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Electricity sector in Ghana

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Electricity sector ofGhana
Data
Electricity coverage (July 2012, 100%)74% (total), 60% (rural)
Installed capacity (2015)3655.5MW
Share offossil energy50.9%[1]
Share ofrenewable energy49.1% (hydro, bio energy, thermal energy)
0.03% (solar, wind energy)
GHG emissions from electricity generation (2013)0.2 MtCO2
Average electricity use (2010)298kWh per capita
Distribution losses (2010)3%
Transmission losses (2011)3%
Consumption by sector
(% of total)
Industrial37.5
Commercial12.5
Public sector50
Tariffs and financing
Average residential tariff
(US$/kW·h, 2011)
0.0016
Annual investment in electricity (2013)1 billion (40% public, 60% private)
Services
Sector unbundlingYes
Share of private sector in generation53%
Competitive supply to large usersYes
Competitive supply to residential usersNo
Institutions
No. of service providers38 (generation), 6 (transmission), 22 (distribution)
Responsibility for regulationGEC-Ghana Energy Commission Office
Responsibility for policy-settingGEC-Ghana Energy Commission Office
Responsibility for the environmentNational Environment Commission; Ghana Environmental Protection Agency (EPA)
Electricity sector lawYes (2007, modified in 2012)
Renewable energy lawYes
CDM transactions related to the electricity sector1 registeredCDM project
GhanaHydropower andSolar EnergyElectricity Generation industries, and
Oil and gas industry in Ghana.

Ghana generateselectric power fromhydropower, fossil-fuel (thermal energy), andrenewable energy sources such as wind and solar energy.Electricity generation is one of the key factors in order to achieve the development of the Ghanaian national economy, with aggressive and rapidindustrialization; Ghana's nationalelectric energy consumption was 265 kilowatt hours per each one in 2009.[2][3]

Ghana exports some of itsgenerated energy andfossil fuels to other countries.[2][4]Electricity transmission is under the operations ofGhana Grid Company.[5] The distribution ofelectricity is underNorthern Electricity Distribution Company andElectricity Company of Ghana.[6]

History

[edit]

The firstGhana government-sponsored public electricity supply in Ghana commenced in the year 1914, atSekondi-Takoradi, operated by theGhana Railway Administration (Ghana Railway Corporation). Power supply was extended toSekondi-Takoradi in 1928. The Ghana Public Works Department had commenced a limited direct current (DC) supply inAccra during 1922. A large alternating current (AC) project started on 1 November 1924, and a small plant consisting of three horizontal single cylinder oil-powered engines was installed inKoforidua in 1925.

In 1926, work started on electrical distribution toKumasi.[7] A restricted evening supply commenced in May 1927, and a power station was brought into full operation on 1 October 1927.[7] In the same year DC supply was installed atWinneba, but this was subsequently changed to AC by extending an existing supply fromSwedru and during the period 1929-30, a limited electricity supply was extended toTamale, until a new AC plant was installed in 1938.[7]

The next power station to be established was inCape Coast in 1932. This was taken over by the Ghana Electricity Department in 1947.[7] A Ghanaianpower station atSwedru was commissioned in 1948 and this was followed by the installation of generating plants atAkim Oda,Dunkwa-on-Offin andBolgatanga in 1948.[8][7] On 27 May 1949, an electricity supply was made available atNsawam, through the building of an 11 kV overhead transmission line from Accra.[7] TheKeta electricity supply which was included in the program was delayed by staff difficulties and was not commissioned until 1955.[7]

TheTemapower station was commissioned in 1956 with a 3 x 650 kilowatts (870 hp)diesel generating set.[7] TheHo power station followed in 1957 and from 1961 to 1964.[7] The Temapower station was extended to a maximum capacity of 35,298 kilowatts (47,335 hp), thus, making it probably the biggest singlediesel-powered generating station inAfrica.[7]

In 1963 the Ghana Electricity Division brought into operation the first 161 kV transmission system in Ghana, which was used to carry power from theTemaPower Station. At its peak in 1965, about 75 percent of the power was used inAccra.[7][9]

In 1994,Ghana's total generating capacity was about 1.187GW, and annual production totaled approximately 4.49GW. The main source of supply was theVolta River Authority with six 127MW turbines[7] installed at theAkosombo Hydroelectric Project. At this time, this project provided the bulk of all electricity consumed in Ghana, some 60 percent of which was purchased byVolta Aluminum Company (VALCO) for itssmelter. Thepower plant export amounted to an estimated equivalent of 180,000 tons of oil in 1991.[7]

The balance of Ghana'selectricity was produced by diesel units owned by the Electricity Corporation ofGhana, bymining companies, and by a 160MWhydroelectric plant atKpong, about 40 kilometers downstream fromAkosombo. A third dam atBui on the Black Volta River had been studied, and was completed in 2013.[7]

Other sites with the potential for power generation, on thePra River (Ghana), theTano River, theWhite Volta River, and theAnkobra River, would also require substantial investment.[7]

Ghana has attempted to increase distribution of itselectricity throughout the country. One programGhana has initiated will provide reliable and widespread electricity in the urban and southern parts of the country. In addition, the extension of the national grid to the Northern Region was commissioned in 1989. The extension links northernGhana to the power generated from theAkosombo Dam.[7]

TheAkosombo Dam was built on theVolta river in 1965 and isspilling water through sixfloodgates because of the all-time highwater level in theAkosomboDam.

