised the issue on the Floor.

According to the MP, who is also the Chairman of the Finance Committee, the cost of building materials has risen significantly this year and wondered how the various parties to construction contracts can mitigate the risk.

The Majority Leader, Osei Kyei-Mensah-Bonsu corroborated the statement and added that Ghana was experiencing dramatic cost escalation and material pricing pressures, and added that prices of steel and cement had soared across the country.

The Ranking Member of the Committee, Dr. Ato Forson, who is the NDC MP for Ajumako-Enyan-Esiam, expressed similar sentiments, intimating that contractors, subcontractors would suffer the risk of material price increases on construction projects.

He consequently backed calls for probe into the material price escalation.

“The Finance Committee should be joined by the leadership of the Committee on Works and Housing and Committee on Trade and Industry to investigate the escalating price of building materials and related issues and report to the House within four weeks, I so direct,” First Deputy Speaker, Osei-Wusu stated.

By Ernest Kofi Adu, Parliament House

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