Government keen on strategic investors to revamp TOR – Joseph Cudjoe

Tema Oil Refinery The Tema Oil Refinery (TOR)

Thu, 3 Feb 2022 Source: www.ghanaweb.com

TOR records massive operational losses over the years

Government still interested in TOR’s business module, Public Enterprises minister

We won't tax money to fix TOR, Minister

Government has said it is seeking strategic partners to invest in the state-owned Tema Oil Refinery.

According to the Minister of Public Enterprises, Joseph Cudjoe, the strategic investor is expected to bring in the required capital which will go towards revamping the operations of the refinery.

In an interview on the Super Morning Show on Wednesday, February 2, the minister explained, “given the revenue constraint the state has at the moment and capitalisation of TOR to enable it to turn around, the Finance Minister, Ken Ofori-Atta, would soon let you know and I support that we won’t use tax money to go and fix it.”

Touching on the cyclical losses of the TOR over the years, the Minister said government remains vested in the interest of the business module operated at TOR which seeks to refine oil.

“So, to the extent that studies are going on, you’ll see losses being incurred but this is a normal corporate thing; when your company is taking a strategic decision in the period that the decision has not been implemented, coping mechanisms must be adopted,” he is quoted by Joy Business.

Meanwhile, the 2019 State Ownership Report released by the Finance Ministry has revealed staggering losses incurred by State-Owned Enterprises from 2015 to 2019.

The report said SOEs and Joint Venture Companies (JVCs) have reported net losses of GH¢1,375.33 million and GH¢2,341.37 million respectively in 2019.

For 2020, the report disclosed that SOEs recorded GH¢5.3 billion of losses in their operations.

The Ministry’s report highlighted TOR as part of the companies that attribute to the recorded losses for the period.

Source: www.ghanaweb.com
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