TUC Commends Government Over Revival of Tema Oil Refinery

TUC Chairman Bernard Owusu said President John Dramani Mahama had responded positively to organized labor’s long-standing demand that the refinery be restored instead of transferred to private operators.

“President John Mahama has given Ghanaians exactly what we wanted,” Owusu said during an interview on Adom FM’s Dwaso Nsem program.

His remarks followed the official commissioning of TOR’s refurbished Crude Distillation Unit, a key component of the refinery’s production system.

Owusu said the revival had restored confidence and dignity among employees of the refinery, particularly members of the General Transport, Petroleum and Chemical Workers Union.

Workers and their union had strongly opposed earlier plans to lease the facility, arguing that TOR could remain viable under effective management and with the appropriate technical investment.

The TUC chairman said the successful rehabilitation vindicated the workers who resisted the proposed arrangement and continued to advocate for the refinery’s restoration.

He reiterated organized labor’s opposition to the outright privatization of major state installations, warning that poorly structured deals could leave the government with limited returns while private or foreign investors receive most of the benefits.

According to Owusu, strategic national assets must be managed in a way that protects public ownership, creates employment and ensures that Ghana retains a fair share of the economic value they generate.

The TUC also commended TOR’s board, management, engineers and other employees for financing the rehabilitation through internally generated funds.

Organized labor said the completion of the work without a direct government bailout demonstrated the capacity of local professionals to restore and manage important national infrastructure.

TOR’s Deputy Managing Director, Edmond Kombat, said a fully operational refinery could significantly reduce Ghana’s dependence on imported petroleum products.

Ghana reportedly spends about US$400 million every month importing refined fuel. Increasing domestic refining capacity is therefore expected to reduce pressure on foreign exchange reserves and strengthen the country’s energy security.

The refinery has begun processing locally produced Jubilee Medium Sweet crude oil into petroleum products for the domestic market.

Officials believe that using domestic crude will help retain more value within Ghana’s economy, support local employment and reduce exposure to disruptions in international petroleum supply chains.

The refurbished unit is also expected to support the government’s longer-term plan to establish an additional refinery with a processing capacity of 100,000 barrels per day near the existing facility.

The proposed expansion forms part of efforts to position Ghana as a major petroleum refining, storage and distribution center for the West African sub-region.

The TUC urged the government to ensure that TOR is managed transparently and sustainably so that the refinery does not return to its previous operational and financial difficulties.