IFC-VRA to set up power plants in Ghana

The International Finance Corporation (IFC) has signed a Memorandum of Understanding (MoU) with the Volta River Authority (VRA) for the establishment of power plants to augment Ghana’s energy capacity.

The Head of the IFC’s Africa Special Initiative for Infrastructure, Richard Arkutu,  told Citi News the MoU will allow the Corporation to collaborate with the VRA and identify international developers that will help it [VRA] achieve the government’s planned installed capacity target of 5,000 megawatts by 2016.

“We will help VRA identify and shortlist the projects they want to embark on and help them with the feasibility study work.” he explained.

Mr. Arkutu was optimistic that the set target would be reached and added that the IFC would assist the VRA in partnering with companies that have the “expertise to contribute to the development of those projects and help to structure the financing packages that will be needed to get those projects built.”

The Chief Executive Officer of the VRA, Kirk Koffi, expressed his delight at the partnership and told Citi News the “added [energy] generation” would be a good thing for Ghana’s growing economy.

“Ghana is growing very fast, which is a good thing for us.We should be able to move forward to realize the government’s agenda of 5,000 megawatts within the shortest possible time,” he added.

Fears that the country’s energy problems might worsen have risen in recent times after the VRA announced that there had been a reduction in the water level of the Akosombo dam.

However, the completion of the Atuabo Gas Project and  the IFC’s Partnership with the VRA might reduce the pressure on the Akosombo Dam  in dealing with the country’s current energy challenges.


By: Edwin Kwakofi/