Accra, Oct. 8, GNA - Ghana and Brazil on Wednesday signed a Memorandum of Understanding (MoU) in Accra to construct a 90-megawatt (MW) capacity hydroelectric dam on River Oti at Juallay, near Pwalugu, in the Upper East Region.

Construction of the dam, which has been on the drawing board since 1992, is part of measures being instituted by government for additional 3,000 MW to the current national installed capacity of 2,000 MW. Work is expected to begin next year at an initial cost of 300 million dollars, with the Brazilian Government providing 250 million dollars and 50 million dollars by the Government of Ghana. Dr Joe Oteng-Adjei, Minister of Energy who signed for Ghana, said other thermal projects were underway to boost the country's energy sector. He assured the contractors, Constructura Noberto Odebrecht and Andrade Gutierrez that government was committed to provide all the necessary support towards the project.

Dr Oteng-Adjei explained that re-activation of the project was the outcome of a meeting between President John Evans Atta Mills and Brazilian President Lula da Silva during the Africa-South America Summit in Venezuela.

Mr Luis Fernando Serra, Brazilian Ambassador to Ghana signed for Brazil, while Mr Carlos Buerno Vieira, a Director of Constructura Noberto Odebrecht and Mr Fernando Ferreira, Director of Andrade Gutierrez, the contractors witnessed the MoU. The Akosombo hydroelectric dam has a generating capacity of 912 megawatts while that of Kpong is 160 megawatts and the third dam under construction is at Bui in the Brong Ahafo Region. About 99 per cent of electricity consumption in Ghana is supplied by the Volta River Authority (VRA). 08 Oct. 09