June 29, 2022
  • June 29, 2022

U.S. makes $316 million investment in Ghana’s energy infrastructure

By on June 1, 2022 0

Kasoa, C/R, Ghana – With the inauguration of the Kasoa Bulk Supply Point (BSP) today, the United States completed its nearly six-year, $316 million investment in Ghana’s energy infrastructure, supporting more reliable power for hundreds of thousands of schools, hospitals, offices and homes. in Ghana. U.S. Embassy Deputy Chief of Mission Nicole Chulick today joined Vice President of Ghana, H.E. Dr. Mahamudu Bawumia and other Ghanaian government officials to officially open the point Kasoa Bulk Supply (BSP). The US government funded the $50 million power substation under the MCC-Ghana Power Compact.

“With the inauguration of the Kasoa Bulk Supply Point here today, we mark the successful completion of the MCC Ghana Power Compact. It was a $316 million commitment over nearly six years of on behalf of the American people to improve Ghana’s energy infrastructure and support long-term economic growth,” Chulick said at the inauguration.

After the event, Chulick toured the new facility with Vice President Bawumia. The Kasoa BSP will reduce power system outages, help stabilize voltages, and improve the quality and reliability of power supplied to Awutu Senya East Municipality in the Central Region of Ghana. Kasoa BSP is now the second largest capacity BSP in Ghana. The 435 megavolt ampere (MVA) gas-insulated electrical substation will serve 250,000 ECG customers. It will also reduce technical losses in the electricity transmission and distribution system, thereby contributing to the financial viability of the Ghana Electricity Company (ECG) and the Ghana Grid Company (GRIDCo) in the long term.

The $316 million MCC Ghana Power Compact invested in new power infrastructure and reforms to provide more reliable and affordable electricity to Ghanaians. It has also supported programs designed to improve energy efficiency and expand opportunities for women in the electricity sector. The Millennium Development Authority (MiDA) of Ghana implemented the partnership with the Government of Ghana.

Energy infrastructure improvements

MCC Ghana Power Compact has successfully improved the country’s power sector through the construction of four power substations: the Pokuase BSP, the Kasoa BSP, the primary substation at the University of Ghana Medical Center in Legon and the Ellen Moran primary substation in Kanda. These new power substations directly serve Military Hospital 37, Greater Accra Regional Hospital, University of Ghana Medical Center, Noguchi Memorial Institute for Medical Research, National Mosque and more than 800,000 utility customers. Compact projects improved the electrical system of 10 markets in Accra and Tamale.

As part of the pact, ECG has also developed two new information technology systems: Geographic Information System (GIS) and Multimeter Management System (MMS), to modernize the utility and help reduce business losses.

Support energy efficiency

The MCC Ghana Power Compact has also established the Air Conditioner and Refrigerator Testing Laboratory at the Ghana Standards Authority. The first of its kind in West Africa, the lab will help enforce standards aimed at eliminating the import of inefficient devices that waste energy. As part of the pact, twenty regulations relating to energy efficiency standards and labels have been updated to reflect new technologies and are awaiting enactment in Parliament.

The pact also supported the installation of over 14,000 new energy-efficient streetlights with metered management systems, replacing old inefficient lighting and setting a new standard for energy savings. Finally, the pact has made it possible to develop an energy efficiency teaching program in schools. Following the Compact, a partnership with three leading technical universities will establish energy audit centers to strengthen Ghana’s position as a West African leader in energy efficiency.

Inclusion
Under the MCC Ghana Power Compact, more than 600 female students in science, technology, engineering and mathematics (STEM) fields have participated in mentorship and training for professional growth and development. Three hundred of these students have found internships in the main institutions of the energy sector. These internships have played a crucial role in helping employers embrace a more inclusive workforce and support efforts to provide more opportunities for women to thrive in traditionally dominated energy sector professions. by men.

The Electricity Company of Ghana (ECG) has since adopted a gender policy, action plan and new targets for greater recruitment and promotion of female employees. ECG will also partner with USAID’s Engendering Utilities program to continue making progress in creating a more inclusive and diverse workforce in the energy sector.

The inauguration of the Kasoa BSP marks the final major milestone under the MCC Ghana Power Compact and the successful completion of the program which has benefited hundreds of thousands of Ghanaians. The end date of the compact is June 6, 2022.

