Update: PDS releases load shedding timetable for Saturday

The Power Distribution Services, PDS, has released a load shedding management timetable for Saturday, 6th April, 2019, to guide consumers in planning their activities for the weekend.

According to the release copied to energynewsafrica.com, the temporal load shedding management timetable has become necessary following the shutdown of Atuabo Gas Processing Plant for the completion of Takoradi-Tema Interconnectivity Project.

The shutdown of Atuabo Gas Processing Plant has resulted in a shortfall of 300MW of power.
The temporal load shedding covers Greater Accra, Ashanti Region, Eastern Region, Central Region, Western Region and Volta Region.Power supply is expected to be normalized when the Takoradi-Tema Inter Connectivity Project is completed in the next few days.Below is the load shedding timetable

South Africa welcomes private sector’s help to alleviate power crisis

Featured image: Stock Government is looking at ways to accelerate new power projects while the private sector is examining new technologies and financing options to ease South Africa through its current power shortfall, it emerged at the recent DLO Africa Power Roundtable. Speakers at the conference examined policy developments and Eskom as well as innovative power solutions involving hybrid systems combining solar PV with batteries to overcome power shortfall, says Alexandra Felekis, a Partner at Webber Wentzel. Speaking at the event, energy minister Jeff Radebe confirmed that Eskom on its own cannot supply the R1 trillion of investment in power generation, transmission and distribution needed by 2030 under the Integrated Resource Plan (IRP). Radebe noted that private sector participation will be essential, and he pledged to use his best efforts to remove obstacles that delay or hinder private sector solutions in the interests of the economy. His comments were echoed by a speaker from Eskom, who said the power utility is open to assistance from the private sector and invited suggestions and proposals to help alleviate its constraints. Power crisis: Embedded generation In the past few years, heavy electricity users examined embedded generation projects to offset rising Eskom tariffs. These solutions are now urgently needed, both to offset costs and ensure stable electricity supply. It is widely expected that distributed generation (small-scale power generation for own use, described in the draft IRP as embedded generation) will be part of the strategy to help meet the shortfall between capacity and demand in the short term. The annual allocation for distributed generation in the IRP from the years 2019 to 2030 is likely to be increased to 500MW a year. However, players in the distributed generation space are still concerned about the 1-10MW installed capacity restriction in the draft IRP. Several mines and industrial entities are ready with power projects that are between 30-60MW. If the installed capacity restriction is not adjusted in the final IRP, projects with an installed capacity above 10MW will be required to apply for a deviation from the IRP from the Minister of Energy. When Minister Radebe was asked whether he would consider making ministerial determinations under Section 10 (2)(g) of the Electricity Regulation Act to allow licensing of distributed generation projects that are not provided for in the IRP, the Minister reiterated that his department is willing to engage with the private sector directly. He invited motivated submissions in this regard. Funders are also more willing to look at distributed power solutions. The Development Bank of Southern Africa intends to launch a $200 million distributed power generation fund shortly after the IRP is finalised, for projects outside the Independent Power Producer Procurement (IPP) office’s renewable power programme. Expediting next bid round for renewable energy The IPP office said that shortly after the IRP is finalised it will release a request for proposals for an expedited bid round for renewable energy. It was confirmed by the IPP office that “expedited” would mean that the qualification criteria will be less stringent than in previous bid windows, with the aim of achieving a quicker evaluation process. Lessons learnt from previous bid windows would underline the changes made to the bid documents as well as the confidence in the private sector to develop and close feasible projects. A change in some of the bid requirements is expected, particularly those relating to increasing the active participation of previously disadvantaged groups in renewable power projects, from the early development of the project until operations, in addition to equity requirements. Despite the delays to bid window 4 of the REIPPPP, private sector sponsors in the room expressed confidence in the IPP office. It was clear that the private sector is ready and waiting to participate in the next bid window. Some concerns were raised about a disturbing narrative on social and broadcast media claiming the first and second bid windows of renewable power were excessively expensive. These criticisms ignore the context of the broader considerations that underpinned the renewable energy programme at the time. A spokesman for the South African Renewable Energy Council (SAREC) said the organisation would be working with the IPP office to contradict inaccurate information about the renewable power programme in future. Smaller developers were delighted to hear that the IPP office intends to shortly close the bid round for small projects, which has been on hold for several years. Exploring battery storage technology Eskom, which is in the process of finalising a pilot project using battery storage technology, will undertake a procurement process facilitated by World Bank funding to install battery solutions at 50-90 transmission sites around the country. The focus will be on regions far removed from generating assets. A feasibility study is under way. The numerous use cases of battery storage and the associated cost of this technology compared with baseload technologies were debated. It was recognised that battery storage has a role to play in our energy mix. Battery storage developers believe the greatest hurdle to using this technology is misinformation and lack of awareness of the use cases that largely justify the additional cost.

