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Boakye Agyarko
Boakye Agyarko

Ghana inches closer towards energy sufficiency

Ghana appears to be inching closer towards energy sufficiency after the coming on stream of the Sankofa Gye Nyame oilfields which is predominantly meant to produce Gas.

The coming on board of this additional gas supplies, coupled with the  existence of  the Jubilee and  TEN oil fields  mean that, the  country is some few years away from  bidding farewell to its nagging intermittent power  crisis because  of  the  availability of  Gas to fuel  the  power plants.

The development also implies that Ghanaians will no longer experience the inconveniences of queuing at Gas feeling stations due to shortage of the product as the country can now take care of its Liquefied Petroleum Gas (LPG) needs.

Ghana currently has gas deposits of about 200 billion standard cubic feet offshore the Jubilee Field, which the country wants to utilise as a source of cheap fuel to power its thermal plants for generating electricity.

TEN, will produce an average of 30 million standard cubic feet of gas per day over the next five years and is expected to reach 100 million standard cubic feet of gas per day by 2032.

On the other hand, the Sankofa Gas Project – located 60 km offshore is expected to bring significant benefits for Ghana by fueling up to 1,000 megawatts of power.It will also will provide enough gas to fuel most of the thermal power sector in Ghana to 2036.

Dr  Steve  Manteaw, Media and Campaigns Coordinator  of  the Integrated Social Development Centre(ISODEC) stated,the  common on stream of the Sankofa Gye Nyame project is good news  for  Ghana because  it’s going to be  our   first  predominantly gas  field. Again, the  good news  is  that   because  its  predominantly gas field, it  moves  Ghana  to  the  state of  energy sufficiency because soon we  will be  able  to acquire   or derive   adequate fuel to be  able to power  our generation  plants at relatively cheaper cost.”

 Dr Manteaw submitted that, “If you take out hydro, gas comes as the relatively cheapest energy fuels, so that is good for Ghana.”

Though good news to the  state, Dr Manteaw who is  also a member of  the Public Interest and  Accountability Committee(PIAC) indicated however that though  the  country can jubilate  over  the availability of  gas there   are concerns about the  price  been  negotiated for  our gas from  Sankofa Gye Nyame  field.

He pointed out that by virtue of equity participation, Ghana shall be entitled to 20 percent returns on that project. But, what accrues to the other partners  has to be negotiated for and bought   if  the country needs it , this, he said has  been done but at prices  that  are not competitive  and advantageous  to the  republic  of Ghana.

According to him, “the  prices are higher than current gas prices and  what is more worrying is a clause that commits  Ghana   to by the ENI gas at the negotiated price  even  if  cheaper options become available  and  that does  not inure   to the  longer term  interest to the country.”

Dr Manteaw, spoke to the media after a workshop held for members of the Institute of Financial and Economic Journalists (IFEJ) and supported by the German International Development Cooperation (GIZ) and the PIAC. The workshop was meant to analyse the 2016 PIAC Report.

Mr Allan Larsey, Head of Governance at GIZ encouraged journalists to continue to put the searchlight on the government especially in the oil sector, stressing, “We need to be vigilant because things are happening in the oil   industry.

Mr Larsey, stated that the change of government does not mean all is rosy in the oil sector hence, the need for journalists, civil society and Ghanaians in general to keep their eyes open and monitor happenings in the industry.

He assured the media that his outfit is very much committed to helping the media deepen their knowledge to engage with sector players.

 

 

 

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