Ghana is set to construct a 1,200-megawatt state-owned gas-fired power plant as part of government’s efforts to provide reliable and affordable electricity for industrial development.
Finance Minister Dr Cassiel Ato Forson announced the project at the Future of Energy Conference 2026, organised by the Africa Centre for Energy Policy (ACEP).
According to Dr Ato Forson, the new facility will be Ghana’s largest power plant when completed, surpassing the 1,020-megawatt Akosombo Hydroelectric Power Station.
“Ghana is acting by building a 1,200 MW state-owned gas-fired power plant,” he said.
The Finance Minister said reliable and affordable electricity was critical to Ghana’s ambition of transforming its economy through industrialisation.
He explained that Ghana’s investment in power generation must also be viewed within the wider energy challenges facing Africa, where millions of people still lack access to electricity.
“About 600 million Africans lack electricity, yet Africa attracts only around 2 percent of global clean-energy investment,” Dr Ato Forson said.
He argued that Africa could not achieve meaningful industrialisation without addressing the continent’s energy deficit and attracting more investment into the sector.
“We cannot industrialize a continent the world considers too risky to power,” he added.
Dr Ato Forson stressed the need for African countries to create an investment-friendly environment capable of attracting both local and international capital into the energy sector.
He said this would require efficient utility companies, predictable regulations and credible opportunities for private investors to participate in major energy projects.
The Finance Minister also acknowledged that large-scale energy infrastructure requires significant long-term financing, which governments alone may not be able to provide.
“In 2025, Africa’s debt-servicing costs were equivalent to more than 85 percent of the continent’s energy investment. Public budgets cannot carry it alone,” he stated.
He therefore called for innovative financing mechanisms, including government guarantees, blended finance, local-currency funding and stronger capital markets.
Dr Ato Forson also encouraged the use of credible public-private partnerships to mobilise the resources required to expand Africa’s energy infrastructure.
The proposed 1,200MW gas power plant is expected to strengthen Ghana’s electricity generation capacity and provide a more reliable power supply for businesses and industries.
The project, according to the Finance Minister, forms part of government’s broader efforts to secure the energy needed to support industrial growth, create employment opportunities and accelerate Ghana’s economic transformation.
By : Rachael Djabakie