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VOLTA

RIVER
AUTHORITY

Powering Development in Ghana And West Africa

TEMA THERMAL POWER PLANT 1

VOLTA RIVER
AUTHORITY
Bursting with Energy

GHANA -

NATIONAL INSTITUTIONS IN THE ENERGYSECTOR

The Volta River Authority (VRA) tions for the economic development
was established on 26th April 1961, of Ghana and the West African
under
the Volta
Developwhilst maintaining
The Volta
RiverRiver
Authority
(VRA) Sub-Region,
is a wholly owned
Ghana- the
ment Act, Act 46 of the Republic highest standard of safety and susian
statutory public institutiontainability
established
an Act of
of Ghana.
of theby
environment.
The
Authority's
primary
In
1992,
VRA
commenced
Parliament, Act 46 on April 26th 1961, with a primary the
function is to generate and Akosombo Generating Station
supply
electrical
energyandRetrofit
(AGSRP)
after the
objective
to generate
supplyProject
electrical
energy
for industrial, commercial Station had operated for over 25
for
commercial
and
use systemin
andindustrial,
domestic use
in years.
Thedomestic
retrofit involves
Ghana.
atic replacement of the turbine runGhana.
The Authority is ners to increase efficiency and
also responsible for prolong the life span of the genersafe-guarding the health and socio- ating station for another 30 years.
VRA started with
the development
of the
hydroelectric
potentialstheofgenerating
the
economic
well being of the
inhabiThis has increased
tants
of
the
communities
alongside
capacity
at
Akosombo
from
912MW
Volta River and the construction and maintenance of a nation-wide grid
the lake, and management of any to 1020MW. The Project was susincidentalToday,
issues including
mainte- into
pended
in 1995
partly in order
transmission system.
it has expanded
thermal
generation
to to
nance of the environment.
sustain the supply capability during
complement inadequate
supply
from
generation.
VRA started
with
the hydro
developa period of anticipated shortage.
ment of the hydroelectric potentials Work was resumed in 1998 and
of the Volta River and the construc- completed in 2005.
tion the
of a promulgation
nation-wide gridoftransmisTo address
the VRA
increasing
In 2005, following
a major amendment
to the
Act desion system. Today, it has assumed mand and also reduce the risk of
in the context of
the GhanaforGovernment
Powerhydro
Sector
Reforms,
thedue
Au-to the
responsibility
the development
power
shortage
of
other
energy
potentials
of
the
variability
of
inflows
into
the Volta
thority has now been restricted to generation of electricity. Consequently,
Country.
Lake, a 330 MW Combined Cycle
was an
commissioned
the Government has divorced the transmissionThermal
systemPlant
to form
indePower Activities (Generation) at Aboadze near Takoradi in 1999.
pendent transmission
Ghana
sepa-by the
This was(GRIDCO),
followed in 2000,
Ghana's company,
first hydro plant,
theGrid
Ako- Company
of a further
220stage
MW simple
sombopower
Generating
Stationmandate,
in the addition
rate from the VRA's
generation
and thereby
set the
Eastern Region, started producing cycle thermal plant at the same
site, developed through a joint-venfor private sector
participation
in 1965
the energy
market.
588MW
of power in
from four
generating units. In 1972, two addi- ture partnership between the VRA
tional generating units of 324MW and CMS Energy of Michigan , USA
. Aits
110
MW steam
plant is to be
were commissioned
to of
VRA has othercapacity
responsibilities
in furtherance
corporate
mandate.
bring Akosombo's total installed ca- added to the 220 MW thermal plant
to bring
the total installed
thermal
These include Lake
Tourism,
administration
of the
pacityTransportation,
to 912 MW. In 1982,
a sec-Maritime
ond hydro generating station, 31km generation capacity to 660 MW.
Volta Lake, Lakeside
Healthofand
Management
down stream
Akosombo,
was of the Akosombo Township.
commissioned on the Volta River at Transmission and DistribuKpong, also in the Eastern Region. tion
The Volta RiverThis
Authority
to be
the power
utilityhas
ofdeveloped
excellence
in the
added seeks
160 MW
capacity
to VRA
a transmission
that of Akosombo, to bring the total system made up of 42 substations
West African Sub-region.
installed generation capacity to and approximately 4,000 circuit
1,072 MW.
kilometres of transmission lines that
cover the entire country. This funcThe mission ofVision
the Volta
River Authority is to produce
supply
reliable
Statement
tion hasand
since
August
2008 been
The Volta River Authority seeks to hived off to form an independent
electricity to meet
customer demand and stakeholders' expectations for the
be the power utility of excellence in transmission company, Ghana Grid
West African Sub-Region.
Limited,
to transport
socio-economicthedevelopment
of Ghana and theCompany
West African
sub-region
power generated by the Volta River
whilst maintaining
the highest
standard of safetyAuthority.
and sustainability
of thetransThere are service
Mission
Statement
mission
lines
to
Togo
Benin
environment. To produce and supply reliable through Communaute' and
Electrique
electricity to meet customers' demand and stakeholders' expecta- du Benin (CEB), and has an inter-

