Mr Kenneth Mensah Arthur, Deputy Chief Executive in charge of Services at the Volta River Authority (VRA), has emphasized that the realization of potential industrial growth in Ghana hinges on the availability of reliable and affordable electricity.
Speaking at the seventh Ghana International Trade and Finance Conference (GITFiC), which drew participants from over 10 African countries and beyond, Mr Arthur stated, “Ghana's industries consume about 33% of the electricity produced, which is very significant.”
He further highlighted that the VRA has been continuously increasing its generation capacity and improving the reliability of its electricity supply to meet the country's growing energy demands.
In order to cater to these needs, Mr Arthur expressed the VRA's intention to secure competitively priced financing from banks to develop new power plants. He emphasized that reliable and affordable electricity also plays a crucial role in promoting regional trade by providing a competitive advantage to countries that exhibit these qualities.
Addressing the conference's theme of “Sovereign Economic Vulnerabilities; An Endorsement for a Single Trading Currency for Africa – with ECOWAS as a case study,” Mr Arthur drew parallels between the concept of a single currency and electricity generation and trading. He noted that electricity knows no boundaries; it simply requires connected systems to flow.
Comparing electrons to a single currency, he expressed support for the push towards a single currency to facilitate trading.
Regarding VRA's role in promoting international trade, Mr Arthur highlighted the organization's contributions through electricity exports and natural gas supply. VRA has been exporting power to Cote d'Ivoire since 1984, to Togo/Benin since 1984, and to Burkina Faso since 2003, currently exporting approximately 250 MW to neighbouring countries.
In terms of natural gas, VRA has been a foundation customer of the West African Gas Pipeline Project (WAGP), playing a major role in ensuring the project's viability by securing the necessary volumes of natural gas.
Mr Arthur underscored VRA's participation as a pioneer member of the West African Power Pool (WAPP), which aims to facilitate the cross-border trading of electricity within West Africa.
He emphasized that the realization of WAPP's full potential would improve power supply reliability in the sub-region, reduce the need for additional power plants, and enhance trading among countries capable of exporting power.
Mr Arthur also highlighted VRA's commitment to high standards in power operations across hydro, thermal, and renewable energy sectors.
These standards, combined with the adoption of best practices, have made VRA an attractive supplier of power to neighbouring countries. He further mentioned that the ongoing energy transition presents opportunities for the power sector and industries, with the government of Ghana targeting net-zero emissions by 2070 through the implementation of nuclear power generation, increased use of natural gas, and the expansion of renewable energy sources.
VRA is actively partnering with the government in the development of the Nuclear Power Plant and believes these initiatives offer opportunities for industries in the renewable energy space.
Mr Arthur concluded by highlighting VRA's significant contribution to Ghana's electricity supply, currently providing over 50% with 87% penetration, and expressed the organization's commitment to achieving universal access to electricity by 2030.
He also shared the generation mix for 2022, with hydro accounting for 36.8%, thermal at 62.9%, solar at 0.1%, and imports comprising 0.2%.
