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How Akufo-Addo govt caused looming power shortage that requires $90m to avert under Mahama govt

The looming power crisis in Ghana, often referred to as ‘dumsor,’ has been linked to critical failures during the Akufo-Addo administration, which have left the incoming Mahama government grappling with the urgent need for approximately US$89.90 million to avert a widespread power shortage.

This funding is necessary to procure liquid fuels that will keep thermal power plants operational during the scheduled West African Gas Pipeline (WAGP) pigging exercise from January 20 to February 16, 2025.

The WAPCo maintenance, originally set for October 2024, was postponed at the Ministry of Energy’s request, leaving the country in a vulnerable position. During the pigging exercise, gas supplies to thermal plants in Tema will be temporarily halted, shutting down plants that rely on gas.

“To ensure power plants can continue running in the absence of gas, liquid fuel will need to be procured at a cost of nearly US$90 million,” said GRIDCo in its recent report.

The fallout from this decision is compounded by the shutdown of key generation units, such as the Kpong and TICO plants, coinciding with the pigging period. Despite adequate domestic gas production in the West, excess gas from Nigeria will flow into Takoradi, a surplus that can’t be fully utilized given the already-sufficient supply from local sources. “This results in further energy constraints, requiring adjustments in domestic gas consumption,” GRIDCo explained.

Additionally, GRIDCo’s projections for 2025 show a significant shortfall in natural gas, with a need for an additional 129 mmscfd of gas or equivalent liquid fuel. Without these supplies, the energy deficit will continue to grow. “A dependable generation capacity of at least 244.66 MW must be secured by the end of 2025 to prevent severe power shortages,” the company noted.

The new government under President John Mahama, inaugurated on January 7, now faces the daunting task of addressing the power supply instability caused by mismanagement during the previous administration. This comes amid alarming reports, including warnings from Member of Parliament for Yapei Kusawgu, John Jinapor, about the dangerously low fuel stock levels. “Only five hours of fuel remain,” Jinapor disclosed, urging immediate intervention.

Meanwhile, Herbert Krapa, has called on the newly elected NDC government to focus on effective management of the power sector rather than apportioning blame to the previous administration.

As the country braces for the potential energy shortfall, all eyes are on the Mahama government to swiftly secure the necessary resources and implement effective strategies to avert an impending crisis and ensure a stable energy supply for 2025.

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