Ghana to build 1,200MW state-owned gas power plant – Ato Forson

Finance Minister Dr Cassiel Ato Forson has announced plans by the government to construct a 1,200-megawatt (MW) state-owned gas-fired power plant as part of efforts to secure reliable and affordable electricity for Ghana’s industrial development.

The facility, when completed, is expected to become the country’s largest power-generating plant, overtaking the 1,020MW Akosombo Hydroelectric Power Station.

Speaking at the Future of Energy Conference 2026, organised by the Africa Centre for Energy Policy (ACEP), Dr Forson said access to dependable and competitively priced electricity was critical to Ghana’s plans to expand industrial production and create jobs.

“Ghana is acting by building a 1,200 MW state-owned gas-fired power plant,” he said.

The Finance Minister placed Ghana’s planned investment within the wider energy financing challenges facing Africa, noting that millions of people across the continent continue to lack access to electricity despite the continent’s significant energy potential.

“About 600 million Africans lack electricity, yet Africa attracts only around 2 per cent of global clean-energy investment,” Dr Forson said.

“We cannot industrialise a continent the world considers too risky to power.”

He stressed the need for African countries to establish conditions that can attract more investment into the energy sector.

According to him, this would require efficient energy utilities, predictable regulatory frameworks and credible investment opportunities capable of giving private investors confidence.

Dr Forson acknowledged that large-scale energy infrastructure requires significant long-term financing, which governments alone may struggle to provide.

“In 2025, Africa’s debt-servicing costs were equivalent to more than 85 per cent of the continent’s energy investment. Public budgets cannot carry it alone,” he stated.

He consequently called for innovative financing mechanisms, including government guarantees, blended finance, local-currency funding, stronger capital markets and credible public-private partnerships.

The Finance Minister said these measures would be critical to closing Africa’s energy financing gap and ensuring that the continent can expand access to dependable power.

He said Ghana’s decision to invest in the proposed 1,200MW gas-fired plant reflects the government’s commitment to securing the energy base required to support industrialisation, generate employment and drive sustainable economic transformation.