Climate Parliament Climate Change & Energy Access for the Poor March 26-28, 2010, Limbe, Cameroun

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1 Climate Parliament Climate Change & Energy Access for the Poor March 26-28, 2010, Limbe, Cameroun SHEP Ghana s Self-help Electrification Programme By Henry Vanderpuye Energy Consultant, Ministry of Energy March 2010

2 PRESENTATION OUTLINE Background Brief National Electrification Scheme SHEP Achievements Conclusions

3 GHANA

4 Overview of Ghana -Land Area: sq km -Population: 18,845,265 (2000 Census) -Electricity Access: 66% -Consumption/Capita: 386kWh -Av. GDP Growth Rate: 6.0% -Major Exports: Cocoa, Gold, Timber, Bauxite

5 STRUCTURE OF THE REGULATED ELECTRICITY SECTOR Policy Advisor Technical Standards Licensing Enforcement of standards Ministry Of Energy Policy Formulation and Coordination Managers of NES Implementation Energy Commission Tariff Regulation Service Quality Standards Enforcement of standards Generation Utility VRA GRIDCO ECG PURC Transmission Utility Distribution Utility-Southern NED Distribution Utility-Northern

6 Electricity Supply Industry Structure (a) Before Reforms (b) After Reforms

7 ELECTRICITY SUPPLY INFRASTRUCTURE Generation Sources Hydropower Thermal Power Akosombo 1,012 MW Kpong 160 MW Bui 400 MW TAPCO (Takoradi I) 330 MW TICO (Takoradi II) 220 MW Mines Reserve Plant 80 MW Power Barge 125 MW VRA Tema 126 MW Osonor Power 126 MW Asorgli Power 220 MW Cenpower 400 MW Imports up to 250 MW

8 161 KVA Transmission Network in Ghana Solar Electrified Rural Communities

9 The National Electrification Scheme The National Electrification Scheme was instituted in 1989 as government s principal instrument to achieve its policy of extending electricity to all parts of the country over a thirty-year period, following GOG s successful implementation of NESRP ( ). At the inception of this scheme the following factors prevailed, National electrification access was then about 25%. Rural coverage was estimated at less than 5%. 46 out of the 110 district capitals existing then were connected to the grid.

10 National Electrification Scheme Implementation Strategy Comprehensive National Electrification Planning Study undertaken between by Acres International of Canada and Asare-Tsibu & Partners of Ghana. A comprehensive National Electrification Master Plan for 4,221 communities was developed. All possible options of electrification considered including grid extension and off-grid renewable energy-based solutions such as biomass, solar, wind & small hydro.

11 National Electrification Scheme Implementation Strategy Cont d 69 grid-based electrification project packages were identified and prioritized for implementation over six 5-year phases. Connection of district capitals given first priority (64 district capitals in total) and completion of already ongoing projects - Phase One Subsequent phases prioritized based on: economic, political, traditional & historical factors that included: - potential for small-scale industry activity, status as commercial market centre, tourism potential, political dispensation and historical importance of the area.

12 National Electrification Scheme Self-Help Electrification Programme -SHEP SHEP is a complementary electrification programme instituted to support the main NES. The rationale is to encourage communities to embrace and support the government s effort of extending electricity to all It is also to accelerate the extension of the grid to communities. Communities that initiated their township electrification projects received government s support for completion of the projects earlier than the scheduled date of connection under the NEMP

13 Self-Help Electrification Programme Criteria for Participation The criteria for qualifying to participate in SHEP were as follows: Community must be within 20 km of an existing 11kV or 33kV network suitable for further extension. Community must procure and erect all the low voltage electricity poles required for the local network. Evidence that a minimum of one-third of houses in the community are wired and ready to receive electricity supply. Community must apply to join SHEP.

14 Self-Help Electrification Programme Implementation Plan Rolling programme with each program spanning about 3-4 years implementation period (Shep-1, Shep-2, etc). Applications received are compiled for consideration by Ministry of Energy at the commencement of a programme. Visits are made to the various communities to assess their readiness based on the criteria for selection.

15 SHEP- Implementation Strategy Stakeholders and Roles Name Ministry of Finance Ministry of Energy Communities MP / District Assembly Role Procurement of foreign funds; Approval and release of budgeted local funds. Selection of communities, program planning, material assessment, costing, procurement, contract award, overall project supervision & monitoring, settlement of claims. Provision of LV poles, application for connection & communal labour. Assist with provision of LV poles, Lobbying (on behalf of communities).

16 SHEP- Implementation Strategy Stakeholders and Roles Name Distribution Company (Project Engineer) Network Operator Local Consultants (Engineer s Representative on site) Local Contractors Foreign suppliers & donors Roles Network design, material specs and requirements validation, supervision, of works, and approval of claims. Operation & maintenance Pre-construction survey, site works supervision, material collation and endorsement of contractor s claims. Construction & installation works Supply of off-shore materials & equipment through bilateral export credit facilities from foreign donors.

17 NES/ SHEP Financing Sources NES/ SHEP Projects are financed through a mixture of Local and External Sources External Sources: Grants and soft loans from a consortium of financing institutions including the Multilaterals & Bilateral funding agencies; Suppliers Credit Local sources: GoG - Consolidated fund, levy on consumers, Utilities/ Agencies Local Government MP s Common Fund, District Assemblies Community - Provision of Woodpoles and Labour

18 NES/ SHEP Achievements Period Communities , to date 2,500

19 NES/ SHEP Achievements cont d Regional Access to Electricity in Ghana as at 2008 Regions Electrified Communities Un-Electrified communities Access to Electricity Number Population Number Population Western 404 1,362,668 14, , % Central 464 1,418,450 7, , % Ashanti 1,021 3,735,166 18, , % Greater Accra 333 3,615,565 1, , % Volta 531 1,180,601 3, , % Eastern 470 1,589,509 12,661 1,001, % Brong Ahafo 445 1,399,903 17, , % Northern 192 1,091,015 3,833 1,415, % Upper East ,524 1, , % Upper West ,040 1, , % Ghana 4,070 15,966,441 81,892 7,972, % Source Ministry of Energy

20 Conclusion Ghana s SHEP arrangement is complementary to the NES (based on prerequisites of adequate generation and transmission capacities) Through SHEP additional local resources have been harnessed for electrification Through SHEP Ghana s electrification rate has been enhanced Through SHEP modern energy service has been made available to remote rural communities for improved quality of life

21 Appreciation MERCI BEAUCOUP

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