Nigeria, Equatorial Guinea Ministers For Mineral Resources Hold Bilateral MeetingThe largest loan, issued in pieces starting in 2014 to 2019, went to VOGTLE in the amount of $12 billion for the construction of Vogtle Units 3&4—something the DoE coined “the nation’s next generation of advanced nuclear reactors”. The reactors will likely miss its promised November 2021 in-service dates. The second-largest loan in the program, issued in 2009, went to Ford Motor Company in the amount of $5.9 billion for the purpose of revamping facilities to improve fuel efficiency. The two loans account for more than half of the nearly $30 billion in outstanding loans issued by the DoE. The loan program is part of President Biden’s aggressive push toward cleaner energy, with Granholm a perfectly green second chair. The $40 billion in funds have been available and waiting for disbursement for years, but with the new Administration, expectations are that we will see more clean energy funds doled out. Source: Oilprice.com
Biden’s Energy Secretary Ready To Unleash $40 Billion In Green Energy Funds
President Biden’s new Energy Secretary Jennifer Granholm is ready to let loose $40 billion in Department of Energy loans, the former Michigan governor said on Wednesday at CERAWeek.
Granholm has selected Jigar Shah, founder of SunEdison, to spearhead the loan program as Director of the Loan Program Office.
The DoE’s loan program has been in place for years, and is responsible, according to IHS Markit, for backing the first five US utility-scale solar projects in the United States.
More uncharitably, the DoE’s loan program is also recognized for dispersing $528 million to Solyndra—the solar panel manufacturer that went bankrupt two years after receiving DoE funds.
The program, originally created in 2005 under U.S. President Bush, added a renewable energy component four years later, under President Obama.
Egypt: AfDB Approves Over $27million Loan For Kom Ombo Solar Power Plant Project
The African Development Bank’s Board of Directors has approved $27.2 million in loan financing for the design, construction and operation of a 200 MW photovoltaic solar power plant at Kom Ombo, in Upper Egypt on the river Nile.
The project is expected to lower electricity costs for businesses and residences, as well as reducing greenhouse gas emissions and creating construction and other jobs.
The project’s total cost is estimated at $156.4 million. In addition to the Bank’s financing, structured as a senior loan, the European Bank for Reconstruction and Development, the Green Climate Fund (GCF), Arab Bank and the OPEC Fund for International Development will contribute funding.
The plant, 800 km south of Cairo, is owned by ACWA Power, a leading Saudi Arabian developer, investor and operator of power generation and desalinated-water plants worldwide.
“We are delighted to support this project that will deliver one of the lowest generation tariffs on the continent,” said Kevin Kariuki, the Bank’s Vice President for, Power, Energy, Climate and Green Growth. He added that “the project supports Egypt’s energy transition and contributes towards the country’s achievement of its targeted 20% share of renewables by 2022.”
Egypt’s economy has continued to grow during the COVID-19 pandemic, and its electricity demands are increasing at an average annual rate of 7%. By increasing Egypt’s installed power generation capacity from renewable sources, the plant is forecast to reduce greenhouse gas emissions more than 7 million tCO2e equivalent over a 25-year period. During the construction phase, 800 jobs will be created.
Egypt’s electricity grid is linked to those of neighbors Libya and Sudan, and the plant has the potential to greatly contribute to energy trading and electricity access in the region.
The project aligns with Egypt’s national Integrated Sustainable Energy Strategy and the Bank’s New Deal on Energy for Africa which aims to increase the share of renewable energy through innovative financing in Africa’s energy sector. The project also advances the institution’s Light Up and Power Africa High-5 strategic priority.
The Bank’s Deputy Director General for North Africa, Malinne Blomberg said that “the newly approved transaction is a continuation of the Bank’s long-standing partnership with the Government of Egypt and its strong support for the country’s reform agenda.”
In addition to advancing the country’s green development, “the Kom Ombo project is also contributing to the sustainability of a sector that is essential for Egypt’s competitiveness and industrial development. More immediately, the recovery from COVID-19 will benefit from an efficient and sustainable energy sector,” she added.
