As Veep cut Sod for CENPOWER in Kpone
By Maxwell Okamafo Asamani Addo
The Vice President, Amissah-Arthur, has assured Independent Power Producers (IPPs) of government’s commitment in addressing the challenges facing their participation in the energy sector, and would also ensure that governments 2016 production target of 5000 Mega Watts (MW),was achieved to meet the increasing demand.
The Veep, made the statement yesterday January 29, 2015,when he cut the sod for construction work to start on a 350 Megawatts Independent Power Plant by CEN Power Generation Company limited in Kpone in the greater Accra Region.
He assured them of government continuous support in time of challenges and urged them to call on them, when the need arises
According to him, the demand rate for power is about 12 percent a year, something that outstrip supply in the country, as a result of that the Electricity Company of Ghana (ECG) have to shed power at peak time, and this is affecting a lot of businesses,
Mr Amissah Arthur, said that at the moment government is doing whatever it can to help solve the situation, and has so far invested in generating about 1000MW capacity in the past six years.
According to him, currently there are 16 power generation projects in the country, and are near completion, with improved capacity in the power sector, businesses would improve and also create more jobs , especially for the youth in the country.
He said, because of the increasing rate of demand for energy, the government remained mindful of the need to encourage more independent power producers to participate in power production to complement government’s efforts and lauded CEM Power for being part of the success story of providing a power plant with the capacity of 350 MW in Ghana
Mr Amissah Arthur, indicated that the project when completed, has a combined Cycle Gas Turbine technology, because the plant will use GE Frame 9E gas turbines operating on both natural gas and liquid fuel, thus ensuring high continuous power availability.
On his part, Nana Sam Brew Butler, Chairman of Cenpower Generation, said this was the very first BOOT Power project and the current owner, have agreed to transfer it to ECG( i.e. State of Ghana ) at the expiration date of its 20 year, for one US dollar even though the plant would have life of another 10 to 15 years.
Mt Butler said the source of initial fuel (three months storage)will be on site as well as Adinkra , located next door, owned by Chase and Vitol ,This initiative he said, means that the state would not be burdened with any arduous task of importing fuel for its operations, and the plant will not shut down because of lack of fuel .
Nana Butler said, the total cost of the project stands at 900 million US Dollars, that consist of US Dollar 650 million debt, backed by ECIC and US Dollar 250 million equity from sponsors.
The ceremony was graced by The Petroleum Minister, Mr Armah Kofi Buah ,Power Minister , Dr Kwabena Donkor , Chairman of ECG Board ,Dasebre Kwesu Ewusi , Oguaa Omanhene Osabarima Kwesi Atta , Kpone Mantse Nii Tetteh Out and other the executives of Sumitomo Corporation from Japan and Cen Power Generation Limited of Ghana Standard bank , IFC and other captains of the industry.