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General News of Wednesday, 28 November 2001

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VRA now in charge of West Africa Gas pipeline project

The Volta River Authority (VRA) has taken over the implementation of the West African Gas pipeline project and the first gas would reach Takoradi by the year 2005. Ghana's equity participation in the project would cost 80 million dollars.

Mr Kwakye Addo, Member of Parliament for Afram Plains South, said this in a statement in Parliament on Tuesday to commemorate VRA's 40th anniversary.

He said an outcome of VRA's recent generation and transmission planning study put the power needs of Ghana over the next decade at additional generation of about 550 megawatts and a corresponding expansion of the transmission system.

Mr Addo said VRA had, therefore, executed a memorandum of understanding with a development consortium led by Brown and Root of the UK to embark on the Bui Hydro-Electric Project.

The project was at present on hold would increase the country's energy supply by about 1,000 megawatts per hour per annum.

Mr Addo said the VRA was established on April 1961 with the mandate to provide electricity for the socio-economic development of the country and the anniversary was launched in Accra on November 21 under the theme: "40 years of Powering Ghana's Development".

He said activities lined up to mark the anniversary included documentary, features, talk shows, fun games and a lecture as well as photo exhibitions in Accra, Kumasi, Takoradi and Tamale and fun games to be climaxed with a grand Durbar at Akosombo.

Mr Addo said the VRA chalked significant landmarks that included expanding the Akosombo Dam to its full complement of six generating units, implementing the Kpong Hydro-Electric Project and the Takoradi Thermal Power Station.

The Authority also established subsidiaries, like the Volta Lake Transport Company, which had promoted the movement of agricultural and petroleum products, Volta Telecommunications Company that offered fibre optic services, a Hotel and a luxury boat for cruising on the Volta Lake.

Mr Addo said VRA's operations were smooth until the issue of cost recovery came up. Before 1985, VRA was exporting 70 per cent of its power.

He said the position had now changed with the domestic demand of energy now constituting over 70 per cent while export including energy consumed by VALCO was less than 30 per cent.

Mr Addo said VRA's proposed Prestea-Obuasi 161 kilovolt Transmission line would reinforce the transmission system and also facilitate the transmission of power between Ghana, Togo, Benin and Cote d'Ivoire.

The 161 kilovolt Sawla Sub-Station Project to be completed this year would enhance power supply to the Upper West Region and facilitate the electrification of additional towns in the Northern and Upper East Regions.

Mr Addo said the VRA expected to overcome the problems associated with uneconomic tariffs through the implementation of the Public Utilities Regulatory Commissions transitional plan by the end of 2002.

The Authority established a VRA Resettlement Trust Fund in 1996 into which it paid 500,000 dollars annually to the 52-resettlement townships along the Volta Lake and its environs.

Alhaji Amadu Ali, NDC-Atebubu in supporting the statement commended the VRA for supporting the NDC government's initiative of extending electricity to all parts of the country.

He said since there was an increase in the demand for electricity by many communities, the VRA had to acquire new transformers to serve the enthusiastic people to enhance their socio-economic development.

Mr Samuel Ofosu-Ampofo, NDC- Fanteakwa, commended the VRA for assisting the affected communities with social amenities and added that the Resettlement Trust Fund should also aim at adding value to the primary products of the people.

He said it was regrettable that Ministries, Departments and Agencies owed the VRA about 1.8 billion cedis while domestic consumers were made to pay instantly for their consumption.

Mr Joseph Gidisu, NDC-North Tongu said the VRA was strategic in the development of the country, however, the North Volta Basin, which was affected by the damming of the Volta Lake was not benefiting from the fund as their southern counterparts.

Mr Anthony Boadi-Mensah, NPP-Obuasi, Mr Kosi Kedem, NDC-Hohoe South, Mr Michael Teye Nyaunu, NDC- Lower-Manya Krobo, and Mr Dwamena Bekoe, NDC- Asuogyaman all supported the statement and commended the VRA for its dedicated services.