Specialisation In Energy And Environment

Published Date: 02 Nov 2017

HOW CAN RENEWABLE ENERGY RESOURCES BE UTILISED AS A SOLUTION FOR IMPROVING ENERGY AND ELECTRICITY ACCESS IN GHANA?

ABSTRACT:

Development of renewable energy has received much attention due to increases in oil price and concerns from environmentally-concerned organisations. This paper reviews the electricity generation, consumption trend and pattern for access to modern forms of energy in Ghana. Meeting the ever increasing energy needs of Ghana has been a difficult task in recent years and several rural communities also lack access to modern energy services. The existence of energy demand above the generation capacities of the currently operational power plants, the inoperable state of others as well poor energy infrastructure account for this. Social and economic developments to a high degree are dependent on access to modern energy services, thus the need to ensure that access is improved. The paper examined the potential of meeting the energy needs of Ghana with its renewable energy resources as well as improving electricity access. Energy generation and consumption patterns were examined and access to electricity reviewed. It was found out that Ghana indeed had adequate renewable energy resources that could be utilised efficiently to meet its energy needs and improve access to modern energy services. Once these resources were exploited and developed with the right investment, it would foster sustainable development.

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TABLE OF CONTENT

LIST OF ABREVIATIONS

GWh - GigaWatt hour

IEA - International Energy Agency

kWh - kilowatt hour

MDGs - Millennium Development Goals

MRP - Mines Reserve Plant

MW - MegaWatt

SAPP - Sunon Asogli Power (Ghana) Plant Limited

TAPCO - Takoradi Power Company

TICO - Takoradi International Company

TT1PP - Tema Thermal 1 Power Plant

LIST OF TABLES

Table 1 - Global population without access to modern energy in 2010

LIST OF FIGURES

Fig. 1 - Percentage share of Ghana’s primary energy supply as at 2011

Fig. 2 - Map of Ghana showing potential hydro sites (both small and medium)

LIST OF APPENDIX

Appendix I - Ghana’s energy balance for 201

1.0 INTRODUCTION

Development to a higher extent depends on energy access. Various facets of human livelihood are dependent on energy. Energy access especially access to modern forms of energy is significant for fuelling social and economic development. For every country, energy access and availability is of great concern to the government, since it is a major driver of economic growth and development in general.

Thus for developing countries, the world over seeking to attain a high status of economic and social development, the availability and access to modern forms of energy and services remain a significant piece for solving that puzzle.

Ghana, located on the West coast of African with a population of approximately 25 million people and counting with a developing industrial sector, an upcoming oil and gas industry ,therefore resulting in a high and rising energy demand.

The total electricity generation capacity of Ghana’s various generation plants amounts to about 6038 GWh, about 80% of which is consumed in major cities and towns. National access to electricity supply stands at about 72% [1] . Many rural and remote dwellers therefore do not have access to electricity. They rely on traditional sources of energy such as fuel wood, kerosene lamps, etc. which may cause a number of health conditions in the long term.

Another major development that continues to spur up interest in the development of renewable energy resources is global oil price hikes, which has impacts on the global economy and has detrimental impacts especially on developing economies.

Renewable energy is also seen as an alternative energy source and when adequately developed could be used to withstand any shocks arising from the current global dependence on crude oil. In the event of global peak oil where the maximum rate of production is reached and cannot meet the demand, then renewable energy becomes the solution to meeting that demand as it is readily available for utilisation in every part of the world.

In Ghana, calls from both the citizenry and development partners for the country to invest in the development of its renewable energy resources have been enormous, given the current energy crisis. The shutdown of the West African Gas pipeline [2] , which supplied gas from Nigeria to Ghana, Togo and Benin in August, 2012 has resulted in the inability of the gas thermal plants in Ghana to be operated thus resulting in a deficit in the amount of electricity generated to meet the local demand. In order to meet consumer demand for electricity, power is therefore rationed given the deficit in electricity generation.

Ghana per its location is well endowed with numerous renewable energy resources such as hydro, solar and wind. These resources can be effectively developed and utilised to solve the current energy crisis and increase access to electricity in remote and rural areas without electricity access.

