Government has injected capital into the Ghana Railway Company Limited (GRCL) to enable the company become self-reliant and effective in its operations.
Due to this capital injection, GRCL, which hitherto was struggling with the payment of workers’ salaries, will now be able to take care of staff salaries and other related expenses up to the end of March, 2021 where it is expected that, it would have been able to work hard to become self- sufficient even before that time.
The Managing Director of GRCL, Mr. John Essel, who disclosed this in a press release remarked that, “through the effort of government, GRCL will, aside the capital injection into the company by the government, take delivery of track tools, spare parts and equipment to facilitate the rehabilitation of five locomotives and several mineral wagons to augment the current fleet of manganese trains which will further increase the haulage of manganese ore for export.”
Though the press release was silent on how much government had injected into the company, the company’s Managing Director was hopeful the money will go a long way in bringing back the national asset to its glory days.
Mr. John Essel was further grateful to the government for its continuous support for the Ghana Railway Company and promised that management and the entire workforce will also perform their roles assiduously to make sure the railways in Ghana becomes the most preferred mode of transportation in passenger and goods not only in Ghana but beyond the shores of Ghana.
The railway organisation started in 1901 as a department of the Gold Coast Service after construction of Ghana’s rail system had begun in 1898.
With the building of the harbour, the railway and the harbour came under the joint administration of Railway and Harbours Administration until the 1st of July 1972, when the Railway was separated from the Ports with the two becoming distinct corporate bodies under separate administrations.
Since its separation, the railway has passed through several stages and had been known as the Ghana Railway Corporation since its separation from the Port until the 7th of March, 2001, when it was issued with a Certificate of Incorporation by the Registrar of Companies, and became known as Ghana Railway Company Limited to allow for private sector participation and investments into railway operations.
Sadly little or no private investments came in, making the company to face challenges in its line of duties. Decades of neglect and underfunding left the railway completely rundown, The company currently has a total staff strength of 1,582, made up of 1,189 permanent staff and 393 casual labourers.
Occasionally, several governments had undertaken different projects all in a bid to allow the company stay on its feet though the company has continued to suffer in the area of finances.
The Akufo-Addo government as part of its manifesto pledges, decided to recapitalise and revamp the ailing railways in the country.
