The Executive Director of the Institute for Energy Security (IES), Nana Amoasi VII has called for the privatisation of the Tema Oil Refinery (TOR) as a means of dealing with the perennial challenges that affect the company.
Speaking on the Big Issue on Citi TV, Nana Amoasi VII expressed concern that the government was moving around sourcing for cheaper fuel under the gold for oil policy while TOR has the potential to refine crude that will significantly lead to cheaper fuel for consumers.
He added that the politicians have over the years been incompetent and inefficient in turning around the fortunes of TOR, hence the need for the government to privatise the refinery to make it efficient and vibrant.
“You go to TOR and you can have seven people sitting on a desk doing nothing. That is why we need to move TOR away from the political cycle and the politicians. Let us introduce some private hands that have the capacity to introduce some funding for the revamp of TOR and its operations.”
“If the private people are seen to be more efficient in its operations, the government will not get the opportunity to be putting on board its cronies who have no capacity to run the business of refining.”
The former Member of Parliament for the Okaikwei North constituency, Fuseini Issah concurred with the call of the IES Boss by describing TOR as a problem for the government.
Mr Issah added that putting TOR back on stream is not an immediate solution to the increasing price hikes in petroleum products but a medium to long-term investment.
“TOR is a huge problem. I gather that the Chinese refinery that is coming up has a capacity of I think 100,000 metric tonnes, and it employs 50 people. TOR already employs 1,200 people and the operation cost of TOR is too high. I hear that historically the amount of crude that you have to feed to TOR and its output is about 37 percent but the Chinese [refinery] will get in excess of 90 percent.
“Putting TOR back on stream is not an immediate solution, it is a medium to long-term investment.”