Gov’t treatment of Zoomlion threatens investor confidence – UPSA lecturer warns

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The recent decision by government to review or decentralize sanitation contracts with Zoomlion Ghana Limited could send the wrong signals to investors and disrupt the gains made in the country’s waste management sector, a senior academic has warned.

Dr. Eric Boachie Yiadom, a Senior Lecturer and Climate Finance and Sustainability Expert at the University of Professional Studies, Accra (UPSA), has expressed concern over what he describes as unfair treatment of Zoomlion, a subsidiary of the Jospong Group of Companies, by state authorities. According to him, the approach could discourage future investments in the sector.

“We need to understand the cycle of industry. An industry has been built up to a certain standard and all that we need to do is to regulate and reduce any monopoly if there is one,” Dr. Boachie Yiadom said. “But to say that you are going to decentralize and allow those without capacity to come in, when a lot of investment has already been made is simply not fair.”

He said when Zoomlion started their operations, Ghanaians gave them the name Borla so Gyata, literally meaning lion of waste dump. “Over the years, they have built a multimillion dollar business with massive investments and if you take away the job, what are they supposed to do with the equipment and the people they have hired and trained over the years?” he quizzed?

Dr. Boachie Yiadom made these remarks during a Panel discussion at the 2025 Environmental and Sustainability Summit held at the Alisa Hotel in Accra on Tuesday, June 24, 2025. The event, organized by the Business and Financial Times (B&FT), had the theme “Ending Plastic Waste in Ghana: A Sustainable Future for All.”

The UPSA lecturer questioned the logic of weakening an industry that has taken years to develop. “You cannot just go into the waste sector without the infrastructure, the expertise, or the systems. This industry has grown beyond where it used to be. If anything, government should support and help modernize the operations of players like Zoomlion, not weaken them.”

He said just as the oil industry cannot be decentralise for all to partake, so is the waste management industry which has been developed by the Jospong Group.

He called for more coherent national strategies that support long-term sustainability plans, especially for private sector players that have shown commitment to environmental goals. “We talk about sustainability, but are we prepared to support sustainable business models and back them with fiscal incentives? One major thing missing in the conversation is the fiscal aspect that gives tax incentives to those who promote reuse and bring in recyclable materials.”

Ing. Dr. Glenn Gyimah, General Manager of the Green Transitions Office at Jospong Group, revealed that the company is currently implementing a pilot project on single-use plastics in collaboration with the Global Environment Facility (GEF) and the United Nations Industrial Development Organization (UNIDO).

“In partnership with IRECOP and our Accra plant, we are demonstrating how single-use plastics like PET bottles can be shredded, processed into yarn, and recycled into fibers with high market value,” Dr. Gyimah said. “We’ve proven that our systems work. What we need now is commitment from government and assurance of environmental integrity.”

He noted that the Jospong Group has created a multimillion-dollar enterprise with proven models that require long-term protection and strategic partnerships. “In other countries, the private sector receives massive support from government, including funding and regulatory protection. That’s what we need here too.”

Dr. Gyimah added that conversations are ongoing with both local and international off-takers to strengthen Ghana’s recycling value chain and turn waste into economic assets. “We are not just managing waste; we are creating value. And this is a capital-intensive industry that needs backing, not disruption.”

Opening the summit, Minister for Environment, Science, and Technology, Hon. Murtala Mohammed, acknowledged the urgent need to reduce plastic waste through low-impact urban practices. He emphasized the role of circular economy models, calling for a national forum to unite polluters, producers, and policymakers to tackle the plastic menace.

According to the World Bank, Ghana generates approximately 1.1 million tonnes of plastic waste annually, but recycles only five percent of it. The Council for Scientific and Industrial Research (CSIR) further estimates that over 250,000 tonnes of plastic waste leak into the environment each year clogging drains, polluting freshwater bodies, and contributing to severe flooding in urban centres.

Dr. Boachie -Yiadom concluded with a call to action: “We should be serious about the things we talk about. It’s not enough to dump the problem somewhere. We must coordinate recycling efforts and support the institutions that have gathered the expertise and built the infrastructure. That’s how we’ll attract more investment—not by dismantling what’s already working.