Ghana Gas Needs More Investment To Sustain Power Supply - PURC Boss
Dr Shafic Suleman, Executive Secretary of PURC, has emphasised that Ghana Gas is a very important and strategic asset for Ghana's power and energy sector.
Shafic explained that the relationship between the Public Utilities Regulatory Commission (PURC) and Ghana Gas Company (GNGC) is a formal economic and technical regulatory relationship.
The PURC acts as the independent regulator that sets and approves the natural gas transmission tariffs and pricing structures for Ghana Gas, ensuring the company remains financially viable while protecting utility consumers.
It is important for stakeholders to visit the Ghana Gas operational site to gain firsthand information about their production, challenges, and the types of investments needed to make the company stable for the benefit of Ghanaians.
As the commercial or economic regulator of the sector, it is essential to observe their operations and understand the investments required to sustain the sector.
Dr Shafic expressed that PURC is highly impressed by Ghana Gas's activities so far.
The high quality of service and power stability come with high costs.
Ghana Gas, as a value chain player, is ensuring they have all the necessary investments to continue providing infrastructure and services.
In fact, Ghana Gas still needs further investments.
He believes the commission, along with the government, is contemplating upgrading their investments.
The profits they have declared reflect their performance over the past one and a half years, indicating they have performed very well, and they deserve credit for that.
We encourage them, under the current CEO, to maintain stability and to continue increasing or maintaining their profitability.
Looking ahead, we also encourage them to expand and to cover all the key sectors of the economy.
If they continue investing, it will likely reduce the cost of utility provision.
This was mentioned when Ghana Gas embarked on an industrial tour with the commissioners and management of the PURC
The Chief Executive Officer of Ghana National Gas, Madam Judith Adjobah Blay, stated that when a company performs well and reports high profits, the question is 'what next?' For Ghana Gas, the next step is expansion.
They intend to reinvest these profits to enhance operational efficiency and increase the availability of gas for power generation and industrial purposes.
That is the next phase—beyond profit, there is expansion and reinvestment into Ghana Gas.
They also plan to build a pipeline from Takoradi to Tema, connecting the West to the East.
The goal is to supply gas from Atuabo beyond the Western Region, passing through the Central and Eastern Regions, and reaching the industrial enclave in Tema along the onshore pipeline. Industrialisation is expected along the regions traversed by the pipeline.
Richard Kirk-Mensah, Head of Corporate Communications for Ghana National Gas, also mentioned that PURC is their economic regulator. Their visit aims to give them insight into Ghana Gas’s operations, particularly the expansion projects at their sites.
Rather than just presenting slides and discussing verbally, allowing them to see the facilities and the ongoing work firsthand will give them a better understanding of the company's plans and activities.
-Overseeronline.com
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