Ghana to save $300 million annually for generating electricity with gas – Bawumia

Vice President Dr Mahamudu Bawumia on Wednesday said Ghana would save 300 million dollars annually upon the successful completion of the reverse flow of natural gas from the Aboadze Power enclave to Tema for power generation.

The move, he said, would make the country self-sufficient in using gas for electricity generation and minimise the importation of natural gas from Nigeria. “Ghana has enough gas to power all her power plants without relying on imported gas because gas is much cheaper than liquid fuel, hence a policy decision has been taken to switch-over to gas in energy generation,” he said. Vice President Bawumia announced this when he delivered the keynote address at the maiden Town Hall Meeting by the Economic Management Team (EMT) at the College of Physicians and Surgeons, in Accra, on Wednesday. He said the country currently paid 24 million dollars a month in excess capacity charges for power generated and not being used, which would shore up to 41 million dollars later this year. The meeting was held on the theme: ”Our Progress, Our Status, Our Future,” to update the public on gains made, so far, and efforts to sustain them to engender economic growth and development. The meeting attracted representatives of civil society organisations, academia, traders, importers, freight forwarders and members of the public to interact with the EMT members and asked questions on a wide range of issues pertaining to the economy. Vice President Bawumia said the first phase of the switch-over of liquid fuel to gas would be completed this month, which would ensure evacuation of 60 million standard cubic feet of gas from the Western Region to Tema Power enclave, while Phase Two would be completed by July or August, this year.

Total Petroleum Ghana Limited paves way for better energy with its 4th solar-powered station

