Ghana has selected the U.S. and China to develop its first nuclear power plants, including SMRs and a Large Reactor. Financing strategies include BOT for the LR and PPP for SMRs. The government aims to incorporate one gigawatt of nuclear energy into the grid by 2034 to enhance energy security and lower industrial tariffs.
Ghana has chosen the United States and China as vendors for its first nuclear power plants, although no contracts have been signed as yet. U.S.-based NuScale Power, partnering with Japanese firms, will develop Small Modular Reactors (SMRs). Meanwhile, the China National Nuclear Corporation is set to construct a Large Reactor (LR). These decisions were confirmed by Dr. Stephen Yamoah, Executive Director of Nuclear Power Ghana, during a media engagement in Accra.
The planned LR will have a capacity of 1,200 megawatts, while the SMRs will consist of 12 modules, each able to produce 77 megawatts, aggregating to 924 megawatts. Financing for the LR will follow a Build, Operate, and Transfer (BOT) model with local equity involvement; in contrast, the SMRs will utilize Public-Private Partnerships (PPP) for financing.
Ghana has formalized a framework agreement with the selected vendors and is currently undertaking studies to gather essential environmental and oceanic data for potential plant locations. Mr. Archibold Buah-Kwofi, Acting Director of the Nuclear Power Institute, emphasized the necessity of reliable and economical electricity to drive national progress, given that Ghana’s current energy mix is primarily fossil fuels and hydro, with renewables making up just one percent of the total.
The urgent shift to nuclear energy is vital for ensuring energy stability, as stated by Mr. Buah-Kwofi. The government aims to integrate one gigawatt of nuclear power into the national grid by 2034, supporting industrialization and job creation, while also compensating for diminishing hydroelectric sources and facilitating lower tariffs for industries.
The selection of the vendors followed a meticulous process, initially receiving 16 responses to a call from the government. A technical team from the Energy Ministry narrowed these to five candidates before finalizing the two chosen vendors. Ghana’s nuclear energy ambitions, which saw a setback due to a coup in the 1960s, were reignited in 2006 with support from the International Atomic Energy Agency (IAEA). The nation is among several African countries attempting to leverage nuclear power to address power shortages and foster economic development.
Ghana’s selection of U.S. and Chinese companies for its inaugural nuclear power plants marks a significant step towards diversifying its energy mix. With plans for both Small Modular Reactors and a Large Reactor, there is an emphasis on financing through innovative models such as BOT and PPP. The push towards nuclear energy aims to enhance energy security, reduce dependency on fossil fuels, and foster economic growth, especially by integrating substantial nuclear power into the grid by 2034.
Original Source: www.myjoyonline.com
