Connect with us


MCC, MiDA complete $316 million project in Ghana 



MiDA, MCC Ghana Power Compact, energy infrastructure, electricity, Ghana, USA, Millennium Challenge Corporation, Ministry of Energy,
Photo: Newscenta

With the inauguration of the Kasoa Bulk Supply Point (BSP), the United States has 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.

The Millennium Challenge Corporation (MCC) Ghana Power Compact end date is June 6, 2022.

Nicole Chulick, Deputy Chief of Mission of the US Embassy

The Deputy Chief of Mission of the US Embassy, Nicole Chulick, joined Vice-President Dr Mahamudu Bawumia and other Ghana government officials to formally inaugurate the Kasoa Bulk Supply Point (BSP).

The US government funded the $50 million power substation as part of the MCC-Ghana Power Compact.


“With the inauguration of the Kasoa Bulk Supply Point here today, we mark the successful completion of the Millennium Challenge Corporation (MCC) Ghana Power Compact,” Chulick said.

“This was a nearly six-year, $316 million commitment by the American people to improve Ghana’s energy infrastructure and support long-term economic growth,” Chulick said during the inauguration event.

Commissioning the facility, Dr Bawumia said it is one of the many electricity infrastructures constructed as part of the ECG’s Financial and Operational Turnaround Project under the Ghana Power Compact II.

It has a $316-million funding from the MCC, an independent agency of the United States government’s foreign initiative, and a $31 million counterpart funding from the Government of Ghana.

$863m US MCC investments in vital infrastructure since 2012


He said the US government, through the MCC, had invested $863 million in vital infrastructures in Ghana for the duration of the two power compact programmes from 2012 to date, which had added a wealth of support to the country’s infrastructure requirements.

Dr Bawumia expressed the Akufo-Addo government’s determination to ensure robust, sustainable and reliable power supply to households and businesses pivotal towards the country’s industrialisation drive.

This will also help ECG’s power transmission operations and distribution network and aid in minimising technical losses.

Dr Bawumia said the government was undertaking several power infrastructure projects to meet the power demand of the ever-increasing population, saying those projects should be sustained even after the Power Compact Agreement.

The Board Chair of the Millennium Development Authority (MiDA), Professor Yaa Ntiamoa-Baidu, in her welcome remarks, said the facility would enhance productivity, incomes and social outcomes for residents in the catchment area.


“Out of the 230 key staff and employees who worked on the project, 90 per cent are Ghanaians while 16 per cent are females,” she said, noting that it helped in the transfer of essential knowledge and technology to Ghanaians.

Parts of the support fund for the project were also used to construct access roads, walkways and drainage system at the project site.

Following the event, Chulick toured the new facility with Vice-President Dr Bawumia.

New power infrastructure and reforms

The $316-million MCC Ghana Power Compact invested in new power infrastructure and reforms to provide more reliable, affordable electricity to Ghanaians.


It also supported programmes designed to improve energy efficiency and expand opportunities for women in the power sector.

Ghana loses $190m grant over cancelled power contract

The United States government has cancelled $190 million in grants to Ghana under the “Power Africa” initiative in response to government’s termination of a contract with a private utility provider Power Distribution Services (PDS).

The MCC agreed in 2014 to provide $498 million in funding to Ghana’s power sector to help stimulate further private investment.

One reform under the agreement involved handing over operations at ECG in to PDS, a consortium led by Philippine electricity company Meralco.


But the Finance Minister informed US officials that the government terminated the 20-year concession it had signed with PDS, saying payment guarantees provided were not satisfactory.

The US government said the decision to terminate the contract was unjustified and that the MCC cancelled $190 million in grants.

Energy infrastructure improvements

The MCC Ghana Power Compact successfully improved the country’s power sector through the construction of four power substations: the Pokuase BSP, the Kasoa BSP, the University of Ghana Medical Centre Primary Substation at Legon and the Ellen Moran Primary Substation at Kanda.

These new power substations directly serve the 37 Military Hospital, Greater Accra Regional Hospital, University of Ghana Medical Centre, Noguchi Memorial Institute for Medical Research, the National Mosque and over 800,000 utility customers.


Compact projects upgraded the power system in 10 markets in Accra and Tamale.

$50m Kasoa Bulk Supply Point

The inauguration of the Kasoa BSP marks the final major milestone under the MCC Ghana Power Compact and successful completion of the programme that has benefited hundreds of thousands of Ghanaians.

