Ghana Water Company Limited defends move into sachet, bottled water market

Ghana Water Limited (GWL) has pushed back against criticism over its decision to enter the sachet and bottled water industry, with Managing Director Adam Mutawakilu insisting the move is necessary to generate revenue for critical infrastructure upgrades.

Speaking to journalists in Accra on Wednesday, Mutawakilu argued that the state-owned water utility currently lacks the financial resources to expand pipeline networks and modernize treatment plants. He said venturing into packaged water production would create an additional income stream to fund those projects.

“When you look at what we need to do in terms of expansion and replacement of aging infrastructure, the numbers are huge,” Mutawakilu said. “We cannot continue to rely on traditional tariffs alone.”

The announcement has drawn concern from private sachet and bottled water producers, who fear the state-backed company could leverage its advantages — including access to raw water and existing distribution networks — to undercut competitors.

But Mutawakilu dismissed those fears, stating that GWL intends to compete fairly and that the market has room for additional players. He added that the company has no plans to force private producers out of business.

Industry analysts have noted that GWL faces significant hurdles, including brand perception and retail logistics, should it proceed with the expansion. The company has not announced a launch timeline for its packaged water products.

Critics continue to question whether a state-owned utility with a mandate to deliver tap water should be competing in a retail sector traditionally dominated by small and medium-sized enterprises.