A 60,000 cubic-metre-per-day desalination plant was built in Teshie to address the area's water crisis. The $126 million project was undertaken through a 25-year Build-Own-Operate-Transfer Water Purchase Agreement signed in 2011. Under the agreement, Ghana Water was required to pay a fixed capacity charge, even if it did not take the water. By October 2025, Ghana Water shut down the plant, which had been operating at 72% capacity.
An International Chamber of Commerce (ICC) arbitral tribunal subsequently ordered Ghana Water to pay $235 million to Befesa Desalination Developments Ghana Ltd, a company 95% owned by Spain's Cox Infrastructure Group. The Republic of Ghana is liable for the payment under a sovereign guarantee approved by Parliament in 2012. The award, disclosed in Madrid on 21 September 2026, has sparked concerns about the financial implications for Ghana.
In a contrasting case, the Accra High Court ordered the Bank of Ghana to release GH¢79,651,132 to Servistar Minwax (WA) Limited for overpaid import duties. However, the company's director, Henry Manly-Spain, rejected the payment, citing a discrepancy in the amount. He claimed that the actual amount owed was GH¢8.95 million, which with interest, he believed should not exceed GH¢10 million.
Manly-Spain's decision to reject the payment was motivated by his conscience, as he felt that accepting the larger amount would be unfair to the state. He noted that if every Ghanaian businessman acted similarly, judgement debt would not be a significant issue in the country. His actions have been hailed as a demonstration of moral responsibility in economic transactions.
The two cases have raised questions about the management of public funds and the role of conscience in economic decision-making. The author of the article, Kofi Thompson Ghanafuor, has questioned whether Ghana is being "ripped off" by such large judgement debts. He argues that the state's failure to scrutinize contracts and agreements has led to significant financial losses.
Ghanafuor has suggested that the President should confer a national honour on Henry Manly-Spain for his actions and has called for a forensic audit of all take-or-pay, guaranteed judgement debt contracts binding the Republic. He believes that such an audit would help to uncover any irregularities and ensure that the public interest is protected.
The article highlights the need for greater transparency and accountability in Ghana's economic dealings. It also underscores the importance of moral responsibility in business transactions and the role that individuals can play in promoting good governance.
Key points
- The Ghanaian government faces scrutiny over two judgement debts, one involving a $235m award to Befesa Desalination Developments Ghana Ltd and the other a rejected GH¢79m payment.
- The cases have raised questions about the management of public funds and the role of conscience in economic decision-making.
- The author has called for a forensic audit of all take-or-pay, guaranteed judgement debt contracts binding the Republic.
