The Association of Ghana Industries (AGI) has advocated speedy adoption and promotion of renewable energy sources, so as to diversify the power generation mix and bring about competitiveness.
Ghana’s installed power capacity is about 4399MW of which 22.5WM is renewable energy against a demand of about 2,700WM. Despite the excess installed capacity, the AGI believes that the cost of power is still high and therefore wants the country to quicken the adoption of renewable energy like solar, which sees as a much cheaper option.
“The cost is still an issue and Ghana is considered one of the most expensive in terms of electricity tariffs. This means that there is possible demand for renewable energy,” said Seth Twum Akwaboah, AGI’s Chief Executive Officer. “Besides, the whole world is talking about renewables and gradually technology is advancing and it is becoming cheaper.”
He said the days of renewable energy such as solar been used primarily by very small users like household consumers belongs to the past. He explained that industrial usage is now also possible and that it therefore makes more commercial sense for “us to promote it.”
Mr. Twum Akwaboah spoke in Accra at a business roundtable meeting for renewable energy and energy efficiency service providers and noted that the right time to promote it was now, since power demand is growing by day and will gradually catch up with supply, hence the need to quicken the adoption of renewable resources of energy.
Realising the need to increase the uptake of renewable sources of energy the country, through the Energy Commission, wants to achieve 10 renewable energy component in the national energy mix by 2030. This, notwithstanding, the AGI believes that adoption still remains low due to lack of funding.
The roundtable event was organised by AGI Energy Service Centre, an AGI led energy consultancy, with focus on renewable energy and energy efficiency.
The AGI Energy Service Centre was launched in 2019 and is a component of the bilateral project between Ghana and Germany. It is under a project titled ‘Market entry into renewable energy and energy efficiency for productive sector’ and implemented and financed by the German government through the German Development Cooperation (GIZ), the Ministry of Energy and the Energy Commission.