Mahama assures investors of government’s commitment to transform energy sector

President John Mahama has assured investors of Ghana’s commitment to energy transformation. He aims to shift from hydrocarbons to renewable energy sources.

Mahama spoke at the 2025 African CEOs Forum Awards in Abidjan, Ivory Coast. He discussed Ghana's vision to become West Africa’s leading petrochemical hub while promoting renewables.

He highlighted that Ghana is transitioning to green energy. The Renewable Energy Act mandates that at least 10% of energy must come from renewables.

Currently, Ghana produces under three percent of its power from renewable sources. Specifically, it stands at 2.71%, mainly from solar energy. Ghana has abundant sunlight, giving it a comparative advantage in solar production.

The President emphasized balancing energy sovereignty, climate action, and fiscal stability. This strategy aims not only to power the nation but also to transform it.

The government plans to increase solar electricity capacity for industrial and household use. They are issuing licenses for large-scale solar projects of 20, 50, and 100 megawatts.

Mahama noted that Ghana should follow Scandinavian countries' examples on solar investment. In these countries, households can feed excess solar power into the national grid.

Currently, there is no regulation for this in Ghana. Mahama shared his experience with his own solar farm producing excess power without compensation.

He expressed a personal interest in ensuring citizens are paid for their contributions to the grid.

To support this agenda, the Ministry responsible for Energy has been renamed the Ministry of Energy and Green Transition. This change reflects a broader view of energy beyond traditional methods.

Looking ahead, Mahama mentioned plans until 2040 and 2050 regarding energy production. The government aims to gradually eliminate fossil fuels from power generation.

He believes that within four years, investments will allow for generating all power from natural gas and increased solar use. However, he acknowledged that oil and diesel will still be needed for public transportation and heavy trucks in the near future.