Ghana Water Company Limited wastes over half the treated water it produces daily for Greater Accra residents.
Managing Director revealed the utility loses 73 million gallons each day through theft, illegal connections, and crumbling pipes, despite producing roughly 140 million gallons.
Only about 67 million gallons are properly accounted for and billed. This massive leakage means more than half of GWL’s costly production generates absolutely no revenue.
Simultaneously, the Cocoa Processing Company faces a deepening financial crisis. Its unaudited third-quarter 2025 results show a net loss of US$10.23 million, worse than last year’s US$9.57 million loss. Revenues plummeted by 27%. Operating losses hit US$7.29 million, gross losses widened, and the company struggles under US$38.72 million in total debt. Value-added confectionery output fell sharply by 30%, compounding its inability to profit from Ghana’s prime cocoa beans.
These are not isolated incidents but symptoms of chronic revenue leakage plaguing state enterprises. Persistent losses erode capital bases meant for maintenance and upgrades. GWL’s unpaid water supply and CPC’s deteriorating per-share equity signal weakening balance sheets and degrading service capacity.
Falling cash flow creates a destructive loop: deferred maintenance leads to more breakdowns, further reducing revenue and service quality. Ultimately, taxpayers foot the bill through bailouts diverting funds from schools and hospitals – a pattern costing Ghana hundreds of millions over the past decade.
The economic damage extends beyond the SOEs themselves. Failing to monetize water and add value to cocoa squanders the multiplier effect of public assets. Jobs vanish, supply chains shrink, and export potential weakens. CPC’s struggles highlight systemic agro-processing challenges; despite abundant raw cocoa, high operational costs, bean access issues, debt pressure, and reliance on imported inputs cripple competitiveness against rivals like Côte d’Ivoire.
Stopping the bleeding requires immediate, targeted action. For Ghana Water, this means rapid metering drives and pipe replacements in high-loss Accra districts, coupled with a visible crackdown on illegal connections. Cocoa Processing needs a strict cash-preservation plan: focus on profitable production lines, negotiate short-term creditor relief, and freeze non-essential spending while developing a credible turnaround strategy.
Any future state financial support, such as the proposed Afreximbank facility, must be strictly conditional. Linking liquidity injections or debt guarantees to measurable public KPIs protects public funds and enforces accountability. Technical fixes like digital billing and mobile payments can plug easy leaks. Piloting private partnerships for specific distribution zones could also bring vital operational discipline.
Without urgent intervention, these revenue drains will push both companies toward inevitable collapse. Ghana cannot afford to keep losing water it treats or value it could add to its golden cocoa beans.