The 435-mega volts amperes (MVA), second largest in the country after the Pokuase BSP, will supply power to households and businesses to improve productivity and living conditions within Kasoa, Senya Breku, Bawjiase, Nyanyano, Tuba and Tokuse, as well as complement the Winneba and Mallam power substations.

The 435-megavolt ampere (MVA) is one of the few gas-insulated switchgears equipped with a Static Var Compensator power substation and expected to benefit about 250,000 residents within the catchment area.


It will help stabilise voltages and improve the quality and reliability of power supplied to the Awutu Senya East Municipality in the Central Region of Ghana.

It will also reduce technical losses in the power transmission and distribution system, contributing to the financial viability of the Electricity Company of Ghana (ECG) and the Ghana Grid Company (GRIDCo) in the long term.

The Kasoa BSP will be managed by the Electricity Company of Ghana and the Ghana Grid Company. It was completed in two and half years and within budget.

$64.72m Pokuase Bulk Supply Point (BSP) Substation

The Pokuase BSP, with a total capacity of 580MVA, is the largest BSP in Ghana.


Constructed under the existing 330kV Aboadze-Volta-Lomé Transmission line, the BSP is the first 330kV BSP in the capital and the most technologically advanced substation in Ghana.

A 33kV sub-transmission lines to evacuate power from the Pokuase BSP into the electric distribution network involves erecting new sets of Quadruple Circuit steel lattice towers to move power from the Pokuase BSP to ECG’s primary substations at Ofankor, Kwabenya and Nsawam.

The two contracts are worth a total of $64.72 million and are part of the electricity infrastructure being built by the Millennium Development Authority (MiDA) under the Ghana Power Compact, with funds provided by the United States Government through its Agency, the Millennium Challenge Corporation (MCC).

$15.8m Meter Management System

A Meter Management System (MMS) has installed been for the Electricity Company of Ghana (ECG).


The cost of the system is $15.8 million ($15,892,800), with MiDA contributing an amount of $11,189,901.

The MMS is designed to enable the integration of ECG’s smart pre-paid

metering platforms and enhance customer experience.

The system comprises a number of metering softwares, 17 servers, 40 point-of-sale devices, UPSs, laptops and printers.

The state-of-the-art MMS has full redundancy, involving a back-up that will enable the system to run uninterruptedly.


It has a primary site and a disaster recovery site, with an online real time automatic back-up capability.

The days when customers could not buy pre-paid credit because a pre-paid metering server has failed will soon be behind ECG.

The system contributes significantly to improving ECG’s revenue mobilisation efforts and will give customers greater flexibility in paying for electricity, as it will enable customers to buy any amount of pre-paid credit wherever they may be in Ghana.

$1.8m Air Conditioner and Refrigeration Test Laboratory

The MCC Ghana Power Compact also established the Air Conditioner and Refrigerator Test Laboratory at the Ghana Standards Authority.


The first of its kind in West Africa, the laboratory will help enforce standards to eliminate the importation of inefficient appliances that waste energy.

As part of the compact, 20 regulations for energy efficiency standards and labels have been updated to reflect new technology and await promulgation in Parliament.

MiDA and the Ghana Standards Authority (GSA) have invested $1.8 million ($1,886,981.14) in the construction of a new Air Conditioner and Refrigeration Test Laboratory for the Ghana Standards Authority (GSA) as part of the Energy Efficiency and Demand Side Management (EEDSM) Project of the Ghana Power Compact.

MiDA contributed $1.8 million ($1,841,841,981) while GSA provided $45,000 respectively.

Air conditioners and refrigeration appliances are high energy consuming appliances, therefore, the establishment of the test laboratory will support Ghana’s energy efficiency agenda.


The test laboratory, which is the first of its kind in Ghana and in the West Africa sub-region, has the capacity to test 96 air conditioners and 48 refrigeration appliances annually.

The facility will enable the Ghana Standards Authority to test and ensure that all air conditioners and refrigerators imported into Ghana meet the Minimum Energy Performance Standard (MEPS) set out in the Energy Commission’s Energy Efficiency Regulations.

The introduction of the facility is timely, as it will also support the work of the Energy Commission in enforcing the Import Certification Scheme, which demands that selected high-risk goods entering Ghana must be certified as meeting all obligatory standards.

The facility will also aid the effectiveness of the current Energy Efficiency Appliance Standards and Labelling regime being undertaken by the Energy Commission.

$8.5m Utility Geographic Information System


Under the compact, ECG has also developed two new information technology systems: the Geographic Information System (GIS) and Multimeter Management System (MMS) to modernise the utility and help reduce commercial losses.

