Construction of the Tema-Ouagadougou port and an associated industrial park at Debre in the Savannah Region has officially begun. The Vice President, Dr. Mahamudu Bawumia, broke the ground for the development of the project which will deliver Ghana’s first inland marine port.
Establishing a system to carry containers and bulk freight from the Port of Tema to Burkina Faso and other landlocked nations via Volta Lake is the goal of LMI Holdings‘ multimodal transportation corridor, known as the Trans-Volta Logistics Corridor.
The development of a second port at the terminal of the Tema-Mpakadan railway line will facilitate the cargo embarkation and discharge from Tema and Debre. With a positive multiplier effect on transportation, revenue generation, and many other advantages, the Debre Inland marine Port is anticipated to contribute to Ghana’s infrastructure development. By 2025, the entire project is expected to be fully functional.
Importance of Tema-Ouagadougou port project
In his remarks during the sod-cutting ceremony, Bawumia stressed the importance of the inland marine project.
“One of the main goals of this port will be to lessen the congestion caused by the transit of goods. Ships will use Volta Lake to transport containers and cargo to and from the Tema Port. These containers will go by train to the Akwamu-Korankye region in the east, where they will be loaded onto barges and transported to the Debre Inland Port. Debre, operating at full capacity, will unload and load containers onto trucks so they may travel into the sub-region. Customs clearances and other services required by any international port will also be provided.”
The roads have suffered due to reliance on roads to move commodities from Tema port to Ghanaian neighbors. This has resulted in shorter road lifespans and safety concerns. Dr. Bawumia reaffirmed the government’s commitment to fostering an enabling environment that is supportive of private sector investment.
“Let me congratulate LMI Holdings for accomplishing this outstanding feat. LMI, as a company, provides this project with a wealth of knowledge in infrastructure development. LMI is a $450 million company with logistics, construction, and real estate operations. Over the past 20 years, since LMI Holdings established the SEZs, $3.4 billion in foreign investment has entered Ghana’s economy”.
Construction of Tema-Ouagadougou port in Burkina Faso to begin in 2021
Construction works on the Tema-Ouagadougou port project in Burkina Faso are set to commence in the next year 2021. Chief Executive Officer (CEO) of LMI Holdings, the project developer, Mr. Kojo Aduhene disclosed the report.
The inland port project will be established at Mpakadan in the Eastern Region and Debre in the Savannah Region with a 400km freight barge route connecting them in addition to a logistics and industrial park at Dabre. It will involve the construction of two container ports along the lake’s inland waterway to link the two cities.
Currently, Mr. Kojo said the company was engaging with the Environmental Protection Agency (EPA) regarding environmental impact assessment and permits as well as the Ghana Ports and Harbours Authority (GPHA) and Volta River Authority (VRA) concerning a concession agreement.
The project is projected to cost US $200m which would be borne by local and international investors. Giving a breakdown of the estimated cost, Mr. Aduhene said marine assets would cost US $40m; port infrastructure, US $60m while bulk fuel infrastructure and access infrastructure, would cost US $50m each.
Upon completion, it will transport cargo and fuel from Tema port to Ouagadougou. Aside from creating competitive freight transportation, Mr. Kojo Aduhene said the project would boost the industrialization of the northern sector of the country, enhance cross-border trade and regional integration, reduce the cost of annual road repairs by the government due to damage caused by heavy vehicles that transport cargo as well as decrease traffic congestion and air pollution in urban centers.
“The project will position the Port of Tema as the leading transit hub in West Africa and enhance revenue mobilization for Ghana and Burkina Faso. It will also create thousands of direct and indirect jobs for the residents of communities around the project sites including service providers and manufacturers of inputs as well as individuals with specialized skills across the country,” said Mr. Aduhene.