Accra, Nov. 22, GNA – About 500,000 people in 580
deprived communities in the country would be
connected to the National Electricity Grid with a
China concessionary loan facility with a grant
element of 39.1 per cent.
The loan, which has an interest rate of 2.13 per
cent; a grace period of four years; 11 years
repayment period and 15 years maturity date, would
enable China International Water and Electric
Corporation to execute the contract under the
Government’s Self-Help Electrification Programme (SHEP).
Signing the contract agreement in Accra with the
Corporation, Mr Joseph Adda Minister of Energy, gave
the total cost of the Project as 90 million euros.
The Government of Ghana is to contribute the
remaining 10 per cent of the contract sum.
Mr Adda said given the current spate of growth in
the demand for electricity, the project was timely
and would help tremendously to reach those
un-reached communities to enable them to fight
poverty.
He said the Corporation’s track record was good and
work would be done, adding that the Government was
putting in short term measures to address the
current energy problem but noted that it was also
important for consumers of power to also start
thinking to learn how to use energy wisely for the
benefit of all.
Some of the measures include the installation of
several thermal power plants projects especially in
Tema to generate at least 1,000 megawatts of power
next year.
Mr Kwadwo Baah-Wiredu, Minister of Finance and
Economic Planning, who signed the contract on behalf
of the Government, said under the SHEP programme a
beneficiary community must be within 20 kilometre-radius
of an existing 11/33 Kilovolts network.
SHEP which begun 16 years ago formed part of the
National Electrification Scheme (NES) which have so
far connected about 4,000 communities.
Access to electricity in Ghana had grown from about
15 per cent of the population at the inception of
the national electrification programme to the
current level of 55 per cent.
Mr Wang, Vice President of the China International
Water and Electric Corporation, who signed on behalf
of the Corporation, said the concessionary facility
was premised on Ghana’s efforts towards reducing
poverty and the fact that the country was doing well
in its economic advancements.
GNA
