The European Union has approved a grant of €9.7-million for Ghana.
The money is to go into improving the infrastructure of the Ghana Grid Company (GRIDCo) so that it can boost its infrastructure works on the interconnection line between Ghana and Burkina Faso.
EU is channelling the money through the French Development Agency.
A Joint press statement by the EU and the French Development agency said the grant is expected to increase electricity access in Northern Ghana and exporting capacity to the sub-region, especially Burkina Faso.
GRIDCo will use the facility to finance the upgrade of an 18km long 161kV transmission line located between Ahodwo and Anwomaso substation in Ghana’s second-largest city, Kumasi.
It will also support power transfer capacity from the South of the country up to Burkina Faso, through the 330kV line from Kumasi to Bolgatanga as well as bolster reductions in transmission losses.
The 330kV line project was initially financed with a US$174 million loan from AFD to GRIDCo and a 4.8 million euros technical assistance grant from the EU.
“It is a great example of European partners coming together to support the integration of regional electricity markets,” said EU Ambassador in Ghana, H.E. Diana Acconcia.
On her part, the French Ambassador to Ghana, Anne-Sophie Avé said, “This new project supported by EU and France will allow GRIDCo to complement one of the largest development investments of France in Ghana to enhance and upgrade electricity transport.
This is a testimony of what the partnership between Ghana and France is about: supporting a greener economy and job creation. This financing will translate into better and more reliable energy available for firms and Ghanaian citizens, and generate more growth, well-being and revenue for all”.
Mr. Jonathan Amoako-Baah, GRIDCo Chief Executive, who together with the EU and French Ambassadors participated in a signing ceremony for the grant said, “This financial support from the EU represents a significant investment in our quest to remain the leading power transmitter in the sub-region.
Our long-standing relationship with the EU, through AFD, continues to prove instrumental in the delivery of quality access to electricity in West Africa, in line with Goal 7 of the Sustainable Development Goals (SDGs).”
The €9.7 million grant agreement was signed in Accra by AFD Country Director, Christophe Cottet and Mr. Jonathan Amoako-Baah