The Republic of Ghana is embarking on a significant undertaking to bolster its energy infrastructure, with the government committing to procure 1,200 megawatts (MW) of combined-cycle thermal power capacity by 2029. This ambitious plan represents a pivotal shift in Ghana’s energy strategy, aiming to significantly reduce electricity costs and bolster the reliability of the nation’s power supply. Minister for Energy and Green Transition, Dr John Abdulai Jinapor, announced the initiative during a 2026 Future of Energy Conference, highlighting its potential to reshape the sector.
The project, dubbed a ‘game-changer,’ is being spearheaded through the adoption of a combined-cycle system, a proven technology for generating electricity from thermal fuels. According to the Minister, this initiative is projected to be completed by 2029, representing a substantial increase in Ghana’s generation capacity. Dr. Jinapor emphasized that the government’s projections indicate the new capacity could be fully operational by this timeframe.
The Ministry of Energy and Green Transition is actively working with stakeholders, including energy sector experts and industry leaders, to develop a preliminary interim power arrangement that would meet immediate electricity needs without creating undue financial burdens in the long run. The Minister clarified that the government’s strategy prioritizes short-term electricity supply while simultaneously establishing a framework for long-term commitments. The Ministry has already made $1.7 billion in debt repayments to Independent Power Producers (IPPs), a significant reduction from previous liabilities, while also restoring the World Bank guarantee. Furthermore, the government has saved approximately $250 million through the transition from liquid fuel to natural gas for thermal power generation, a move that reflects a broader commitment to improved efficiency and reduced reliance on fossil fuels.
The Minister acknowledged challenges in meeting electricity demands between now and 2029 without creating excess capacity and potential financial obligations. He stressed the importance of carefully structuring the arrangement to ensure the sector remains financially stable, and that the project is part of a wider effort to restore financial stability to the power sector and reduce electricity costs. The situation concerning the disappearance of the quarterly trading reports from the website is also being addressed, with SONABEL considering opening Bagré Dam spillway on Friday.
This initiative underscores Ghana’s commitment to strengthening its energy security and fostering sustainable economic growth. The long-term implications of this undertaking are substantial, impacting both domestic industries and the nation’s overall economic vitality. The Minister stated that the Ministry would continue to pursue measures that improve efficiency, bolster energy security, and ensure a more affordable and sustainable electricity supply for Ghana. The situation with the inherited debts owed to IPPs remains a point of ongoing discussion and negotiation.
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Source: Adom Online