Total Petroleum Ghana Limited has converted its service station at Korle Bu into a solar-powered one. The Total Group is committed to a global solar program and is aiming to equip 5,000 service stations with photovoltaic solar panels around the world. The project is fully aligned with Total’s ambition to become the responsible energy major and its commitment to developing solar power. ‘The solar-powered stations represent Total’s commitment towards energizing communities and fostering sustainable development. It also illustrates the company’s dedication towards ensuring environmental sustainability, innovation, and premium customer service’ said the Managing Director of Total Petroleum Ghana Limited, Eric Fanchini on the occasion of the project. In addition to the solar station, the company introduced solar kiosks to selected service stations in Accra in 2018 to provide customers with easy access to phone charging and WIFI connection. The wave of renewable energy started in 2015 with the introduction of 100% Total solar lamps which are accessible at all TOTAL service station shops nationwide. Since Total Petroleum Ghana Limited inaugurated its three solar powered service stations, namely, TOTAL Tema Main Harbour, TOTAL Takoradi Airport Junction and TOTAL Miles 4 in Kumasi, it has been able to reduce its operation cost thus decreasing the pressure on the local grid and exploring the potential of solar energy. The four solar-powered stations were constructed and maintained by local engineers and solar experts. ‘As a responsible industrial player, Total takes action to develop new energies that are efficient and environmentally friendly, and it is our resolve to contribute to local development and environmental sustainability. This is equally central to the modernization of our service stations to bring convenience and quality products and services to customers’ said Eric Fanchini. Promoting a sustainable environment The TOTAL Korle Bu solar-powered station is an integral part of efforts to reinforce Total’s network identity with a resolutely contemporary image and installations that are more energy- efficient and outlets that blend harmoniously into the environment. The photovoltaic panels of 18.5 kWp on its forecourt roof convert the sun’s rays into electricity. This electricity is used to supply renewable energy to power the entire service station. ‘Its eco-friendly design, transparent canopy, earthy and neutral color tones, and green area creates a warm and welcoming environment for our esteemed customers. Whether customers fuel, service or wash their cars or simply get cold drinks at its Café Bonjour shop, they are partnering with us to build a more sustainable environment. The establishment of this solar- powered service station depicts Total’s dedication to continuous improvement and the establishment of an identity related to constant innovation that sets us apart in the downstream petroleum sector. We plan to roll out other solar-powered service stations in the nearest future,’ Eric Fanchini added. About Total Petroleum Ghana Limited Established in 1951, Total Petroleum Ghana Limited is a locally listed oil marketing company with over 4700 Ghanaian shareholders. The company has a retail network of 251 service stations across the ten regions of the country with activities spanning the Aviation, Bitumen and Mining businesses. The company provides expertise on engine performance and reduction in fuel consumption through premium quality fuels, lubricants and car care products. Total Petroleum Ghana Limited is ISO 9001:2015 certified and its respect for quality, standards, achievements and safety has propelled it to the forefront of the Ghanaian Petroleum Industry. About the Marketing & Services division of Total The Marketing & Services division of Total develops and markets products primarily derived from crude oil, along with all of the associated services. Its 31,000 employees are present in 109 countries and its products and services offers are sold in 150 countries. Every day, Total Marketing Services serves more than 8 million customers in its network of over 14,000 service stations in 62 countries. As the world’s fourth largest distributor of lubricants and the leading distributor of petroleum products in Africa, Total Marketing Services operates 50 production sites worldwide where it manufactures the lubricants, bitumen, additives, special fuels and fluids that sustain its growth. About Total Total is a major energy player, which produces and markets fuels, natural gas and low-carbon electricity. Our 100,000 employees are committed to better energy that is safer, more affordable, cleaner and accessible to as many people as possible. Active in more than 130 countries, our ambition is to become the responsible energy major.

PDS finally releases load shedding timetable

The Power Distribution Services, PDS, has finally released a load shedding management timetable to guide consumers in order to plan their daily activities. According to the release copied to energynewsafrica.com, the load shedding management timetable has become necessary following the shutdown of Atuabo Gas Processing Plant for the completion of Takoradi-Tema Interconnectivity Project. The current load shedding covers Greater Accra, Ashanti Region, Eastern Region, Central Region, Western Region and Volta Region. Below is the load shedding management timetable

Ghana: opposition party raises concern about ExxonMobil deal

The biggest opposition party in the West African nation, Ghana, the National Democratic Congress (NDC) has raised concerns with Ghana’s agreement with oil giant, ExxonMobil, describing it as a bad precedent and a financial loss to the State.

Parliament on Wednesday ratified the agreement between Government and the US oil giant ExxonMobil and its local partners, Goil Offshore Ghana Limited, for deepwater oil exploration in the Cape Three Points Block.

The Agreement, which is effective for 25 years, will however expire after 7 years if the exploration yields no commercial discoveries.

But the opposition party’s Spokesperson for Finance in Ghana’s Parliament, Cassiel Ato Forson, says the exemptions granted will deny the country the right revenues.

“Whoever did that negotiation for Ghana has indeed caused financial loss to this country. He has indeed messed us up big time. If Cabinet approved this, I beg to say that they should bow down their heads in shame because they have destroyed the revenue base for this country.”

