Ghana

Govt lied over Teshie Desalination project – Ghana

President Nana Addo Dankwa Akufo-Addo and his government lied about the Teshie Desalination project that was started by the previous NDC administration, Member of Parliament for Bodi and a former Deputy Minister Water Resources, Works and Housing, Sampson Ahi, has said.

Mr Ahi has therefore, asked the president to apologise to Ghananins.

His comments come in the wake of the Ghana Water Company Limited (GWCL) asking the operators of the Teshie Desalination plant to operate at full capacity to help improve the water supply situation in the country.

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GWCL Asks Teshie Desalination Plant To Operate At Full Capacity – Ghana

The Ghana Water Company Limited (GWCL) has asked the operators of the Teshie Desalination plant to, as a matter of urgency, operate at full capacity to help improve the water supply situation in the country.

The plant, which was shut down for about a year over some technical and operational challenges, resumed operation on March 18, this year.

Currently, it produces an average of 40,000 cubic metres of water daily instead of the overall capacity of 60,000 cubic metres a day.

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Coronavirus: Slice of $100m budget can fix Krowor desalination plant – NDC to Akufo-Addo – Ghana

The opposition National Democratic Congress (NDC) has called on President Nana Addo Dankwa Akufo-Addo to allocate part of his $100 million coronavirus budget in making the water desalination plant in Krowor operational again.

The scarcity of water in the area has become a nightmare amidst the outbreak of the covid-19 pandemic.

A statement issued by the constituency chairman, Willinda Bortey Wradi said the acute water shortage within Nungua, Teshie, among others makes nonsense of the WHO safety recommendations of regular handwashing as a preventive measure against the coronavirus pandemic.

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GWCL shuts down Teshie Desalination plant again – Ghana

The Teshie Desalination plant has been shut down again by the Ghana Water Company Limited.

According to Citi News sources, an exercise conducted by the Water Company revealed excess chemicals, necessitating the shutdown.


Over the period, residents of Teshie have called for the shutdown of the plant, lamenting that water produced by the plant poses a health threat to them.

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GWCL operates at full capacity – Ghana

The Ghana Water Company Limited (GWCL) says majority of its water treatment plants across the country are producing water at full capacity.

According to the Director of Communications at the GWCL, the Ghana Water Company Limited (GWCL) says majority of its water treatment plants across the country are producing water at full capacity.

According to the Director of Communications at the GWCL, Mr Stanley Martey, the improved water production was as a result of fewer pollutants in the water bodies from which the company extracted water.

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PUWU petitions Akufo-Addo over Teshie Desalination Plant operations – Teshie – Ghana

The Public Utility Workers Union, PUWU has petitioned President Akufo-Addo to discontinue the operations of the Teshie Desalination Plant due to the cost burden on the Ghana Water Company Limited.

According to the petition sighted by Prime Business and signed by the General Secretary of PUWU of TUC GH, Micheal Adumatta Nyantakyi, the Teshie Desalination Plant has the potential to collapse the whole Ghana Water Company.

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Befesa Desalination Plant drains Ghana Water of $1.42m monthly – TUC – Ghana

The Trades Union Congress (TUC) says an agreement between Befesa Desalination Plant and the Ghana Water Company is an albatross, which is draining $1.42 million from the Water Company every month.

The TUC has also proposed a further reduction of electricity tariff by 15 per cent and a reduction in water tariff by 12 per cent.

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NGO calls on government to reopen Teshie Desalination plant – Ghana

A Non-Governmental Organization called, Water for Rural Africa has called on the Ghana Water Company Limited (GWCL) and the government to expedite the re-opening of the Teshie Desalination plant. GWCL ordered the shutdown of the plant effective January 1, 2018, for a renegotiation of the contractual agreement between the company and the managers of the plant, Messrs Befessa. Residents of Teshie, Nungua and other surrounding communities, have experienced poor quality and inconsistency in water supply to the area following the shutdown of the desalination plant. According to them, they receive water only twice each week, which takes place at dawn, making life unbearable for them. Speaking to Citi News, the Projects and Program Director of Water for Rural Africa Joachim Kumapley said the shutdown has greatly affected the people in the community. He called for the contract negotiations between the government and the managers of the facility to be accelerated in order for consistent supply of quality water to the affected areas to resume, “What we want the Ghana Water company and the government to do is that the re-negotiation that they want to do, we want it to be fast-track, because of some of the things because some these things can a lot of time if you know the legal implication of it,” he said. About the desalination plant: The Accra desalination plant is located at Nungua in the Kpeshie district, and it is the first desalination plant built in Ghana. It started commercial operation in March 2015 and was officially inaugurated in April 2015. The $125m project has a capacity to desalinate 60,000m3 of sea water daily, providing fresh water to more than 300,000 people in some municipalities of the Greater Accra Region. It marked a significant step in improving drinking water facilities in the country, which is witnessing rapid population growth. The plant was designed, constructed and is being operated by Befesa Desalination Developments Ghana, a joint venture of Abengoa Water Investments Ghana, Daye Water Investment (Ghana), and local partner Hydrocol. Befesa operates and will maintain the plant for 25 years. Construction started in November 2012, creating 400 direct and indirect jobs in the region. (LINK)

Background to “Teshie Desalination Plant still off-line – water rationed” Ghana – Teshie / Nungua

The Public Utility Workers’ Union has expressed concern about the agreement between the Ghana Water Company Limited (GWCL) and Messrs Befessa, for the production of portable water from sea water for supply to Teshie Nungua and its environs in Greater Accra. A statement signed and issued by the General Secretary of PUWU, Mr Michael Adumatta Nyantakyi on Monday said the GWCL faces an imminent collapse as a result of the said agreement and therefore called on government to conduct a thorough investigation into the role played by public officials who negotiated the agreement.

