VALCO Turning Profit, Not a Drain on State – Board Chair

The Board Chair of the Volta Aluminium Company Limited (VALCO) has pushed back strongly against long-standing perceptions that the state-owned smelter is a liability to the Ghanaian taxpayer, asserting that the company has returned to profit under the current administration.

The VALCO chief made the declaration as part of efforts to restore public confidence in the aluminium company, which has historically been viewed with scepticism due to years of operational challenges, high energy costs, and questions about its economic viability.

VALCO, located at Tema, is one of Ghana's key industrial assets and has the capacity to process aluminium using power from the Akosombo Dam. However, the company has struggled over the decades with inconsistent production and financial difficulties, leading many to question whether it remains worth sustaining with public funds.

The Board Chair did not provide a detailed financial breakdown during his remarks but was categorical that the narrative of VALCO being a burden on government is no longer accurate, describing the turnaround as a significant milestone for the company and for Ghana's industrial sector.

Analysts have long argued that a fully operational VALCO could play a strategic role in Ghana's economic transformation, particularly given the country's ambitions to add more value to its natural resources rather than export raw materials. Whether the claimed profitability is sustainable will likely depend on stable electricity supply and consistent raw material sourcing.