“I am very surprised that the Ministry of Finance supports this. These are the very things we oppose. They came to government and within the first six months, they have approved it. Unfortunately, I am sad. Today is a sad day for Ghana. They have lost so much,” he added.

Meanwhile, the Deputy Minister for Energy in charge of Petroleum, Dr. Mohammed Amin Adam has described the agreement as a huge gain for the country.

“With these current exemptions that we are granting them, the total oil that Ghana will get is up to 84% and that is the highest so far in the history of our country. So if someone tells you that the terms are not good, you can tell from the net oil contribution that the country will get that that is not what the person is doing.”

The ExxonMobil Petroleum Agreement was signed by the Energy Minister, Boakye Agyarko on January 18, 2018.

The allocation, which was done through direct negotiation is situated in the deep water Cape Three Points area of the Western Region.

Dr Ben Asante’s impact as CEO of Ghana Gas

Dr Benjamin K. D Asante, CEO of Ghana Gas Ghana made history in 2011 when the West African country incorporated Ghana National Gas Company (GNGC) and started the development of gas infrastructure in the Western Region town of Atuabo for the processing and transportation of natural gas for both the local and international market. The decision followed recommendations by the National Gas Development Taskforce which was commissioned in February 2011, to review and make appropriate recommendations for speedy realisation of national gas commercialisation infrastructure system, after Ghana found commercial amount of associated gas 60km offshore between the Deepwater Tank and West Cape Three Points. Ghana Gas was mandated to build, own and operate the infrastructure required for the gathering, processing, transportation and marketing of national gas resources in the country.They were to build the offshore pipeline, the onshore pipeline, the Gas Processing Plant, the Natural Gas Liquids (NGLs) Export System and the office complex. Fortunately, Dr Sipa-Adjah Yankey was appointed by the late President JEA Mills, as the first Chief Executive Officer (CEO) of Ghana Gas and he supervised the infrastructure development of the nation’s premiere gas company. He, however, left office in January 2017 when his party lost the 2016 Presidential Election, whose results ushered in the incumbent New Patriotic Party administration led by President Akufo-Addo. As destiny would have it, Dr Benjamin K. D Asante was appointed by President Akufo-Addo to replace Dr George Sipa-Adjah Yankey. Dr Ben Asante took over Ghana Gas as someone with over 25 years’ experience in the oil and gas industry. Before assuming the position of CEO, he had been the Technical Director of Ghana’s first Gas Infrastructure project and also developed the gas infrastructure master plan for Ghana by 2008.He also served as a consultant to the Ghana National Petroleum Corporation (GNPC) and provided engineering services, project management and technical support for various projects across the world including UAE, Argentina, Brazil, Canada, China, Mexico, Russia, Thailand and USA. So the question is, what has Dr Ben Asante achieved at the Ghana Gas with all his experience after two year of being in office as the CEO? $ 206m savings due to gas utilization Dr. Ben Asante addressing a press conference at Ghana Gas’ Head Office in Accra At a recent press conference at the company’s head office where Dr. Ben Asante and Ernest Kofi Owusu Bempah Bonsu , Head of Communications at Ghana Gas, addressed the media, it was revealed that the use of processed gas from the Atuabo Gas Processing Plant, in place of Light Crude Oil (LCO), has yielded an average savings of about US$42.6 million in 2017 and about US $206.4 million in early 2018. The rise in savings in 2018 was due to a 43% increase in the price of LCO at 84.7/barrel from US$59.3/barrel in 2017.Since Ghana Gas begun commercial operations in 2015, LPG from Atuabo Gas Processing Plant has, on the average, accounted for 32% of national domestic consumption.The year-on-year analysis (2015-2018) shows that Ghana Gas supplied 40% of domestic LPG demand in 2017, the highest since the commissioning and commercial operations, thereby, reducing LPG import bill by US$47million.In 2018, the LPG supply declined by 2% relative to the 2017 performance due to gas substitution from ENI-Sankofa. $3m monthly savings due to indigenization It is important to emphasize that the decision by management of Ghana Gas not to employ the services of expatriates to manage the plant and its associated pipeline infrastructure, after the Chinese engineers from SINOPEC, who were managing the plant left but to rely on Ghanaian engineers, is saving Ghana about US$3 million monthly. This single decision has resulted to a savings of about US$60 million since April 2017. It is refreshing to also note that the first major maintenance shutdown, which was done between February and April 2018, was also done by staff of Ghana Gas Company. This is said to have enabled ENI to tie-in its pipeline at Sanzule. Gas Pipeline project Under the leadership of Dr. Asante, the company was able to complete the Esiama-Prestea lateral pipeline in 2017. This is to enable the company to send gas to consumers in the mining enclave in the Western Region and eventually to Kumasi in the Ashanti Region. Apart from the above, Ghana Gas is currently working on Karpowership Gas pipeline, which when completed, will supply lean gas to Karpowership barge in Sekondi to save millions of dollars in gas transportation and fuel substation. Expansion works are also ongoing on the Takoradi Regulatory and Metering Station to increase the capacity of TRMS from 130mmscfd to 400mmsfd. Incident free The implementation of Risk Based Process Safety Management by the company has also gone a long way to improve the overall safety management system to the extent that the company has not recorded any incident for two years now.”We also developed and implemented key HSE risks control procedures including the Management of Change Procedure in controlling HSE risk associated with changes and modifications to existing facilities,” Mr Owusu Bempah said. CSR projects It is important to emphasize that Ghana Gas, has also undertaken a number of Corporate Social Responsibility(CRS)projects in its operational areas. In the area of health and sanitation, Ghana Gas has registered 1,350 indigenes of Atuabo and Aboadze under the National Health Insurance Scheme to provide them with insurance so they can access health facilities in the area anytime they feel sick and need treatment. The company has also constructed an eight-seater water closet toilet and a mechanized borehole for Allabokazo.On education, the company has constructed four-Unit Teachers’ quarters in Anokyi and Asemda Suazo to relieve and lessen the pain teachers who are posted in the two communities go through. Ghana Gas has also gone a step further by providing Asemda Suazo an ulra-modern nursery school facility to enable children in the area have education. Aside these, GNGC has also supported Nzulezu Development Committee to rehabilitate their community school building, donated teaching and learning materials to Nzulezu community Basic School, made cash donations to the Domunli enclave for the rehabilitation of their only primary school, as well as a donation of two water tanks to Kikam Technical Institute. In the area of sports, GNGC made cash donations to Karela and Nzema Kotoko Football Club. Takoradi Regulating & Metering Station operated by Ghana Gas Author’s Email: [email protected] Contact: 0243782655

