Government to sign 1,200MW gas power deal before end of 2026 – Mahama

President John Dramani Mahama has announced plans for Ghana to construct a 1,200-megawatt (MW) state-owned gas-fired thermal power plant, which would become the country's largest single power facility if completed as planned. The President made the announcement during a town hall meeting with the Ghanaian community in New York on September 25, stating that the government intends to sign an agreement for the project before the end of 2026.

At 1,200MW, the proposed facility would have a higher installed capacity than the current largest single generating facility in Ghana, the 1,020MW Akosombo Hydroelectric Power Station. The decision to add the new thermal capacity is informed by changes in the global energy landscape, including the transition towards renewable energy and the growing adoption of electric vehicles.

The President also mentioned that some Independent Power Producers (IPPs) previously threatening to suspend power generation are now prepared to invest in additional capacity, although the government prefers to develop additional state-owned generation capacity. The announcement is also linked to renewed investment in Ghana's oil and gas sector, with oil production increasing by almost 38% since 2025 due to investments by oil producers.

Major international oil companies, including ExxonMobil and Shell, are now exploring opportunities in Ghana.

Brief written by urgent.news from Joy Business's own syndicated text. Machine-written — may contain errors; check the original before relying on it.