The Trade and Industry Ministry is optimistic industries will experience growth once the power crisis (dumsor) is curtailed.
Deputy Minister Kweku Ricketts-Hagan has said since Industry grew by 9.1 per cent in 2015, up from 6.6 percent in 2013 despite the current power crisis, there will be better industrial growth once the power crisis is solved.
“In the industrial sector, we actually are the highest performer if you look at it. We have moved from 0.8 to 9.1 and that is astronomical. That is really significant,” he applauded.
“What that tells me is that our policy of adding value through our natural resources…is beginning to build traction,” he said, adding: “…If that continues, even against the ‘dumsor’ and all that we are experiencing at the moment, it is really a good sign that if the dumsor situation resolves, we are really going to chalk serious growth in the manufacturing sector.”
The power crisis has persisted since 2012. Power Minister Dr Kwabena Donkor has promised to resign if he is unable to solve the crisis by the end of this year.
Presenting the 2016 budget to Parliament Friday, November 13, Finance Minister Seth Terkper said as part of measures to address the on-going power supply challenges, the Government has undertaken certain projects, which are at various stages of completion.
He said: “Work on the 220MW Kpone Thermal Power Project is on course and is expected to be commissioned for operations before the end of the year, while installation works are progressing steadily on the 250MW Ameri and 225MW Karpower Projects, and are expected to be commissioned before the end of the year.” Mr Terkper also said: “Work on the 110MW TICO expansion is completed and commencement of commercial operations is expected in 2016 and installation works on the 360MW Sunon-Asogli expansion project is on-going.”
“The first phase, with an installed capacity of 180MW is to be commissioned by the end of the year, while the second phase of another 180MW would be completed in 2016,” he added.
Also, the Minister noted that “the Volta River Authority’s (VRA) expansion of the existing Siemens plant (49.5MW) by the addition of 38MW is 90 percent complete.”
He said: “In 2015 a total of 272 solar systems were installed in public facilities including schools and community centers located in remote communities. A total of 375 solar systems were also rehabilitated in remote health facilities (CHP compounds) in 23 districts. Government in 2016 will continue its investment in the sector to further address to the power challenges.”
Mr Ricketts-Hagan said all the short-, medium- and long-term investments being made by the Mahama administration will eventually lead to a permanent solution to the power crisis, which will pave the way for industrial boom.
“When we get the barges in, short-term situations will be addressed and for me the significant thing is that if we are able to solve the dumsor problem, which we will, you are going to begin to see serious growth in the industrial sector. And all these things: Manufacturers moving to Cote d’Ivoire and other places are actually neither here nor there. There may be some small amount of industries moving out for whatever reason [but] every indication in the numbers we have seen shows that the industrial sector has started gaining traction,” he maintained.