About Millennium Challenge Corporation
The Millennium Challenge Corporation is an independent US government agency that works to reduce global poverty through economic growth. Established in 2004, MCC provides time-limited grants and assistance to countries that meet rigorous standards of good governance, anti-corruption, and respect for democratic rights. More information at https://www.mcc.gov

DCM Nicole Chulick
Ghana Energy Pact

Kasoa BSP Notes

-As Prepared-
June 1, 2022

Good afternoon!

My name is Nicole Chulick, and I’m the Deputy Chief of Mission for the United States Embassy. Millennium Challenge Corporation Deputy Managing Director Mahmoud Bah was scheduled to speak at this event but unfortunately his flight was canceled so he cannot join us today.

I am delighted to be part of this celebration. With the inauguration of the Kasoa bulk supply point here today, we mark the achievement of the MCC Ghana Power Compact. It was a nearly six-year, $316 million commitment by the American people to improve Ghana’s energy infrastructure and support long-term economic growth.

The United States’ Millennium Challenge Corporation (MCC) partnership with Ghana stands out as one of the few countries that has now entered into two compacts. These two commitments have invested nearly $860 million in projects aimed at stimulating economic growth and reducing poverty in Ghana.

Based on the success of our first partnership, MCC signed the Ghana Power Compact in 2014. This agreement invested in major and ambitious infrastructure projects in the power sector, as well as policy reforms, to provide a more reliable, affordable and sustainable electricity to Ghanaians. households, businesses, schools and hospitals.

As we know, the electricity sector is a complex system of customers, government entities and private companies, from generation to consumption. A lot happens from the moment the electricity leaves Akosombo for the streetlights in Kumasi.

But for many Ghanaians, it’s simple: a stable and reliable power supply keeps the lights on and creates economic opportunity.

That’s exactly why we’re here today – to make sure we have reliable electricity to keep productive work going. With the construction of two of the largest bulk supply points in the country here at Kasoa and Pokuase, two primary substations and IT investments, the MCC-Ghana Power Compact has increased transmission network capacity and improved reliability of the electricity sector. New power substations directly serve No. 37 Military Hospital, Greater Accra Regional Hospital, University of Ghana Medical Center, Noguchi Memorial Institute for Medical Research, National Mosque and more 800,000 utility customers. This really benefits Ghanaians!

We know that the future of electricity in Ghana is not just about power reliability and adding capacity – it is also about efficiency. The MCC Ghana Power Compact has established the Air Conditioner and Refrigerator Testing Laboratory, the first of its kind in West Africa. The lab will help eliminate the country’s use of less energy-efficient equipment and devices. This will reduce carbon emissions and advance our mutual climate goals.

Compact’s operations also installed more than 14,000 new energy-efficient LED streetlights and new metered energy management systems, replacing old inefficient lighting and setting a new standard for energy savings. This saves local costs, but also increases nighttime security.

Our partnership has also helped create a more inclusive economy by empowering Ghanaian women to participate more fully in the country’s power sector. Through the MCC-Ghana Power Compact, over 300 female students in STEM fields have found internships at leading institutions in the power sector.

The $316 million MCC Ghana Power Compact delivered impactful infrastructure, improved electricity access and increased energy efficiency on time and on budget. Our investments in this Power Compact program benefit approximately 4.8 million Ghanaians and this number is expected to grow to nearly 8 million over the next decade.

It is also important to recognize that there is still a lot of work to be done. The growth of the Ghanaian economy does not wait for new projects. To keep pace, we must redouble our efforts in reforms, invite more private sector participation and continue to reduce technical and commercial losses. As we add more capacity, let’s not lose sight of the leaks and stay committed to efficiency.

Going forward, as the government implements its energy agenda and a just transition to cleaner energy, it is up to the Government of Ghana, through ECG, GRIDCo, the Ministry of Energy and other energy sector stakeholders, including the private sector, to sustain these investments. and add new ones for Ghanaians to continue to afford and enjoy long into the future.

In conclusion, I would like to thank everyone present today whose leadership and commitment have made this pact a success. Congratulations to the MCC National Team under the leadership of Steve Marma and Khalia Mounsey, including our technical team in Washington DC. Congratulations to the people of Ghana and our partners at MiDA, under the leadership of Martin Eson-Benjamin and with the continued support of the Government of Ghana, for their years of hard work in making this day a reality.

Thanks to your collective efforts, Ghana is now better prepared for the future, and with the conclusion of this pact, the US-Ghanaian partnership is stronger than ever, and the death star shines even brighter!

Thank you for your kind attention