Western Regional Minister Backs Consideration Of Karpowership Contract Extension

The Western Regional Minister, Joseph Nelson, has backed consideration of an extension of Karpowership Ghana’s power generation contract beyond August 2027, citing the country’s rising electricity demand and the need to maintain adequate generation capacity.

The call comes as Karpowership Ghana engages the government over the future of its operations in the country, with the company expressing optimism that ongoing negotiations will result in an extension of its contract.

Karpowership currently supplies 450 megawatts (MW) of electricity to Ghana’s national grid, making it an important contributor to the country’s power generation mix.

The issue came into focus when Mr Nelson paid a working visit to the company’s facility in the Sekondi-Takoradi Metropolis on Tuesday, September 29, 2026, as part of efforts to familiarise himself with its operations and contribution to Ghana’s power sector.

The Corporate Communications Manager of Karpowership Ghana, Sandra Amarquaye, said the company remained committed to providing reliable and efficient electricity to the national grid. She described Karpowership’s 450MW contribution as significant to Ghana’s electricity supply and expressed confidence in the discussions with the government over the future of its operations.

“Our licence will expire in August 2027. We are currently in negotiations with government, and we are optimistic that it will turn out well. Things are looking positive,” she said.

Ms Amarquaye said the company was hopeful of securing an extension because of the role it continued to play in supporting Ghana’s electricity supply.

The Western Regional Minister, after touring the facility, said Ghana’s growing electricity requirements made the availability of reliable power generation capacity increasingly important.

He noted that Karpowership had previously accounted for about 23 per cent of Ghana’s power supply, although its contribution had since declined to approximately 11 per cent as a result of rising national demand and increased generation capacity from other Independent Power Producers (IPPs).

According to Mr Nelson, Ghana was yet to fully meet its expanding electricity needs, particularly as the government’s proposed 24-hour economy was expected to stimulate increased industrial activity and, consequently, demand for electricity.

He said although the Ministry of Energy would ultimately determine whether Karpowership’s contract should be extended, the company’s contribution to the power sector ought to form part of the considerations.

“To the extent that we still need power, then I believe that it will be worth our while to consider them for extension,” he said.

Mr Nelson said Ghana could not afford to overlook viable sources of electricity generation at a time when demand for power continued to increase. Beyond its power-generation role, the Minister also commended Karpowership for its corporate social responsibility initiatives in the Western Region, particularly its scholarship programmes and environmental interventions.

He said the company’s presence in the region imposed responsibilities beyond electricity generation and urged it to continue supporting the development of its host communities.

“This is their home, and I’m their host and, of course, landlord,” Mr Nelson said.

He expressed the hope that the Ministry of Energy would take into account Karpowership’s operational record, contribution to electricity supply and wider economic impact as it considers the company’s request for an extension.

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