NDC’s US$345million Debt Collapsed TOR, NPP Cleared Ghc1billion Debt — Dr. Amin Adam

The Deputy Minister of Energy in charge of Petroleum Dr Mohammed Amin Adam says, up to date, they are still wondering how the previous NDC administration managed to bring Tema Oil Refinery (TOR) on its knees before exiting power in 2016.

He said the NPP government inherited accumulated TOR debt of $345 million from the previous NDC government.

The sector minister added that the previous Mahama administration failed to conduct an audit into the accounts of TOR from 2013 to 2016.

According to him, about Ghc1billion owed third parties, traders and financial institutions were sitting in the books of TOR.

He stressed that statutory liabilities owed Ghana Revenue Authority (GRA) and Social Security and National Insurance Trust (SSNIT) amounted to Gh¢84million and Gh¢11million respectively.

Speaking at an event dubbed ‘The Energy Manifesto Town Hall’ organized by the Chamber of Bulk Oil Distributors (CBOD) and its partners, Dr Amin Adam intimated that the previous NDC failed to undertake three cycles of critical turnaround maintenance of TOR since 2009.

According to him, the furnace as a result of the lack of maintenance exploded at some point leading to a reduction of the nameplate capacity of TOR from 45,000 barrels per stream day to 25,000 barrels per stream day.

This, the sector minister sadly said, led TOR into a complete comatose.

“If they couldn’t audit the accounts of TOR since 2013 how did they come by that profit claim? What was the NDC’s basis for that profitability? We actually came to meet debts,” he posited.

NPP Revived TOR

Dr Mohammed Amin-Adam has said the NPP government has effectively handled the affairs of the Tema Oil Refinery (TOR) far better than the previous NDC government.

He indicated that the NPP government has cleared an outstanding Ghc1billion debt accrued between 2013 and 2016.

The sector minister added that US$67million debt has been absorbed by the NPP government.

According to him, TOR has successfully carried out the long overdue shutdown maintenance which the NDC government three times failed to undertake.

He added that TOR under the current management has been able to process up to 8million barrels of crude oil since September 2019.

Dr Amin Adam stressed that the NDC’s claim of handing over a profitable TOR is laughable and must not be taken seriously.

He emphasised that the NPP government breath live into TOR with its pragmatic policy interventions over the last three and half years.


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