$7billion ENI, Vitol deal won't end power crisis - Alex Mould

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Created on Monday, 02 March 2015 14:04

Government says a $7 billion agreement signed Tuesday between ENI and Vitol to produce about 1,200MW of power will not solve the country’s current power crisis.

Chief Executive of the Ghana National Petroleum Corporation, Alex Mould told Joy News the benefits of the multibillion power agreement would be felt only after 2018.

"The good news is that we will be producing about 118 million standard cubic feet of gas from 2018. So by the year 2018 we should have power plants to be able to generate power more than 1,000 megawatts", Mr Mould said.

He adds the deal is for the future. "This is a project that is going to last for 20 years. So in terms of
security for supply of gas for power generation of electricity, this is a crucial project. It is not going to solve today's 'dumsor'[power rationing]", said Mr Mould.

Executives of Energy firms ENI and VITOL were at the Peduase Lodge on January 27 to sign the deal with government officials. President John Mahama, Vice President Kwesi Amissah-Arthur and Mr Mould witnessed the ceremony.

The President described the power deal as "simply the largest investment in Africa... a landmark event in the development of oil and gas".

source: myjoyonline