You are here: HomeNewsRegions2007 06 19Article 125841

"Ghanaian" appointed AG of British Virgin Islands

Comment: Ayensu Vs VALCO (2002)

Author:
Winston Smiley
Date:
2007-06-19 10:47:41
Comment to:
BACK-TO-GHANA initiative -plus


Wofa,
This lady is really not the person you are talking about here. She has been working for Government of Ghana for some years as State Attorney

VALCO vrs government

Accra (Greater Accra) 21 February 2002 - The Volta Aluminium Company (VALCO) says government’s directive to cut back power will necessitate the laying off of its staff. This is because the closure of the company’s two potlines will reduce its production capacity by half. Resident Director, Dr Charles Mensa who described the directive as improper says government should have given the company ample notice before announcing its decision.

VALCO says its potlines require about 30 days to shut down, or it risks a solidification of molten aluminium in the pot lines.

The local branch of Industrial and Commercial Workers Union, dreading the lay off of some workers have petitioned Parliament to intervene. A petition signed by Local Chairman, Nana Kwasi Nyante asked the House to ensure that the necessary processes were followed in handling the issue in order to encourage foreign direct investment.

Meanwhile, an Accra High Court, on Wednesday did not grant an ex parte application brought before it by VALCO for an interim order to restrain government from curtailing power to the company pending arbitration over the matter.

Government on Monday directed VALCO to shut down two of its four production units to create a reserve margin to meet any emergency energy problems that could result from a break down in any of Volta River Authority’s (VRA) power generating units. This became necessary because the current power supply equalled consumption and any shortfall could adversely affect the energy supply situation in the country.

The court ruled only on the service of notice to the defendants and directed VALCO to serve notice with supporting affidavit to the Attorney General’s office, the VRA and all other interested parties as soon as practicable, for them to prepare adequately to react to the application.

VALCO’s counsel, K. Bentsi Enchill argued that the company’s potline requires 30 days to shut down and that the 48 hour ultimatum given by government is improper. They also referred to the management contract between government and the company, which provides that ample notice be given to VALCO prior to a shut down. VALCO also argued that about 1,250 workers of the company are likely to be laid off if the government’s order is complied with.

Objecting to the applicant’s submissions, Attorney General, Nana Akuffo Addo and Kathleen Quartey Ayensu, Chief State Attorney argued that the matter has serious national repercussions and can therefore not be heard ex parte.

They contended that the damages that may be caused to VALCO as a result of the shut down of the potline could be assessed and compensation duly paid. However, should the whole nation experience power outages, compensations cannot be paid for the social and political upheavals as well as riots that are likely to occur.

“Let us not subject the interest of the public to the dictates of personal profits,” the defendants argued. The decision is a big blow to the company, coming after its parent company, Kaiser Aluminium filed for bankruptcy recently. - Joyonline

This article is closed for comments.

06-19 07:43
 
 
 
 
Ayensu Vs VALCO (2002)
Winston Smiley
06-19 10:47
Concerned - in Tokyo, Japan
06-19 10:50