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OVERCOMING THE TRANSPORTATION MAZE
By Kweku Asare
 

Accra,March 18, Ghanadot.com - TRANSPORTATION in Ghana is one of the major difficulties that the citizens have had to battle with for as long as the country has been independent and is one major source of loss of productivity.


Osagyefo, Dr Kwame Nkrumah,the country's most adored first president especially, and one or two more later governments did their best to establish a durable transportation pattern in the country especially in the 1960's up until some where in the early to mid 1970's. Indeed, older people of about 70 years and abover can tell this story better!


In fact, as a child and guess many of you readers would bear me out, there was the Ominibus Services Authority, known as OSA. After the over- throw of Nkrumah's Convention People's Party in 1966, the company consistently lost efficient management practice and virtually died in the process.

 

In the late1980's the City Express Services was introduced by the then Provisional National Defence Council of Jerry John Rawlings to help in easing the acute transportation difficulty of the time. The City Express Services, similarly lost its purpose through ineptitude, corruption and political patronage among others.


Thus, over 20 years or more, the spectre of people standing by the streets and bus-stops, not knowing when the next bus will arrive was more than visible. This disturbed officials who more often just paid lip service to the matter. This created a situation where individuals in the private sector took advantage of the situation by providing "trotros" and some buses (especially for long distance routes) to fill the void.


It was most refreshing when after taking office in 2001, the new administration of John Agyekum Kufuor introduced the Metro Mass Transit Service. To many of us it was most welcomed having been introduced in a big way to London's Underground and Transport Companies as well as the Metro System in the United States. But it was not to be so. The buses plied the same routes as any other bus company, owned no route, and above all run with no schedules! This for many made no difference and actually frustrated many.


When Ghanadot contacted the Metro Mass officials, they said there were works in the mill and as the Ministry of Transportation assured recently during one of its media interactions "there were works in the mill."


Today, almost 8 years after, government has concluded an agreement with Peatrack Company Limited, a local private investment firm to start the construction of the first phase of the long awaited Eastern Railway Lines.
The 1.4 million dollar project starts in June and would stretch from Tema to Accra through Nsawam, Nsawam to Nkawkaw to the Ejisu-Kumasi main line to the Kumasi Suburban, Inland Port-Tema-Kumasi Corridor and end at the Bususo-Kibbi Branch line.


This is an ambitious project, but officials say Peatrack Limited was purposely established to construct and operate the railway network in the country under a Public Private Partnership for the Design, Build, Operate and Transfer (DBOT) arrangement for a 35-year concessionary period.


The company will pay an annual concession fees of up to 3 per cent of its turnover to government during the operation phase.


The agreement specified that the railway network would be handed over to government at the end of the concessionary period without any encumbrances.


The company is to wholly finance the project through paying an entry fee of 27 million dollars part of which would be used for the severance payments of current staff of the Ghana Railway Company and for the acquisition of the Corridor. This means that the company would have the right to decide on schedules, routes and other operational logistical issues.

Professor Ameyaw-Akumfi, Minister of Ports and Harbours, signed for government and said Peatrack was bringing in the funds and absorbing all the risks, and asked Ghanaians to give their cooperation for its success.
One other thing came up during the signing, the call on the media to allow the company to do its job, without unduly interfering in its operations and publication of untruths as had happened to other arrangements to get renowned railway companies help develop a reliable railway transportation network.


Dr Ebenezer Mireku, CEO of Peatrack argues that they are anxious to start business, saying the railway project would involve a dual carriageway, electrified, standard gauge with state-of-the-art technology comprising permanent way, railway stations, depots, cargo handling equipment and basic infrastructure for inland ports among other things.


NIT Holdings of Hong Kong, a professional assets holding and management entity, he noted are providing the funds and the construction of 1500 kilometre dual carriage over ten to 15 years.


The new railway network should be able to carry bulk cargo such as minerals, transport containerized cargo and offer safe and reliable urban interregional and international transportation of passengers.


The company intends to construct other lines to connect all the regional capitals within its areas of operation.


But a few things need to be examined and critically done to ensure that the company lives its life and more importantly do the job for which it was established.

 

First, Peatrack Company Limited must live its own life. It should live a business life, not a political life. By this its life would not only be lengthened, but helped to grow strongly by the whole support that would make it strong and acceptable to all. Besides, in the event of a change of government, because it was founded and operated soundly as a pure business entity, nobody can or would want to change things or in the extreme case kill it.


Secondly, they should not play to the gallery. The company must know that expectations for and of a sound transportations system, especially by rail, is extremely high. A few companies in separate sectors are doing this and I will talk about them soon. Their business should just be to get the job done and thus endear them to all shades of Ghanaians!


Finally, government must do well to stay out of this business. As the President said during his inauguration on January 7, 2001, "it is not the business of government to be in business! Therefore, government must leave Peatrack Company Limited to do its job. and we shall all see if the job is being done well.


Anyway, do we have the track record of this company as a credible one in this business?

Kweku Asare, Accra, March 18, 2007, Ghanadot.com


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

 

 

 

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