The government could find itself having to pay out millions of dollars in compensation to oil company A.I. if its agencies halt the construction of a filling station next to the Teshie Family Hospital.
The Hospital and the oil company are locked in a battle over whether the latter has a right to build and operate a filling station next to the hospital.
A.I. was last year granted a permit by authorities to construct a two-story office, which includes a banking hall, restaurant, lounge, shops and filling station, among others.
The project is expected to service residents of the Ledzokuku- Krowor Municipal Assembly (LEKMA) and beyond, and create hundreds of jobs.
Documents seen by Citi News reveal that in October 2013, LEKMA gave the oil company the green-light to construct the facility, while the Environmental Protection Agency (EPA) in the same month also granted the company a permit.
The National Petroleum Authority (NPA), as well as the Ghana Fire Service also granted the oil company license to build the facility.
However, the hospital’s management raised objections to the construction of the facility on the grounds of the potential for fire out-break or explosion and respiratory problems caused by the constant inhalation of fumes from the fuel station by patients and workers.
The hospital’s application seeking for an injunction to stop the construction of the filling station while the court decides on whether the station should be located there or not was turned down by the court.
If the construction is halted by any of the government’s agencies, the state would have to bear the costs incurred by the oil company in putting up the project, which is at an advanced stage.