The President, Nana Addo Dankwa Akufo-Addo, has commissioned the Ghana Bridge Power Project, an Independent Power Producer (IPP), adding 200 megawatts of power to the national grid.
The 200 MW commissioned on Tuesday, November 19, 2024 is Stage One of the $1.2 billion power project situated in Kpone, near Tema.
By the completion of Stage Two in 2029, the plant would produce up to 515 megawatt (MW) combined cycle power generation.
In his speech, President Akufo-Addo said the initiative marked a milestone in Ghana’s progress towards energy security.
According to the president, the Ghana Bridge Power Station coming on board brings Ghana one step closer to ensuring access to reliable electricity.
“The commissioning of the Bridge Power Station brings us one step closer to ensuring that every hospital, school and household has access to reliable electricity. We now have the means to extend electrification efforts to the most remote areas, giving children the light to study and ensuring that hospitals can deliver life-saving care around the clock. Endeavour Energy’s approach aligns with our government’s commitment to sustainability,” he said.
He continued that, “This plant exemplifies Ghana’s dedication to an efficient energy mix in which each unit of electricity produced emits less carbon dioxide.
“Our commitment to an environmentally responsible future is clear. We owe it to our children and future generations to preserve a greener, healthier planet.”
DUMSOR
President Akufo-Addo reminded Ghanaians of the days of power outages, also known as Dumsor under the leadership of President John Mahama.
He assured the public that Ghana will no longer return to the days of the power crisis.
He said the government remained committed to supporting the private sector to ensure energy security and promised to roll out policies and programs that would strengthen the sector and make it more efficient and sustainable.
President Akufo-Addo also called on Ghanaians to support the project and ensure it succeeds to benefit the entire country.
AGREEMENT
The project commenced after the President broke ground in April 2017. It would deliver power to the Electricity Company of Ghana (ECG) under a 25-year Power Purchase Agreement (PPA) backed by a Put Call Option Agreement (PCOA) with the Government of Ghana.
The power plant will become the property of ECG at the end of the 25-year PPA. These agreements have been approved by the Parliament of Ghana and became effective in November 2018.
Under an innovative Put Call Option Agreement (COA), the government would buy the plant and its associated infrastructure in the unlikely event of an early termination of the PPA.
If the default is by EPL, the purchase price will be no more than 70 percent of the overall project cost.
In addition, the purchase price reduces during the term of the agreement as EPL pays down the amount borrowed to construct the project.
OWNERSHIP
The project is owned and developed by Early Power LTD (EPL), a consortium of Endeavour Energy, a leading US independent power producer focused on Africa, and Andaris, a wholly owned Ghanaian energy investment company.
OTHERS
The US Ambassador to Ghana, Virginia Palmer, highlighted the importance of such collaborations between countries. She urged the government to fulfil its part of the agreement with all IPPs who have rendered services to the people of Ghana.
The General Manager, Early Power Limited, ReggieFrance, assured the President and the people of Ghana of their commitment to contribute to the energy security of the country.
The Minister of State at the Ministry of Energy, Herbert Krapa, was delighted to see that amount of power generation being added to the national grid. He said that the addition goes a long way towards ensuring energy security in Ghana.
