The World Bank Board of Directors has approved $150 million to Ghana to support the country’s energy sector to ensure reliable energy supply to households, businesses and industries in the country.
This is part of a $1.6 billion investment programme under the West Africa Regional Electricity Market Programme (WA-REMP), and supported by the International Development Association (IDA), which would address crucial energy needs for communities, industries and medium scale companies, as well as regional and national power sector institutions.
Speaking at an interview, the World Bank External Affairs Officer in charge of West and Central Africa, Kennedy Fosu, said the funding is under the new World Bank operation to support a fully functional regional power market and address crucial needs for electricity access, reliability and security in West Africa.
“Ghana’s allocation was a long term credit with low interest rate”, Fosu said.
He added that the programme would have to go through Ghana’s Cabinet and receive Parliamentary approval before the World Bank would disburse the funds.
In another press statement, Franz Drees-Gross, the World Bank Regional Infrastructure Director for Western and Central Africa said the WA-REMP is a transformative initiative that marks a new stage in the World Bank’s commitment to strengthening regional power system integration in West Africa.
“In its first phase, the program will help implement the West African Power Pool (WAPP)’s Ghana – Côte d’Ivoire Interconnection project to enhance power transmission capabilities, facilitate electricity trade between the two countries and strengthen connections with other regional participants”, the statement reads.
Benefits for not just Ghana
Moreover, the funding will also support the Mauritania Transmission Corridor Project, aimed at expanding electricity access in underserved areas and strengthening the country’s national grid.
It will also help develop renewable energy capacity, attract private sector investment, and enable electricity exports from Mauritania to the WAPP, contributing to regional energy security and sustainability.
The Mauritania Transmission Corridor Project announced by the World Bank in 2024 , is part of Phase One of the West African-Regional Electricity Market Programme.
The new program’s benefits will extend across West Africa, fostering economic growth and providing quality jobs while demonstrating the power of regional collaboration and international investment.
Robust World Bank energy investments in Africa
The World Bank in recent times have announced significant investments in the African energy sector.
Earlier this year, the bank revealed plans to invest between $30 billion and $40 billion in electricity projects across Africa, as part of its commitment to tackling energy poverty on the continent.
Similarly, the Bank said it is funding a $1 billion project to expand Cameroon’s Nachtigal hydropower plant from 60 megawatts(MW) to 360 MW.
The World Bank also pledged $250 million for ASCENT Malawi project to deliver energy access to 4 million people
This $150 million investment in Ghana’s energy sector is just the latest in energy investments across Africa.
