We have to pay the right price to make SOEs profitable - Public Enterprises Minister

Joseph Cudjoe112121 Minister for Public Enterprises, Joseph Cudjoe

Tue, 19 Apr 2022 Source: www.ghanaweb.com

Subsidized prices part of reasons SOEs post losses, Minister asserts

We have to run SOEs like private businesses – Public Enterprises minister

Ghana Water Company posted a loss of GH¢ 938 million in 2020 – Report

The Minister for Public Enterprises, Joseph Cudjoe, has indicated that the subsidized prices paid by Ghanaians for the service offered by State-Owned-Enterprises (SOEs) are part of the reasons that are not profitable.

The minister, therefore, suggested that Ghanaians must start paying the right prices for the products and services offered by these SOEs including the Ghana Water Company (GWA).

To him, SOEs must be run like private organizations for them to be able to post profits.

“I am an advocate for paying the right prices for things. The Ghana Water Company Limited for example treats water at a cost and the price and the risk we all as a public incur if they do not have the right financials to buy the chemicals to treat the water is if they are compelled by circumstances to compromise on the quality, the effect comes to us.

“So, if we all have to swallow and pay the right prices just like when a private sector person increases the price, we adjust and swallow, we should be willing to do same for state enterprises,” Cudjoe is quoted to have said on JoyNews’ AM Show.

The minister made these remarks whiles reacting to the 2020 State Interests and Governance Authority (SIGA) report which projected the losses of SOEs.

According to the said report, the GWC posted a loss of GH¢ 938 million in 2020 and the Bulk Oil Storage and Transportation Company Limited (BOST) also posted a loss of GH¢ 400.

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Source: www.ghanaweb.com
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