This paper reviews the electricity generation and consumption trend in Ghana as well as the pattern for access to modern forms of energy. The various potential renewable energy sources in Ghana is also examined and their capacity to meet electricity demand. The potential of these renewable resources to meet the energy needs of the country and improving access are critically analysed as they are central to the study. Government policies in place that may facilitate the development of these renewable energy sources have also be reviewed as well as any barriers to adopting them. This study is organised into four chapters. Chapter one covered the Introduction. Literature review is captured in chapter two. Chapter three contained the background outlining global access to energy, electricity access and energy consumption discussion on the various sources of renewable energy and their Potential for meeting energy and electricity demand in Ghana. Chapter four is the concluding chapter which also captures some recommendations.

2.0 LITERATURE REVIEW

Concerns arising as a result of energy security issues of crude oil price hikes and peak oil as well as the damaging impact of conventional fossil fuels on the environment have stirred the interest of several authors and scientist into looking out for alternative sustainable, renewable and less polluting sources of energy to satisfy our energy needs. The developing world has a significant proportion of its population lacking access to modern energy services, thus having to make do with traditional sources of energy which has several negative impacts on their lives. Numerous Authors have examined the several cost-effective options available to such countries to provide their citizenry with clean renewable modern energy services and foster development.

Karekezi, 2002 evaluates the potential of renewables in meeting the energy needs of the poor in Africa as well as presents the estimates of renewable energy technologies disseminated in Sub-Sahara Africa. The paper examines five major renewable energy technologies and evaluates how suitable each is to meet the energy needs of the urban and rural poor. It also suggests key measures to encourage large-scale dissemination of renewable energy technologies to the poor in Africa [3] .

Deichmann et al, 2011 explores how economic development will be reconciled with the need to keep carbon emissions in check with the deployment of renewable energy to improve on access to electricity. The paper examined whether standalone renewable energy generation is a cost effective alternative to centralized grid supply. The results the paper comes out with suggestions that decentralized renewable energy will play an important role in improving energy access and will be at a low cost to most households in Africa. The paper also comes out with the result that decentralized renewables are more competitive in rural areas whereas the grid supply is better suited for denser urban areas [4] .

Oseni, (2012) examines the current electricity access and energy consumption in Nigeria. The paper therefore examines how the numerous renewable energy resources can be harnessed to generate clean and adequate electricity to meet the country’s energy demand [5] .

Kemausuor et al, (2011) reviews the trends, policies, plans and programmes for increasing energy access in Ghana with electricity, cooking fuels and renewable energy being the main focus. The paper advocates for a national energy policy that has inputs from a wider section of the general public. This policy should have specific targets and be well laid out strategies to achieve targets [6] .

2.1 Methodology

The methodology used is purely critically reviewing and examining Ghana’s current electricity generation pattern as well as access to electricity and energy consumption.

The various potential renewable energy resources of Ghana will be examined as well as their capacities. The potential of these renewable resources to meet the energy needs of the country and improving access will be critically analysed. Any government policies in place that may facilitate these renewable energy sources will be reviewed as well as any barriers to adopting these technologies.

2.2 Data

Data will be sourced from sources such as from the Ghana Energy Foundation, The Ministry of Energy and Petroleum, Electricity Company of Ghana and several other institutions

Expected findings (what results are accepted or otherwise).

2.3 Relevance of findings in to decision makers

The findings of this paper will enable stakeholders especially decision makers put in place measures to develop renewable energy resources to ensure that energy and electricity access is improved and sustainable.

3.0 GLOBAL ACCESS TO ENERGY

Access to modern energy services as discussed earlier is essential for social and economic development worldwide. These modern energy services are very important in ensuring the provision of basic needs such as the provision of clean drinking water, efficient lighting, clean cooking methods, healthcare services and transportation as well as telecommunication services. Several billion people do not have access to most basic energy services [7] . Most of these people who lack access to modern energy services rely solely on the utilisation traditional energy sources such as biomass and fuel wood for heating and cooking purposes. The World Energy Outlook 2012 indicates that about 1.3 billion people worldwide lack access to electricity and 2.6 billion people depend on traditional energy sources for meeting their cooking and heating needs. Majority of this people are located in remote and rural communities of developing countries mostly in Sub Saharan Africa or developing countries in Asia as at 2010 [8] .

