CJA calls on Government to take over Tema Shipyard and Dry-docks

Accra, Aug. 20, GNA - The Committee for Joint Action (CJA), a pressure group, on Thursday called on the Government to take over the Tema Shipyard and Dry-docks from its present Management to secure the national interest. The Group accused the Malaysian Management of Penang Shipbuilding and Construction Industries (PSCI) of blatant disregard for financial regulations of the country and conflict of interest.

Speaking on behalf of the Group at a press briefing in Accra, Mr Bernard Monah, a member of CJA, claimed that the Management of PSCI had formed a rival company called Kpone Shipyard Limited to which they awarded contracts in contravention to Section 205 of Act 179 of the 1963 Companies Code and in violation to Section 15 of the Joint Venture Agreement signed between the Government and PSCI in 1996. He expressed worry that though under the Joint Venture Agreement, PSCI was obliged to provide 5,300,000 dollars for the rehabilitation of the Shipyard, the agreement had not been complied with by the Management and the Shipyard was still in a poorer state than it was when the agreement was signed 12 years ago.

Mr Monah also accused the Management of PSCI of selling the shares of Tema Shipyard and Dry-docks to Boustead Heavy Industries Limited, another Malaysian Company, without the Government's consent and in violation of paragraph 21, section three of the Joint Venture Agreement. "It is our considered view that such provisions in the agreement have been breached by the Malaysian majority shareholders to ensure that Ghana does not benefit from the partnership while they (Malaysians) plunder our harbour's resources to their country," he said.

Mr Monah said PSCI flouted the environmental, health and safety regulations in the country and accused the Company of handling sludge and oil waste from ships, at the health risk of operators at the fishing and main harbours, without submitting a prior waste management plan to the Environmental Protection Agency. He alleged the Malaysian Management had refused to pay dividend to the Government and had failed to negotiate reasonable working conditions of service with the workers of the Company. "Since PSCI have broken the terms of the agreement upon which the Tema Shipyard and Dry-docks was purchased, that agreement has now been rendered null and void by their own actions. It is now time for Government to take over the Company and run it smoothly," Mr Monah said.

Mr Kwesi Pratt, a leading member of CJA, said it was important for the Government act rapidly to take over the Company especially with the discovery of oil in Ghana. "With this discovery, Tema Shipyard would play a crucial role in the oil industry to ensure that the country gets the needed benefit from the natural resource for Ghana's socio-economic development. We hope all will play a part in ensuring that we put the necessary pressure on Government so that the right thing is done," Mr Pratt said.