66

AFRICAN ENERGY DIRECTORY - 2009/10

tie with the power system of Cote


d'Ivoire through Compagnie Ivoirienne d' Electricit (CIE). VRA
serves the border towns of Po and
Leo in Burkina Faso via distribution
extensions.
KPONG
GENERATING
STATION
In 1987,
VRA established
the
Northern Electricity Department
(NED) to distribute electricity in
parts of Ashanti , Brong-Ahafo,
Northern, Upper East and Upper
West Regions. NED was developed as an integral part of the
larger Northern Electrification Project that extended the national electricity grid beyond Kumasi, almost
25 years after the Akosombo Dam
was commissioned. In 1999 NED's
operational area was extended to
the northern parts of the Volta Region.

Power Sales
The annual firm energy supply from
VRA's combined hydro and thermal
generation systems is approximately 7,300 GWh. This is made up
of 4,800 GWh hydro and 2,457
GWh thermal energy respectively.
However, depending on water inflows into the Volta Lake, the two
hydro units can produce about
6,100 GWh of energy per annum.
VRA sells power to seven major
bulk customers. The major sale in
(foreign currency) is to the Volta
Aluminium Company (VALCO) in
Tema. VRA's second major customer is the Electricity Company of
Ghana (ECG). The ECG is responsible for the distribution of the bulk
of local electricity consumption in
Ghana . It operates principally in
the six southern regions of Ghana .
Bulk sales are also made to a number of smaller industrial and mining
consumers. For more information
click here.

Non Power Activities


VRA, being mindful of its social responsibility in its operational areas
continues to implement various programmes aimed at mitigating the
adverse environmental effects of its
operations, and ensuring the wellbeing of the communities of the
Volta Basin.

AKOSOMBO GENERATING
GENERATING STATION
STATION
AKOSOMBO
SHOWING THE
THE PENSTOCKS
PENSTOCKS
SHOWING

Since 1996, the VRA has committed the cedi equivalent of


US$500,000 annually to a Resettlement Trust Fund to carry out
socio-economic projects within the
Volta Basin . The projects include
environmental improvement, social
welfare, public health, education,
electricity, potable water supply and
sanitation activities. In 2003 VRA
introduced the Community Development Initiative as a framework for
accelerating development of the
communities.
VRA also operates a wellequipped medical ship, the Onipa
Nua, on the Volta Lake and provides free medical services to the
communities along the Volta Lake .
The Authority undertakes environmental programmes such as dredging activities at the estuary of the
Volta River to reduce the incidence
of Bilharzia, and to restore the
ecosystem in the area. In addition,
various afforestation projects are
being carried out to restore vegetation on the highlands bordering the
Volta Lake .

AN AERIAL VIEW OF AKOSOMBO DAM


SHOWING THE INTAKE CHANNEL

GHANA NATIONAL INSTITUTIONS IN THE ENERGYSECTOR

- VRA

N
N

THERMAL POWER PLANT AT ABOADZE


NEAR TAKORADI

AFRICAN ENERGY DIRECTORY - 2009/10

67

A REGIONAL ENERGY
SUPPLIER WITH UNIQUE
INVESTMENT OPPORTUNITIES

Kweku Andoh Awotwi


Chief Executive VRA

or nearly half of a century, the Volta River Authority (VRA) has been
the principal agency for
the generation and transmission of electrical power in
Ghana. Within this period, the VRA
has harnessed the resources of the
Lake Volta, the largest man-made
lake in the world to provide Ghana's
electricity needs. However, as hydro
resources can no longer meet the demand in full, the VRA has begun to
inject thermal generation capacity
into its operations.
Apart from its core function of
producing and supplying reliable
electricity to meet customer demand
and stakeholders' expectations for
the socio-economic development of
Ghana and the West Africa sub-region, the Volta River Authority
(VRA) is invariably playing major
tourism functions which are strategic for the country.
The VRA currently operates a total
installed electricity generation capacity of 1,730MW. This is made up
of two hydro plants with installed
capacity of 1,020MW and 160MW
at the Akosombo and Kpong Generating Stations respectively; one
330MW combined cycle thermal
plant at Aboadze, near Takoradi and