Table 1 Global population without access to modern energy services by region in 2010

Without access to electricity

Traditional use of biomass for cooking

Population

Share of population

Population

Share of population

Developing countries

1265

24%

2588

49%

Africa

590

57%

698

68%

DR of Congo

58

85%

63

93%

Ethiopia

65

77%

82

96%

Kenya

33

82%

33

80%

Nigeria

79

50%

117

74%

Tanzania

38

85%

42

94%

Uganda

29

92%

31

96%

Other sub-Saharan African

286

66%

328

75%

North Africa

1

1%

2

1%

Developing Asia

628

18%

1814

51%

Bangladesh

88

54%

149

91%

China

4

0%

387

29%

India

293

25%

772

66%

Indonesia

63

27%

128

55%

Pakistan

56

33%

111

64%

Philippines

16

17%

47

50%

Vietnam

2

2%

49

56%

Rest of developing Asia

106

34%

171

54%

Latin America

29

6%

65

14%

Middle East

18

9%

10

5%

World

1267

19%

2588

38%

Source: IEA World Energy Outlook

From the table above as at 2010, the share of the population in Africa without electricity access stood at 590 million people representing 57% of the population and 698 million people lacked access to clean cooking facilities and thus used biomass for cooking. In the same year the population in developing Asia that lacked to electricity stood at 628 million people who represent 18% of the population and 1.8 billion people lacked access to clean cooking facilities representing 51% of the population.

As per the projections of the IEA, by 2030 the global population without access to electricity would have reduced to a little over 990 million people from the current share of about 1.6 billion people. The share of global population without access to clean cooking facilities thus depending on biomass for cooking however is expected to remain unchanged at about 2.6 billion people. For the two significant regions in relation to lack of clean cooking facilities reductions in the number of people without access in developing Asia is projected whereas a worsening trend is projected for Sub-Saharan Africa. The IEA also estimates that a total of about $1 trillion of investment is required to ensure universal energy access by 2030 [9] .

3.1 Electricity access and energy consumption trend in Ghana

Access to electricity in Ghana has seen massive improvement as the national access to electricity stood at 25% in 1989 [10] then by 2005 it was around 43% [11] and further increased to about 72% in 2010 [12] . Most of the remaining 28% of the population without access live in remote and rural communities where they are not connected to the national grid. Ghana is currently ranked as the third country in sub-Saharan Africa with the highest electricity access with Mauritius and South Africa being the first and second countries with highest access respectively [13] . Though increases have been recorded in the share of the population with electricity access nationwide, a lot more needs to be done to ensure that the government of Ghana’s dream of providing sustainable universal electricity access in Ghana is made a reality. The per capita consumption of electricity in 2012 for Ghana was 246 kWh as against 498 kWh, 4347 kWh, 107 kWh, 1701 kWh and 3494 kWh for India, South Africa, Nigeria, Mauritius and China respectively [14] . By 2010 Ghana’s energy use had increased from 8192.5 ktoe in 2003 to 9322.4 ktoe [15] .

3.2 Energy supply, Electricity generation and distribution trend in Ghana

In 2011, Ghana’s total primary energy supply was 10379.5 ktoe with firewood accounting for about 59% (6138.0 ktoe). Crude oil, Natural Gas, Gas oil, Hydro and Other energy sources accounted for 14%, 8%, 8% 6% and 5% of the primary energy supply respectively as indicated in the percentage contribution to primary energy supply of Ghana in Fig 1. The high contribution of firewood to primary energy supply gives an indication of a high dependency on traditional energy sources especially for cooking purposes [16] . Appendix I shows Ghana’s energy balance for 2011.

Fig. 1: Percentage share of Ghana’s primary energy supply as at 2011

Source: Ghana Energy Commission, Energy Statistical Bulletin – 2011

According to the Energy Statistical Bulletin of Ghana for 2011, the country had a total installed electricity generation capacity of 2169.5 MW. Ghana’s electricity is generated mainly from two hydroelectric power plants and a number of thermal plants. The hydroelectric power plants are Akosombo and Kpong power plants with installed capacities of 1,020 MW and 160 MW respectively [17] . There is a third hydroelectric power plant, Bui hydroelectric power plant, under construction which is expected to have an installed capacity of 400 MW [18] . The thermal power plants include Takoradi Power Company (TAPCO), Takoradi International Company (TICO) and Tema Thermal 1 Power Plant (TT1PP) which are all operated on light crude oil and natural gas, with installed capacities of 330 MW, 220 MW, and 110 MW respectively. The Sunon Asogli Power (Ghana) Plant Limited (SAPP) and Tema Thermal 2 Power Plant (TT2PP) both operated solely on natural gas have installed capacity of 200 MW and 49.5 MW respectively. The Mines Reserve Plant (MRP) runs on diesel and has an installed capacity of 80 MW. For 2011, the two hydro power plants together generated 7561 GWh of electricity representing about 68% of the total share of electricity generated for that year. TAPCO, TICO, TT1PP and SAPP generated 10%, 6%, 5% and 11% share of the total electricity generated for the country that year respectively [19] . The shutdown of the West African Gas pipeline in 2012 due to technical challenges rendered the thermal power plants that run on natural gas inoperable and the others which run on both light crude oil and natural gas not able to operate at full capacity. Thus about 249.5 MW of electricity generation capacity has been offline. This has resulted in the inability to meet consumer electricity demand and thus power rationed for about a year now.

