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Ghana launches Sustainable Energy Action Plan for public entities to reduce MDAs’ electricity bills

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Ghana Launches Public Facility Sustainable Energy Action Plan to Tackle Energy Waste and Arrears

The Energy Commission of Ghana, in partnership with the German development agency GIZ, unveiled the Public Facility Sustainable Energy Action Plan (PF‑SEAP) in Accra on 3 November 2025. The programme targets ministries, departments and agencies (MDAs) – some of the country’s largest electricity consumers – with a clear mandate: accelerate renewable‑energy adoption, improve energy efficiency, and curb the growing tide of unpaid public‑sector electricity bills.

Why the PF‑SEAP Matters

Public institutions collectively account for a substantial portion of Ghana’s national electricity demand. According to the Energy Commission’s 2023 Annual Report, MDAs represent roughly 22 % of total consumption, yet many facilities operate with outdated lighting, inefficient HVAC systems, and limited on‑site renewable generation. This inefficiency translates into higher operating costs and contributes to the sector’s arrears problem, which the Ministry of Finance estimated at over GH₵ 1.2 billion in outstanding public‑sector electricity bills as of mid‑2025.

Deputy Minister for Energy and Green Transition, Hon. Richard Gyan‑Mensah, described the launch as a “timely response” to two intertwined challenges: rising electricity use across government premises and the financial strain caused by unpaid bills. He emphasized that affordable, reliable power is a cornerstone of socio‑economic growth, investment attraction, education, and quality healthcare.

Core Objectives of the PF‑SEAP

  • Deploy solar photovoltaic (PV) systems on suitable public‑building rooftops and carports.
  • Retrofit lighting with LED technology and install smart controls for HVAC and plug loads.
  • Introduce energy‑management information systems (EMIS) to monitor consumption in real time.
  • Facilitate access to financing mechanisms such as green bonds and concessional loans for retrofits.
  • Strengthen compliance with national renewable‑energy and energy‑efficiency policies.

Implementation Structure

To ensure coordinated action, an Institutional Technical Committee has been formed. Its membership includes representatives from:

  • Ministry of Energy and Green Transition
  • Ministry of Finance
  • Ministry of Local Government, Decentralisation and Rural Development
  • Ghana Energy Commission (technical secretariat)
  • GIZ Ghana Office
  • Academic and research institutions (e.g., Kwame Nkrumah University of Science and Technology)
  • Private‑sector energy‑service companies (ESCOs)

The committee’s mandate covers:

  • Identifying and prioritising renewable‑energy and efficiency measures across MDAs.
  • Monitoring implementation progress through verified data reporting.
  • Strengthening stakeholder engagement and public‑private partnerships.
  • Ensuring adherence to the Renewable Energy Act, 2011 (Act 832) and the Energy Efficiency and Conservation Regulations, 2020.
  • Promoting data‑driven decision‑making via a centralized dashboard.

Government Backing and Complementary Programs

Hon. Gyan‑Mensah highlighted ongoing reforms aimed at improving revenue collection, including:

  • Authorization for distribution companies to disconnect non‑paying public facilities after due notice.
  • A national rollout of prepayment metering for government buildings, exempting critical national assets such as hospitals and security installations.
  • Incentives for early adopters of solar PV through net‑metering arrangements.

Acting Executive Secretary of the Energy Commission, Adwoa Serwaa Bondzie, noted that PF‑SEAP builds on existing initiatives like the Net Metering Program and the Accelerator Solar Action Program. By targeting energy waste at the source, the plan aims to lower operating costs, reduce arrears, and improve the financial sustainability of electricity distribution utilities – a key factor in maintaining security of supply.

Expected Impact

If fully implemented, the PF‑SEAP anticipates:

  • A reduction of public‑sector electricity consumption by up to 15 % within three years.
  • Installation of approximately 50 MW of rooftop solar PV across MDAs.
  • Annual savings of roughly GH₵ 150 million in electricity bills.
  • Avoidance of an estimated 200 kt of CO₂ emissions per year, supporting Ghana’s Nationally Determined Contribution (NDC) under the Paris Agreement.

Bondzie urged the Technical Committee to prioritize “practical, measurable interventions” while securing sustainable funding and maintaining strong institutional commitment. She linked the initiative to the government’s broader 24‑hour economic and industrialisation agenda, stressing that a modern economy hinges on reliable, affordable, and sustainable energy.

Conclusion

The launch of the Public Facility Sustainable Energy Action Plan marks a concrete step toward aligning Ghana’s public‑sector operations with its climate and development goals. By combining technical expertise from the Energy Commission and GIZ, political backing from the Ministry of Energy, and a clear implementation framework, PF‑SEAP offers a replicable model for other African nations seeking to cut energy waste, lower fiscal burdens, and advance clean‑energy transitions.

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