a further 220MW simple cycle thermal plant, the Takoradi International


Company (TICo.) owned jointly by
VRA and TAQA from Abu Dhabi in
the United Arab Emirates. There are
plans to add a 110MW steam component to convert it to 330MW combine cycle.
As a short to medium term strategy for energy sufficiency, the VRA
is developing a number of plants in
Tema. These include:
a 126MW Tema Thermal 1 Power
Plant commissioned in 2008,
q a 49.8MW Tema Thermal Power
Plant scheduled for commissioning
in 2009 and
q a 220MW Kpone Thermal Plant
due for completion in 2010.
q

In addition to its primary responsibility to meet Ghana's power


needs, the VRA's mandate includes
the socio-economic development of
the Volta Basin, especially for fishing, transportation and tourism. Subsequently, the Authority has
established the Volta Lake Transport
Company (1970) and Akosombo
Hotels Limited (1990) as subsidiaries to exploit the non-power related potentials of the Volta Lake.
But that was not all, planning for
the future for increased power generating capacity was paramount,
hence the commissioning of a
330MW combined Cycle Thermal
Plant at Aboadze near Tokoradi, in
the Western Region in 1999. It was
followed in 2000, by the addition of
ENERGYWORLD / Africa - 2010/11

a further 220MW simple cycle thermal plant at the same site, developed
through a joint-venture partnership
between the VRA and CMS Energy
of Michigan, USA. A 110MW steam
to be added to the 220MW thermal
plant to bring the total installed thermal generation capacity to 660MW.
With other additional interventions
over the years with the view to increasing power generating capacity,
the Authority operates currently, a
total installed electricity generation
capacity of 1,730MW. This is made
up of two hydroelectric plants on the
Volta River, with installed capacities
of 1,020MW and 160MW at the
Akosombo and Kpong Generating
Stations, respectively, and complemented by a 330MW Combined
Cycle Thermal Plant. A further
220MW Thermal Plant, Takoradi International Company (TICo) is
owned as a joint venture with
TAQA, from Abu Dhabi in the
United Arab Emirates.
Indeed, all these sustained efforts
made by the VRA to have excess
electricity are not only meant for internal usage but also for export. The
export element therefore, is equally
critical because it helps to rake in the
needed foreign exchange, and also
helps in driving forward Ghana's
tourism agenda.
Being the managers of the world's
largest man-made lake in the world,
the VRA, undoubtedly has carved a
niche for itself on the basis of professional competence and also, superintending over the influx of

AKOSOMBO DAM,
TOP-DRAW FOR
INTERNATIONAL
VISITORS
Togolese President,
Faure Essozimna Gnassingbe (fourth right), and
CEO of VRA, Kweku
Andoh Awotwi
(second left), on a visit.

organized groups of visitors and individuals to the Akosombo Dam and


its hydro-power installations.
Indeed, the potential of making
good money by VRA is very high,
considering the fact that high ranking personalities from all professions
from within and without the country,
have total appreciation for the Akosombo Dam and its allied holiday resorts.
What this means in tourism is that,
VRA is selling itself to the world.
NEW BUSINESS OUTLOOK
The Volta River Authority is witnessing the emergence of radically
different energy sector with new
challenges and opportunities.
q Under the Ghana Government
Power Sector Reform Program the
mandate of the VRA has been
largely limited to power generation
with the formation of an independent
transmission
company,
GRIDCo., to create the requisite environment to attract Independent
Power Producers (IPPs) onto the
Ghana energy market.
q Availability of gas through the

