Keypoints:
- First 600MW phase targeted for 2028
- Government projects 10–20 percent tariff reduction
- Government says GE turbines secured directly
GHANA is pressing ahead with the development of a 1,200-megawatt state-owned gas-fired power plant as the government seeks to expand electricity supply, improve reliability and reduce the cost of power for households and businesses.
Finance Minister Cassiel Ato Forson reinforced the government’s commitment in an August 18 post on X, saying: ‘We are building a 1,200-megawatt state-owned power plant to deliver more reliable and affordable electricity!’
The statement puts fresh attention on one of Ghana’s biggest planned power investments, first outlined in the 2026 Budget and later detailed in the government’s Mid-Year Fiscal Policy Review. The critical test will be whether the project can be delivered on schedule and whether lower generation costs ultimately translate into cheaper electricity for consumers.
First 600MW targeted for 2028
The planned combined-cycle gas-fired facility is expected to be developed at Kafodzidzi-Abrobeano in the Komenda-Edina-Eguafo-Abrem Municipality in the Central Region.
During the July 23 Mid-Year Budget presentation, Forson said feasibility studies had confirmed the project’s viability, while environmental assessments, engineering designs and permitting processes were progressing.
The first phase is expected to deliver 600MW and is targeted for commissioning in 2028, with a further 600MW planned to bring the plant to its full 1,200MW capacity.
The development comes as Ghana seeks to strengthen long-term energy security while managing financial pressures across the power sector. Africa Briefing has also reported on the country’s efforts to expand solar generation as part of a broader diversification of its energy mix.
Government targets lower tariffs
The Mahama administration is presenting the project not only as a capacity expansion programme but also as a potential route to lower electricity costs.
Forson has said the plant could help produce an estimated 10–20 percent reduction in electricity tariffs while creating more than 2,000 direct and indirect jobs during its first phase.
That tariff reduction remains a government projection rather than a guaranteed outcome.
Electricity prices will also depend on factors including gas costs, exchange-rate movements, transmission and distribution losses, utility debt and the wider financial condition of Ghana’s electricity sector.
Those pressures have made energy reform increasingly important to Ghana’s investment strategy, particularly as the government seeks to make electricity more competitive for manufacturers and other large consumers.
Government cites procurement savings
Forson has also said the government procured gas turbines directly from GE Vernova, avoiding third-party purchasing arrangements.
According to the finance minister, that approach generated estimated procurement savings of 35–45 percent.
The claim puts procurement and project management under greater scrutiny as the state takes a more prominent role in electricity generation.
Africa Briefing has previously examined how project preparation and procurement oversight can influence the long-term value of major African energy investments.
The plant also forms part of Ghana’s wider $3.5bn energy investment drive, spanning hydrocarbons, renewable energy and other power-sector initiatives.
Delivery will be the real test
A 1,200MW state-owned power station would represent a major intervention in Ghana’s future generation mix.
But Forson’s August 18 message also shifts attention from ambition to execution.
Financing, construction milestones, gas availability and the ability of the electricity value chain to pass lower generation costs on to consumers will ultimately determine whether the project delivers the reliability and affordability being promised.
For now, the planned 2028 commissioning of the first 600MW phase provides the clearest benchmark against which progress can be measured.
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