Egypt is one of the founding members of the African Development Bank Group. Since starting lending operations in 1974, the Bank Group has financed over 100 operations in Egypt across several sectors.
Source: www.energynewsafrica.com
Zambia: $49.5 Million Unpaid Bills Force ZESCO To Embark On Mass Disconnection Exercise
Zambia’s electricity utility company, Zesco, has begun a mass disconnection exercise for all prepaid customers who have defaulted in settling their bills more than 30 days.
The exercise began on Monday, March 1, 2021.
According to the company, the exercise is aimed at halting the growing debt and improve cash flow.
Nigeria: Electricity Consumers Want NERC To Put In Place Compensation RegimeThe corporation is owed in excess of K900million (equivalent of $49,559,085.00) through unpaid bills by some of its postpaid customers, which negatively affects the company’s drive towards the provision of efficient services. In a statement, the company implored its customers to pay up in full in order to avoid any inconvenience that may arise due to suspension of power supply. “Customers are further informed that once disconnected, re-connection to supply will be activated upon payment of 75 percent of the outstanding amount and applicable reconnection fees,” the company said. Source: www.energynewsafrica.com
Ghana: Power Outages Hit Parts Of Ghana As WAPCo Cuts Gas Supply
Gas supply to some power generating plants in the Republic of Ghana have been cut, thereby resulting in power outages in parts of the West African nation.
According to the country’s power transmission company, GRIDCo, there has been an emergency closure of valve at the West Africa Gas Pipeline Company (WAPCo) on Wednesday at about 6:30am.
In a press statement, GRIDCo noted that key stakeholders in the power value chain including WAPCo, are currently working to restore gas supply shortly.
Meanwhile, the company said it has made arrangement for other generating plants to come online to restore supply to the affected areas.
“Any inconvenience caused is deeply regretted,” the statement said.
It would be recalled that several parts of Ghana experienced power outages last Saturday, compelling consumers to go on social media platforms to express their frustrations over the situation.
GRIDCo, in a statement, blamed the situation on interruptions on gas supply from the offshore field.
Ghana: Two Fuel Tankers Burnt In Fire Explosion At Kpone
Two fuel tankers loaded with petrol have been swept by fire at a yard at Kpone near Tema in the Republic of Ghana.
Energynewsafrica.com understands that one of the tankers got completely burnt while the other was partially burnt.
According to eyewitnesses, the incident occurred at about 7pm Tuesday.
Speaking to Energynewsafrica.com, The Deputy Tema Regional Commander for Ghana National Fire Service, DO1 Timothy Osafo Affum, who confirmed the incident, said his outfit received a distress call from the area and quickly moved to the scene.
According to him, the personnel of the service managed to bring the fire under control. Later, he said they detected that two of the tankers had been affected.
He could not confirm the cause of the fire but said investigations have begun to establish the cause of the incident.
There were no casualties.
It would be recalled that similar incident happened late last year in the area.
It is not clear whether it is the same tanker yard or not.
Source: www.energynewsafrica.com
Ghana: GRIDCo Warns Encroachers Of Demolition From Tema-Mallam
Ghana’s power transmission company, GRIDCo, has served notice to residents in Ashaiman, Adjei Kojo, Mempeasem, Dzorwulu and American House, in Greater Accra Region, who have occupied the right of way of its high voltage transmission lines to vacate with immediate effect.
In a statement issued Tuesday, GRIDCo said it will be carrying out a demolition exercise to rid the aforementioned areas of illegal occupants whose activities prevent access to the transmission towers.
The company believes the demolition exercise, when completed, would give its engineers and contractors unimpeded access to be able to carry out construction works to ensure adequate and quality power transmission to the Greater Accra Region and adjoining areas.
It said under the Transmission Line Protection Regulation, 1967 (LI542) as amended by Regulation No. LI 1737 of 2004, it is an offence for persons or institutions to conduct any form of activity in relation to the lands around the location of power transmission lines and towers in Ghana.
