Ghana and Japan have signed a $13.44 million grant agreement to improve electricity supply stability in Tamale and surrounding areas.
The grant will fund the construction of a primary power substation, along with a control room, transformers, and sub-transmission lines, to enhance electricity distribution in the region.
The two-year project will be overseen by the Northern Electricity Distribution Company (NEDCo).
Finance Minister Dr. Cassiel Ato Baah Forson signed the agreement on behalf of Ghana, while Suzuki Momoko, Chief Representative of the Japan International Cooperation Agency (JICA) Ghana Office, signed for Japan.
Speaking at the signing ceremony in Accra, Dr. Forson thanked Japan for its continued support in Ghana’s energy sector and reaffirmed the government’s commitment to working closely with JICA to implement key development projects.
He also urged Japan to assist in the construction of the Volivo Bridge in the Volta Region, a priority project for President John Dramani Mahama.
Suzuki Momoko emphasized the significance of the initiative, noting that it strengthens diplomatic ties between Ghana and Japan.
She highlighted that this marks Japan’s second major power-related investment in Ghana, following the Power Distribution Project in Tamale and Sunyani in 2015.
The new substation will enhance power reliability for critical areas, including the Tamale Central Market, Central Business District, Central Hospital, educational institutions, and rural communities.
“The project will reduce the frequency and duration of power outages, lower fuel costs, and cut CO₂ emissions by minimizing generator reliance, contributing to environmental sustainability,” Momoko stated.
The project is expected to be completed within two years.