President Of OPEC Member Algeria Steps Down Amid Protests

Algeria’s President Abdelaziz Bouteflika has stepped down from the top office of the oil and gas-rich African nation following weeks of mass protests. Mass protests across Algeria erupted several weeks ago when Bouteflika announced he would run for a fifth term as president. Those protests forced him to rescind that decision, but the momentum against him failed to subside. Instead, it had increased and intended to do so until he steps down entirely. Exxon’s negotiations with Algeria for the development of local shale gas resources are being delayed because of the widespread anti-government protests in the North American country, Reuters reported two weeks ago, citing industry sources. The report came as no surprise as it comes on the heels of other media reports that energy companies are getting nervous about their Algerian plans amid the unrest and widespread protests in the nation rich in oil and gas. Algeria produces around 1 million barrels of oil per day (bpd). According to the latest available figures by OPEC, Algeria’s crude oil production in February stood at 1.026 million bpd. Under the OPEC+ deal for production cuts, Algeria should reduce its output to 1.025 million bpd, down by 32,000 bpd from its October level of 1.057 million bpd. The North African country is home to the world’s third-largest shale gas reserves, estimated at some 2,000 trillion cu ft, according to the Algerian government. Algeria is already an important gas supplier to Europe and is looking to increase its market share there. However, the country’s shale gas fields are concentrated in the south, where the population is against gas exploration. Development plans for the area were already stopped once by local protests last year, but Sonatrach, the state energy company, pledged to continue seeking ways to convince the local community leaders that the plans will benefit them. Source: Oilprice.com