The second phase of the extension will connect major towns in Upper East Region with the regional capitalBolgatanga, at a cost ofUS$100 million.[7] The final phase will see exports of electricity across the northernnational border ofGhana toBurkina-Faso.[7] In early 1991 the Electricity Corporation ofGhana began the expansion of electricity networks in the northwestern areas ofAccra and the Ghanaian corporation aimed to extend the supply of electricity to all isolated centers in Ghana, wherediesel is the main source of power.[7] Plans were also afoot to increase the supply ofelectricity by utilization ofthermal energy and construction was anticipated by late 1994 on the country's first thermal power generating plant nearSekondi-Takoradi and scheduled for completion in 1997, the plant contributed 300MW of electricity to the Ghana national grid.[7]

Since 2007, Ghana has become anelectricity exporter and since 2011 an exporter ofcrude oil, andnatural gas,[10] and agenerator of electricity bythermal energy,hydropower,solar energy andrenewable energies since 2012.[11]

Fossil fuel

[edit]

Crude oil and Natural gas production

[edit]
Oil platform off theSekondi-Takoradi CoastWestern Region of Ghana

Ghana produces 140–200 millioncubic feet ofnatural gas per day and in whichnatural gas production in Ghana has been restrained from full production capacity since December 2012, due to delays in construction of a Ghanaiangas refinery inSekondi-Takoradi, that was scheduled to be completed by December 2012 and now scheduled to be completed by December 2013, and due to which in turn has led togas flaring and Ghana losing hundreds of millions a day, since December 2012 in revenues fromnatural gas production. Since December 2012, billions of dollars a year have been lost from the Ghanaian GDP, due to the delays inconstruction of agas refinery inSekondi-Takoradi.[10]

A Ghanaianoilfield which is reported to contain up to 3 billion barrels (480,000,000 m3) ofcrude oil was discovered in 2007,[12][13] and according to the Ghanaian government, the country could expand itspetroleum reserves up to 5 billion barrels (790,000,000 m3) ofcrude oil inreserves within a few years.[14]

Ghana produces 200,000barrels of crude oil per day on average from an expected 1–2 million barrels of crude oil per day,[10] and an expected crude oil production revenue ofUS$ 30 billion a year; as withAngola, also a crude oil producer, has an expected 2 million barrels of crude oil production per day[15] and receives an expected $33.7 billion a year in crude oil revenues.[16]

Tremendous inflow ofeconomic capital fromfossil fuel into the Ghanaian economy, began from the first quarter of 2011 when Ghana started producingcrude oil andnatural gas in commercial quantities and the Ghanacrude oil industry accounted for 6% of the Ghanaian economic revenue for 2011.Oil and Gas exploration in Ghana continues and the amount of bothcrude oil andnatural gas in Ghana continues to increase.[10] As of August 2022, the crude oil production size in Ghana lay at 177 thousand barrels per day.[17]

Increasing energy supply and consumption

[edit]

Among Ghana’s energy consumers, including industries and residents, energy supply is crucial for constant and efficient consumption. In 2020, the country supplied more than 12 million metric tons of oil equivalent of energy, which was an all-time high compared to the five preceding years. Specifically, in 2020, the total energy supply from natural gas and hydro sources reached approximately three million metric tons of oil equivalent and 627,000 metric tons of oil equivalent, respectively. In terms of consumption, the total amount of primary energy consumed amounted to 100 terawatt hours as of 2019, translating to about 3,180 kilowatt hours per capita.Ghana’s final energy consumption, which refers to what is consumed by end users, reached around 8.6 million tons of oil equivalent in 2020. Petroleum and biomass were the most consumed energy products.

As part of expanding consumption of energy by consumers, The Electricity Company of Ghana (ECG) has entered into a partnership with the Ghana Grid Company (GRIDCo) to enhance the region's electricity supply capacity in response to escalating demand. This collaboration, finalized during a recent meeting at GRIDCo's headquarters in Anwomaso, Ashanti Region, involves the installation of a 145MVA power transformer at strategic points between GRIDCo and ECG Bulk Supply Points. This initiative replaces one of the existing 50MVA transformers, significantly increasing the installed capacity to effectively manage rising load demands, especially during peak hours (7 pm-11 pm).[18]

Solar energy

[edit]

The biggestphotovoltaic (PV) and the largestsolar energy plant in Africa, theNzema project, based inGhana, will be able to provide electricity to more than 100,000 homes.[19] The 155MW plant will increase Ghana'selectricity generating capacity by 6%.

