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In a significant move to reassure jittery investors and cement its position as a mining powerhouse, the Ghanaian government has pledged a stable and reliable power supply to the nation’s critical mining sector. The assurance, delivered this week at a major industry gathering, aims to boost productivity and drive sustainable economic development in a country heavily reliant on its mineral wealth.
The promise of consistent and affordable electricity is a welcome relief for mining firms, whose operations are intricately tied to a steady power flow. Frequent interruptions due to grid instability have long plagued the sector, hindering output and impacting profitability.
John Abudulai Jinapor, Ghana’s Minister of Energy and Green Transitions, delivered the confident message at the opening of the 18th West African Mining and Power Exposition Conference (WAMPEX) in Accra on Wednesday. The three-day event, drawing over 5,000 registered delegates and 220 exhibitors from 30 countries, is themed “Driving sustainable investment opportunities in West Africa.”
Mr Jinapor underscored the symbiotic relationship between the mining and energy sectors, describing them as the “backbone of global development.” He stressed that any power fluctuations in these critical areas could severely impact production, compromise safety, and erode profitability.
The Minister highlighted recent reports indicating a newfound stability in power generation. Crucially, he announced proactive measures underway to enhance transmission efficiency, a vital step in ensuring power reaches its intended destination without hitches. In a concrete move, Mr Jinapor revealed his approval for the Electricity Company of Ghana (ECG) to inject 200 new transformers into major capital cities.
“I’ve granted approval to ECG as a matter of urgency to inject about 200 new transformers in our major capital cities to ensure that we do not just generate power, but we can transmit that power and distribute that power to consumers effectively and efficiently,” he affirmed, signalling a tangible commitment to improving the entire power value chain.
Beyond the immediate power assurances, Mr Jinapor also touched on broader policy actions aimed at revitalising and ensuring regulatory certainty for investors in both the power and petroleum sectors. He confirmed that drilling activities along Ghana’s offshore basin have commenced, indicating a renewed push in the energy exploration sphere.
Adding to the government’s positive outlook, Emmanuel Armah Kofi Buah, the Minister for Lands and Natural Resources, spoke to the evolving landscape of mining in the context of the global energy transition and climate action. He emphasised the imperative to “rethink traditional mining extraction models” to align with these global imperatives.
Mr Buah proudly pointed to the $1.2 billion foreign direct investment recorded in Ghana’s mining sector last year as a testament to the success of government policies in boosting investor confidence. “With decades of commercial mining experience that has made Ghana Africa’s largest gold producer and a top 10 global supplier, we have learned that true wealth lies not just in what we take from the earth but in how we develop it,” he stated, hinting at a more holistic approach to resource management.
Meanwhile, Michael Edem Akafia, President of the Ghana Chamber of Mines, reiterated the industry’s commitment to sustainability as the cornerstone of all mining operations. He stressed the paramount importance of ensuring the long-term survival and viability of the sector without compromising the environment. Mr Akafia also urged industry players to bolster the supply value chain by strengthening local capacity to ensure effective domestic participation.
In a show of collaborative spirit, Mr Akafia confirmed the Chamber’s full support for the Government’s newly established Gold Board, pledging assistance for its successful operationalisation. The collective efforts, it appears, are aimed at not just extracting wealth from the earth, but doing so in a manner that ensures both economic prosperity and environmental stewardship for Ghana.