Operations including drilling, excavation works, lorry parks, shops, garages, bars and real estate undertaken in the areas extending for a distance of 15 meters on each side from the centre of the transmission towers for 161KV lines and 20 meters for 330KV lines are prohibited.
Ghana: Danger: Illegal Miners Dig GRIDCo’s Transmission Tower In Western RegionThese activities are said to pose danger to human life and property as transmission line faults can result in casualties and damage to properties. It would be recalled that last year, GRIDCo carried out a similar exercise at American House and Ayigbe Town in Dzorwulu, rendering scores of people homeless. Source: www.energynewsafrica.com
Ghana: GPGC $164M Judgment Debt: The Inside Story (Part I)
The news of recent $164 million judgment debt awarded in favour of GPGC Limited by the International Court of Arbitration against Ghana, a West African nation, for terminating an Emergency Power Agreement with the former has stirred controversy among Ghanaians.
While a section of Ghanaians especially the opposition NDC Minority, led by former Deputy Minister for Power, John Jinapor believes Mr. Boakye Agyarko should be blamed for the termination of the contract leading to the judgment debt. Others also believe the former Power Minister under whose watch the dubious contract was signed should be made to answer questions on why he signed the contract.
Addressing a press conference last week, the Yapei-Kusawgu MP, Hon. Jinapor, in one breath, alleged that Mr. Boakye Agyarko terminated the GPGC Agreement. In another breath, he claimed that the government ignored the experts’ advice of paying GPCG $18 million for early termination.
Speaking on an Accra-based Oman FM recently, Mr. Agyarko, a former Energy Minister under the current government, denied taking a unilateral decision to terminate GPGC’s Emergency Power Agreement.
He clarified that he only acted on the decision of Cabinet.
“It was during my tenure [but] don’t say I cancelled the contract. Let me say emphatically that I, Boakye Kyeremanteng Agyarko, did not use my will or power to cancel anyone’s contract.
“The decision was that we should negotiate them out. We sent the report to Cabinet who accepted it with all recommendations. I was asked as sector Minister to implement the report,” he said.
Facts
The Ministry of Power, which was created under the erstwhile National Democratic Congress (NDC), signed an Emergency Power Agreement with GPGC Limited for the procurement of 107MW power plant.
The agreement was signed on June 3, 2015, and was expected to be executed within a period of one month ending August 3, 2015.
The plant was to operate for a period of four years if it was procured.
Per the terms of the EPA, the Government of Ghana was supposed to pay ground rent for the period of construction and operations of the plant estimated at four years plus 18 months, provide fuel (natural gas) required for the operations of the plant for the said period. This included the construction of a gas pipeline to the plant as well as provide water required to operate the plant which included the construction of water pipelines from the nearest GWCL pipeline for the supply of clean water and sea water for cooling.
Energynewsafrica.com understands GPGC also wanted the Government of Ghana to wave taxes on equipment it intended to ship into the country.
Unfortunately, GPGC could not meet the timeline and the ruling NDC lost power in 2016.
Committee
In 2016, the Ministry of Energy under the erstwhile National Democratic Congress administration formed a committee to examine the various power purchase agreements.
The 17-member committee was headed by Mr. Michael Opam, who was working at the Ministry of Energy.
When the NPP took over governance in 2017 and Boakye Agyarko was appointed Minister for Energy, he reconstituted the committee by appointing Executive Secretary of Energy Commission as chairman of the committee based on the campaign promise of the NPP to review all the PPAs signed by the previous administration.
