The World Bank Board of Directors has approved a $1.6 billion landmark investment programme to bolster regional power system integration, enhance energy security, and advance the transition to a more affordable, sustainable, and lower carbon power sector in West Africa.
Out of the portfolio, Ghana would be allocated $150 million to support the country’s energy sector to ensure reliable electricity supply to households in the country, industries and businesses.
The $1.6 billion multiphase West Africa Regional Electricity Market Programme (WA-REMP), supported by the International Development Association (IDA), would address crucial electricity needs for households, industries, and medium-sized companies, as well as regional and national power sector institutions.
This is contained in a press release issued by the World Bank Office Washington in Accra last Friday and confirmed by the External Affairs Officer, Ghana and in charge of West and Central Africa, Kennedy Fosu, in an interview with The Ghanaian Times in Accra yesterday.
He said the new funding was under the new World Bank Operation to support a fully functional regional power market and address crucial needs for electricity access, reliability and security and enhancing regional power trade and energy access in West Africa.
Mr Kennedy said Ghana’s allocation was a long term credit with low interest rate, adding that the programme had to go through cabinet and receive Parliamentary approval before the World Bank would begin disbursement of the credit.
In its first phase, the External Affairs Officer for Ghana, said the programme would help implement the West Africa Power Pool (WAPP)’s Ghana-Côte d’Ivoire Interconnection project to enhance power transmission capabilities, facilitate electricity trade between the two countries – key players in the regional market – and strengthen connections with other regional participants.
Commenting on the support, World Bank Regional Infrastructure Director for Western and Central Africa, Franz Drees-Gross, said “WA-REMP is a transformative initiative that marks a new stage in the World Bank’s commitment to strengthening regional power system integration in West Africa.”
He said the projects “builds on the well-established foundation of the West African Power Pool (WAPP) and its vital regional interconnectors and strengthens the regional market and regulatory institutions to remove the remaining barriers to a fully functional regional power market. It also aligns with our Mission 300 (M300) ambition to provide electricity access to 300 million people in Sub-Saharan Africa by 2030.”
The World Bank said that the initiative would also bolster the resilience of the regional power system and launch of the regional power market.
It said it would also support the Mauritania Transmission Corridor Project helping to expand electricity access in underserved areas, reinforce the national grid, and support the development of renewable energy capacity and private sector investment, while also enabling electricity exports from Mauritania to the WAPP, contributing to regional energy security and sustainability.
“The new programme’s benefits will extend across West Africa, fostering economic growth and quality job while demonstrating the power of regional collaboration. It underscores the World Bank Group’s commitment to sustainable development and energy security in the region,” the World Bank Stated, adding that “By enhancing regional power system integration, it paves the way for a more resilient, inclusive, and sustainable energy future.”
Source: Ghanaiantimes