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Aerial view of the port of Tema
The players in the shipping industry have begun to put increasing pressure on the government for it to review the details of the Tema Port Expansion Project contract, an amount of 1.5 billion US dollars.
They argue that the implementation of the agreement in its current form will result in a reduction of container activities in the Ghana Ports and Harbors Administration from US $ 105 million to US $ 30 million. This will also result in more than 1,400 job losses.
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Stakeholders led by the Union of Port and Dock Workers' Union (DND) National Executive (DND) said the Meridian Port Services (MPS) concession for the construction of a new container terminal at the port Tema had not been respected.
The Board was of the view that because of what they described as unjustified political interference, the concession agreement was not subject to competitive bidding until it was sent to Parliament for ratification.
These reservations were put forward during the resolution of the 63rd session of the National Executive Board (NEC) meeting of the Union of Maritime and Port Transport Workers (MDU).
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The meeting then discussed government policies that had led to increased job losses in the maritime sector, as well as the casualization of permanent jobs in the ports.
Ambitious project
The project, a public-private partnership between the GPHA, representing the Government of Ghana and MPS, involves a modernization and significant expansion of Ghana's main seaport.
The success of the project is expected to fundamentally change Ghana's position in West Africa's maritime sector by increasing trade flows and improving transport links across West Africa.
Although the MDU welcomed the initiative, he argued that implementation of the agreement in its current form would result in a reduction of GPHA's container related activities from $ 105 million to $ 30 million. , resulting in the loss of more than 1,400 jobs for the only GPHA company. .
The Board notes with deep concern that the implementation of the agreement in its present form will result in the collapse of the Stevedore Companies, Domestic Container Deposits (DICs), the Ghanaian Dock Labor Company. (GDLC) and terminal operating companies. These could lead to mbadive job losses in the maritime sector.
The Council notes that, as the new container terminal will be operated semi-automatically, substantial jobs will not be created to absorb the huge job losses for GPHA and the other companies involved. .
He however felt that the tax exemption of the container terminal concession agreement, which amounts to more than 800 million USD, is too high compared to the investment cost of $ 1.5 billion, which was reduced to about $ 1.1 billion after rebadessment.
Expansion works
Former President John Dramani Mahama launched the expansion works at Tema Port in 2016.
While commending the Government for establishing the paperless system and the automation of ports, which has so far reduced the time and cost of clearing goods in ports, it warned that initiatives should not lead to job losses.
The council expressed the firm belief that machinery and technology should not take back jobs from workers and that there should be no automation without negotiations.
The GPHA, for example, had reason to challenge the details of the new port contract with MPS, which prompted the GPHA to ask the presidency to give it direction.
The dispute, which began last year, touches on three issues: GPHA's involvement in the project after its completion; which institution (the GPHA or the MPS) should have the right to determine and charge tariffs, and for how long MPS should be allowed to manage the facility before transferring it to the GPHA.
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