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GWCL laments government's Ghc220m debt in water bills

Tuesday, 28 July 2015 05:07

Public institutions owe the Ghana Water Company close to 220 million cedis despite a government directive to them to  pay their outstanding utility bills from their budgetary allocation.

Board Chairman of the company, Eric Biliguo Adama, made this known at the signing of the high performance improvement programme  contract in Accra.

Non-revenue water accounts for over 50 per cent of the water produced by the water company which is a worry to the  Ghana Water Company.

Many attempts have been made in the past to restructure the company which is currently owed by many public institutions.

"The government institutions are really owing Ghana Water a whole lot of money between 2013 to date. They owe us close to 220 million Ghana Cedis. Disconnection started and government intervened. The press release that as given out by government was totally misinterpreted by all the institutions and everybody stopped paying".

The company in March launched a performance improvement programme after signing a one hundred-day performance contract with the government.

At the launch of the second phase of the performance programme in Accra, Board Chairman of GWC, Biliguo Adama, indicated that the company is being retooled to improve water delivery at affordable prices while  ensuring the company’s financial sustainability.

"When I heard that Ghana Water was ever given to a foreign company to manage , I have always felt it as an insult to Ghanaians. If you bring a foreigner, he is still simply going to tap the knowledge of Ghanaians to manage it. Are we saying we can't manage our own destiny" he asked.

The restructuring efforts is in collaboration with the world bank. One of the consultants, Dr. William Muhairwe is confident staff of Ghana Water Company can run the water system in the country.

"Within a period of only three months, they have managed to increase their revenue from 17 million per month to 25 million cedis. They must make sure they work very hard to make sure that non-revenue water is reduced. Everywhere we've been in almost all the developing countries, governments have been urged to pay their water bills and they are paying".

According the consultant, the success of the second phase of the performance programme will completely dismiss all discussions on privatization of Ghana Water Company.