4.0 POTENTIAL FOR MEETING ENERGY AND ELECTRICITY DEMAND WITH RENEWABLE ENERGY

Despite the challenges faced in satisfying its energy needs, Ghana has numerous renewable energy resources that can be developed and adequately utilised to meet energy needs, improve access to electricity in rural communities. Ghana per its location is well endowed with renewable energy resources such as wind, solar, hydro and biomass. The major share of electricity generation is in Ghana is from hydroelectric power, the two main hydroelectric power plants as at 2011 represented about 68% of the electricity generated. Though Bui power plant, the third hydroelectric power plant is under construction is due for commissioning in the last quarter of 2013, there are several potential sites for the development of various scales of hydroelectric power plants, wind farms and the country as per its location has the potential for the development of solar energy resources. These renewable energy resources once developed can also be adequately utilised to diversify the energy supply of the country thereby reducing its energy security vulnerability and also reduce carbon dioxide emission to help mitigate climate change, improve access to modern energy services to alleviate poverty and ultimately ensure sustainable development.

Mohammed et al, 2013 after reviewing the potential of Nigeria meeting its power generation needs with the development of its renewable energy resources, arrived at the conclusion that in order to meet the ever increasing electricity demand in Nigeria, exploitation of the country’s renewable energy resources could be the solution to dealing with the problem and increasing access to electricity in rural Nigeria [20] .

Oseni, 2012 concludes by saying that for the successful exploitation of the renewable energy potentials and implementation of projects, the government of Nigeria’s commitment to support the implementation is very significant. With this needed support renewable energy resources of Nigeria are adequate to meet the country’s energy needs [21] .

4.1 Renewable energy resources with the potential for power generation in Ghana

4.1.1 Solar

Ghana’s location in tropical Africa means that it receives sunlight almost all year round. It therefore has huge potential for generation of electricity from solar energy. Average solar irradiation for the country is between 4.0-6.5 kWh/m2/day with the highest levels occurring across the northern belt which is over 60% of the country’s total land mass. Annual sunshine duration for Ghana is between a range of 1800-3000 h [22] , [23] . At present over 6000 off-grid solar systems with an installed capacity of 3.2 MW are in operation in Ghana [24] . But is it insufficient considering the energy crisis facing the country. The sun is in abundance and requires no external influence for generation, thus a potential source for generating electricity.

4.1.2 Hydro

Ghana is endowed with numerous water sources suitable for the development of various scales of hydroelectric projects. The country is already taken advantage of these sources and a lot more can be done. Two hydro power plants in operation provides for about 68% of the electricity needs of the country, with an expected increase with the completion and commission of the third hydro power plant soon. However, access to modern energy services especially as discussed earlier is somewhat limited to urban communities. But the numerous water resources that Ghana has been endowed with can be utilised for the development of small hydroelectric power plants/systems to provide rural and remote areas with electricity or even connected to the grid to serve the country as a whole. The Energy Ministry of Ghana according to its studies have identified 21 sites with the potential for the development of hydro power systems ranging from medium (95 MW) to small scale (17 MW) with potential capacity of 840 MW [25] . There are also several water courses that can be developed as simple run-of- river projects to provide electricity to small rural communities that do not have access to the grid. Fig. 2 shows areas within Ghana with the potential for hydro power resource development. The development of Ghana’s hydro potential for the generation of electricity will go long way to ensuring universal electricity access in the country and also diversify the energy mix of the country making it more energy secure.

N

Fig 2 Map of Ghana showing potential hydro sites (both small and medium)

Source: Edjekumhene et al, 2001

4.1.3 Wind

Low wind speeds prevail in most parts of Africa with exceptions of North and Southern Africa [26] . Studies (Kemausour et al, 2011) have revealed that despite these low wind speeds prevailing in sub-Saharan African, Ghana’s southern belt especially along the coast has good wind energy potential. Measurements indicate that, the wind speed ranging from 3.33 m/s to about 6.08 m/s. These wind speeds however, may not be economical for energy supply but can be utilised for wind-powered water systems for irrigation and other less energy intensive activities [27] .