Construction work on theGH¢ 740 million (£ 248 million) and the 4th largest solar power plant in the world, is being developed by Blue Energy, aUK-based renewable energy investment company, majority owned and funded by members of the Stadium Group, a large European private asset and development company with£ 2.5 billion under management. Project director is Douglas Coleman, from Mere Power Nzema Ltd, Ghana.[19]

Unlike many other solar projects in Africa that useconcentrated solar power, solar plants will usephotovoltaic (PV) technology to convertsunlight directly intoelectricity.[19][20] Installation of more than 630,000 solar PV modules will begin by the end of 2017.

As of August 2015, the project is still under development.[21][needs update] In February 2023 president cuts the sod for construction of 17MW solar power project in lawra-kaleo.[20]

Wind energy

[edit]
Wind turbines (eco park)Wind farm.

In addition to hydropower and solar energy,Ghana also produces a large amount of otherrenewable energy, other forms of energy that produce electricity in Ghana arewind power,geothermal andbiomass.[22] It is the official goal of Ghana energy industry to have 10% of Ghana'senergy mix come from renewable sources (not counting large-scale hydropower) by 2015 or at the very latest by 2020.[23]

Ghana has Class 4-6 wind resources at locations of the high wind areas – such as Nkwanta, the Accra Plains, Kwahu andGambagamountains. The maximum energy that could be tapped from Ghana's available wind resource for electricity is estimated to be about 500 – 600GWh/year.[23] To give perspective – In 2011, from the sameEnergy Commission, the largestAkosombohydroelectric dam in Ghana alone produced 6,495GWhrs of electric power and, counting all Ghana'sgeothermal energy production in addition, total energy generated was 11,200GWhrs in the same year.[23]

These assessments do not take into consideration, further limiting factors such as land-use restrictions, the existing grid (or how far thewind resource may be from the grid) and accessibility.[23]Wind energy has the potential to contribute significantly to the country's energy industry – 10% can certainly be attained in terms of installed capacity and about 5% of totalelectric generation potential fromwind alone.[23]

Bio energy

[edit]
A hybridSorghum plantation field.

Ghana has put in place mechanisms to attract investments into itsbiomass andbio-energy sectors to stimulaterural development, createjobs and provideforeign exchange.[11][24]

The vast arable and degradedland mass of Ghana, has the potential for the cultivation ofcrops andplants that could be converted into a wide range of solid and liquidbio-fuels, as the development of alternativetransportation fuels could helpGhana to diversify and secure its future energy supplies.[11] Main investments in thebio-energy areas existed in the areas of production aretransportation, storage, distribution, sale, marketing and exportation.[11]

The goal ofGhana regarding bio-energy, as articulated its energy sector policy, is to modernize and examine the benefits ofbio-energy on a sustainable basis.[11]Biomass is Ghana's dominant energy resource in terms of endowment and consumption, with the two primarybio-fuels consumed beingethanol andbiodiesel.[11] To that effect, the Ghana ministry of Energy in 2010 developed the energy sector strategy and development plan.[11] Highlights of the key policy objectives strategy for the renewable energy areas include sustaining the supply and efficient use ofwood-fuels, while ensuring that their utilization does not lead todeforestation.[11]

The plan would supportprivate sector investments in the cultivation ofbio-fuel raw materials, extraction ofbio-oil and its refining into secondary products, thereby creating appropriate financial and tax incentives. The Ghana Renewal Energy Act provides the necessary fiscal incentives forrenewable energy development by the private sector, and also details the control and management ofbio-fuel andwood- fuel projects in Ghana.[11] The Ghana National Petroleum Authority (NPA) was tasked by theRenewable Energy Act 2011, to price Ghana'sbio-fuel blend in accordance with the prescribedpetroleum pricing formula.[11]

The combinedeffects of climate change and global economic turbulence, had triggered a sense of urgency among Ghanaian policymakers, industry and development practitioners to find sustainable and viable solutions in the area ofbio-fuels.[11]

Currently,Brazil, which makesethanol frommaize andsugarcane, is the world's largestbio-fuel market.[11]

Energy sector in Ghana-statistics and facts

[edit]

Ghana’s energy sector is such that the government is involved in the processes of energy production, distribution, and trade. Energy is sourced from both renewables and fossil fuels, which form the basis of the electricity supply and consumption in the country. Gas represents the largest source of electricity production in Ghana, followed by hydropower.

