Ghana, a West African country, is taking a proactive approach in addressing its excess capacity in electricity generation through the implementation of an Electric Vehicle (EV) Policy. With an annual payment of approximately US$ 500 million for 2000 megawatts (MW) of excess capacity, Ghana aims to leverage the growing uptake of electric vehicles to mitigate this financial burden. The Energy Minister, Dr. Matthew Opoku Prempeh, expressed confidence in the policy's potential to utilize the existing excess capacity and ensure reliable, low-carbon electricity for the Ghanaian economy.
Addressing Excess Generation Capacity
Ghana currently boasts an installed capacity of 5,134 MW, with a dependable capacity of 4,710 MW and a peak electricity demand of 2,700 MW. However, the country is obligated to pay for around 2,300 MW of excess capacity that it does not consume under take-or-pay contracts. This financial liability poses a significant challenge for Ghana's energy sector. By embracing electric vehicles, Ghana aims to alleviate this burden by utilizing the excess capacity for charging stations and other EV-related infrastructure.
The Rise of Electric Vehicles in Ghana
Between January 2017 and December 2021, an estimated 17,660 Plug-in Electric Vehicles (PEVs) were imported into Ghana. Interestingly, the majority of Battery Electric Vehicles (BEVs) in use (98%) were imported from China, according to the International Trade Centre. The Ghana Revenue Authority (GRA) data reveals that standard hybrid-electric vehicles (HEVs) have the highest representation (91.5%), followed by BEVs at 5.1% and plug-in hybrid electric vehicles (PHEVs) at 3.3%. These statistics highlight the growing interest in electric vehicles within the Ghanaian market.
The Benefits of the EV Policy
With the implementation of the EV Policy, Ghana is poised to attract investments into the clean and low-carbon energy and e-mobility sectors. This strategic move will not only create thousands of decent jobs but also foster value addition to the country's abundant natural resources through green and eco-friendly manufacturing of EV-related products and technologies. With an impressive electricity access rate of 88.85%, Ghana has the potential to embrace electric vehicles on a national scale, ensuring that every region and district can participate in this emerging industry.
Summary
Ghana's Electric Vehicle Policy marks a significant step towards addressing the challenge of excess capacity in electricity generation. By leveraging the growing demand for electric vehicles, Ghana aims to utilize its surplus energy generation capacity and create a more sustainable and low-carbon future. The policy's implementation is expected to attract investments, generate employment opportunities, and promote the manufacturing of eco-friendly products and technologies. With Ghana's readiness for the electric vehicle and e-mobility evolution, the country is well-positioned to embrace this budding industry and reap its economic and environmental benefits.
(This article is sourced from Aviationghana.com and curated by Thetransporteronline24)