4.1.4 Biomass

Biomass basically refers to all organic material that is used for generating energy, this may be plants, municipal and animal waste. With about 59% of Ghana’s energy supply been from fuel wood (firewood and charcoal) which forms part of biomass, the use of modern technologies (stoves) that are efficient will help with the amount that is used for meeting energy needs as well reduce indoor and atmospheric pollution from these fuels. Municipal waste generated in Ghana comprises mainly of organic material and animal waste can be processed in digesters to produced biogas which can be used as fuel for electricity generation or heating purposes and even cooking.

4.2 The Challenges of renewable energy development

Though Ghana is endowed with several potential renewable energy resources, there has not been much development of them due to some challenges.

One significant challenge remains the availability of the financial resource to implement these projects. The electric utility companies do not have the requisite financial resource to invest in large scale renewable energy projects. Ghana’s Energy Ministry puts the required investment at US $640-900 Million renewable energy development [28] , which clearly is beyond the resources of the electric utilities. The VRA has a number of renewable energy running but they remain pilot projects. The lacking competition in the energy sector of Ghana remains another barrier to attracting would-be invest to bring in the required financial capital. Financial support from government to electric utilities to undertake projects will not only help with the implementation of planned projects but will also attract private investment in the sector.

The lack of political will to liberalise the energy sector to make it competitive and allow for private participation in power generation is another challenge. This challenge once dealt with will boost private investment in the energy sector and most especially renewable energy.

4.3 Policy support for renewable energy development

The main document that supports the development of renewable energy resources in Ghana is the Renewable Energy Act passed in 2011, which has as its objective to provide for the development, management and utilisation of renewable energy resources for meeting energy needs in a sustainable manner as well as attract investment in that sector.

The government of Ghana has as its objective to increase the share of medium scale renewable energies (below 100 MW/plant) in the generation mix from the current share of less than 0.1% to 10% by 2020. Ghana’s National Energy Policy of 2010 also has portions of it that caters for renewable energy development, waste-to-energy management and energy efficiency with an aim of increasing the share of renewable energy in the national energy mix and ensuring sustainable development [29] .

5.0 CONCLUSION

The energy supply, generation, distribution and consumption patterns as well as the level of access to modern energy services most importantly electricity in Ghana were discussed in this paper. The potential and opportunities for the development of renewable energy resources to diversify and supplement the current energy mix were also examined. The development of Ghana’s renewable energy resources would not only ensure that adequate energy is supplied to all the people but also make the country more energy secure. Development of these resources will also reduce carbon dioxide emission, contributing to climate change prevention and ensuring that Ghana develops sustainably.

Despite the availability of these resources, it became apparent that the lack of financial resources and political will were some of the challenges that hinder the successful development and implementation of renewable energy projects. The government’s commitment to assist the electric utilities financially and also put in place measures to ensure that the energy sector as a whole becomes competitive so as to attract private investment. The generation of electricity from renewable energy sources has the limitation of not being economical for use for cooking purposes given it cost involved. Thus improvement in the technologies used in burning of fuel wood for cooking can be made efficient to avoid waste and minimise pollution and the negative health impacts. Thus to sum up Ghana’s renewable energy resources can be utilised effectively with a conducive environment to support investment in the energy sector. This will go along to improve energy and electricity access in Ghana to ensure sustainable development.

REFERENCES

Secondary Sources

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Kemausour F., Obeng G.Y., Brew-Hammond A., Duker A. (2011) A review of trends, policies and plans for increasing energy access in Ghana Renewable and Sustainable Energy Reviews 15 Pg. 5143-5154

Karekezi S. (2002) Renewables in Africa-meeting the energy needs of the poor Energy Policy 30 Pg. 1059-1069

Mohammed Y.S., Mustafa M.W., Bashir N., Mokhtar A.S. (2013) Renewable energy resources for distributed power generation in Nigeria: A review of the potential Renewable and Sustainable Energy Reviews 22 Pg. 257-268

Oseni O. M. (2012) Improving households’ access to electricity and energy consumption in Nigeria: Renewable energy alternative Renewable and Sustainable Energy Reviews 16 Pg. 3967-3974

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