The government is expected to pay the sum of $400,000 every year to US tech giant, Google, for using its online map to operate the Ghana Post GPS application.
The amount forms part of the many costs the country will have to bear every year to sustain the operation of the new app.
At a news conference in Accra Friday, Managing Director of Ghana Post, James Kwofie said they spent ¢3.5 million to publicise the system.
“In terms of the cost, what is being paid for is the back-end solution, data analytics, hardware i.e. the firewalls and servers, Google license, marketing and publicity as well as technical support, and ¢1.7 million VAT which goes back to the government,” he said.
The system launched last week is said to have cost the country ¢2.5 million to get it designed.
But critics have described the figure as outrageous.
They claimed since the app relies heavily on Google map to function, the cost has to be less.
Reacting to issues relating to the cost, Mr Kwofie explained contrary to popular belief, Google charges them for using their systems for local purposes or commercial activities.
“The Google license fee at the moment is $400,000 per year – that is the enterprise package,” he added.