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The Market
In Ghana, electricity accounts for about 9% of the total energy consumption. Energy consumption of Ghana is estimated at 6.6million TOE. Household electricity consumption is primarily for lighting and in some cases for cooking.
Exports of electricity in 2010 amounted to US $119.56 million. The volume of electricity in million of kilowatt-hours exported in 2010 was 1,002.51.In 2011 and 2012 the value of electricity exported amounted to US$66,105,797.55 and 50,865,042.14 respectively. ( See Table 1).
Table 1
Ghana: Value, Volume and Unit Price of Electricity Exports in 2010, 2011 and 2012. (In millions of US dollars, unless otherwise specified)
|
2010 |
2011 |
2012 |
|
|---|---|---|---|
|
Value |
119.56 |
66,105,797.55 |
50,865,042.14 |
|
Volume (millions of kilowatt-hours) |
1,002.51 |
691.84 |
611.54 |
|
Unit value (US’ 000/kilowatt-hour) |
0.12 |
0.0956 |
0.0832 |
Table 2
Sectoral Electricity Consumption in GWh 2005 - 2010
|
2005 |
2006 |
2007 |
2008 |
2009 |
2010 |
|
|---|---|---|---|---|---|---|
|
Household |
1,957 |
2,080 |
1,855.62 |
2,033.24 |
2,202.32 |
2,436.69 |
|
Commercial |
746. 9 |
841 |
702.21 |
781.40 |
754.45 |
819.94 |
|
Industry |
2,542. 6 |
3592 |
1,351.25 |
1,501.16 |
1,518.63 |
1,703.80 |
|
TOTAL |
5,247 |
6,513 |
3,909.09 |
4,315.81 |
4,475.40 |
4,960.42 |
|
Total System Losses |
1,418 |
1,425 |
1,236.48 |
1,483.45 |
1576.53 |
1,810.64 |
Approximately 10.3 million people (51%) have access to improved water supplies in Ghana. For the 8.4 million residents in the country's urban areas this increases slightly to 61% with two thirds of these or 40% of the total urban population covered by GWCL's networks.
With GWCL's unaccounted-for water (UFW) at about 50% of total output, the volume of water that is effectively sold (280,000 m3/day) is less than half of the daily demand (763,300 m3).
Investment Opportunities
Water
The water supply and sanitation infrastructure is insufficient, especially in rural areas. Major investments are needed to extend coverage as well as rehabilitate and maintain existing infrastructure.
Companies are invited to provide the following options for water supply and sanitation:
Electricity
Companies are needed to provide the following:
Ghana's utilities sector includes the Water, Sanitation and Electricity Sectors.
Massive investments in the Water and Electricity:
Ghana water sector is segmented into two parts and are identified as the Urban Water sector and Community Water sector.
The Urban Water sector comprises about 87 cities and towns where the national water utility- the Ghana Water Company Limited (GWCL) owns and manages water supply. The sector is under the dual authority of the Ministry of Water Resources, Works and Housing (MWRWH) and of the Ministry of Local Government, Rural Development and Environment (MLGRDE).
The Community Water sector deals with over 16,000 rural communities and some 287 small towns. Management of water supply is the responsibility of District Assemblies with facilitation and oversight role by the Community Water and Sanitation Agency (CWSA). Municipal assemblies and districts are responsible for investment, operation and maintenance of water and sanitation infrastructure within the community water sector.
The Environmental Sanitation Sub-Sector covers both liquid and solid waste management and disposal. The institutional framework places the overall responsibility of environmental sanitation with the MLGRDE.
The Government's policy on urban water supply aims to rationalize the urban water sector to promote and improve the delivery of water services in terms of economy, efficiency, effectiveness and satisfaction. The long-term goals of the policy are generally directed at providing the entire country with potable water by the year 2020 with emphasis on the payment of adequate tariffs by consumers to ensure full cost recovery and to provide adequate revenue for operations and maintenance and replacement of the systems. Private sector participation is a key element in the operations and management of urban water supply.
The electricity sector involves the generation, transmission and distribution of electrical energy for industrial, commercial and domestic use in Ghana. In Ghana electricity is run by two utility companies; the Volta River Authority (VRA), Electricity Company of Ghana (ECG) and Ghana Grid Company (GRIDCO).
The utility sector in Ghana has been subjected to structural reforms at various periods. The different reforms took the form of restructuring, commercialization, competition and privatization.
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