Omanghana
Ghana is expected to sign an agreement before the end of 2026 for the construction of a 1,200-megawatt state-owned gas-fired thermal power plant, President John Dramani Mahama has announced.
The President disclosed the plan during a town hall meeting with Ghanaians in New York on September 25. The proposed facility is intended to strengthen energy security, reduce electricity generation costs and provide reliable power for households and industry.
With a planned capacity of 1,200MW, the plant would have a higher nameplate capacity than the 1,020MW Akosombo Hydroelectric Power Station. Mahama also said the project would be financed without commercial borrowing, although detailed funding arrangements have yet to be published.
The project forms part of Ghana’s broader gas-to-power strategy. It is expected to use an additional 150 million standard cubic feet of natural gas per day from the Offshore Cape Three Points (OCTP) and Jubilee partners, with Gas Processing Plant 2 supporting the processing and delivery of the fuel. The government’s 2026 Budget says the additional gas supply could generate up to 1,200MW.
The proposed combined-cycle plant is planned for Kafodzidzi-Abrobeano in the Komenda-Edina-Eguafo-Abrem Municipality of the Central Region. Government officials have said feasibility studies have confirmed the project’s viability, while environmental assessments, engineering designs and permits are being advanced.
The first 600MW phase is expected to be commissioned in 2028. Officials have projected that the facility could reduce electricity generation costs and support lower tariffs, while creating thousands of direct and indirect jobs.
The plant is also expected to reduce Ghana’s reliance on imported light crude oil for thermal generation by increasing the use of locally produced natural gas. The government has linked the project to efforts to improve the financial performance of the energy sector, secure consistent fuel supplies and support industrial expansion.
The agreement and financial close expected before the end of 2026 will determine whether construction proceeds on the proposed schedule.
Source: Omanghana
