Government to invest $1bn in Pwalugu multipurpose dam, first phase expected by 2029

The Government plans to spend US$1 billion on constructing the Pwalugu Multipurpose Dam, with the first phase of the project anticipated to be completed by early 2029. Presented in Parliament during the 2027 Budget Statement, Finance Minister Dr Ato Forson explained that the dam will aid in boosting agricultural output, enhancing agro-processing, and ensuring a stable energy supply.

The dam's construction will support large-scale vegetable farming, aquaculture, irrigation, and hydropower generation. Dr Forson highlighted that the dam will irrigate around 25,000 hectares of land intended for vegetable cultivation, and its reservoir will house 100,000 fish cages for aquaculture. The project aims to ensure agricultural activities can be carried out throughout the year, improve water security, and provide flood protection along the White Volta corridor.

Additionally, the dam will generate 77 megawatts of hydropower to support agro-industrial activities within and around the Pwalugu region. Dr Forson informed the Parliament that the dam will be built in stages, with the initial phase to be completed by early 2029 and full completion expected by December 2030. He further stated that the dam will be accompanied by service vegetable enclaves in other regions, water harvesting systems, and protected cultivation to further enhance agricultural production.

The investment is part of the government's broader New Economy Programme, aimed at transforming commercial agriculture, strengthening local industries, and generating employment opportunities.