 

The investigation, PUWU said would help to ascertain whether GWCL and Ghana, as a whole, has not been short changed by the deal. The Union is also calling on the Ministry of Finance, as a matter of urgency, to take appropriate steps to take “this albatross hanging around the neck of the Company.” Below is a copy of the statement from PUWU

PRESS STATEMENT ON THE IMMINENT COLLAPSE OF GHANA WATER COMPANY AS A RESULT OF ITS AGREEMENT WITH MESSRS BEFESSA

In December 2002, the Ghana Water Company Limited (GWCL) signed an agreement with Messrs Befessa to build a desalination plant at Teshie to produce potable water from sea water for sale to GWCL for distribution to residents in the Teshie-Nungua area. This agreement was ratified by a resolution of Parliament. The desalination plant, an investment by a private entity, started operation in February, 2015. Under the agreement, GWCL is required to pay capacity charge of US$ 1.4 million per month to Messrs Befessa. This charge is payable whether the plant is working or not. Again, GWCL is obliged to pay the electricity bills of the desalination plant which stands at an average of GHC3 million per month (for 2017). The owners and operators of the plant, which is currently owned by the private investor, (Messrs Befessa) are not responsible for the payment of the electricity that is used to enable the plant operate. GWCL buys water from the desalination plant at GHC 6.50 per cubic meter and sells it to customers at the PURC approved tariff of GHC 1.50. Therefore, for every cubic meter of water purchased and sold, GWCL losses GHC 5.00. In addition, GWCL pays the invoice amount in US Dollars even though it sells the water in Ghana cedis, thereby accumulating more losses as a result of exchange differentials. Another strange provision in the contract is the price indexation which is tied to local inflation although the invoice and payment to the Private operator is in the United States Dollars. In 2015, GWCL paid to Befessa a total of US $1.8 million leaving an outstanding indebtedness of US$13.9 million. In 2016, even though GWCL was making a negative cashflow of about GHc7.2 million a month the Company was compelled to pay Befessa a total of US $ 23.7 million leaving an outstanding indebtedness of US $ 8.1 million. As at the end of September 2017, GWCL had paid a total of US$ 12.9 million to Befessa leaving an outstanding indebtedness of US$7.2 million. The company continued to make a net negative cashflow of an overage of GHc 6.02 million per month. These expenditures by GWCL on the desalination plant under the agreement has left the Company in a precarious position affecting its cash flow operations and expansion works. There is no doubt that this agreement between GWCL and Messrs Befessa is not only obnoxious but also beat common business sense. It appears to be a case of a giant conspiracy between foreign investors and their local collaborators and some public officials, with political influence, to loot the public entity like GWCL and share the proceeds among themselves under the guise of a private sector investment or private public partnership. The Public Utility Workers’ Union (PUWU) is calling on Government to conduct a thorough investigation into the role played by public officials who negotiated this agreement to ascertain whether GWCL and Ghana, as a whole, has not been short changed by this deal. The Union is also calling on the Ministry of Finance, as a matter of urgency, to take appropriate steps to take this albatross hanging around the neck of the Company. In the light of the fact the that this agreement has seriously weakened the capacity of GWCL to deliver on its mandate, PUWU calls on Government, which guaranteed the agreement, to take over the financial commitments and transaction losses suffered by GWCL in the purchase and sale of water from the desalination plant, to save the Company from potential collapse so that it can continue to deliver potable water to Ghanaians. The current situation where workers feel this arrangement is like robbing “Peter to pay Paul” must stop ..

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Teshie Desalination Plant still off-line – water rationed Ghana – Teshie / Nungua

The Teshie Desalination Plant has been out of operation for the past couple of weeks as a result of some technical challenges. Due to the shutdown, the Ghana Water Company Limited (GWCL) is now rationing water to the people of Teshie and Nungua. The Public Relations Officer of GWCL, Stanley Martey, who confirmed the developments to Citi News, noted that water is now being supplied on Wednesdays, Saturdays and Sundays from Kpone. “We have a few challenges with the plant. We are trying to resolve it. But what we are doing now is to supply water to Teshie and Nungua from the Tema area, so we supply them three times a week to ameliorate the situation.  Currently, there is water in Teshie, but it isn’t flowing 24-7 as hitherto it was.” Despite the rationing, Mr. Martey said the situation was “manageable” but stopped short of giving any details on when the issues with the plant will be resolved. “I wouldn’t be able to give a definite date, but within the very near future, the situation will be solved,” Mr. Martey said. In April 2015, the $126 million plant was commissioned to process sea water into potable water for consumers in Teshie Nungua and surrounding areas. It serves 500,000 people with an estimated 13 million gallons or 60,000 cubic meters of water per day. The viability of the plant has been called into question and a committee was constituted by the Akufo-Addo government to review the Teshie Desalination plant project, which is said to be costing GWCL GHc 6 million a month. GWCL was making payments of GHc 8 million a month to the financiers of the project, although it makes only about GHc 2 million supplying the treated water from the plant. The losses incurred could be as high as GHc 9 million, according to the Ghana Water Company Board Chair, Alex Afenyo-Markin. “…the contention has been every month, we produce at the cost of GHc 11 million, and we generate revenues of GHc 2 million. There is a deficit and it has been so consistently,” he told Citi News in October.

By: Delali Adogla-Bessa/citifmonline.com/Ghana

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