According to data by theInternational Energy Agency, Ghana’s electricity mix in 2021 relied on natural gas (62.6 %) and hydropower (34.1 %). Solar power accounted for less than one percent.[25]

See also

[edit]

References

[edit]
  1. ^http://energycom.gov.gh/files/National%20Energy%20Statistics_2016.pdf[bare URL PDF]
  2. ^ab"The sector of electricity in Ghana".Proexca (in Spanish). Canary Island. 2011. Archived fromthe original on 24 December 2012. Retrieved23 April 2013.
  3. ^"Consumption of Electrical Energy (kWh per capita)".World Bank (in Spanish). Archived fromthe original on 6 August 2016. Retrieved23 April 2013.
  4. ^"Can Africa pursue economic development without relying on fossil fuels?".Africanews. 6 July 2023. Retrieved8 July 2023.
  5. ^"overview". gridcogh.com. Archived fromthe original on 18 August 2013. Retrieved26 August 2013.
  6. ^"New Electricity Company Launched in Northern Region". northernghana.com. Archived fromthe original on 2 April 2015. Retrieved26 August 2013.
  7. ^abcdefghijklmnopqrstClark, Nancy L. "Electrical Power".A Country Study: Ghana (La Verle Berry, editor).Library of CongressFederal Research Division (November 1994). "This article incorporates text from this source, which is in thepublic domain".[1]
  8. ^"Electricity sector in Ghana | owlapps".www.owlapps.net. Retrieved8 July 2023.[dead link]
  9. ^News Desk."History of Electricity Provision in Ghana".Electricity Company of Ghana Ltd (in French). Retrieved8 July 2023.
  10. ^abcd"Ghana's Jubilee oil field nears output plateau -operator".reuters.com.Reuters. 23 April 2013. Retrieved6 June 2013.
  11. ^abcdefghijkl"Renewable".energymin.gov.gh. Archived fromthe original on 10 May 2013. Retrieved23 April 2013.,Shao Hai Jun (5 October 2012)."Ghana to attract investment into bio-energy sector".china.org.cn.Xinhua:China Internet Information Center. Retrieved23 April 2013.,"Ghana to attract investment into bio-energy sector".wacee.net. Archived fromthe original on 12 September 2014. Retrieved23 April 2013.
  12. ^"Ghana leader: Oil reserves at 3B barrels – Yahoo! News". 22 December 2007. Archived fromthe original on 26 December 2007. Retrieved21 December 2010.
  13. ^"Kosmos Makes Second Oil Discovery Offshore Ghana". Rigzone.com. 25 February 2008. Retrieved6 June 2013.
  14. ^McLure, Jason.Ghana Oil Reserves to Be 5 billion barrels (790,000,000 m3) in 5 years as fields develop.Bloomberg Television. Wednesday, 1 December 2010.
  15. ^"Angola's Black Gold: what lies ahead, resource curse or a glorious future?".thisisafrica.me. Archived fromthe original on 30 May 2013. Retrieved6 June 2013.
  16. ^"Angola's Sonangol Earned $33.7 Billion in 2011 Oil Sales".bloomberg.com.Bloomberg News. 24 February 2012. Retrieved9 May 2013.
  17. ^"Ghana: crude oil production capacity 2019-2022".Statista. Retrieved20 July 2023.
  18. ^"ECG collaborates with GRIDCo to enhance electricity supply in Ashanti Region".Citinewsroom - Comprehensive News in Ghana. 13 May 2024. Retrieved13 May 2024.
  19. ^abcAdam Vaughan (4 December 2012)."Africa's largest solar power plant to be built in Ghana".The Guardian. London. Retrieved21 April 2013.,Matt McGrath (4 December 2012)."Ghana solar energy plant set to be Africa's largest".BBC News. Retrieved21 April 2013.
  20. ^ab"Solar Energy | Ministry of Energy".energymin.gov.gh. Retrieved20 July 2023.
  21. ^"Africa's largest solar (PV) power plant".Blue Energy Co. 5 August 2015. Archived fromthe original on 27 October 2015. Retrieved22 October 2015.
  22. ^Energy Foundation of Ghana."Energy in Ghana". Archived fromthe original on 21 September 2013. Retrieved23 April 2013.
  23. ^abcde"Renewable Energy – what is Ghana's wind power potential".arrakis-group.com. Archived fromthe original on 7 April 2013. Retrieved23 April 2013.
  24. ^"Ghana to attract investment into bio-energy sector - China.org.cn".www.china.org.cn. Retrieved8 July 2023.
  25. ^Bauhof, Jonas (21 March 2024)."Solar energy for Ghana's health facilities".D+C Development and Cooperation. Retrieved28 March 2024.
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