It funded the installation of a Utility Geographic Information System (GIS) for ECG at a cost of $8.5 million

The project is part of the Modernising Utility Operations Activity, one of four project activities making up the ECG Financial and Operational Turnaround Project (EFOT).

The Utility GIS Project Activity comprises procurement and installation of system software, server hardware, field hardware, and services for data migration and field  validation of assets (such as primary and secondary substations, power lines, poles, underground cables, transformers, switches and customer service wires)

The Utility GIS provides a digital platform and tools for ECG to plan, manage and efficiently operate its network to meet global utility management standards.


ECG’s customer experience will improve through enhanced power supply reliability, better supply quality and reduced service turnaround time.

The Utility GIS also provides ECG with the foundation for a more efficient revenue collection, losses reduction and outage reduction

The Utility GIS is available in 14 ECG districts across Accra East and West.

$11m substation for University of Ghana Medical Centre

The programme invested $11 million in the construction of a 52MVA Primary Substation and its associated Interconnecting Circuits (ICC) for the University of Ghana Medical Centre (UGMC).


The UGMC Primary Substation is one of many electric infrastructural assets which form part of the ECG Financial and Operational Turnaround (EFOT) Project of the Compact Programme.

The substation has a capacity of 52 mega volts amperes (MVA) and can supply all present and future power needs of the University of Ghana Medical Centre and the Noguchi Memorial Institute for Medical Research, and serve as an alternative source of supply to the University of Ghana, the Ghana Institute of Public Administration, the Ghana Standards Authority, and the surrounding communities.

Equipment within the substation comprise two 20/26MVA transformers, located outdoors and switching equipment housed in a basement-type control building.

The substation has been sized to provide for any future extension of the 33kV and 11kV switchgear.

The substation has been integrated into the existing ECG 33kV sub-transmission network through a total of 24 km of 33kV interconnecting circuits.


Power is evacuated to the UGMC and other load centres through 41.4 km of 11kV offloading circuits. Following its commissioning and energisation, the UGMC Primary Substation has been addressing the power supply challenges experienced by the UGMC and its sister institution, the Noguchi Memorial Institute for Medical Research.

These critical health institutions can now operate in an environment of more stable and reliable power. With the substation in close proximity to these institutions and with sufficient redundant capacity, the risk of equipment failure due to voltage fluctuations is significantly reduced.

Other benefits

The compact also supported the installation of more than 14,000 new energy-efficient streetlights with metered management systems, replacing old, inefficient lighting and setting a new standard for energy savings.  Finally, the compact helped develop a curriculum for teaching energy efficiency in schools.

As a result of the compact, a partnership with three major technical universities will establish energy auditing centres to strengthen Ghana’s position as a leader in West Africa for energy efficiency.


As part of the MCC Ghana Power Compact, more than 600 female students in the fields of Science, Technology, Engineering and Math (STEM) participated in mentoring and training for professional growth and development.

Three hundred of these students found internship positions at leading energy sector institutions.

These internships have played a crucial role in helping employers embrace a more inclusive workforce and sustain the effort to provide more opportunities for women to thrive in occupations in the power sector typically dominated by men.

The Electricity Company of Ghana (ECG) has since adopted a gender policy, action plan, and new targets for greater female employee recruitment and promotion.

ECG will also partner with USAID’s Engendering Utilities Programme to continue making progress on creating a more inclusive, diverse energy sector workforce.



NDC opens nominations for Presidential, Parliamentary Primaries



NDC, Newscenta, nominations, primaries, presidential, parliamentary,

The National Democratic Congress (NDC) has opened nominations for its Presidential and Parliamentary aspirants for the 2024 General Election.

A statement issued by Mr Fifi Fiavi Kwetey, the General Secretary of the NDC said the Nomination Forms for Parliamentary aspirants would be accessible to all persons for purchase on the official website of the party; effective 22nd February.

It said Nomination forms for Presidential aspirants could be obtained from the Office of the General Secretary at the Party’s Headquarters at Adabraka, Accra effective 0800 hours from Wednesday, February 22.

The statement said the Functional Executive Committee of the Party had, however, put on hold the opening of nominations for parliamentary primaries in some constituencies.

These constituencies are Ayawaso Central, Amasaman, Afram Plains South, Akwatia, Efutu, Gomoa Central, Amenfi East, Evalue Gwira, Assin North, Pusiga and Tarkwa Nsuaem.


