‘Trade liability met at BOST in 2017 could've built 624 e-blocks’ — MD

Dr. Edwin Alfred Provencal, Managing Director of Bulk Energy Storage and Transportation Company Limited (BEST) formerly known as Bulk Oil Storage and Transportation Company Limited (BOST), has revealed that the trade liability of BOST in 2017 amounted to a staggering $624 million.

This debt, according to Provencal, could have been redirected towards building 624 new educational blocks (e-blocks) assuming each is estimated at $1 million, an initiative that could address the infrastructure deficit in Ghana’s educational sector.

Speaking at a press briefing held at the Ministry of Information in Accra on Wednesday, November 6, Dr. Provencal emphasized, “If we look at the $624 million trade debt alone, that could have built 624 e-blocks across Ghana.”

In 2017, the $624 million liability consisted mainly of fuel purchases and obligations to various Bulk Distribution Companies (BDCs).

According to Dr. Provencal, BOST’s liability to BDCs had previously included “products that were stored in our facilities but were later unaccounted for,” resulting in a $37 million claim against BOST.

“The $37 million in BDC claims alone could have provided funding for 37 e-blocks,” he added.

The current leadership at BOST, Dr. Provencal explained, has made strides in clearing these debts.

“We are accountable to the people of Ghana, and I’m pleased to say that, to date, 100% of our trade debt has been paid. The dedication of our team has ensured we’re now on solid footing, with improved financial and operational performance,” announced the MD.

The 2017 debt also included an additional GHS416 million owed to local banks and a $109 million capital expenditure liability from earlier projects.

Reflecting on this, Dr. Provencal remarked, “It was a gloomy financial picture, but we were determined to turn BOST around for the benefit of all Ghanaians.”