Earlier this year, It was reported that the Minister for Environment, Science, Technology and Innovation, Professor Frimpong Baoteng, had disclosed that 500 Excavators A.K.A, Earth-moving Machines, seized by the Operation Vanguard, were missing.
This news was received with shock as many people could not believe how those heavy duty machines could be missing. Some sarcastically asked if the excavators developed wings and flew away to some wonderland. Or rather if they were charmed to vanish into thin air.
A little background
Now, it will be recalled that between 2017 and 2018, during the height of the fight against illegal mining (Galamsay), the then Minister for Lands and Natural Resources, Mr John Peter Amewu, sanctioned members of the Operation Vanguard team to seize any machine or equipment that they may chance upon in any Galamsay site.
The order was swiftly carried out and the seized earth-moving machines were later directed by the now minister for Energy to be parked at the premises of the various Metropolitan, Municipal and District Assemblies (MMDAs). Subsequently, the public was told by the current minister for the sector that the seized excavators were missing.
So far, six people, including a suspended Central Regional Vice Chairman of the New Patriotic Party, Mr Horace Ekow Ewusi, have been arrested in connection with the 500 missing excavators.
Financial lose to the state?
Apparently, this scandal also has some element of “causing financial lose to the state”, but the question is how much?
Well, the Ghanatalkbusiness.com, has some analysis for you, relative to how much the state has lost or is losing in this whole 500 missing Excavators saga.
Excavators are said to be one of the most expensive pieces of construction and mining equipment that one can purchase.
According to Kompareit.com, a full-sized excavator costs from $100,000 to $500,000. Also, the small excavators, weighing 10 to 15 tons, usually cost around $80,000 to $150,000.
The Mid-sized excavators weighing 15 to 20 tons (the most common size), on the other hand, is generally sold between $100,000 to $200,000.
The most expensive are the large models, weighing 30 to 40 tons. They are often priced between $200,000 to $400,000.
The above mentioned quotations exclude accessories, meaning that they come at different costs to the buyer.
In cedi terms
Now, using the prevailing rate of the Ghanaian Cedi (GH¢5.3, as at the last check before going to press), a full-sized excavator, priced around $100,000 to $500,000, will cost between GH¢530,000 and GH¢2.8million.
Again, for one small-sized excavator, which weighs between 10-15 tons and priced between $80,000 to $150,000, the Cedi equivalent is between GH¢424,000 and GH¢ 795,000.
The Cedi equivalent of the mid-sized excavator, which also weighs between 15 to 20 tons and selling around $100,000 to $200,000 USD hovers between GH¢530,000 and GH¢ 1miliion .
Also, for the large model, one may cost GH¢1,060,000, using the first figure of $200,000 dollars.
Estimated value of loss
Here also we are using only the first pricing figures for all the models, which are $100,000 for the full-sized and the mid-sized models, $80,000 for the small-size and $200,000 for the large-sizes models.
Now, If all the 500 missing Excavators were the full-sized type, with one selling at GH¢530,000 ($100,000), the total value of the missing equipments will amount to GH¢265,000,000 or $50,000,000 USD (500 Excavators multipled by GH¢530,000 or $100,000).
The above figures apply to the mid-sized models since its pricing is the same as the full-sized model.
Furthermore, if all the 500 missing Excavators were the small sized model, which sells at $80,000, then the total value of the missing Excavators will amount to GH¢212,000,000 or $40,000,000USD (500 excavators multipled by GH¢424,000 or $80,000).
Finally, if all the 500 missing Excavators were of the large-sized model, which is sold at $200,000USD (GH¢1,060,000) , for one, then the estimated total value of the missing equipments is GH¢530,000,000 or $100,000,000USD (500 excavators multipled by GH¢1,060,000 or $200,000UDS).
It suffices to note that, the above quoted figures may vary on different websites, however we have provided below the link to the source of our price quotations.
Author: Salifu B.B. Moro
Source of price quotations: www.komepareit.com