Open Letter to President Kufuor from VALCO Worker

A Ghanaian worker at VALCO has written an open letter to the Ghanaian President, Kufuor urging him to ensure that Ghanaians do not pay more tariffs than VALCO.

Excerpts of the letter published by the private-owned Daily Dispatch read; “Our Dear JAK (JAK is the initials for John Agyekum Kufuor) RE: VALCO & TARIFFS

Dr. Charles Wereko-Brobby has been reported extensively this month (July) as having said: “My brother Kan-Dapaah when he was in opposition was called Mr. Affordable because he was fighting for affordable electricity tariffs. When you are in opposition you can talk about affordability, but when you are in the seat, you see affordability slightly different.”

What Dr. Wereko-Brobby of VRA is in effect saying is that his sector minister is inconsistent!!! Indeed, it is this same Wereko-Brobby who is gambling with the electricity tariffs and looking to find someone such as the minister for energy to blame.

What is happening in the country is that VRA and Dr. Wereko-Brobby are gambling with Ghana’s precious asset, the Akosombo Hydro-Dam. Indeed, when I visited the Dam on July 15, 2002, the level of water in the Dam was 237ft, the lowest level reached since 1984 when Ghana was brimming with its first electricity generation problem.

The science of the dam is simple, the higher the dam the level of water, the better the generation of electricity. The most prudent thing to do is to declare a force majure and ask VALCO to shut down. When VALCO shuts down for three years, the level of water in the dam will rise and there will be greater efficiency in the hydroelectricity generation and we as a country will not need to run the Aboadze Thermal Plant and other thermal plants at high cost.

The truth of the matter is that Wereko-Brobby and his staff are said to be so obsessed with VALCO that they cannot be bold enough to declare the force majure. The main reason when I enquired at VRA is that, VALCO is the major source of foreign exchange for VRA to buy crude oil to run Aboadze and other thermal plants. This is a weak position.

VALCO currently consumes 40% of Ghana’s hydroelectricity and pays the lowest tariff in Ghana and it is argued (rather lamely) that VALCO should continue to pay lower tariffs and the Ghanaian consumer who uses electricity to watch TV should pay higher. In any case, who was the investment in the electricity generation plants meant for, Ghanaians or VALCO?

VALCO after forty years’ operation in this country continue to operate as if we have no bauxite deposits and in addition is making no effort to release more aluminum for the economy.

Indeed, only a maximum of 10,000 metric tons of aluminum is released to ALUWORKS, and VALCO has a capacity of 200,000 metric tons output and even now that they are at 60% capacity utilization are producing 120,000 metric tons of aluminum ingots for the export market.

Because VALCO is using an outdated agreement, this export is not even reflected in our national export statistics. Yet Dr. Wereko-Brobby former presidential candidate of the United Ghana Movement (UGM), who says, “It is all about growing people” defends VALCO.

In Ghana, VRA charges Ashanti Goldfields Company 4.5 cents per kilowatt-hour, ALUWORKS 5.5 cents per kilowatt-hour, AKOTEX pays 5.5 cents per kilowatt-hour; Electricity Company of Ghana (for TV transmission and viewing) is charged 2.5 cents per kilowatt-hour. Can these be justified?”

A Ghanaian worker at VALCO has written an open letter to the Ghanaian President, Kufuor urging him to ensure that Ghanaians do not pay more tariffs than VALCO.

Excerpts of the letter published by the private-owned Daily Dispatch read; “Our Dear JAK (JAK is the initials for John Agyekum Kufuor) RE: VALCO & TARIFFS

Dr. Charles Wereko-Brobby has been reported extensively this month (July) as having said: “My brother Kan-Dapaah when he was in opposition was called Mr. Affordable because he was fighting for affordable electricity tariffs. When you are in opposition you can talk about affordability, but when you are in the seat, you see affordability slightly different.”

What Dr. Wereko-Brobby of VRA is in effect saying is that his sector minister is inconsistent!!! Indeed, it is this same Wereko-Brobby who is gambling with the electricity tariffs and looking to find someone such as the minister for energy to blame.

What is happening in the country is that VRA and Dr. Wereko-Brobby are gambling with Ghana’s precious asset, the Akosombo Hydro-Dam. Indeed, when I visited the Dam on July 15, 2002, the level of water in the Dam was 237ft, the lowest level reached since 1984 when Ghana was brimming with its first electricity generation problem.

The science of the dam is simple, the higher the dam the level of water, the better the generation of electricity. The most prudent thing to do is to declare a force majure and ask VALCO to shut down. When VALCO shuts down for three years, the level of water in the dam will rise and there will be greater efficiency in the hydroelectricity generation and we as a country will not need to run the Aboadze Thermal Plant and other thermal plants at high cost.

The truth of the matter is that Wereko-Brobby and his staff are said to be so obsessed with VALCO that they cannot be bold enough to declare the force majure. The main reason when I enquired at VRA is that, VALCO is the major source of foreign exchange for VRA to buy crude oil to run Aboadze and other thermal plants. This is a weak position.

VALCO currently consumes 40% of Ghana’s hydroelectricity and pays the lowest tariff in Ghana and it is argued (rather lamely) that VALCO should continue to pay lower tariffs and the Ghanaian consumer who uses electricity to watch TV should pay higher. In any case, who was the investment in the electricity generation plants meant for, Ghanaians or VALCO?

VALCO after forty years’ operation in this country continue to operate as if we have no bauxite deposits and in addition is making no effort to release more aluminum for the economy.

Indeed, only a maximum of 10,000 metric tons of aluminum is released to ALUWORKS, and VALCO has a capacity of 200,000 metric tons output and even now that they are at 60% capacity utilization are producing 120,000 metric tons of aluminum ingots for the export market.

Because VALCO is using an outdated agreement, this export is not even reflected in our national export statistics. Yet Dr. Wereko-Brobby former presidential candidate of the United Ghana Movement (UGM), who says, “It is all about growing people” defends VALCO.

In Ghana, VRA charges Ashanti Goldfields Company 4.5 cents per kilowatt-hour, ALUWORKS 5.5 cents per kilowatt-hour, AKOTEX pays 5.5 cents per kilowatt-hour; Electricity Company of Ghana (for TV transmission and viewing) is charged 2.5 cents per kilowatt-hour. Can these be justified?”