The rest are Ayensuano, Adansi Asokwa, Offinso North, Ahafo Ano North, Sekyere Afram Plains, Ahafo Ano South West (Aduagyman), Bosome Freho, Asante Akim Central, Manso Adubia, Manhyia South, Subin and Fomena.

The statement said the Functional Executive Committee of the Party would in due course announce the date for the opening of nominations in those Constituencies.

Filing fee for its presidential primary has been fixed at GH¢500,000.

The parliamentary primary fee has also been pegged at GH¢40,000.

Furthermore, nomination forms for the presidential and parliamentary primaries are going for GH¢30,000 and GH¢5,000, respectively.


Both the presidential and the parliamentary primaries would be held concurrently on Saturday, May 13, 2023.

It is the final leg of internal elections to elect a flag bearer and 276 Parliamentary Candidates to lead the party into the 2024 election.

Per the timetable, nominations for aspiring parliamentary candidates would open on February 22 to 24 to make room for interested persons to pick nomination forms via the NDC website at a cost of GH¢5000 which must be paid via Mobile Money.

Although nomination for presidential candidates will also commence on February 22 to 24, interested candidates are required to pick nomination forms directly from the office of the General Secretary of the party and pay a fee of GH¢30,000 via banker’s draft.

However, female aspirants and persons with physical disabilities will be required to pay only 50 per cent of the fee charged.


Aspiring presidential and parliamentary candidates will be required to submit the completed forms between March 20 to 22 before vetting will commence on March 27 to 29.

There will also be a window for appeals on the outcome of the vetting process between March 30 to April 6 before the election on May 13.

Interested individuals must  be a paid up member of the NDC in good standing and must not be a dual citizen or owe allegiance to any other country aside from Ghana.

With regard to flag bearer aspirants, interested persons must be members of the NDC for at least 10 years and in good standing.

An electoral college will be constituted by the party to elect the flagbearer.


The college will comprise executive members of the party from the branch to the national level.

It will also include Members of the NDC parliamentary group, former MPs who are members of the party, former presidential staffers, former members of the Council of State who are members of the NDC and former Ambassadors who are members of the party.


Continue Reading


 Dr Addison: BoG’s intervention prevented economic standstill 



BoG, Newscenta, financing of govt, economic standstill,

Governor of the Bank of Ghana (BoG), Dr. Ernest Addison has defended the Central Bank’s decision to finance government expenditure last year to prevent the economy from being totally destabilized.

Economic instability

According to him, without Central Bank intervention, the economy would have come to a standstill, leading to an economic instability.

Ratings downgrade blocked access to $3bn from capital market

He explained that 2022 started with the downgrading of the economy by credit ratings agencies blocking the country’s access to the capital market where Ghana borrows at least $3 billion each year prior to 2022.


Revenue projections fell far below expectations

Dr Addison pointed out that in addition to losing access to the capital market, revenue projections fell far below expectations.

Govt finances in trouble

Speaking at the annual stakeholder meeting of the State Interests and Governance Authority (SIGA), the Governor said the developments put government finances in trouble as there was no money to fund expenditures.

GH¢44.5bn net claims on govt in 2022


BoG records show that net claims on the government increased by about GH¢44.5 billion at the end of December 2022.

GH¢7.2bn purchase of treasury bonds

Giving a breakdown, BoG noted that GH¢7.2 billion, represented its purchase of treasury bonds from banks to provide them with liquidity to enable them meet their obligation to customers.#

GH¢8.9bn on-lending facilities granted by IMF

In addition, GH¢8.9 billion is on-lending facilities granted by IMF for onward lending to government.


GH¢37.9bn overdrafts

In the same vein,  GH¢37.9 billion, represents overdraft extended to government, solely meant for the purpose of addressing auction shortfalls and paying customers whose bonds had matured and for which government did not have adequate resources.

GH¢9.5bn govt deposit liabilities

According to BoG, Government Deposit liabilities recorded an increase of GH¢9.5 billion in the course of 2022.

BoG stepped in to prevent economy from being standstill


Dr Addison stated that the Central Bank stepped in to prevent the economy from destabilizing and coming to a standstill.

Crisis would have been much earlier

He pointed out that if the BoG had not stepped in, Ghana could have gone into this crisis much earlier and investors in government bonds would not have been paid their interest.

Situation unsustainable by mid 2022

The Governor explained that the situation became unsustainable by mid 2022, leading to the government’s decision to seek support from the International Monetary Fund (IMF).


IMF supports BoG financing of govt

According to him, IMF agreed that financing from the Central Bank was needed until a plan is finalized.