Membership of the Committee
1. Dr. Alfred Ofosu Ahenkorah—Executive Secretary of Energy Commission, Chairman
2. George Tettey- Ministry of Energy
3. Dr. Joseph Asenso- Ministry of Finance
4. William Sam -Appiah- —-Ministry of Energy
5. Mark Baah—-Ghana Grid Company
6. Anthony Bleboo—Energy Commission
7. Solomon Sarpong-Energy Commission
8. Grace Oppong——Attorney General’s Department
9. Amerley Amarteifio——Ministry of Finance
10. Solomon Adjetey—-Ministry of Energy
11. Hawa. T. Ajei—–Ministry of Energy
12. Leonardo Lamptey——Ministry of Energy
13. Richard Agbotame—-Ministry of Energy
14. Seyram Adabla——–Ministry of Energy
15. Anita Lokko——-Ministry of Energy
16. Ebenezer Baiden —-Electricity Company of Ghana
17. Cephas Galley—–Electricity Company of Ghana
18. Aminu Quadir—-Electricity Company of Ghana
The Committee’s Terms Of Reference Were As Follows:
The Terms of Reference (TOR) of the Committee were as follows:
1. Review and recommend for action, ECG executed PPAs that may be terminated with minimum or no collateral damage to Government and/or ECG;
2. Review and recommend for action, PPAs executed by ECG that may be deferred for later implementation; and
3. Develop a Model PPA and also procedures for future use in the procurement of power.
The committee worked under two sub-committees: Legal and Fiscal/Technical and reviewed a total of fifteen PPAs.
The committee categorised the PPAs into Group A (Committed Projects) and Group B (Candidate Projects).
The Legal Sub-committee reviewed the legal implications of terminating of the PPAs made available while the Fiscal/technical sub-committee assessed the capacity balance of the country from 2018-2030 based on the 2017 Electricity Supply Plan with some key variations arising from information available to the committee.
Findings Of The Committee
A total of thirteen (13) executed PPAs made up of 7 Committed Projects and 6 Candidate Projects were reviewed by the Committee. In addition ECG provided some information on two (2) other Candidate Projects with executed PPAs.
The Committee was made to understand by the Electricity Company of Ghana that, there were other PPAs under discussions. These projects were however not considered by the Committee.
The Committee subjected the PPAs to legal, Technical and Financial scrutiny.
From the Electricity Supply and Demand Plans that were reviewed and adapted by the Committee, Ghana would require generation capacity ranging from 3,170 MW in 2018 to 5,407 MW in 2030. This scenario assumes that, there would be adequate fuel to power the plants which are all thermal power plants.
Recommendations
Based on the analysis and conclusions arrived at, we wish to make the following recommendations:
1. Government should communicate its decision on whether or not it is prepared to grant support to the Candidate Projects as a precursor to action being taken on the PPAs. The decision to terminate or modify should be guided by the proposed capacity addition schedule in this report. Based on the responses from the proponents regarding any proposed changes to their PPAs, the necessary action on their PPAs could be taken.
2. Government should direct ECG to meet all proponents of power projects with executed PPAs for them to confirm or modify, where necessary:
(a.) Actual Capacity to be injected;
(b.) COD; and
(c.) Schedule of Capacity Injection at COD.
3. If the capacities and COD of the various PPAs indicated in this report are confirmed, then the following proposed actions (termination, deferment or downsizing) on the PPAs reviewed may be implemented by ECG in accordance with tables 8.3a, 8.3b, 8.3c and 8.3d summarised below:
i. Government may consider terminating the PPA of GPGC (executed between Government and GPGC) with an installed capacity of 107 MW at an estimated cost of USD 18 Million or else pay excess capacity charge of USD24.90 Million per annum over the contract period of 4 years.
ii. ECG may consider terminating the PPAs of ASG and Chrispod Hydro Power Ltd with a combined installed capacity of 585MW at an estimated cost of USD 39 Million or else pay excess capacity charges of USD 91.64 Million per annum for ASG and USD124.52 Million per annum for Chrispod over the period under consideration (2020 – 2030)
iii. PPAs of Amandi Energy, Cenpower Generation, and Marinus Energy with combined installed capacity of 578.5MW should be allowed to proceed without any modification;
iv. PPAs of Jacobsen Jelco, Early Power, Rotan Power, and AKSA Power, with a combined capacity of 1800 MW should be modified (deferred or downsized) but come online within 2018 and 2025 based on negotiation by the contracting parties. The estimated total cost of termination is USD200.37 Million should parties not agree on proposed modifications.
v. PPAs of Astro Power, KATT Power and Corks Energy, with a combined total capacity of 1,110 MW should be modified (deferred or downsized) and come online after 2025 based on negotiation with contracting parties or be terminated at a total estimated cost of USD72.72 Million if the modification is not acceptable to developers.
vi. No action is required on PPA of BXC which is a take-and-pay contract and does not attract any termination charges.
