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EU supports energy sector with additional 9.7 million Euros


  2 Février      54        Coopération (2381), Développement humain (278),

 

Accra, Feb. 2, GNA– The European Union (EU), through the French Development Agency- Agence Francaise Development (AFD) has approved a 9.7 million Euros grant to Ghana Grid Company Limited (GRIDCo) to boost infrastructure works on its Kumasi-Bolgatanga Transmission Project.

The aim of the project is to enhance and upgrade electricity supply and access to the Northern Regions of Ghana. It will also boost export of power to the sub-region under the West African Power Pool (WAPP), commencing with Burkina Faso.

The grant was co-signed by both Ms Diana Acconcia, EU Ambassador to Ghana and Ms Anne-Sophie Ave, French Ambassador to Ghana and Mr Christophe Cottet, Country Director of AFD and Mr Jonathan Amoako-Baah, Chief Executive Officer of GRIDCo, both signing on behalf of their respective institutions.

The project is considered a key link and priority in the West African Power Pool. It was initially financed with 174 million dollars from AFD to GRIDCo and 4.8 million Euros technical assistance grant from the EU.

The grant, would facilitate the early completion of the project which is behind schedule, to ensure sustainable and reliable electricity supply in Ghana and the sub-region.

The approval of the grant is also a recognition of the several strategic measures and prudent fiscal policies undertaken by the last Board of GRIDCo.

For a greater part of the last three years, work on the 330 kV transmission line project from Kumasi to Bolgatanga slowed down as AFD was compelled to stop paying contractors working on the project.

This was due to severe liquidity challenges resulting in GRIDCo inability to ‘service’ the initial AFD US$174 million loan and other similar obligations.

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