The Vice President of Ghana, Dr Mahamudu Bawumia has indicated that Government is working closely to reduce the cost of electricity generation to 10 Cents per kilowatt.
To that end, Cabinet has given the go-ahead for all public institutions to move from the national electric grid to the solar grid.
This move aims to reduce the burden and debt of the government on the Electricity Company of Ghana.
The Vice President said this at the 4th Ghana Renewable Energy Fair in Accra.
“The government has always found itself in a situation where it spends so much power but struggles to pay for ECG to run,” he said.
As of 2016, the government’s total debt was GH₵728 million forcing the country to issue a 7 to 10-year ESLA bond to service the energy sector debt.
Despite this intervention, it appears, the government remains the biggest debtor to the Electricity Company of Ghana.
The new move by the government to migrate all public institutions unto solar power is therefore to reduce the burden on ECG.
It is not yet known how much the whole project is going to cost the state or even the timeline for the start of the project.
The project when implemented would see the installation of solar panels at various state’s institutions across the country.
Dr Bawumia is optimistic that the move will reduce the cost of operations on the ECG.