4. All development cost of power projects should be verified to ensure only prudent ones are included in termination costs. The negotiation on termination cost should cover all transferrable assets to the off-taker.
5. Only existing projects identified (and have been negotiated) for deferment shall be eligible to participate in the competitive tendering process until the projects are fully operational or terminated.
6. The ECG should be instructed not to sign any new PPAs under the current circumstances and all PPAs under discussion should be put on hold until bids are solicited for the procurement of additional capacity.
7. The Ghana Grid Company Limited (GRIDCo) should also be instructed not to sign any new Grid Connection Agreement with developers of power projects and all such agreements under discussion should be put on hold until bids are solicited for the procurement of additional capacity.
8. A committee be tasked to review all the seventeen (17) PPAs executed by ECG for Renewable Energy Projects totaling 890.5 MW and in the interim, ECG be instructed not to sign any additional Renewable Energy PPAs.
9. It is further recommended that all future procurement of power by distribution utilities in Ghana should be made through a competitive public bidding process.
10. The procedure for competitive procurement of electricity which was developed by Energy Commission in 2010, should be reviewed and adopted for implementation.
11. The model PPA already developed the Energy Commission as a guide to IPPs, should be reviewed by a committee for adoption.
Stay tuned for the part II
Angola: Eni Grants Fugro Multiple Offshore Geotechnical Surveys
Fugro has been awarded multiple contracts by Eni Angola to carry out geotechnical and environmental surveys off the coast of Angola between now and May, and two Fugro vessels from their world’s largest fleet of specialist geotechnical and geophysical vessels are currently active in the region.
Multipurpose survey vessel the Fugro Scout, specifically designed for seabed sampling and in situ testing in water depths up to 3000 m, has embarked on a deepwater environmental survey to acquire, analyse and interpret sediment and water samples from Eni Angola’s Agogo field development.
During the survey operations, specialist marine fauna observers (MFOs) will carefully monitor the marine mammals, turtles and seabirds that can be found in the area, and the study will gather key environmental baseline data on offshore Angola’s benthic communities, physicochemical sediment characteristics, and water column productivity.
The resulting Geo-data will characterise the site stratigraphy for Eni Angola and define the mechanical and physical properties of the soil for their subsea facilities. The Fugro Scout will also perform a range of geotechnical site investigations on the project, with work due to start early this month.
A second vessel, the Fugro Helmert, will join the Fugro Scout to conduct a route survey in Angola’s nearshore areas, including various environmental, geotechnical and geophysical surveys, to allow Eni Angola to calculate the best installation route and optimise cable burial protection for the New Gas Consortium.
Jaco Stemmet, Fugro’s Director for Africa, said: “Our vessels are supporting Eni in Angola and delivering a range of specialised Geo-data services. These projects are two great examples of how we unlock insights to help our clients design, build and operate their assets in Africa in a safe, sustainable and efficient manner.”
Ghana: We Did Not Provide Guarantees To IPPs – World Bank
The World Bank says it has not provided any financing or guarantees to the Independent Power Producers (IPPs) that signed Power Purchase Agreements with Ghana or the Electricity Company of Ghana during the energy crisis in 2014-2016.
In a statement issued by the Bank to clarify media reports that it provided guarantee to the IPPs during the power crisis era, the World Bank said to secure Ghana’s energy future, the Bank supported the Energy Sector Recovery Plan (ESRP) of Ghana for affordable and reliable electricity supply and enhance the accountability in the energy sector.
The ESRP mandates the rationalisation of gas and power purchase costs in line with the demand and approves the procurement of energy supply and service contracts in a competitive manner.
The Bank said the implementation of this policy was necessary to ensure that new power generation capacity was procured competitively and transparently based on the most cost-effective basis.
The statement said this was to prevent a recurrence of over-supply of generation capacity in future.
“The World Bank Group provided financing and a guarantee to the Sankofa Gas Project, which since 2019 has increased the availability of natural gas for power generation by leveraging private capital investment and promoting a cleaner energy mix,” the Bank said.
The World Bank indicated that it was committed to supporting Ghana in its efforts to sustain economic growth, accelerate poverty reduction, and enhance shared prosperity in a sustainable manner.
Source:www.energynewsafrica.com
South Africa: ENGIE Acquires 100 MW Concentrated Solar Power Plant
ENGIE has reached an agreement to acquire from Abengoa a 40% equity stake in Xina Solar One, a 100 MW Concentrated Solar plant, as well as 46% of the Operations & Maintenance Company.
The plant is equipped with parabolic trough technology and a molten salt storage system that allows for 5.5 hours of energy storage to provide reliable electricity during peak demand.
Power is contracted through a 20 years Power Purchase Agreement with Eskom (South African Electricity Public Utility).
Xina Solar One is supplying clean energy to more than 95,000 South African households and prevents the emission into the atmosphere of approximately 348,000 tons of CO2 each year.
The plant is located in the Northern Cape of South Africa, which is also the location of ENGIE’s 100 MW Kathu CSP plant.
Xina Solar One increases ENGIE’s renewable footprint and is a further step to cementing its position as the leading Independent Power Producer in the country. Synergies between Xina and Kathu will be developed to further enhance the operational efficiency of both plants.
“With the acquisition of this project, ENGIE is pursuing its low carbon strategy. Xina augments the country’s installed peaking power and reduces its dependence on coal-fired electricity. The 100 MW CSP plant also contributes to ENGIE’s geographic rationalization by expanding its footprint in South Africa, where it is the leading Independent Power Producer with 1,320 MW of installed capacity.” says Sébastien Arbola, CEO of ENGIE MESCATA.
Mohamed Hoosen, CEO of ENGIE Southern Africa commented: “ENGIE is valued as a highly skilled IPP and a long-term player in the South African power industry. We are adding an innovative high-performing plant and are increasing our CSP capacity. This investment will create value over the longer term while accelerating impact on the energy transition of our customers.”
Co-shareholders on Xina Solar One include Public Investment Corporation, a pension fund manager and a shareholder on ENGIE’s Kathu project (20%); Industrial Development Corporation, a development finance institution wholly- owned by the South African Government (20%); and Xina Community Trust, funded by the IDC (20%). Xina Solar One, which started commercial operation in August 2017, was built by Abengoa.
Completion of the transaction is subject to the fulfillment of certain conditions including merger control clearance from relevant competition authorities.
In South Africa, ENGIE has interests in a CSP plant (100 MW Kathu), a wind farm (94 MW Aurora), 2 solar photovoltaic plants (21 MW) and 2 thermal power peaking plants (670 MW Avon and 335 MW Dedisa).
Source:www.energynewsafrica.com
Nigeria: Gov’t, Private Sector Team Up To Build 200MW Solar Power
The Nigerian government and some private firms have planned to build Ashama 200 megawatts (MW) solar power farm, which could be the largest in West Africa.
The West African nation’s Minister for Power, Mamman Sale, who revealed this in Lagos, said when it is completed, “It will serve as the biggest utility solar project not only in the country but the West African region.”
Mamman, who was represented by his policy adviser, Abba Aliyu, said the project would be developed in partnership with Singapore-based renewable energy firm, B&S Power and SunnyFred Global.
He said it would be located on about 304 hectares of land in Ashama village, Aniocha South of Delta State, as part of the government’s Sustainable Energy for All (SE4ALL) initiative.
