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dam-l Ghana: energy article



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From: lori@irn.org (Lori Pottinger)
Subject: Ghana's power situation/LS
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Are Ghana's Energy Crises Over?
Author(s):  Desmond Carboo

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Story Filed: Tuesday, May 02, 2000 5:08 PM EST

Accra (The Dispatch, May 1, 2000) - Many Ghanaians lost hope in the heat of
the 1998 energy crisis as the power outages, rationing and shut-downs
deepened. Echoes of the hardships of 1983 reverberated and the question
was: "Where do we go from here?"

Characteristically, Ghanaians braced themselves and kept on appealing to
Caesar for salvation. As we entered the last quarter of 1998, a flicker of
light appeared at the end of the tunnel and power rationing began to
subside. This was due to the "emergency power supply expansion plan" which
included measures to fast track," as Dr. John Abu, Minister of Mines and
Energy put it, the installation by private operators, of emergency power
generation facilities.

Alongside the commissioning of the initial 330MW combined cycle generation
capacity at the Takoradi Thermal Power Complex, the government and the
Volta River Authority (VRA) took steps to increase and stabilize the level
of electricity imports from Cole d' lvoire.

These and other measures helped to put Ghana in a better shape and so by
the close of 1998, the situation was almost back to normal.

But was the "temporary reprieve" sustainable? Were the measures ad hoc?
What would happen in 1999 and thereafter? Although government, as usual,
preached and gave sanguine hopes that it had taken firm measures to avert
recurrence of the energy crisis, the skeptics were not convinced. However,
luck fell on Ghana and in fact, the entire sub- region with the
unprecedented heavy rainfall of 1999 which raised the water levels of the
Akosombo and Kpong hydro dams. But for the heavy rains what would have
happened? Has the government considered other options such as solar and
wind energy in addition to the gas project?

These and other question have been agitating the minds of energy experts
and concerned citizens since late 1998.

It is against this background that many Ghanaians were happy to learn of
government policy on mines and energy when Dr. John Abu took his turn at
the Meet The Press series in Accra recently.

Outlining the Ministry's energy programme, Abu said: " The VRA has
initiated a programme to construct a 161KV transmission line from Prestea
to Obuasi to rectify evacuation bottlenecks which restrict the utilization
of the total capacity of power from the Western corridor."

Fortunately, he said, VRA has also initiated the retrofitting programme of
the units of Akosombo, which is expected to increase the capacity of the
plant by 18 per cent.

Despite the constraints, the available capacity for this year is estimated
to be 1,240 MW with a reserve margin of about 95MW.

The demands as estimated, is expected to grow at about 15 per cent per year
in the medium term

The Ministry and its collaborators therefore, continuously revise the
forecast to update the generation and transmission system master plan, to
ensure that it could meet the power needs up to the year 2020 and beyond.

"Under the transitional plan, government's consent and support agreements
have been provided in favour of private investors for pioneer project: (a)
to increase capacity of the Takoradi Thermal Power Complex from 330 MW to
660 MW and (b) to develop a 50-80 MW steam and power co-generation facility
adjacent to the Tema Oil Refinery so as to utilize cracked residual fuel
oil to be produced from the refinery's new catalytic, cracking unit.

In addition, government and GNPC are working to put in place, a similar
public-private partnership to install and commission as soon as possible at
Effasu, the 125 MW barge-mounted gas turbine power plant", the Minister
hinted.

He said the Ministry in collaboration with the Energy Commission, is
developing a strategic National Energy Action Plan that will ensure the
development, utilization and management of exhaustible and inexhaustible
energy resources in the country with specific emphasis on electricity,
petroleum, natural gas, as well as traditional or indigenous energy resources.

All alternative source of energy need to be developed in an environmentally
sound manner,to provide energy mix for Ghana's power industry.

In addition to the Thermal Complementation, the VRA is to develop the 400MW
Bui Hydro-electric Project. It has also signed a Memorandum of
Understanding (MOU) with a development consortium led by Brown and Root of
the United Kingdom. The duration of the MOU is 20 months during which all
the required engineering studies, including the environmental impact
assessment studies for the project implementation would have been completed.

If the studies are concluded on time, construction is expected to start in
2001 and completed by 2006.

On the National Electrification Scheme (NES), the minister said, in 1989,
government embarked on the District Capital Electrification Project as the
first phase of the NES, aimed at extending the reach of electricity to all
corners of Ghana by the year 2020.

"At the on set of the programme, 64 out of the 110 district capitals were
without electricity. All the 64 district capitals are now hooked to the
national grid. By the close of 1999 over 2000 communities had benefited
from the scheme. Almost 600 communities are scheduled to be added to the
programme this year."

Dr. Abu spoke on renewable energy and said for communities which are far
from the national grid, alternative energy sources such as solar and wind
energies have to be found, adding that so far about 2,000 solar home
systems, two water pumps, 20 schools and community systems and 246 solar
street lights have been installed throughout Ghana on a fee-for-service basis.

On the West Africa Gas Pipeline project, he said for the initial phase, the
pipeline will extend off shore for about 600 killometres from Lagos beach,
Nigeria to the Takoradi Thermal Power Complex in Ghana. The estimated cost
of the 20-inch diameter undersea gas pipeline system will be US$440 million
and the pipeline will be designed to convey up to 375 million standard
cubic feet per day of natural gas.

The pipeline is expected to become operational by the year 2003; eventually
it is expected to pass through Effasu to La Cote d' lvoire.

Dr. Abu stressed that "the four governments will ensure that a
comprehensive and cost-effective environmental management plan is put in
place for the construction and operation of the gas pipeline system".

The gas project is dear to the hearts of the peoples in the sub- region and
its success will greatly enhance their energy requirements.

Eyebrows have already been raised in some quarters. Dr. Apez Ogbuigwe, a
Nigerian environmental lawyer is said to have criticized the West Africa
Gas Pipeline project. She said the implementation of the project without an
Environmental Impact Assessment (EIS) is illegal, adding that the
governments and the implementation agencies on the project have so far
failed to undertake EIA Studies.

However, some analysts have debunked her remarks as too much in a haste, as
adequate environmental protection measures have been contemplated.

Dr. John Abu should be commended for outlining the government's policies
and programmes on the energy sector in detail. However, he must reflect on
some criticisms which have been leveled on some of the policies on energy.

It has been argued that in view of the vagaries of the weather, less
emphasis should be put on the construction of hydro-electrical dams and
that more thermal plants and gas projects do provide the better options.

Other analysts have suggested that given the high cost of solar energy,
further investigations are needed before a comprehensive policy is formally
spelt out.

There is the view that certain economic issues must first be considered
before putting some communities on the national grid. It has been argued
that many rural dwellers can not afford the electricity tariffs and that
the exodus to the bigger towns still persists in spite of the rural
electrification projects.

The Ministry should also intensify its education on energy conservation and
re-assure Ghanaians that all the programmes and policies outlined above
will be implemented and monitored.


Copyright _ 2000 The Dispatch. Distributed via Africa News Online.


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      Lori Pottinger, Director, Southern Africa Program,
        and Editor, World Rivers Review
           International Rivers Network
              1847 Berkeley Way, Berkeley, California 94703, USA
                  Tel. (510) 848 1155   Fax (510) 848 1008
                        http://www.irn.org
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