Why is Ghana Supplying Nigeria with Energy?




Ghana is set to become a major exporter to Nigeria and other West African countries according to a paper issued by Ghana’s Deputy Minister of Energy, “How Ghana Kept the Light On.”

 

It said, “Ghana wants to be a major exporter of electricity and arrangements have been made for this.”

 

Less than 40% of Nigeria’s population – the largest in Africa – has access to electricity, and even with access, difficulties are present. Nigeria makes no secret about wanting investors to help power its renewable/alternative energy sector, but progress seems to be far behind other African nations.  It could be argued however that Nigeria actually has one of the highest potentials on the continent to meet its goals by utilizing its renewable resources.

 

Political infrastructure is an increasing worry for many looking to exploit Nigeria’s renewable energy sector, in addition to the lack of government incentives offered. While instability poses a huge threat to Nigeria, the West African country has the capacity to fuel other West African countries with its abundance of resources.

 

Nigerian President Umaru Yar’Adua had said his administration would provide 6,000 MW of electricity by December, and that it would provide 10,000 MW of electricity by the end of 2010. Although Ghana has yet to disclose the amount of electricity it expects to export to Nigeria, some believe that the amount could help Nigeria reach its projected totals.

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