Energy Minister Backs VRA to Drive Ghana’s Power Security and 24-Hour Economy

In a renewed pledge to strengthen Ghana’s energy independence and reliability, the Minister for Energy and Green Transition, John Abdulai Jinapor, has assured the Volta River Authority (VRA) of his government’s unwavering support in maintaining the nation’s energy security and powering the emerging 24-hour economy initiative.

The Minister made this assurance during his working visit to the VRA Head Office on Friday, October 17, 2025, as part of a broader sectoral engagement with key institutions under the Ministry of Energy.

Minister Reaffirms Support for National Power Generation

During the engagement, Mr. Jinapor underscored the pivotal role of the Volta River Authority in Ghana’s economic and industrial framework, stating that the government remains committed to ensuring the state utility remains at the forefront of power generation and energy transition.

“The Volta River Authority is the cornerstone of Ghana’s power system. Its success is tied to our national growth, industrial expansion, and energy security,”
said Jinapor.

He commended the Authority’s management and staff for maintaining operational stability and ensuring consistent electricity supply despite macroeconomic and logistical challenges.

VRA’s Commitment to Reliability and Affordability

Welcoming the Minister, Edward Ekow Obeng-Kenzo, Acting Chief Executive of the VRA, reaffirmed the Authority’s commitment to delivering affordable and reliable electricity to sustain Ghana’s growing economy.

He noted that with the country’s electricity demand projected to rise by 300 megawatts annually, the VRA is embarking on capacity expansion and modernization projects to match future consumption patterns.

“Our engineers are working tirelessly through robust maintenance and planned capacity expansions. However, we need continued investment and government support to keep delivering affordable power for all Ghanaians,”
Obeng-Kenzo said.

The Acting CEO further emphasized that VRA’s projects, including expansions in thermal and solar generation, form part of a broader national agenda to diversify Ghana’s energy mix while maintaining grid stability.

A Call for Strategic Investment and Local Control

In his remarks, Minister Jinapor commended the VRA’s technical team for their tenacity and innovation, acknowledging their role in “keeping the lights on” over the last ten months despite the rising operational costs and infrastructural pressures.

He also used the occasion to critique Ghana’s dependency on Independent Power Producers (IPPs), describing it as a financially unsustainable model that drains public resources.

“If we had directed the billions of dollars paid annually to IPPs into expanding VRA’s capacity, we would have achieved a more affordable and secure power sector firmly under national control,”
Jinapor noted.

The Minister reiterated that the government’s energy transition strategy would prioritize state-led investments in power infrastructure, ensuring that institutions like VRA lead the charge toward a green and inclusive energy future.

Powering the 24-Hour Economy

A key highlight of Jinapor’s address was his call for the VRA to align its operations with the government’s 24-Hour Economy policy, a flagship initiative aimed at stimulating job creation and boosting productivity through round-the-clock economic activity.

“The 24-Hour Economy will require a stable, reliable power supply. The VRA must be at the center of this transformation,”
Jinapor said.

He pledged that the Energy Ministry would support VRA’s efforts through policy reforms, investment partnerships, and technical collaboration to ensure adequate power generation capacity for industries, businesses, and households across Ghana.

The VRA’s National Impact

Established in 1961, the Volta River Authority is Ghana’s largest power generation entity, currently meeting over 50% of the nation’s electricity demand.
VRA operates a diverse portfolio that includes:

• Hydro Plants: Akosombo and Akuse

• Thermal Plants: Takoradi, Tema, Kpone, Anwomaso

• Solar Plants: Kaleo, Lawra, and Navrongo

With a total installed capacity of over 2,500 megawatts, the Authority continues to spearhead Ghana’s mission for energy security, diversification, and sustainability.

Policy Outlook: Balancing Transition and Growth

Ghana’s transition toward renewable and green energy has become a central theme in national policy. The government aims to balance environmental commitments with the need for industrial competitiveness and reliability.

Jinapor’s remarks indicate that the administration intends to empower local entities like VRA to lead renewable expansion — reducing the fiscal burden created by private power contracts and ensuring long-term affordability.

Industry analysts note that this approach could reshape Ghana’s energy financing model, making it more sustainable and self-reliant.

The Minister’s engagement with the Volta River Authority signals a policy shift toward state-led resilience in Ghana’s power generation landscape. As demand continues to rise, VRA’s strategic investments, coupled with government backing, will determine how well Ghana balances growth, affordability, and sustainability in the coming years.

Frequently Asked Questions (FAQs)

1. What is the role of the Volta River Authority (VRA) in Ghana’s energy sector?
The VRA is responsible for generating and supplying more than 50% of Ghana’s electricity through hydro, thermal, and solar plants.

2. What did Energy Minister John Jinapor say during his visit to VRA?
He assured the Authority of full government support to expand capacity, maintain reliable electricity supply, and align with the government’s 24-Hour Economy policy.

3. Why is Ghana’s dependence on Independent Power Producers (IPPs) seen as a problem?
The Energy Minister described it as financially unsustainable, arguing that directing funds toward VRA’s expansion would yield more affordable, locally controlled power.

4. How much does Ghana’s electricity demand grow annually?
Electricity demand is expected to increase by approximately 300 megawatts each year.

5. What are some of VRA’s ongoing projects?
VRA is expanding solar facilities in Kaleo and Lawra, upgrading thermal capacity in Takoradi and Tema, and maintaining the Akosombo hydro plant.

6. How does this support align with the 24-Hour Economy policy?
Reliable electricity is crucial for industries to operate round the clock, a cornerstone of the government’s job creation and industrialization agenda.

Source: Accra Business News