The Ghana Government has indicated that it will add a total of 1,227MW of installed power capacity to the national grid to meet the growing demand for electricity.

This would be outside of the 880MW total installed generation capacity facilitated by the previous administration last year, Ken Ofori-Atta, Minister of Finance, announced.

He disclosed this while delivering the maiden Budget Statement and Economic Policy of the New Patriotic Party (NPP) government in Parliament.

Ofori-Atta said the projects to be carried out included the 370MW AKSA project, 107MW GPGC project, 350MW CenPower Project and 400MW Early Power Project, among others.

“ECG and NEDCO will continue with system upgrade projects to improve the quality of power supply to customers.

“Furthermore, steps would be taken to ensure that outstanding issues surrounding the implementation of the Ghana Compact II are addressed to allow for its implementation in order to achieve the desired objective.”

Oil and gas

The Finance Minister said government would work with the Jubilee Partners to address the shortfall in oil and gas production resulting from damage to the turret bearing on FPSO Kwame Nkrumah in 2016.

He also revealed that a three-phase approach to convert the FPSO Kwame Nkrumah to a permanently spread-moored would be adopted.

“First gas from the TEN fields to the Gas Processing Plant (GPP) should be expected in the first half of this year.

“GNPC is engaging partners to develop an integrated technical and commercial schedule that will target gas start-up in the 2nd quarter of 2018.”

Railway construction

He mentioned that government was poised to complete the Sekondi to Takoradi via Kojokrom railway line and continue with the section from Kojokrom to Tarkwa through Nsuta.

“This will help improve the operational performance and revenue of Ghana Railway Company Limited (GRCL) and enable the company wean itself from government support.

“In addition, it will enhance the performance and competitiveness of the manganese mine located on the corridor.”

The Western Line, which starts from Takoradi and terminates in Kumasi, will have two branch lines namely – Dunkwato Awaso and Kojokrom to Sekondi, and cover a distance of 340 kilometres. This corridor, when completed, is expected to facilitate the haulage of manganese, bauxite, cocoa and other bulk commodities. The Feasibility Studies and Front End Engineering Design (FEED) have already been done on the line.

“We will also initiate discussions to secure funding for other major projects, such as the Central Spine which stretches from Kumasi to Paga covering a distance of 700 km.

“The corridor is a greenfield and will be developed in sections. The sections are Kumasi to Buipe and Buipe to Paga. A pre-feasibility study was undertaken on the line, and in 2017, we plan to undertake full feasibility studies to enable the Ministry invite developers and source funding for the development.”

The minister revealed that the Eastern Railway Line would cover a distance of 330 kilometres. This starts from Accra to Kumasi with a branch line from Achimota to Tema.

“When the line becomes operational, it will decongest the port and facilitate the movement of cargo and passengers to Kumasi and its environs.”

He announced that the central line would cover a distance of 200 kilometres, spanning Kotoku on the Eastern Line to Huni Valley on the Western Line.

“It would have a branch line from Achiase to Kade. The feasibility study on the line which would be extended it Kibi, is yet to be taken.”