West Africa Gas Pipeline (WAGP)


by 2010 and discovery of gas offshore Ghana to substitute the crude
oil used for firing the thermal plants.
q Development of the West African
Power Pool (WAPP) to facilitate
power exchange and improve on the
reliability and quality of electricity
supply to ECOWAS member states.
The VRA is positioning itself for
competition in Ghana and leadership
in the West African power market.
With an impressive international
reputation, the VRA is implementing
process re-engineering and best
practices in the utility industry to become an efficient, fast-moving and
low cost competitor.
The VRA welcomes strategic investors and partners to invest their
capital, expertise and technology to
expand the energy infrastructure as
well as in the commercialization of
complementary subsidiary ventures
which have emerged out of the demands and opportunities from the
core business.
It is therefore a truism that, VRA's
tentacles on tourism can be limitless
considering the fact that its function
ENERGYWORLD / Africa - 2010/11

of generating electricity for economic activities is universal in character, meaning whatever VRA does,
underpins the acceleration of all
business activities since electric
power is one indispensable economic tool that helps move the
world forward.

... Energy investors


that came in 10
years ago have made
more than their return on their
initial investment
and I would imagine
they still own their
investment.

Consolidating Change
And Calling Prospective
Investors
POWER ACTIVITIES
VRA operates a total installed electricity generation capacity
of 1,856MW. This is made up of two hydroelectric plants on
the Volta River, with installed capacities of 1,020MW and
160MW at the Akosombo and Kpong Generating Stations, respectively. These are complemented by a 330MW combined
cycle thermal plant (TTPS) at Aboadze and a 220MW simple
cycle plant also at Aboadze, owned in partnership with TAQA,
from Abu Dhabi in the United Arab Emirates, and 126 MW thermal power plant (TTP1) at Tema.
There are plans to convert the 220MW (TAQA) plant from a
simple cycle mode into a 330MW combined cycle plant, and
thus bring the total installed thermal generation capacity to
660MW. A second 50MW thermal plant (TTP2) at Tema is 96%
complete.
The VRA, through its Northern Electricity Department (NED),
is the sole distributor of electricity in the Brong-Ahafo, Northern, Upper East, Upper West, and parts of Ashanti and Volta
Regions.
The VRA's major bulk customer is the Electricity Company of
Ghana (ECG). Power sold to ECG caters mainly for domestic, industrial and commercial concerns in the southern sector
of Ghana while supply to NED is distributed to the northern
sector. Bulk sales are also made to a number of mining companies, including AngloGold Ashanti, Ghana Consolidated and
Diamond Ltd. Others are VALCO, Aluworks, Akosombo Textiles Ltd., Diamond Cement Ghana Ltd. International energy
sales to neighbouring countries include Togo, Benin and Burkina Faso.

The VRA is a major foundation customer of the West African


Gas Pipeline Project (WAGPP), which involves the construction of a 20-inch 600km long natural gas transmission pipeline
and associated facilities to support the energy requirements
of the West African sub-Region. The objective of the VRA's
participation in the WAGPP is to substitute the environmentally cleaner and cheaper gas fuel for light crude oil in an era
of rising cost of crude oil. This will significantly reduce the cost
of thermal generation and increase electricity availability, accessibility and affordability.
The VRA was the principal agency that implemented an Emergency Power Programme (EPP) beginning with a section of
Monrovia, Liberia. It provided 2.65MVA of power to Monrovia
through distribution grids in Congo Town and Kru Town to
serve mainly institutional customers such as hospitals,
schools, police stations, social and community facilities and
for street lighting along the main route of the Grid.
The VRA is also a founding member of the Union of Producers, Transporters and Distributors of Electric Power in Africa
(UPDEA), and held the presidency of the Union from 20052008. UPDEA aims at promoting the integration and development of the African power sector through active co-operation
among its members and also between its members on one
hand and all international power sector organizations and
donors on the other hand. UPDEA is a permanent member of
the Executive Council of the Africa Energy Commission and a
preferred partner of the New Partnership for Africa's Development (NEPAD).
As a sub-regional player with an eye on the emerging markets
in West Africa, VRA has continued to play a leading role in the
West Africa Power Pool (WAPP), whose objective is to make
efficient and optimal use of energy in the sub-region and to
improve the reliability and quality of electricity supply to
ECOWAS member states.
It is expected that the development of the cross-border grid
power extension will facilitate VRA's objective of developing
the power market in the West Africa sub-region through cooperation with other power utilities.

A 330MW combined cycle


thermal plant (TTPS) at Aboadze

NON-POWER ACTIVITIES
The VRA continues to demonstrate its social responsiveness
through various programmes designed to enhance the socio-

ENERGYWORLD / Africa - 2010/11

ONIPANUA, the medical boat provides


medical care to communities
accessible only by boat.

economic and physical environment of the lakeside and downstream communities.


