Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12
Home » Another U.S. Investor’s Railway Proposal Stalled By Officials Protecting AML Monopoly | News

Another U.S. Investor’s Railway Proposal Stalled By Officials Protecting AML Monopoly | News

by lnn

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Warning: Undefined array key 1 in /home4/ireplibc/public_html/liberianewsnetwork/wp-content/plugins/featured-image-from-url/includes/jetpack.php on line 12

Sources close to the Liberian government have revealed that a consortium of two major U.S.-linked companies—TSC Global and Railroad Development Corporation (RDC)—has expressed frustration over delays in advancing their proposal to operate the Yekepa-Buchanan railway. The consortium’s ambitious plan, which promises to modernize and manage Liberia’s critical rail infrastructure at no cost to the government, appears to have been stymied by internal resistance, echoing similar concerns recently raised by Dr. J. Peter Pham, Chairman of High Power Exploration (HPX) and advisor to U.S. President-elect Donald Trump.

This latest development raises serious questions about the influence of government officials allegedly aligned with ArcelorMittal Liberia (AML), who have been accused of blocking moves toward a multiuser and independently operated rail system. Such models are consistent with international best practices that ensure fair access for all rail users. But instead, some GOL Officials are insistent on maintaining the status quo where AML dominates and controls rail access to the detriment of all other potential users. 

The consortium’s proposal, sources say, represents a golden opportunity for Liberia to break free from AML’s dominance over the railway, paving the way for significant economic growth and infrastructure transformation.

A No-Cost Solution for Liberia’s Rail Infrastructure

The consortium’s proposal to upgrade, operate, and maintain the Yekepa-Buchanan railway offers Liberia an unprecedented deal. According to sources, the plan requires no financial contribution or sovereign guarantees from the Liberian government. The consortium has pledged to fully finance the project, manage all operations, secure client agreements, and ensure equitable access to the railway for all users. Additionally, they intend to introduce passenger rail services and train Liberians to take full control of operations by the conclusion of their agreement.

Their track record in Mozambique and Peru, where they converted underperforming rail systems into revenue-generating assets, is a testament to their capability. In both countries, the consortium reportedly trained over 2,000 local workers, created more than 5,000 direct and indirect jobs, and contributed hundreds of millions of dollars to national revenues. Sources familiar with the consortium’s proposal believe they could replicate this success in Liberia, transforming the railway into a self-sustaining, inclusive, and efficient transportation system.

“This is precisely the kind of investment Liberia needs,” said a governance expert familiar with the matter. “An independent operator would remove the monopoly and ensure that the railway serves all stakeholders, not just one company.”

Unexplained Delays Despite Government Enthusiasm

The consortium reportedly met with senior Liberian officials, including President Joseph Boakai, on May 29, 2024, to present their proposal. Sources indicate the meeting was productive, with high levels of enthusiasm from key stakeholders, including the National Investment Commission and the Ministries of Mines and Justice. During the meeting, the President reportedly expressed a desire to announce the project’s launch during Liberia’s July 26 Independence Day celebrations, underscoring its importance to his administration’s infrastructure development agenda.

However, months later, little progress has been made. Despite the consortium’s readiness to move forward, their repeated requests for follow-up meetings have gone unanswered. “It’s puzzling,” said a source close to the Government. “This project aligns perfectly with the government’s stated goals for multiuser infrastructure, yet there seems to be no political will to advance it.”

The delay has fueled speculation that certain government officials are deliberately obstructing progress to protect AML’s interests. “We’ve seen this before,” said another source. “There’s a pattern of stalling any initiative that challenges AML’s monopoly over the railway.”

Parallels with HPX’s Struggles

This isn’t the first U.S.-backed company to face challenges in Liberia’s railway sector. HPX, which has projected over US$1.6 billion in revenue for Liberia over 25 years, through a multiuser rail system, has also encountered resistance from government officials allegedly aligned with AML. Like the consortium, HPX has argued that an open-access rail system would unlock billions in revenue for Liberia and foster competition in the mining sector. However, AML’s push to extend its exclusive control of the Yekepa-Buchanan railway has effectively stalled HPX’s progress.

In a recent letter to the Daily Observer, Dr. J. Peter Pham criticized the failure of certain government officials to embrace a multiuser model, accusing AML of undermining Liberia’s economic sovereignty. “Certain government officials have effectively sabotaged the President’s vision,” Pham wrote, referring to President Boakai’s Executive Order 136, which established the National Railway Authority (NRA) to ensure transparent and equitable rail access.

The parallels between HPX’s experience and the consortium’s current struggles highlight a broader governance issue. “It’s clear that there’s a systemic problem,” said an analyst familiar with the situation. “If Liberia can’t break free from AML’s grip, it will miss out on transformative investments that could change the country’s economic trajectory.”

The Economic and Social Promise of the Consortium’s Proposal

The consortium’s plan goes beyond upgrading infrastructure. Sources say it includes a commitment to train Liberians, create jobs, and introduce passenger services an addition that would benefit communities along the railway corridor. Moreover, the proposal aligns with President Boakai’s vision of a multiuser rail system that serves the nation rather than a single corporate interest.

Analysts believe the consortium’s involvement could also enhance Liberia’s international standing. With proven success in countries like Mozambique and Peru, their presence would signal to global investors that Liberia is serious about fostering a competitive and transparent business environment.

“This isn’t just about railways,” said an economist tracking the developments. “It’s about showing the world that Liberia is open for business and willing to prioritize national interests over corporate monopolies.”

Call for Presidential Intervention

As frustration grows over the lack of progress, sources say the consortium has requested a follow-up meeting with President Boakai and other stakeholders before the end of the year. They hope to align on next steps and set a clear path toward finalizing an agreement. The consortium has also suggested that the President could announce the project’s formal launch during the 2025 Independence Day celebrations.

“This is a make-or-break moment for Liberia,” said one source close to the negotiations. “The President has a chance to show that his administration is serious about economic reform and infrastructure development. But time is running out.”

The delays surrounding the consortium’s proposal mirror a larger struggle within Liberia’s government: the battle between embracing transformative, multiuser infrastructure and maintaining the status quo under AML’s control. For President Boakai, this is more than a policy decision it’s a defining test of his leadership.

The consortium’s proposal represents a rare opportunity to modernize Liberia’s railway system, create jobs, and generate revenue without imposing financial burdens on the government. But realizing this vision requires political will and decisive action to overcome internal resistance.

As Liberia looks to the future, the question remains: Will it seize the opportunity to transform its rail sector, or will it allow entrenched interests to derail progress? For now, the world and Liberia’s investors are watching.

 

You may also like

Leave a Comment

Lnn

Copyright @2022 Liberia News Network - All Rights Reserved.

Facebook Twitter Youtube