Stable power will remain a mirage without realistic tariffs – Edward Bawa

The Minority in Parliament is warning that government risks running Ghana’s energy sector aground if the populace is not made to pay realistic charges for the power consumed. Member of Parliament for Bongo and a former communications consultant with the energy ministry Edward Bawa disclosed that players on the energy supply chain are reeling under serious financial challenges with GRIDCo projected to make losses of some GhC300 million by end of 2019. Speaking on the Ultimate FM’s Breakfast Show, Mr Bawa explained that the Akufo-Addo government made the worst mistake with its 17% reduction in utility tariffs without rather reducing the taxes on utility charges to the public. “In 2016 you will recall that the president stood at Mantse Agbonaa and said electricity bills are more expensive than rent and they reduced the tariffs by 17%. What it meant was that the tariffs were no longer cost reflective. “I was in favour of reduction of tariffs, however, where we should have been reducing tariffs was not the energy charge for the generation of the power, the distribution charge which is used for distributing the power and the transmission charge which goes to the power transmission agencies. “Government, however, decided to keep the taxes which we do not even know what they are using it for, and rather reduced the energy charge by 17% and that is what is causing the problem,” Bawa said. He cautioned that the country should not expect stability in power supply if government refuses to convene a meeting with the Public Utilities Regulatory Commission immediately, to realign the tariffs.

We’re moving power plants from Tema to Takoradi – Amewu

Energy Minister, John Peter Amewu Energy Minister John Peter Amewu has questioned the wisdom in building power generation plants at Tema in the Greater Accra Region when all the country’s oil and gas resources and infrastructure exists in Takoradi, Western Region. According to him, transporting the gas all the way from Takoradi to Tema to power the generation plants is very costly to the nation, thus, wondered why such a decision was taken. Speaking at a town hall meeting of the Economic Management Team led by Vice-President Dr Mahamudu Bawumia, the Energy Minister, in response to a question asked by a journalist and deferred to him by the vice-president about why the country is currently experiencing intermittent blackouts, said: “As a government, we continue to pay for gas that is available but cannot be used and the government continues to pay for heavy fuel to fire a plant that can equally rely on gas as a cheaper source of fuel. “And, so, what His Excellency has directed me to do is to move the plants that are feeding on heavy fuel from Tema to Takoradi”, he said. “The question we want to ask is: if you have sufficient gas in Takoradi, why will you go and put a plant in Tema? I don’t want to answer those questions … If I had the opportunity then, I’ll not put the plant in Tema, I’ll put the plant near the source of gas. “Because when the gas travels from Takoradi to Tema, it is also not free, it costs about $2.7 million. … For one month, the travelling cost of gas costs this country in a rage of about $15 million; that is just the tariff for the volume of gas that you’ll ship from Takoradi to Tema. The first thing, therefore, is that let us move the plant from Tema to Takoradi, which is a very good management idea…” Mr Amewu said. He said: “Mr Vice-President, the gas, as I’ve talked about, also means that you’ve gas but you are feeding on other expensive fuel because some of the plants are still in Tema that you cannot move. The only ones we are moving are mobile ones. There are some that are fixed, you cannot move them. What do you have to do? “Those that are fixed, let’s move some gas from Takoradi to the fixed plant. That again is cheaper because it reduced the price by more than 7 per cent and, so, it calls for what we call the tie-in. “The tie-in just allows us to be able to flow gas; currently we flow gas from Nigeria through Tema to Takoradi but we cannot flow gas to the reverse direction. So, the current tie-in that allows us to move the gas to Tema. By doing so, we have to stop the flow of gas. The stoppage of the flow of gas takes away almost 650 megawatts of power, so, this explains the intermittent shortfall that we have witnessed. “Fortunately, Mr Vice-President, I have an opportunity to visit the site and I can assure the good people of this country that work is progressing. The best thing we can do is to make sure that we speed up this process and I can assure them that by the 12thof April, we will complete the tie-in”, he explained. Additionally, Mr Amewu said: “What good thing is this tie-in also doing? We are not only tying-in … we have also begun to expand the current capacity of 130 to over 405 standard cubicle metres of gas per day. That is one expansion that we’ve done. “Another thing we have also done is to provide an opportunity for the future because we are a forward-looking government. We are not looking at elections, we are looking at the future. We’ve provided opportunities for future expansions. The government’s idea of One District-One Factory has made us add more valves so that in the future, power agencies or other agencies that want to rely on gas can easily tap in without shutting down. “So, Ghanaians, we are sorry, this short period is just intermittent and I can promise you that from 12 April when the tie-in is completed, you’ll continue to enjoy sustainable power”. Mr Amewu also explained that: “The shortfall we are experiencing currently is as a result of the migration, largely from the gas pipeline to the light crude ready fuel, and also, the diesel plant. We have sufficient diesel currently in the stock of Tema Oil Refinery. “I want to assure Ghanaians that – first of all, we want to apologise for this intermittent supply – but we are never back to an era where we have a consistent, persistent shortfall in supply. We are in an era where there is installed capacity available but what we need to do is to change that installed capacity to availability”.

