Ghana

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Solar Power, Grid, Improved Cooking

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Technologies grid extension solar systems improved cookstoves (ICS)
EnDev 1 February 2006 -
December 2009
EnDev 2 October 2009 -
December 2016
Partners Ministry of Power, Ministry of Food and Agriculture, Environmental Protection Agency, Electricity Companies, Local Assemblies & Business Associations
Implementers GIZ, SNV
Outcomes (12/2016) Access to electricity:
  • 1,500 people

Access to modern cooking energy:

  • 0 people

Access to modern energy services

  • 8 social institutions
  • 598 SMEs

Figures reflect the non-adjusted sum of EnDev 1 and EnDev 2 outcomes. Read more in EnDev's Monitoring


Title-ghana.jpg

Energy Situation

Ghana has the second highest electrification rate in sub-Saharan Africa, after South Africa. The rate increased from 25% in 1991 to 80.5% in 2015. It is projected to reach 95% by 2018. The national goal is to achieve universal access to electricity by 2020 e.g. through the so-called Fifth Self Help Electrification Scheme. Despite this tremendous success, connection rates are significantly lower in peri-urban and rural areas where many micro, small and medium-sized enterprises (MSMEs) as well as farming and agro-processing activities are concentrated and where productive uses of electricity are lagging behind household electrification. A survey of 547 farmers in 5 regions reveals that 87% do not have access to grid electricity for productive use while most of them have electricity at home – which partly results from a policy gap.

For more information see energypedia.

Approach

Against this backdrop, the EnDev Ghana intervention was designed from the outset to increase access for MSMEs to productive use of energy. This was identified by the National Electrification Scheme itself as a bottleneck to productivity and income generation. In its first component, the project facilitates a participatory planning process for local governments and stakeholders in order to address this bottleneck and enable an appropriate environment. EnDev, in parallel, provides business development services, technical advice and training to 250 small-scale farmers to access grid electricity for irrigation. These farmers shall thus be in the position to reduce high upfront costs of irrigation systems.

The second component supports 30 small-scale farmers using solar PV pumps for irrigation. Market entry is facilitated for different private sector actors through sales-based grants for installing PV pumps. In line with the Ghanaian government’s SE4All Country Action Plan, EnDev also supports the introduction of improved institutional cookstoves (ICS) for the thermal processing of gari (dried and ground Cassava root). This is done through live demonstrations, capacity building for stove manufacturers, and support to ICS dissemination through sales-based grants. The fourth component is implemented by SNV Ghana on behalf of EnDev, to support 300 small-scale gari processors.

Following up on activities carried out in EnDev’s first project phase until 2009, EnDev continues to monitor outputs from the extension of the national grid to light industrial zones (LIZ), an activity meant to stimulate productive use of electricity.

Impacts

Multiple industrial zones have been developed with securely installed connections for many small and medium-sized enterprises (SMEs) to the national electricity grid.

  • 1,000 SMEs moved to the supported zones, representing about 3,000 employees.
  • Infrastructure and electricity connection in ten zones are finished and enterprises have moved in.
  • Around half of the SMEs in the zones are connected to the electricity grid.
  • About 375 SMEs gained sustainable access to electricity for their business.
  • 306 start-up firms have been created in the industrial zones, providing employment for 660 people.

Since the other three components have started only recently, verifiable impacts are expected to be collected only in early 2016.

There are two success stories from the electrified industrial zones that give an overview of the impacts on business owners.

Sprayer from the electrified industrial zone in Techiman: “At my old location in town I had to pay 20-30 GH¢ (9-14 €) a month for an unofficial connection. Now that I relocated to the industrial zone, I got my own prepaid electricity meter. Thanks to that I am now only paying 1.50 GH¢ (0.7 €) a month for electricity.”

Welder from the industrial zone in Techiman: “There was scattered material all over, but now we got a container to store it. We are gathering big quantities for selling the scrap, so there have not been any financial benefits yet. Before, the staff had frequent cuts because of the scattered material, but now because we are collecting it, injuries have been reduced.”