President Nana Akufo-Addo says although there has been a significant improvement in supply, the country is still not where he envisages it to be in terms of energy.

He reckoned the development has been a great threat to businesses and the cost of living in the country.

The President signaled hope on the horizon as he said the Finance Minister, Ken Ofori-Atta in collaboration with the Energy Minister, Boakye Agyarko, is at an advanced stage floating the $2.5 million bond to retire the $2.4 million energy debt overhead on the energy sector.

One of the country's paramount constraints to economic growth is its unreliable and inadequate supply of electric power. 

Speaking at a media encounter in commemoration of the Akufo-Addo administration's six months in office, he believes "this development will attract more investment into the sector and reduce the cost of energy." 

The country has 2,930 megawatts (MW) of installed generation capacity, including 1,380 MW of hydro generation, (of which nearly 700 MW is actually available) and 1,550 MW of thermal generation capacity, (of which 890 MW is from independent power producers [IPPs]). 

Actual availability rarely exceeds 2100 MW, leaving around 400 MW of unmet demand on a daily basis, serving a population of 27.4 million that is growing at 2.3 percent per year.

To address the electricity supply constraint, the government added nearly 600 MW of generation capacity in late 2015/early 2016, by bringing online four power projects: Karpower barge (225 MW); Ameri Power (250 MW); TICO steam turbine (110 MW); and BXC solar (20 MW). 

A number of private and public-sector projects are also in the advanced stages of construction (about 750 MW of dependable capacity). 

In addition, another 1,000 MW of generation capacity is reported to be committed, having signed power purchase agreements (PPAs) and obtained Parliamentary approval. 

In light of this, the government is reviewing the need for additional power generation capacity in the next five years.  

He added that he is relieved, however, "that the supply and distribution have improved and we are working to bring the cost down on energy supply generally more reliable.”