Parliament approves $339m for Accra-Tema motorway project

Parliament has approved a concessionary contract of $338.89 million between Ghana and ATEP, a wholly owned subsidiary of the Ghana Infrastructure Investment Fund (GIIF), for the redevelopment and expansion of the Accra-Tema Motorway.

The project is made up of the 19.5km Accra-Tema Motorway redevelopment, which is a segment of the National Road One (N1); 5.7 km portion of the George Bush Highway, and a portion of the Nsawam road (N6) linking the N1 from the Neoplan interchange to Apenkwa, covering 2.5 km.

The project also comes with the operation and maintenance of the road, including the installation of a road toll system on certain sections.

The project is part of the international transit corridors in the West African sub-region, which will serve as a link between Accra and the Tema Port, and to the northern part of the country and the landlocked Sahel regions of West Africa.

The project seeks to address bottlenecks that cause traffic congestion that has plagued the corridor in recent years.

Background

The government initially sought a public private partnership in 2019 for the implementation of the project.

However, this was unsuccessful and was communicated to the Public Procurement Authority.

The government entered into a Design and Build contract (D and B contract) in December 2020 with the preferred bidder, with the PPA subsequently giving approval.

Furthermore, the government represented by the Ministry of Roads and Highways and the Ministry of Finance executed a Memorandum of Understanding (MoU) on April 28, 2021, to execute the project.

In the MoU, it was agreed that the GIIF, acting through its subsidiary, ATEP Limited, will be granted a concession for the implementation of the project.

Reasons

The project was necessitated by the rapid deterioration of the roads that was causing traffic congestion.

The action, therefore, is to provide efficient road infrastructure to ensure sustainable socio-economic development as it aligns with the national and sub-regional objective of improving connectivity and facilitating trade in the sub-region.

Scope

The Accra-Tema Motorway, which will consist of 10 lanes, spans Tema and continues through Fiesta Royale Hotel to the Apenkwa bridge and to the Neoplan stretch.

The current Tetteh Quarshie Interchange will be remodelled to reduce the traffic congestion on the road.

The project is scheduled to be completed in 36 months after commencement.

Laying

On December 6, this year, the Minister of Roads and Highways, Kwasi Amoako-Attah, laid the concessionary contract agreement before Parliament as a public private partnership agreement.

The agreement was referred to the Joint Committee on Finance and Roads and Transport for consideration and report in accordance with Article 75 and 103 of the 1992 Constitution and Order 171(1) and 189 of the Standing Orders of parliament.