Ghana has saved GH¢3.08 billion (US$268.5 million) in fuel costs during the first half of 2026 through the government’s Gas-to-Power Strategy, Finance Minister Dr. Cassiel Ato Baah Forson has announced.
Presenting the 2026 Mid-Year Budget Review in Parliament on Thursday, the Finance Minister said the savings were achieved by replacing expensive light crude oil with natural gas for electricity generation. He noted that the strategy is already reducing the country’s energy costs while improving the efficiency of power production.
Dr. Forson explained that the transition to natural gas forms part of government’s broader efforts to build a more affordable and sustainable energy sector. According to him, the initiative is expected to reduce electricity generation costs by at least 75 per cent once the programme is fully implemented.
To support the policy, government increased gas supply for power generation by an additional 35 million standard cubic feet per day during the first half of the year, bringing total daily supply to approximately 490 million standard cubic feet.
He disclosed that the increase was driven by additional production from the Offshore Cape Three Points project and the Jubilee Gas field, which together have strengthened fuel supply for thermal power plants across the country.
The Finance Minister said the expanded gas supply has not only improved electricity generation but has also significantly reduced the amount government spends on fuel for power production.
Energy analysts have described the development as a positive step towards improving the country’s energy security and reducing operational costs within the power sector. They note that sustained investment in domestic gas infrastructure will be crucial to maintaining the gains recorded so far.
Dr. Forson reaffirmed government’s commitment to the Gas-to-Power Strategy, saying it remains a key pillar of efforts to deliver reliable, affordable and sustainable electricity while supporting Ghana’s long-term economic growth.
BY GBEDEVI DORCAS SELORM