Bawumia laments GRIDCo’s power transmission deficiencies

Dr. Mahamudu Bawumia

The Vice President, Dr. Mahamudu Bawumia has lamented the inability of the Ghana Grid Company Limited (GRIDCo) to operate at optimum level in the country. He says the company is struggling with transmission challenges as a result of obsolete distribution equipment. Explaining the recent power cuts at a town hall meeting on Wednesday, Dr. Bawumia insisted that Ghana is producing enough power but GRIDCO, the power distribution company, is unable to distribute it due to its old systems. “Even though we don’t have problems with power generation capacity, we have some problems with the transmission. The GRIDCO network is old and it has been unable to invest in high capacity lines because of financial difficulties.” Dr. Bawumia also disclosed that the country is currently paying an amount of $24 million per month for unused power under the agreement with the Independent Power Producers. He said there are fears that amount may double this year. “The energy sector is key for industrialization. We inherited many challenges in the sector but they are being addressed. Ghana has excess capacity in energy generation but the contracts entered into for many of these IPPs are expensive and financially burdensome. Most of these contracts are ‘take or pay’ arrangements. This means that even if we don’t need the power, we still have to pay for it. Ghana is currently paying $24 million a month in excess capacity charges alone for power we have not used. This will increase to about $41 million a month later this year, with the coming onstream of CEN Power, Early Power and Amandi power plants.”

Breaking News: Residents of Odumase-Krobo block roads, burn tyres over ‘dumsor’

Scene of the protest Information reaching energynewsafrica.com indicates that residents of Odumase-Krobo in the Eastern Region have blocked all the major routes in the area this evening in protest of three days of continuous power outages. The action of the residents, this portal understands, has peeved scores of passengers onboard various vehicles and heading to places like Asesewa, Kpong, Accra and other areas. Reports say the residents are also burning lorry tyres on the Odumase-Asesewa road, Odumase-Kpong road as well as the road from Odumase to Accra. Vehicles from Accra, Asesewa and Kpong which wanted to use Odumase to their various destinations were said to have been made to retun to where they were coming from. Eric Boafo, a reporter with Rite FM, who confirmed the incident, described the situation as worrying and terrible. He said there had been three days of continuous power outages and that the residents hoped that power would be restored. He said the unpleasant situation compelled the residents to do a public announcement to warn that if power was not restored, they would be compelled to hit the streets. According to Eric Boafo, power was restored this afternoon only for it to go off at about 6:25pm. The situation he said angered the residents to hit the streets. Reports say personnel from the Odumase-Krobo Ghana National Fire Service (GNFS) are at the scene to quench the fire, but the angry youth are resisting them.

