Ghana’s Ministry of Energy and Green Transition has constituted an Implementation
Committee to fast-track processes to begin the construction of the country’s second gas processing plant to increase gas supply to boost electricity generation.
Ghana commissioned its first gas processing plant in 2015 to utilise natural gas from the Jubilee and Sankofa Oilfields for power generation after extensive work started in July 2011.
Due to the high cost of alternative fuels for power generation, Ghana planned to construct a second gas processing plant (GPP2) to reduce the burden of procuring expensive fuels to power the thermal plants in the west and eastern power enclaves.
In February 2023, Ghana National Gas Company signed a $700 million deal with a Consortium, comprising the Integrated Logistics Bureau Limited, Jonmoore International, Phoenix Park Limited and African Finance Corporation for the second gas processing plant under the previous administration.
However, with the Mahama administration embarking on reset agenda, it is likely government will do away with the deal.
The committee is chaired by Deputy Minister of Energy and Green Transition Richard Gyan Mensah, with the Project Development Co-ordinator being Guure Brown Guure.
The other members are Dr Yussif Sulemana (Advisor), Sam Arthur, Robert Lartey, James Demetrius, Wisdom Dogbey, Horace Hato, Theo Acheampong and Efua Payida.
The rest are Dr Simon Akorli, Mr Leonard Akufo -Kwapong, Hamis Ussif, James Yamoah and Laila Duweijua, Esq.
The implementation committee will be supervised by a steering committee co-chaired by the Ministers of Energy and Green Transition and Finance, John Abdulai Jinapor and Dr Ato Baah Forson, respectively.
Speaking at the inauguration of the committee at the Ministry of Energy and Green Transition on Monday, May 12, 2025, both Minister for Energy and Green Transition, John Abdulai Jinapor, and Dr Cassiel Ato Baah Forson, Finance Minister, expressed concerns about the cost of imported liquid fuels for power generation, stating that they were putting pressure on public finances and threatening energy security.
Minister Jinapor explained that it has become necessary for the construction of a second gas processing plant because the country has a gas supply deficit of 100 mmscf so annually over $1 billion has to be used to buy liquid fuels to keep the power plants running.
“We are compelled to buy very expensive fuel to fill the gab. The second gas processing plant will save us close to $500 million annually,” he said.
Besides the project saving the nation from expensive fuels, the minister said it would also create direct and indirect jobs to about 1,500 people.
Once completed, the GPP II is expected to improve the supply of natural gas for power generation and industrial use, reducing the country’s reliance on liquid fuels and easing foreign exchange pressures.
On his part, Dr. Cassiel Ato Baah Forson said when the previous Mahama administration was leaving office, the country had enough gas to power all the power plants but said nothing was done only for them to return to experience a major shortfall in terms of gas supply to the power plants.
He expressed surprise that the country has to annually spend about $1 billion to buy fuels to power the thermal power plants.
Dr. Forson charged the committee, chaired by the Deputy Minister for Energy, to deliver a comprehensive implementation plan within four weeks, stressing that the country could no longer afford delays in critical infrastructure delivery.
“This is too important for our country’s welfare and economic stability. Enough of the bureaucracy; let’s get it done,” he said.
Source:https://energynewsafrica.com
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