The World Bank says it is dedicated to assisting Ghana's energy sector revival and financial sustainability.
The World Bank is dedicated to assisting Ghana's energy sector recovery and its financial sustainability, according to Robert Taliercio, Country Director for Ghana, Liberia, and Sierra Leone.
He made his remarks in response to the World Bank's approval of a $250 million credit from the International Development Association (IDA) for Ghana.
Additionally, the Bretton Woods institution approved a $10 million grant from the Energy Sector Management Assistance Programme to support the World Bank's 4-year Ghana Energy Sector Recovery Programme for Results (PforR), which aims to increase access to clean cooking solutions and improve the financial viability of electricity distribution.
In addition to supporting regulatory and policy reforms of the energy sector supported by the ongoing IMF Extended Credit Facility Programme for Ghana and the World Bank's Development Policy Financing series, the PforR will directly finance utilities in the energy sector to carry out capital expenditure programmes.
Liquified petroleum gas (LPG) for home and commercial usage will be more widely available to Ghanaian households, companies, and schools through the program's Clean Cooking Component. Stove and accessory costs will be directly subsidized by the PforR through direct incentives.
A wide range of benefits, including market growth, affordability, energy access and equity, health, and environmental protection against air pollution and related health hazards, are anticipated to be provided to consumers by the ESRP.
Robert Taliercio stated, "The World Bank is committed to supporting the recovery of Ghana's energy sector and its financial sustainability through this significant results-based financing." Through investments in distribution utilities' commercial and meter management systems, as well as in prepaid metering, the business seeks to improve the quality of energy supply and strengthen revenue collection.
"The Government of Ghana is grateful to the World Bank for their support in the attainment of the Sustainable Development Goals (SDGs), particularly Goal 7 (Affordable and Clean Energy)," stated Dr. Mohammed Amin Adam, Minister of Finance. Our efforts to make clean cooking solutions more widely available and make power distribution financially viable are crucial to the creation of sustainable energy systems that promote public health, safeguard the environment, and promote economic development.
"Our access to sustainable energy is about empowering communities, protecting the environment, and fostering inclusive and sustainable development," he said, going on to say that it is not just about powering homes and businesses.
The Energy Sector Management Assistance Programme offers expertise, technical support, and consulting services to assist nations in strengthening their institutional frameworks and putting sustainable energy solutions into practice.
