Energy Shocks Highlight Ghana’S Power Fragility

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Energy Shocks Highlight Ghana'S Power Fragility
Energy Shocks Highlight Ghana'S Power Fragility

Africa-Press – Ghana. Relentless swings in global oil prices and recurring domestic gas supply failures are exposing deep vulnerabilities in Ghana’s power system, accelerating calls for a decisive shift toward nuclear energy as a more stable long-term solution.

Tensions in the Middle East have driven sharp swings in crude prices, with Brent rising from $66.31 on March 5, 2025 to $96.18 by April 16, 2026. Thanks to a ‘fragile’ ceasefire coupled with the announcement by Iran of the opening of the Strait of Hormuz, prices have dropped by almost 10 %.

The volatility has exposed the vulnerability of Ghana’s energy systems to external shocks.

Domestic constraints are reinforcing the pressure. A recent technical fault at the Ghana National Gas Company’s processing plant forced an emergency shutdown, cutting gas supply to thermal plants and triggering intermittent outages. The disruption, linked to a failure of a key control system, underscores the fragility of infrastructure underpinning a significant share of electricity generation.

Together, these developments are strengthening the case for a more stable, reliable and sustainable energy source.

A Strong Case, Slowed by StructureAt the centre of the push for nuclear power is Ms Bellona-Gerard Vittor-Quao, an employee of the Volta River Authority (VRA), currently on secondment to Nuclear Power Ghana (NPG), who is drawing a direct link between global price shocks, domestic supply risks and the need to accelerate nuclear development.

Ms Vittor-Quao is Public Affairs Manager at the NPG.

“Global shocks like this highlight why nuclear power is critical. It insulates the economy from fuel price volatility and provides a reliable base for growth,” she says.

Ghana’s nuclear programme, initiated in 2008 along side that of UAE AND Belarus, has made technical progress under the International Atomic Energy Agency’s milestones framework.

In 2022, government approved the inclusion of nuclear in the national energy mix following studies coordinated by the Nuclear Power Institute.

However, the programme remains stalled at Phase 2, the preparatory stage required before construction can begin.

The constraint is institutional. The Ghana Nuclear Power Programme Organisation (GNPPO), mandated to drive the process, has yet to function effectively at the decision-making level, slowing coordination and delaying key policy actions.

Rising Costs of DelayThe implications extend beyond process into economics.

Uncertainty over long-term power reliability risks weighing on investor confidence, particularly for industries dependent on stable energy supply.

In global infrastructure markets, delayed projects also tend to face higher financing costs as credibility weakens and risk premiums rise.

The economic and energy security risks are also becoming more pronounced. Continued delays risk locking Ghana into prolonged dependence on volatile fossil fuel markets, even as price swings intensify globally.

At the same time, the country is missing a critical opportunity to diversify its energy mix with a stable baseload alternative.

Ironically, Ghana’s own Energy Transition Framework recognises nuclear power as essential to the country’s long-term energy transition and climate commitments, underscoring the gap between policy direction and implementation.

Ghana’s nuclear effort, which benefits from technical cooperation with partners including Japan, South Korea and the United States, could see that support diminish if progress stalls.

“International partners look for consistency and commitment. Prolonged delays send the wrong signal,” Ms Vittor-Quao says.

She maintains that the prolonged delay is not in the interest of the country and demands that the President of gives directives as to whether or not Ghana will proceed with the nuclear programme.

According to her, a firm decision will enable the programme and the individual experts who have spent years developing the technical base for the programme, and as such gained international recognition, to refocus on their personal ambitions or focus on the national nuclear power programme development.

Power Stability and Industrial PlanningBeyond energy security, nuclear power offers a level of reliability that fuel-dependent systems struggle to match.

A nuclear plant can operate continuously for up to 18 months before refuelling, providing stable baseload power for industries that require predictable energy supply for production planning and long-term investment decisions.

This level of consistency is increasingly seen as critical for sustaining industrial activity and reducing exposure to supply shocks.

A Narrowing WindowWhile Ghana navigates internal delays, other African countries including Burkina Faso, Egypt, Kenya, Uganda and Rwanda are advancing their own nuclear programmes, in some cases drawing on Ghanaian expertise.

This raises the risk of both talent loss and diminished strategic positioning.

A key outstanding step remains the selection of reactor technology and vendor (strategic partner) while site characterization , regulatory requirements and guides and financing structures remain to be addressed.

Without a strategic partner, the programme cannot advance to the next phase. This can only be achieved through the topmost government decision.

From Urgency to ExecutionThe combination of global oil price volatility and domestic gas supply disruptions is reinforcing a central policy challenge: moving from strategy to execution.

If no decisive action is taken, Ghana risks shifting from a programme in progress to one in stagnation – a scenario that historically leads to higher restart costs, loss of trained technical expertise to other countries, reduced investor confidence, and extended implementation timelines.

Ghana has the technical groundwork, policy backing and international partnerships. What remains is the institutional momentum to deliver.

As energy markets remain uncertain, the cost of delay continues to rise.

Source: Ghana News Agency

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