Ghana: NEDCO’s copper cables stolen in Berekum

Copper cables on towers belonging to the Northern Electricity Distribution Company (NEDCO) have reportedly been stolen in the Berekum municipality of the Bono Region.

The towers connect to the new sub-station in Berekum which supplies power to Dormaa, Drobo, Sampa, Wamfie, Wamanafo, and other surrounding communities.

This comes barely two weeks ago when some perpetrators hacked down one of GRIDCo’s transmission towers near its head office in Tema.

The Corporate Communications Manager of NEDCO, Maxwell Kotoka, who confirmed the incident of theft said the development is frustrating.

“Some copper cables belonging to us have been cut and taken away from a number of our towers between the new 161Kv sub-station and the 34Kv sub-station for distribution all in Berekum. In all, there are 22 towers and the copper cables have been stolen from 16 of the towers. The copper is not energized, they protect the towers from thunder and lightning,” Mr. Kotoka explained.

He said the theft of the cables could affect power distribution in the area.

“What we have done is that we have reported the incident to the police. We have done some engagements with the assembly, the political leadership of the area, stakeholders on the importance of each person helping in protecting the equipment and accessories,” he added.

Mr. Kotoko said NEDCO has taken steps to engage a contractor to have the stolen cables replace.

“We want to caution that we cannot continue replacing them as they get stolen and so we are urging everybody to be on the lookout for unscrupulous people who engage in the habit of stealing. We are also in collaboration with the driver unions to help us track such persons,” Mr. Kotoka noted.

Source: citinewsroom.com

Exxon May Sell $3B Worth Of Oil, Gas Fields In Nigeria

ExxonMobil is considering selling some of its stakes in onshore and offshore fields in Nigeria, and those stakes could potentially raise US$3 billion, Reuters reported on Tuesday, citing banking and industry sources.

Exxon has recently held talks with Nigerian companies to see if there is interest in its assets in Nigeria, some of Reuters’ sources said, as the U.S. supermajor is now predominantly focused on boosting production in the Permian and developing the huge oil discoveries offshore Guyana.

Exxon is set to soon open in Nigeria the so-called data room with details about the oil and gas fields it plans to divest, one source told Reuters.

According to the sources, Exxon officials have recently discussed with Nigerian companies stakes in onshore oil fields, in which Exxon participates in joint ventures with the Nigerian National Petroleum Corporation (NNPC). The U.S. major, however, is also mulling over selling stakes in offshore oil fields.

Exxon is one of Nigeria’s largest foreign oil operators and its production in 2017 stood at 225,000 bpd.

Nigeria, however, has been a difficult international scene for supermajors in recent years with militant violence disrupting export pipelines and streams and pipeline vandalism leading to spills.

Exxon is now primarily focused on getting the most out of the Permian and of the Guyana discoveries, which are its key growth areas for the coming years.

Exxon plans to significantly boost its earnings and cash flows through 2025, also thanks to asset sales.

“Cumulative cash flow from operations and asset sales over the period from 2019 to 2025 is $24 billion higher than what was communicated at last year’s analyst meeting, including $15 billion from anticipated asset sales from 2019 to 2021,” Exxon said last month.

In its Investor Day presentation in early March, one of Exxon’s key upstream messages was to aggressively enhance its portfolio competitiveness by executing industry-leading exploration opportunities, improving operations, and increasing divestments.

Source: Oilprice.com