Siemens AG and Rotan Power have signed a memorandum of understanding (MoU) to develop and build the "most efficient and environmentally friendly" combined cycle power plant in Ghana.
The agreement signed on Thursday will see the global technology powerhouse, Siemens AG partner Rotan Power to build a 66 megawatts(MW) capacity power plant at the Aboadze Power Enclave located in the western region
The Vice President Dr Bawumia Mahmud Bawumia and the German Federal Minister of Economics and Energy Brigitte Zypries, witnessed the signing of the MOU, that will ensure an increase in the power generation capacity of Ghana to meet the increasing demand of residential and commercial customers.
"The plant will be the most efficient and environmentally friendly thermal plants, setting new standards in sub Saharan Africa," official website of Siemens reported.
It will be built in two phases, with commercial operations date of the first phase scheduled for 2023 with the second phase scheduled for 2025.
CEO of Siemens Sub-Saharan Africa, Sabine Dall’Omo says: “This project underlines the strategic partnership between Germany and Ghana and underpins the engagement of Siemens as leading global technology company in Africa. Together we will provide electricity to more than five million Ghanaians unlocking the economic potential by using power as a catalyst for socio-economic development.”
Chairman of Rotan Power, Mr. Kofi Morna says: “Rotan is delighted to partner with Siemens in deploying the first F-Class turbine in sub Saharan Africa with the lowest generation cost among thermal power producers in Ghana. Together with Siemens we will power the country and further improve access to electricity for our population. Furthermore the partnership will enable us to leverage skills transfer and training for Ghanaians.”
Siemens is responsible for the entire EPC turnkey scope. In addition Siemens – will provide Operation and Maintenance for 20 years
The German Export Credit Agency and Euler Hermes are set to provide financing for the project, which would be the largest plant in Ghana.
Benefits of the Project
- Rotan Power will significantly increase the power generation capacity in Ghana to meet the increasing demand for power for hundreds of thousands of residential and commercial customers.
- Increased power capacity will lead to significant economic growth and help to consolidate Ghana’s status as a middle income country.
- The power plant will significantly help in realizing the Government of Ghana’s objective in making Ghana a hub of electricity industry in West Africa, generating additional national income.
- Creation of employment during construction and long term jobs over the 20 year operating period of the power plant as well as other industrial and commercial activities that would result from the effect of the increase in long term reliable power supply.
- Rotan Power will mobilize long term foreign direct investment into the Ghana power sector bolstering Ghana’s position as one of the more attractive foreign investment destinations in Sub Saharan Africa.
Technology and Fuel Choices
Rotan Power will generate base load and reliable power using:
- Gas Turbines: using some of the highest efficiency gas turbines in the industry, Rotan Power will generate a total of 660MW over a 20-year term.
- Combined Cycle: to reduce generation costs and to limit environmental impact for the benefit of the people of Ghana, Rotan Power will install steam turbines and heat recovery systems to utilize the exhaust heat released by the gas turbines to produce additional capacity without additional fuel, thereby reducing the fuel costs per unit of energy by up to 33% and reducing environmental emissions.
- Natural Gas: Rotan Power will primarily use natural gas, a cleaner fossil fuel as compared to liquid fuel or coal, thereby significantly reducing the emissions from the facility. Rotan Power will source natural gas from the domestic sources and if necessary, from importation of liquefied natural gas.
By Fiifi Abdul Malik/ghanaguardian.com
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