Ghana Railways to Go to Court

....Over GBC payment package

The acting managing director of the Ghana Railway Company (GRC), Mr. Emmanuel Opoku has hinted that his company might be compelled to refer to its legal advisors the decision by the management of the Ghana Bauxite Company (GBC) to pay them only $6.4 of any extra tonnage of bauxite the company would haul from Awaso to the Takoradi port.

He said though his management team has protested vehemently against this unfortunate decision by the GBC, the latter seemed to have taken entrenched position and would not accept their stand that the required amount of $9.35 should be paid to them.

Speaking in a telephone interview with The Chronicle last Thursday, Mr Opoku said GBC is claiming to have signed an agreement with his predecessor to pay the GRC only $6.4 of any extra haulage of the mineral from Awaso to the Takoradi seaport. GRC is under obligation to haul 450,000 tonnes of bauxite annually for the GBC at the cost of $9.35 per tonne.

According to Opoku the GRC management has vehemently disputed the so called agreement signed between his predecessor and GBC and have also stated clearly if the said agreement exist at all, it is not binding on the current management because of reasons he did not explain.

Mr. Emmanuel Opoku regretted that despite all these explanations they have given to the GBC management, the latter is still refusing to pay the correct amount to the GRC after hauling beyond the stipulated 450,000 tonnes.

He noted that it was based on this disagreement that his outfit has decided to refer the case to their solicitors for a careful study and a possible action should that be the last resort to have the case resolved.

The acting managing director however said his administration has no intention of stopping the haulage of the mineral for the GBC but would make sure they have used the right forum to have their grievances addressed.

When asked whether they have struck an accord with the GBC to have the current tariff of $9.35 per tonne increased to over $11 as they are demanding, the MD responded in negative but said negotiations were still ongoing on the issue and hoped that the two companies might settle on a consensus figure.

Ghana Bauxite Company and their GRC counterpart have been on each other's throat since the beginning of this year following the alleged refusal by the GBC to accept upward adjustment of the current tariff of 9.35 dollars per tonne of bauxite they haul through rail to the Takoradi port.

Not even the intervention of the minister for Ports, Harbours and Railways, Prof. Ameyaw Akumfi could have the issue resolved amicably among the feuding parties who depend on each other for survival.

With GBC reportedly saying now that they would only pay $6.4 instead of 9.35 of any extra tonnage of bauxite the GRC would haul for them, the ground is being prepared for yet another uncompromising battle.

In a related development the management of the Takoradi port has announced that the port, which was the first to be constructed in the country, would be celebrating its 75th anniversary this month.

The director of the port, Mr. Nester Galley who disclosed this to the western press corps recently said the occasion would be used to unveil the plans his administration has for the transformation of the port that has seen remarkable improvement in its operations of late.