VRA Resettlement Trust Fund
The VRA commits annually the cedi equivalent of US$500,000
to a Resettlement Trust Fund to support development initiatives in its resettlement towns. These projects include environmental improvement, social welfare, public health,
education, electricity, potable water supply and sanitation activities. In 2003, VRA introduced the Community Development
Initiative programme as a framework for supporting communities within all its operational areas.
VRA Hospitals
The VRA runs well equipped hospitals at Akosombo, Aboadze
and Accra and provides free specialist and general medical
care to communities along the Volta Lake accessible only by
boat, through its medical boat christened ONIPA NUA.
Dredging Programme
The Authority maintains a dredging programme at the estuary
of the Volta River at Ada to reduce the incidence of Bilharzia,
and to restore the ecosystem in the area. VRA also runs afforestation programmes aimed at reducing siltation of the Volta
Lake through the restoration of permanent vegetative cover
on the slopes bordering the Lake.
Lake Transportation Safety
A collaborative project with Clark Sustainable Resource Developments Ltd. (CSRD), is aimed, amongst others, at undertaking the harvesting of underwater tropical timber resources
in the Volta Lake to alleviate the hazards created by the submerged trees, and thus improve lake transportation safety.
The Volta Lake project financed only with private capital represents direct foreign investment in Ghana.
VRA Schools
The VRA runs first and second cycle schools for children of
staff and local communities at Akosombo, Akuse and Aboadze.
It also administers Local Authority functions in the Akosombo
Township.

SUBSIDIARY COMPANIES
In fulfillment of its responsibility to provide facilities and assistance for the socio-economic development of the Volta Basin,
the Authority operates three subsidiary companies: Akosombo
Hotels Limited, the Volta Lake Transport Company Limited
(VLTC), and Kpong Farms Ltd.
Akosombo Hotels Limited
The Akosombo Hotels Limited runs a three-star hotel, restaurant, modern conference/seminar facilities, and pleasure activities and promotes tourism.
Volta Lake Transport Company (VLTC)
The VLTC, incorporated in 1970, operates river transportation
for passengers, bulk haulage of petroleum products on the
Volta Lake, and cross-lake ferry services along the lake.
Kpong Farms Limited (KFL)
The KFL was established in 1982 to undertake viable agricultural venture in irrigation and mechanized farming, animal husbandry and meat processing by harnessing the water
resources of the Volta Lake. VRA is seeking joint venture participation to commercialize the meat processing, rice cultivation and animal husbandry operations.
Voltacom
Under the Power Sector Reform, management and ownership
of the VRA/Voltacom fibre optic backbone network was transferred to Ghana Telecom to conclude the sale of Ghana Telecom to Vodafone in 2008.

ENERGYWORLD / Africa - 2010/11

Volta River Authority


Spearheading Ghanas Development
through Sustainable Supply of Power

POWER GENERATION
VRA operates a hydro-thermal mix
power generation capacity of 1,746 MW
hydro at Asosombo and Akuse; and 456
MW thermal at Aboadze and Tema. a
partnership between VRA and TAQA of
Saudi Arabia adds 220 MW capacity
from the TEICo. plant to the national
grid.

SALES AND DISTRIBUTION


VRA sells power through GRIDCo. to
ECG, VALCO, Aluworks, ATL, some
mines and other major custumers. VRA
distributes power through its Northern
Electricity Department (NED), to the
northern sector of Ghana and southern
border towns of Burkina Faso. VRA also
exports power to Togo and Benin (CEB)
and has an intertie with Cte Dlvoire
(CIE)

1020 MW Akosombo Hydro


Generating station

Akosombo Dam

330 MW Combined Cycle Thermal


Plant at Aboadze

Onipa Nua (Medical Boat)

110 MW Tema Thermal 1 Power Station


Produced by Blueoak Concepts

160 MW Kpong Generating Station

CORPORATE SOCIAL RESPONSIBILITY


VRA maintains the environment
through dredging, re-afforestation and
water weed control. VRAs medical boat,
Onipanua, provides free medical care to
communities along the Volta River accessible only by boat.

VOLTA RIVER AUTHORITY Electro-Volta House, 28th Febuary Road, P.O.Box MB77, Accra-Ghana
Tel.: +233 21 664941-9/221124 Fax: +233 21 662610 E-mail: paffairs@vra.com www.vra.com

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