Ghana, Japan sign $13.44 million Grant agreement to improve power supply in Tamale

Ghana and Japan have signed a $13.44 million grant agreement aimed at improving power supply stability in Tamale and its surrounding areas.

The funding will be used to construct a primary power substation, which will help stabilize the power supply in the region.

The two-year project will also involve building a control room, installing transformers, and setting up interconnected sub-transmission lines.

The Finance Minister, Dr Cassiel Ato Baah Forson signed on behalf of the Government of Ghana while the Chief Representative of the Japan International Cooperation Agency (JICA) Ghana Office, Suzuki Momoko, signed on behalf of her government.

During the signing ceremony in Accra on Friday, Dr Forson expressed his appreciation to the Japanese government for its support, emphasizing the importance of the grant in stabilizing power distribution in the Tamale Metropolis. 

He also affirmed the Ghanaian government’s commitment to collaborating with JICA and Japan to launch projects that will accelerate the nation’s development.

“We are committed to strengthening our relationship with Japan and are open to working closely together to build on our strong bilateral ties,” he stated.

Dr Forson also appealed to the Japanese government for support in the construction of the Volivo Bridge in the Volta Region, a project he described as a priority for President John Mahama Dramani. 

He urged that all necessary preparations be completed to ensure the project is included in the 2026 budget and can begin next year.

Suzuki Momoko, in her remarks, highlighted the significance of the power supply project as a testament to the strong diplomatic ties between Ghana and Japan. 

She confirmed that the project would be managed by the Northern Electricity Company Limited (NEDCo).

Ms. Momoko noted that this is the second project funded by Japan following the 2015 Power Distribution Project in Tamale and Sunyani. 

The new project, which is expected to be completed within two years, will enhance power reliability for key areas in Tamale, including the Central Market, Central Business District, Central Hospital, educational institutions, and nearby rural communities.

She explained that the project will reduce both the frequency and duration of power outages in the region, leading to a decreased reliance on generators. 

This, in turn, will lower fuel costs and CO2 emissions, contributing to a more sustainable environment.