IMF applauded BoG for stepping in

He revealed that the IMF applauded the Central Bank for stepping in on time to stabilize the macro-economic condition to avert a collapse of the economy.

“We have been discussing this plan with the IMF over the last three to six months and finally had a staff-level agreement in December,” he added.


Fiscal consolidation and debt restructuring

The plan, according to Dr. Addison, involves fiscal consolidation and debt restructuring.

“So when people speak as if we have been reckless, I disagree completely,” he said.

Analysts criticize BoG’s intervention

Some analysts have criticized BoG for supporting government expenditure in 2022, arguing that the central bank acted irresponsibly.


Critical role of BoG

He maintained that one of the critical roles of the Central Bank is to step in and stabilize the economy when there is danger ahead.

No more BoG support for govt

According to Dr. Addison, one of the key objectives of the IMF programme is to ensure that the revenue and expenditure plan for 2023 does not require Central Bank financing in order to make BoG’s interest rate policy more effective and targets achievable.

State-Owned Enterprises


He added that there was also a decision on aligning structural policy, hence the decision to include State-Owned Enterprises (SOEs).

Competitive and efficient SOEs

“It is important that SOEs are competitive and efficient and it is expected that we will have a policy which will state clearly what the objectives and guiding principles of state ownership will be.

Roles and responsibilities of shareholders, management of SOEs

“It must also state clearly what the roles and responsibilities of the shareholder or the management of SOEs will be.


Financing of SOEs and dividend payments

“The policy should also specify what the fiscal relations between the government and SOEs are, including the financing of SOEs and dividend payments,” he added.

Remuneration of board members and management of SOEs

Dr. Addison is of the view that it is important for the policy to also provide a framework for the remuneration of board members and the executive management of SOEs and also a framework for the appointment of board members, as well as executive management, based on their technical competence.

Cap on salary adjustment of SOEs


He pointed out that it is long overdue to place a cap on the salary adjustment of SOEs.


Continue Reading


Bondholders granted 3-day window to complete processes



Bondholders, Newscenta, 3-day, administrative window, tender process,

Government has announced a window for bondholders to complete processes for tendering their bonds in response to the terms of exchange as amended pursuant to the second amendment.

A statement issued by the Ministry of Finance and signed by Ken Ofori-Atta said the window ends at 4pm on Friday, February 10, 2023.

According to the Minister, it came to the attention of government that some bondholders experienced technical challenges as they tried to complete the online tender process.

It is believed that a sudden rush by bondholders to sign up close to the deadline placed a strain on the IT infrastructure.

Ofori-Atta explained that except for the announcement date which is now Monday February 13, that the timetable of the exchange has not been affected.


He stated that the settlement of exchange remains the scheduled date of Tuesday February 14, 2023.

“Except as set forth in this paragraph, the terms and conditions of the exchange are not modified or amended,” he added.

It reminded bondholders who could not complete the process to visit the website of the Central Securities Depository to complete the process

Ofori-Atta thanked bondholders who have so far tendered their bonds.

Improved offer for individual bondholders


Under the improved offer, all individual bondholders who are below the age of 59 years (Category A) are being offered instruments with a maximum maturity of 5 years, instead of 15 years, and a 10% coupon rate.

Improved offer for retirees

All retirees (including those retiring in 2023) (Category B) are being offered instruments with a maximum maturity of 5 years, instead of 15 years, and a 15% coupon rate.

Ofori-Atta said the objective of this is to ensure that individuals, especially retirees, who put their hard earned savings in the domestic market, are not left in hardship as a result of the DDEP and yet contribute to the resolution of the current crisis.

He said government was intentional in pushing the threshold of what is possible, in order to safeguard the well-being of our pensioners, preserve the savings of individuals, protect the working capital of businesses, ensure the health and stability of our financial sector and restore macroeconomic stability.


Significant amendments made

Significant amendments have enabled government to reach an agreement with key major domestic creditor categories including banks, insurance companies, capital market players and foreign holders of domestic debt in relation to their participation in the DDEP.

All of the institutional bondholders will be paid a 5% coupon on its 2023 bonds.

All other restructured bonds will pay 9% coupons, rather than the variable rates originally outlined.

Under the agreement, the government has removed all clauses in the Exchange Memorandum that empower the government to, at its sole discretion, vary the terms of the Exchange.

Continue Reading


© 2022 NewsCenta. Copyright - TrueTrust Media Consult

error: Content is protected !!
%d bloggers like this: