Ghana: Rainstorms Could Cause Power Outages-ECG Alerts Public

Ghana’s power distribution company, the Electricity Company of Ghana (ECG), has issued an alert to inform the public that the onset of rains could cause power outages in the country. The company said it was working tirelessly to strengthen and maintain a robust power distribution network, adding that massive rainstorm and stormy winds usually cause the falling of trees, billboards, ripped roofing, etc on electrical conductors, resulting in major outages. A release from ECG explained that the major outages that are caused by transient trippings are temporary interruptions. It said, however, permanent faults on their feeders would have to be rectified and might take a while to be restored by their engineers.
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The ECG urged individualised local outages and incidence of fallen or sagging conductors within customers’ vicinities to report to ECG by calling its Service Centre on 0302-611611, the nearest ECG office or reach out to them on their social media handles via Facebook, Twitter and Instagram for prompt intervention. The statement finally cautioned: “ECG wishes to alert all and sundry to be extremely careful during the rainy days not to go near any sagging or fallen electrical conductor since it could be fatal.”

Ghana: Ghana Gas Debunks COPEC’s False Alarm

The Ghana National Gas Company has dismissed claims by the Chamber of Petroleum Consumers (COPEC), a consumer advocacy group in the Republic of Ghana, that the Liquefied Petroleum Gas (LPG) supplied by the company for the local market is of lower quality. Executive Secretary of COPEC, Duncan Amoah, in an interview with some media houses in Ghana, claimed that the LPG processed from the West African nation’s gas company is contaminated. He, therefore, cautioned that the situation could cause explosion if not checked. However, Ghana Gas, in a statement signed by the Head of Corporate Communications, Ernest Kofi Owusu-Bempah Bonsu rejected COPEC’s assertion.
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“Mr Duncan Amoah asserted that Atuabo LPG is quite high in propane without providing standard measure of ‘high’. This statement is mischievous. LPG is a gas mixture mainly made up of propane and butane. The presence of propane in LPG amongst many other constituents contributes to the vapour pressure, density and calorific value of the LPG. “As a leding producer and marketer of domestic LPG, Ghana Gas ensures the quality of LPG and the standards for quality determination of LPG are in alignment with both local and international standards. The average vapour pressure of the Ghana Gas LPG over the last six months is 7.46kg/cm, which is well below the 9.5kg/cm required by the Ghana Standards Authority,” the statement said. It added that LPG produced from the Atuabo Gas plant is a rich and sweet feedstock with negligible/trace amounts of undeniable compounds. Below is the full statement  Copec 33   Source:www.energynewsafrica.com    

Zambia: ZESCO Limited, Power China Sign 600MW Solar Power Plant Contract

Zambia’s Electricity Supply Company, ZESCO Limited and Power China have signed three contracts worth US$548 million to develop 600MW (AC) grid connected Solar PV Power Plants. The plants would be located in Chibombo, Chirundu, and Siavonga Districts. The signing ceremony took place at the ZESCO Limited Head Office. A statement posted on the company’s website said the three-grid connected Solar PV projects would have a capacity of 200MW each. “The signing of the three contracts is historic for ZESCO and Zambia as a whole, as it is a significant step towards diversifying renewable energy development in power generation, the statement said.
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Commenting on the deal, Managing Director of ZESCO Limited, Mr. Victor Mulenga Mundende said that the project, will among several benefits, greatly profit the over one million current and potential customers by increasing access to reliable electricity, enhance industrial development and create employment opportunities to local people. He urged Power China to ensure that the plant technology takes advantage of the tremendous technologies that are continually improving on the market. He further urged Power China to expedite the works on time with due care to quality, performance, and safety. A Representative of PowerChina Authorised Mr. Wang Junzhou said his company was proud to partner with ZESCO in the provision of clean energy which will contribute to optimizing power structure, grid stability and the economy.               Source:www.energynewsafrica.com

Senegal: A West African Leader On The Rise (Article)

Although they are located 1,800Km from each other, Côte d’Ivoire and Senegal vie for the place of economic leader in West Africa, with a slight advantage for the former which, thanks to its leading economic capital Abidjan, was able to attract many investors, particularly French speaking. The population of Senegal reached 15.85 million people in 2018 compared to 25 million in Côte d’Ivoire. The same difference can be observed when looking at gross domestic product (GDP) since Senegal reached $25 billion in GDP in 2018, while Côte d’Ivoire reached $43 billion dollars. The competition between the two countries is justified by a recent common history, where Senegal acquired independence from France just two years after Côte d’Ivoire, in 1958 and 1960 respectively. Both countries are members of the Economic Community of West African States. The diplomatic group is led by Nigeria, which represents the economic engine of the region, followed by Ghana, also an English-speaking country. Next come Côte d’Ivoire and Senegal in third and fourth position. Thanks to an ambitious economic development plan initiated in 2014, the Senegal Emerging Plan (PSE), Senegal has managed to attract more foreign investors over the years. The objective of the PSE is to proclaim Senegal as an ‘emerging country’ according to the United Nations, which is characterized by a set of criteria making it possible to declare that the country has made decisive progress in terms of economic and social development. The notion of ‘emerging country’ also translates a notion of stronger influence on the international as well as regional community. Senegal is a country blessed with an excellent geographical location, at the westernmost point of the African mainland, featuring a large Atlantic coastline. Relatively developed transport and hospitality infrastructure translates to a great tourism potential. The Sine Saloum Delta region in the south is globally recognized spot for natural ecosystems and wildlife viewing, while the former capital Saint-Louis, north of Dakar, is praised for its colonial architecture heritage. 1.4 million tourists visited Senegal in 2017, up 40 percent from 2014. The sector generates over 300,000 jobs. Phase 2 of the PSE, which was launched in 2019, aims in particular to make Senegal independent from an energy point of view and endowed with universal access to electricity by 2025. The plan includes a strong renewable energy aspect. Several solar park projects have come online since 2014 as well as the commissioning of the largest wind farm in West Africa, Taiba N’diaye, whose official inauguration took place in February 2020. Since the launch of the PSE, Senegal has experienced a sustained and very stable growth rate of around 6% per year. While the COVID-19 epidemic may indeed affect the 2020 targets, the medium-term outlook remains very optimistic. The first productions of the Sangomar and Grand Tortue Ahmeyim fields, respectively of oil and gas, are planned for 2022 and 2023, with final investment decisions signed on the two projects. The Taiba N’diaye wind farm, planned to increase electricity production by 15%, is in operation. The first solar park went online three years ago and five more have been launched since then and two are in the pipeline. In addition, Senegal is part of the Senegal River Development Organization (OMVS) which aims to generate electricity from the Senegal river. Almost simultaneously with the launch of the PSE, an oil exploration team comprised of Australian FAR Ltd and Woodside Energy, as well as the British company Cairn Energy and Senegalese Petroleum Company (Petrosen), announced a large oil discovery off the coast of Dakar in deep waters. A year later, exploration company Kosmos Energy announced a very large gas discovery offshore in very deep waters, straddling the border with Mauritania. British Major BP has acquired operator status on the Grand Tortue Ahmeyim project, which aims to be the fastest liquefied natural gas (LNG) project ever developed. Although the COVID-19 epidemic is threatening what was originally planned, targets remain the same as pre-crisis. Senegal has decisive key success factors: an attractive geographic position, strong political and institutional stability, a very strong political will towards reform and progress, a flexible regulatory framework for investors and a stable business climate. Since the PSE did not foresee a strong development of the hydrocarbon sector, the discoveries of 2014, 2015 and the following ones constitute an excellent additional growth lever for a highly promising country. The development policy undertaken by President Macky Sall following his election in 2012 is a long-term policy, aiming to build the foundations of a solid economy, based on key sectors such as industry and energy, including a significant component of local content across the value chain.         Source:  Thomas Hedley  

Galamsey Is Killing Ghana’s Renewable Energy Dream (Article)

Ghana, a peaceful West African nation, is known for its warm reception for people from other parts of the world. It was the dream of the First President of the then Gold Coast to make Ghana, the Gateway to Africa. To achieve this dream calls for pragmatic and bold policies that harness natural, human and technology to accelerate development. Successive governments from Kwame Nkrumah through to Nana Addo Dankwa Akufo-Addo made notable efforts to drive economic development by attracting foreign direct investment whilst at the same time stimulating indigenous production of goods and services through adoption of sound business practices that boost growth. Despite these efforts, certain challenges continue to present themselves in Ghana as fleas on a poor dog’s skin. One of them is the galamsey menace which successive governments have unsuccessfully attempted to combat. This article attempts to examine the effect of galamsey on our quest to improve our energy mix through development of renewable energies. Renewable Energy Policy Space The world is in dire need of clean energy to drive economic growth. This need has engendered several efforts aimed at promoting renewable energy use across the globe. Ghana has also instituted a number of policy interventions to position the country as a nation capable of driving the clean energy agenda. In 2011 Ghana passed the Renewable Energy Act 823 to set the broad legal framework within which renewable energy interventions can be sustainably executed in line with its development dream. The purpose for developing the legislative instrument as stipulated in section 1 of the Act is to provide for the development, management and utilization of renewable energy sources for the production of heat and power in an efficient and environmentally sustainable manner. In the attempt to actualize the desire to improve the contribution of renewable energies like wind, solar, hydro and biomass in the energy generation mix of the country, Ghana with the support of development partners developed the Sustainable Energy for All (SE4LL) Action plan in 2011. The aim of the plan is to help Ghana to take result oriented actions to realize the SE4LL global goals including ensuring universals access to modern energy sources and doubling the share of the renewable energy in the energy mix. As far as renewable energy is concerned Ghana planned in 2010, to attain a 10% contribution of renewable energy sources to the total energy mix of the nation by 2020 but this target has been shifted to 2030 in line with SE4LL global goals.
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Additionally in Feb 2019 Ghana again developed the Renewable Energy Master Plan to push the renewable energy sector with the capacity to sustainably utilise resources and transform Ghana into a country with expertise in renewable energy research, production, and services. Also according to the National Energy Strategy of 2010 Ghana aims at achieving Universal Access to Electricity by the year 2020, but this timeline has been shifted to 2025 due to some challenges. Gradual gains are being made within the renewable energy space. The actual contribution of renewable energy to the total energy mix was 0.20%, 1.00% and 1.60% in 2013, 2015 and 2019 respectively. The implication is that more concerted efforts need to be activated both at the National and local government levels to achieve the goal. Renewable energy – mini or Medium Hydro Potentials One source of renewable energy is mini and medium hydro. Feasibility studies have been conducted on our numerous water bodies to access their potential contribution to renewable energy of the country. Ghana is indeed abound with a lot of opportunities and we are not lacking in the ability to generate additional energy through the mini and medium hydro infrastructure. Nine regions from the north to south have been identified to hold the potential for the development of electricity through mini/medium hydro facilities. Included are Western, Western North, Central, Bono, Volta and Ashanti Regions. Some of the rivers identified in these regions to hold the capacity to host medium or mini hydro dams include Pra, Ankobra, Enu, Offin, Tano and Tain. In terms of capacity, for example Oti, Tano and Pra rivers are estimate to support generation of 90MW, 118MW and 220MW of electricity respectively. In 2019 the first 45KW mini hydro (without dam) facility at Tsatsadu was commissioned by the Bui Power Authority in Volta Region to contribute to the generation of electricity. This is a testament that we hold the resources to attain sustainable electricity supply through hydro. The Challenge to Renewable energy (Hydro) In spite of the availability of the water bodies to support future development we are faced with real challenges. Apart from weak currency, inadequate technical knowledge and financing deficiency, the Renewable Energy Master Plan identified human and socio-cultural challenges as one of the impediments to developing mini hydro sites to improve renewable energy generation.  At the core of the human and socio cultural challenge is the menace of illegal small scale mining otherwise known popularly in Ghana as galamsey. Galamsey is practiced notoriously in many communities, in the regions mentioned above, such as Asakragua, Prestea, Twifi Praso, Obuasi, Tain, Oda and some communities around Black Volta. Most the activities of the local illegal miners, with the connivance of foreign nationals from other African Countries and Asia, especially China, have rendered our water bodies heavily polluted posing dander to human lives, aquatic organisms and jeopardizing the capacity of the identified water bodies to support mini/medium electricity generation. Rivers such as Pra, Ofin, Birim, Tano and Ankobra are heavily polluted to the extent that one needs no scientific study to understand the extent of destruction because the mere natural colour of the rivers is completely lost i.e. from colourless to distressing yellow or brownish. Do you need a well written theory to understand the galamsey business? Probably not. For those who live in the Western, Central, Eastern and Bono regions of Ghana, describing galamsey ‘business’ is just a story one yearns for its quick end. Not only has it almost become a normal business but there are suspicions about the sincerity of authorities in taking the right actions to end the illegal activity. People who engage in galamsey are considered by authorities as engaging in illegal mining activities but only few people are arrested and dealt with the law. The pollution of the river with excessively high levels of mud and chemicals has significantly impeded the swift flow of the identified waterbodies hence limiting their hydro potentials. The current state of the river bodies is not an impetus for attracting investment and this can negatively affect our renewable energy dream in future. The destruction of forest along the waterbodies also goes to negatively affect rainfall patterns which in turn limits the volume of water that flows to our existing large hydro dams. Way Forward A bold and a non-political decision is needed to address this national problem. The issue is that it’s difficult for a political institution to make a non-political decision. A non-partisan task force whose leadership is not appointed by the government but nominated by relevant professional and other concerned stakeholders must be resourced to strictly enforce the law on galamsey. I strongly agree to the suggestion that there is the need to collaborate with relevant stakeholders to create buffer zones and undertake reforestation along river bodies, and prevent mining, farming and logging activities. The punitive regime for dealing with recalcitrant illegal miners must be very deterrent enough and political interference must be absent. At the institutional level there needs to be enhanced collaboration among the relevant institutions including Forestry Commission, Lands commission, Mistry of Food and Agriculture, Water Resources commission, The Police and Military, Traditional authorities, Ministry of Science and Technology, Local Government structures (Municipal and District Assemblies and the Media. The government must ensure taxes paid by the citizens are used well to among other things create alternative livelihoods, especially in Agriculture for youths in the affected communities. Educational Opportunities should be opened up for young people to pursue their academic dreams at affordable cost because enhancing relevant education among the youth increases knowledge which limits their engagement in illegal mining. Let’s all support the effort to improve renewable energy solutions through enhanced environmental practices.     Source: SAMSON ADDO, MSc Energy Economics, GIMPA. Email: [email protected]  

Nigeria: UK Judge Dismisses $1B Bribery Case Against Eni, Shell

A UK judge has dismissed a lawsuit brought against Eni and Shell by the Nigerian government alleging that the oil and gas supermajors knew about US$1.1 billion in bribes given to secure an oil license in Nigeria nearly a decade ago. According to Bloomberg, the London-based judge on Friday dismissed the case on the grounds that the UK has no jurisdiction to try the lawsuit that is basically the same for which Shell and Eni are currently under trial in Italy.
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The Italian firm Eni and French supermajor, Shell are being tried in Milan for allegedly knowing that an alleged payment of US$1.1 billion in bribes was made to the former Nigerian government back in 2011, for which Eni and Shell secured exclusive rights to develop the now infamous oil block OPL-245 offshore Nigeria. The 2011 acquisition of block OPL 245, according to Italian and Nigerian prosecutors, involved a transfer of money to personal accounts held by the Nigerian oil minister at the time. The sum of the OPL 245 deal was US$1.3 billion, an investigation revealed, of which US$1.1 billion was used to bribe politicians and businessmen to secure the deal. Shell and Eni have always insisted that at the time, they were unaware of any wrongdoing. Eni and Shell were ordered to stand trial in Milan under the Italian legislation that mandates companies be liable for crimes committed by directors and executives when a suspected unlawful conduct has benefited the legal entity. In January this year, a key witness for the prosecution in the Milan trial backpedaled on previous testimony that he had seen evidence that Eni and Shell were involved in bribery over the oil deal in Nigeria. While the trial in Milan is in its final stages, other lawsuits are pending elsewhere over the same Nigerian oil deal. Shell, for one, faces prosecution from the Dutch authorities over the acquisition of block OPL 245.          Source: www.energynewsafrica.com    

Top 12 Listed Oil Giants Book Huge $20.6 Billion Loss In First Quarter Of 2020

The 12 largest listed oil companies in the world booked a combined net loss of US$20.6 billion for the first quarter this year, compared to a collective net income of US$23.4 billion for Q1 2019. This is, according to analysis of Anadolu Agency based on the companies’ results as reported by Oilprice.com. Anadolu Agency analyzed the financials of ExxonMobil, Chevron, ConocoPhillips, Halliburton, Schlumberger, Baker Hughes, Shell, BP, Total, Eni, Equinor, and Rosneft, and found that these oil giants saw their combined revenues drop by 17 percent year on year to US$262 billion in Q1 2020, from around US$315.5 billion in revenues for Q1 2019. All oil firms suffered from the oil price crash in the first quarter of 2020 and some, like Shell and Equinor, even resorted to cutting dividends in response to the weak operating environment and uncertain recovery ahead. In absolute numbers, the biggest loss came from Baker Hughes which reported a net loss of U$10.21 billion for Q1 2020. A week earlier, the oilfield services giant said it expected to book a non-cash goodwill Impairment charge of US$15 billion in Q1 and planned to slash capital expenditure (capex) by 20 percent this year in response to the crash in oil and gas prices and the COVID-19 pandemic.
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ExxonMobil reported on a surprise first-quarter loss on the back of hefty write-downs amid the oil price plunge, posting its first quarterly loss since the 1999 merger of Exxon and Mobil. The Coronavirus pandemic will change the world and the oil industry forever, Shell said at the end of April as it slashed its dividend for the first since World War II to preserve cash and value in a highly uncertain macroeconomic environment. Oil and gas exploration and production (E&P) companies around the world are set to see their total annual revenues plunge by a whopping US$1 trillion this year due to the Coronavirus pandemic and its effect on global oil demand and prices, Rystad Energy said in an analysis at the end of April.           Source: www.energynewsafrica.com    

Ghana: Make Ghana National Gas Company A Subsidiary Of GNPC – ACEP Tells Gov’t

The African Centre for Energy Policy (ACEP), an energy think tank in the Republic of Ghana has asked the Akufo-Addo administration to make the country’s National Gas Company (GNGC) a subsidiary of the Ghana National Petroleum Corporation (GNPC) as a response to the implementation of the Gas Master Plan. “The optimal option for achieving results in the oil and gas sector for Ghana is to pursue the top-down integration model with GNPC at the top as an anchor. This allows GNPC to support subsidiaries along the value chain with their balance sheet. This also requires that GNPC is refocused to invest its money in the core oil and gas business as has been done by other integrated national oil companies,” ACEP argued in a statement copied to energynewsafrica.com. The energy think tank said it has sighted a letter dated May 11, 2020 from the Presidency, endorsing and approving a proposal by the GNGC to assign the role of gas aggregator to the company, with further instructions for the expeditious implementation of the proposal by the Minister of Energy. The original proposal is contained in another letter dated May 5, 2020 to the Minister of Energy with the following in copy; Minister of Finance, the Executive Secretary to the President, Board Chair of GNGC, CEO of Ghana National Petroleum Corporation (GNPC), Director General of State Interest and Governance Authority (SIGA), the Deputy Ministers and Chief Director of the Ministry of Energy. However, ACEP has kicked against this move and further suggested to the government to rather make GNGC a subsidiary of GNPC as a response to the implementation of the Gas Master Plan. “The Gas Master Plan recommended that GNGC becomes a subsidiary of GNPC, with GNPC performing the role of a gas aggregator. According to the master plan “The decision to appoint GNPC as the aggregator of gas and making GNGC a fully owned subsidiary of GNPC will improve coordination in the sector and facilitate infrastructure investment and financing.”
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“This in addition to the security requirement by the OCTP partners informed government’s decision in 2015 to make GNGC a subsidiary of GNPC which was subsequently implemented in July 2016. Unfortunately, the merger only lasted for five months and abandoned after a change of government. “The proposal to make GNGC the gas aggregator is therefore not in line with the country’s Gas Master Plan which is a product of institutional and stakeholder consultation with support from USAID. This should not be altered at the wish of one party in the value chain. Abandoning the Gas Master Plan deflates the confidence of Development Partners in financing future policy development. “Transferring the role of an aggregator to GNGC also introduces significant risks for upstream investment and the power sector. The weak balance sheet of GNGC makes it unattractive to the investor community which has implication for exploration and production. The coincidence of the policy change with the challenging global oil industry on the back of COVID19 further exposes the country to high investment risks,” the statement said.  Below is the full statement   GNGC proposal analysis          

Ghana: ECG Confirms GoG’s Debt Settlement

Ghana’s power distribution company, the Electricity Company of Ghana (ECG), has confirmed payment of the Government of Ghana’s (GoG’s) indebtedness. It said the payment was made at the end of December 2019. This follows controversy surrounding the announcement by Energy Minister, John-Peter Amewu, last Tuesday, that the Government of Ghana has paid its indebtedness to the ECG as at the end of December 2019. A statement signed by the Managing Director of ECG, Kwame Agyeman-Budu indicated that a reconciliation exercise, which was undertaken by the ECG, with its suppliers, revealed that the GoG owed it an amount of GHS 2.63 billion as at the end of 2016.
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According to the statement, the ECG further realised that between 2017 and 2019, the GoG averagely paid GHS2 billion directly to ECG’s suppliers, ie, VRA, IPPs and GRIDCo, to defray GoG’s indebtedness to the ECG. “The total GoG account as at the end of 2019 has a credit balance of GHS505.8 million,” the statement said.
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“It is also important to add that GoG has also paid an amount of GHS4.1 billion directly to various fuel suppliers and power producers and is yet to be credited to GoG’s account under the ongoing reconciliation exercise,” it added.                        

Shell Offers Staff Voluntary Severance Pay

As the price of a Brent barrel is trading at nearly half of what it was at the beginning of the year, Royal Dutch Shell Plc (NYSE: RDS.A) is planning on offering some staff voluntary severance, according to Bloomberg sources. In a note to its staff, Shell CEO Ben van Beurden said that the Dutch oil major was working to become leaner and more resilient, according to the Bloomberg sources who saw the correspondence.
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The move comes after Shell cut its dividend in April for the first time since 1945—by two-thirds—in what even Shell considered an “inevitable moment” given the oil price route and uncertainty around demand. Shell also cut spending in March, by $5 billion per year compared to 2019 levels, to $20 billion. Shell may also make more job cuts in the second half of the year, the sources said. Shell said it would “go through a comprehensive review of the company,” adding that “where appropriate, we will redesign our organization to adapt to a different future and emerge stronger,” Shell told Bloomberg today. The oil price crunch has caused almost all companies to take a look at their financial plans. Already, the oil and gas industry in Texas alone has seen more than 30,000 jobs cut, and that figure is weeks old and will likely grow. Even as the United States begins to emerge from its restrictive lockdowns that has taken a chunk out of oil demand, it is widely expected that this demand will not snap back full force in the coming weeks, and many oil and gas companies—including the national oil companies–are prudently reviewing how their current strategies will fit into this gloomy outlook on oil demand and are making painful changes as necessary.     Source: Oilprice.com

Ghana: Days Of Cheaper Fuel Almost Over As Pump Prices Rise To GH¢5 – IES

Consumers of gasoline and gasoil in the Republic of Ghana will soon have to pay more than the current average pump price of GH¢4.01 per litre for fuel, the Institute of Energy Security (IES) has predicted, citing a surge in prices on the international market. The energy think-tank believes that the national average price of Gh¢4.01 per litre for petrol might be the lowest to be recorded in 2020 and that motorists must prepare to part away with roughly GH¢5.0 for a litre in the coming weeks, as Oil Marketing Companies (OMCs) are likely to adjust pump prices to reflect changes on the international scene. “Ghana, just like other consuming countries, has enjoyed some relatively low fuel prices since January 2020 when the Coronavirus broke out and brought about movement restrictions and low economic activities, resulting in oil and fuel demand destructions. Price of gasoline (petrol) which stood at GH¢5.36 (US$0.9) per liter in January 2020 is currently going for GH¢4.01 per liter on average terms; suggesting approximately, a 25 percent drop in local gasoline price since January. But the gains consumers have enjoyed since January may be eroded, as the prices of oil and fuels on the international market takes an upward journey,” a statement issued by IES said. The increase, according to IES, is imminent and this could prove very challenging for Ghanaians already being battered by an upward spike in food prices and a slowdown in economic activity due to the COVID-19 pandemic. And given that any rise in fuel prices has a multiplier effect on the price of food items and other consumables, the plight of the citizenry would further worsen. Although local prices are also influenced by the cedi’s performance against major trading currencies like the United States dollar, IES is of the view that the international benchmark Brent crude, which last Monday surged to US$34.8 per barrel: the highest level since March when Saudi Arabia and Russia’s price war began, does not portent well for domestic consumers. “It is unclear though, but if international prices continue the surge at the current rate to top US$35 per barrel, the benefits so far enjoyed at the local pumps may begin to diminish. It is insightful for consumers to note that the low fuel prices currently displaced at the pumps is basically the result of said Coronavirus depressing fuel demands, and has absolutely nothing to do with government interventions.
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Fuel consumers must therefore brace for an upward and a possible turbulent drive in next few months, should the recovery from the damage to demand on the international oil and fuel market be much quicker, resulting in higher international oil and fuel prices,” the statement said. Additionally, the argument for higher prices is based on the fact that Standard and Poor’s Global Platts benchmark for fuels also shows average gasoline and gasoil (diesel) prices has moved upward by roughly 55 percent and 33 percent respectively, since May 11 when the last pricing-window closed in Ghana. As of May 18, spot price closed at US$314 per metric tonne – US$37.6 per barrel – compared to the average price of US$203 per metric tonne – US$24.3 per barrel – recorded a week earlier. Diesel, meanwhile, has not been spared from the upward movements, as it closed trading on Monday at US$288 per metric tonne, US$38.6 per barrel. The jump in prices, the statement added, is a reflection of production output cuts initiated by the OPEC group, and hopes that the relaxation of lockdowns around the globe will boost the demand for oil and fuels like gasoil, gasoline, and jet fuel. “The combination of production curbs and demand recovery is expected to ease off the oil glut which is impacting negatively on oil producers in particular; seeing that Brent crude tumbled from roughly US$66 per barrel in early January to as low as US$19 in late April,” IES said.       Source: B&FT

Ghana: CIPDiB Commends Gov’t For Paying Its Debt To ECG

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The Chamber of Independent Power Producers Distributors and Bulk Consumers (CIPDiB) has commended the Government of Ghana for settling its electricity bills owed the power distribution company ( ECG). According to the Minister for Energy, John-Peter Amewu, the government had paid over GHS2 billion debt owed ECG. A statement signed by the CEO of CIPDiB, Elikplim Kwabla Apetorgbor described the government’s action as commendable. Related story:
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“We would like to commend the government for having settled all its indebtedness and more to the ECG. “By this singular act, the government is making the ECG financially sound to be able to settle its debts to creditors such as the Independent Power Producers whose debts have remained outstanding for far too long,” he said. The Chamber called on other institutional and household debtors to the ECG to take a cue from this act by the government by paying clearing their debts to ECG in order to make it financially stable to deliver on its mandate of providing stable electricity supply to its customers.       Source:www.energynewsafrica.com

Ghana: Our Demolition Exercise At Lapla Was Not Tribal Or Political-Bui Power Authority

Ghana’s largest second state power producer, Bui Power Authority (BPA) has described as false media reports suggesting that it has burnt homes of residents of Lapla community in the Banda District of the Bono Region for tribal and political reasons. A statement issued by the CEO of Bui Power Authority, Fred Oware, and copied to energnergynewsafroca.com, said: “The Authority wishes to state in no uncertain terms that this is totally misleading.” According to him, the demolition exercise in question was in accordance with the BPA’s policy of evicting unauthorised persons within the buffer zone around the Bui Reservoir to save the operations of the Bui Generating Station (BGS).
October 10, 2019 – Meeting with Migrant Fishermen at Lapla Fish Landing Site
“There were no and will never be prejudices against any particular tribe or political affiliations. BPA only carried out its legal mandate in the administration of its acquired lands. The area had been earmarked for a Landing Site Development Project which began in 2019 to facilitate the work of the Ghana Naval Team of the National Security Detachment deployed at BGS. Therefore, it is erroneous to report that the demolition was for the purposes of an ultramodern restaurant as was alleged in the media stories,” he explained. Mr Oware made references to series of meetings the Authority had held with a group of migrant-fisherfolks with the sole aim of explaining the dangers they posed to the BGS and why they had to vacate the area to the designated area for fishing.
November 18, 2019 – Meeting with Bongase Leaders on the eviction at the Bongase Palace
“The first of such meetings was held on October 10, 2019, at the location in question where a two-month notice to vacate the area was issued. On November 18, 2019, another meeting was held with the traditional leaders of Bongase to explain the need for the migrant-fisherfolks to leave that area. Subsequently, on December 4, 2019, at the request of the migrant fisher-folks, the deadline was extended to January 31, 2020. “Consequently, the final warning was issued on April 1, 2020, with the inscription: ‘REMOVE BY MAY 15, 2020’ on ALL the structures. Most of them left during the notice period. U “Unfortunately, some migrant-fisherfolks failed to adhere to the notice, prompting the Authority to issue a three-day ultimatum on May 15, 2020, which culminated in the demolition exercise, paving way for the Landing Site Development Project to continue,” he said.
Final Meeting on May 15, 2020 to mobilize and leave
Mr. Oware said the Authority sympathises with the affected people, but said: “It must be emphasised that we also have a responsibility to protect the reservoir and ensure the efficient running of the generating station. “We pray that such encroachment would not happen again,” he concluded.     Source:www.energynewsafrica.com  

Green Economy: Biodiesel As An Alternative Fuel And Business Opportunity

Today, millions of litres of used cooking vegetable oils are wasted—thrown away unceremoniously by households and businesses across the globe without realising that it forms a valuable part of the green economy where resources such as biofuels are becoming a valuable commodity. These used edible oils, known as Waste Vegetable Oils (WVOs), can be converted into biodiesel, which together with bioethanol, biowaste and other renewable sources form part of biofuels—a complementary and alternative energy source to fossil fuels. Unlike ordinary diesel, biodiesel is clean-burning and, according to analyst firm ResearchGate, provides exceptional engine performance with more lubricity while also emitting less carbon dioxide and other toxic gasses. In fact, according to ResearchGate, biodiesel reduces net carbon dioxide (CO2) emissions by up to 78% (per lifecycle) compared to ordinary diesel. Worldwide, the production and use of biodiesel are also gaining momentum as countries move towards reducing waste and recycling where possible while also finding ways to lessen their dependence on crude oil-based products.  It is estimated that the production of biodiesel will reach 41.4 billion litres by 2025. In South Africa, there is a significant opportunity for entrepreneurs particularly those in informal and rural settlements to use WVOs or edible oils in the production and resell of biodiesel. In Zambia, for example, a young entrepreneur has grown his business from 200 litres of biodiesel – produced from WVOs – to 3,000 litres per month, selling it to local customers for use in vehicles and machinery. At SANEDI (South African National Energy and Development Institute), the Working for Energy (WfE) programme, in partnership with the Biofuels Business Incubator (BBI) – an incubator under the Small Enterprise Development Agency (SEDA) – aims to promote the development of the biodiesel industry and the concomitant skill development for the emerging economy. As part of its mandate, the partnership has recognised the importance of WVOs and how it can be produced and converted into biodiesel as well glycerines, and thereby create a new industry and associated jobs. David Mahuma, General Manager: Working for Energy Programme at SANEDI, explains: “Through the Biofuels Business Incubator, we are effectively adding value to waste oils. We are structuring the waste oil collectors to become biodiesel producers as opposed to on selling in the black market, as this is an unhygienic and potentially harmful practice.” To support this incubation initiative, SANEDI’s WfE and the BBI have developed and deployed South Africa’s first mobile waste oil to biodiesel processing unit, which can reach waste oil collectors in their respective centres in urban areas thereby supporting community members in valorising this biowaste into something more environmentally benign. “Through ongoing education and training, we’re hoping to incubate a flourishing biofuel industry where communities can all benefit from the collection and upcycling of biowastes into useable products such biodiesel and glycerine that offer viable alternatives to traditional fuels and other products, thereby and supporting the circular economy in a just transition,” Mahuma concludes.  In Africa?