India Named An Achiever In Solar Power Growth Among 80-Member CountriesThe Minister said solar was, in the past, believed to be too costly but noted that in the last decade, the development cost of solar technology has dropped by more than 80 per cent. “With that, installations at both a utility scale and consumer level have been increasing. “Energy storage technology is also becoming cheaper, and as a result could help consumers to access cost-effective, off-the-grid capabilities,” he said. He explained that the Federal Government had launched vision 30:30:30 to deliver 30 gigawatts (GW) of electricity with 30 percent renewable energy by 2030, adding, “This is a key focus of the Nation’s electrification strategy to avail Nigerians reliable, sustainable and affordable power.” Source: www.energynewsafrica.com
Nigeria: No Increase In Fuel Price In March-NNPC Assures
The Nigerian National Petroleum Corporation (NNPC) has ruled out any increment in the ex-depot price of petrol in March 2021.
NNPC in statement signed by the Group General Manager, Group Public Affairs Division, Dr. Kennie Obateru, stated that the Corporation was not contemplating any raise in the price of petrol in March in order not to jeopardize ongoing engagements with organized labour and other stakeholders on an acceptable framework that will not expose the ordinary Nigerian to any hardship.
Nigeria: Be Ready To Bear Pains Of High Petrol Cost-Sylva To ConsumersNNPC also cautioned petroleum products, marketers, not to engage in an arbitrary price increase or hoarding of petrol in order not to create artificial scarcity and unnecessary hardship for Nigerians. The Corporation further stated that it has enough stock of petrol to keep the nation well supplied for over 40 days and urged motorists to avoid panic buying. The statement called on relevant regulatory authorities to step up monitoring of the activities of marketers with a view to sanctioning those involved in products hoarding or arbitrary increase of pump price. Source: www.energynewsafrica.com
India: Oil Minister Gives ‘Two Main Reasons’ Behind Rising Fuel Prices
Union Petroleum and Natural Gas and Steel Minister Dharmendra Pradhan has stated that reduced fuel production and oil-rich nations seeking more profits are the primary reasons behind spiraling petrol and diesel prices in the country.
“There are two main reasons behind the fuel price rise. The international market has reduced fuel production and manufacturing countries are producing less fuel to gain more profit. This is making the consumer countries suffer,” Pradhan said during his visit to inspect the venue where Prime Minister Narendra Modi is scheduled to address a rally in Assam’s Dhemaji.
He further stated, “We have continuously been urging the Organisation of the Petroleum Exporting Countries (OPEC) and OPEC plus countries that it should not happen. We hope there will be a change.”
The prices of petrol and diesel are increasing continuously for more than 10 days and in some states, the price of petrol has even crossed the Rs 100-mark.
Justifying the taxes levied on petrol and diesel, he said that the Centre and the states are doing various developmental works in the wake of the Covid-19 pandemic, for which they collect taxes, adding that these development projects generate jobs.
“Another reason is Covid. We have to do various development work. For this, Centre and state governments collect the tax. Spending on development work will generate more jobs. The government has increased its investment and 34 per cent more capital spending will be done in this budget. State governments will also increase spending. This is why we need this tax but there is also the need for balance. I believe the finance minister and state governments can find a way,” stated the minister.
Amid an outcry over record petrol and diesel prices, Union finance minister Nirmala Sitharaman on Saturday said the Centre and state governments will together have to work out a mechanism to bring retail rates to reasonable levels.
Source:www.energynewsafrica.com
Ghana: Gas Supply Interruption Upstream Cause Of Power Outages-GRIDCo
Ghana’s power transmission company, GRIDCo, has blamed Saturday’s power outages experienced in some parts of the country on gas supply challenges at the country’s offshore field.
Many Ghanaians, who have been experiencing power cuts have taken to social media to express their frustration over the issue.
https://web.facebook.com/nana.diabene/posts/10224232556151701
However, the power transmitter noted in a statement that the development resulted in about 1000MW power loss.
“To prevent a total shutdown, power curtailment was carried out, which affected major parts of the country including Accra, Tema and Kumasi, ” the statement said.
“Gas supply has resumed upstream and power to the affected areas will be restored shortly, ” GRIDCo assured.
