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Showing posts from February, 2025

GHANA's ENERGY SECTOR: POWER OUTAGES IN KUMASI , CURRENT CHALLENGES AND FUTURE PROSPECTS IN THE ENERGY SECTOR

  Ghana's energy sector stands at a critical juncture, grappling with a confluence of financial constraints, infrastructural deficiencies and policy challenges. These issues have culminated in recurrent power outages, commonly referred to as "dumsor," affecting both urban centers and rural communities.  Brief history of the Ghanaian Energy Sector This article throws more light into the multifaceted problems plaguing the sector, with a particular focus on the recent outages in Kumasi , and examines the role of international financial interventions in shaping Ghana's energy landscape. Financial Strains and Debt Accumulation A significant challenge confronting Ghana's energy sector is the mounting debt owed by the Electricity Company of Ghana (ECG) to Independent Power Producers (IPPs). As of April 2023, this debt was approximately $1.4 billion, leading IPPs to curtail or suspend their power supply. Notably, in November 2024, Amandi Energy and Karpowership disconne...

COMPREHENSIVE REVIEW OF GHANA'S NATIONAL ENERGY POLICY: Objectives, Strategies and Implementation Progress of Ghana's National Energy Policy

GHANA's energy sector plays a pivotal role in the country’s economic development, providing power for industries, businesses and households. The National Energy Policy (NEP) , developed by the Ministry of Energy, serves as the guiding framework for ensuring a stable and sustainable energy supply . This article provides an in-depth review of the NEP, its objectives, implementation progress and alignment with global sustainability goals. Objectives of Ghana’s National Energy Policy  The NEP is designed to address critical issues in Ghana’s energy sector, including energy security, affordability, accessibility, and environmental sustainability. The objectives include: Diversification of Energy Sources:  Reducing over-reliance on thermal and hydroelectric power by integrating renewable energy sources such as solar, wind, and biomass. Universal Access to Energy:  Expanding electricity coverage to achieve 100% access by 2030, especially in rural areas. Energy Efficiency and Co...

PRICING, LAND ACQUISITION FOR LARGE SCALE SOLAR PROJECTS: A BRIEF FORAY INTO THE CHALLENGES, METHODS, COSTS AND PRACTICES

  As Ghana transitions to renewable energy, large-scale solar photovoltaic (PV) projects are gaining momentum. However, one of the biggest challenges investors face is land acquisition . The complexity of Ghana's land tenure system, community concerns, and bureaucratic hurdles make acquiring land a critical but challenging step in solar project development. This article breaks down the land acquisition process for solar projects in Ghana, highlighting the methods used, challenges faced, and best practices to ensure a smooth transition to renewable energy. Understanding Land Acquisition Methods There are two primary ways through which land is acquired for solar projects in Ghana: 1. Private Treaty Acquisition Private treaty acquisition occurs when an investor negotiates directly with a landowner (or a group of landowners) to lease or purchase land . This is the most common approach for solar projects. Advantages : Faster and more flexible than government-mandated acquisitions. Allo...