Power and Industrialization Drive
President Akufo-Addo’s administration has set an ambitious district industrialization agenda, known as the One district One factory policy, which his government intends to achieve to move Ghana from one that exports raw materials to a value-added industrialized economy.
One district One factory policy
Akufo-Addo - President, The Republic of Ghana
The Nana Akufo-Addo’s government has given assurance to industry and manufacturers its determination in stabilizing electricity supply as the government continues to implement proactive measures to solve the current crisis.
President Akufo-Addo’s administration has set an ambitious district industrialization agenda, known as the One district One factory policy, which his government intends to achieve to move Ghana from one that exports raw materials to a value-added industrialized economy.
Key areas need critical attention if the government could meet this target bringing factories to all 216 districts across the country’s 16 administrative regions is a cheaper and reliable energy source.
The government has already released GH¢465 million for the commencement of the project. It has also released GH¢256 million for the revamping of 100 private commercially viable and distressed companies throughout the country. Finance Minister, Ken Ofori-Atta during the 2019 Budget Presentation in Parliament stated government has so far disbursed GH¢227 million as a stimulus package to support various distressed companies, and that additional funds will be disbursed to support other distressed companies next year. 79 factories in 9 regions of the country should be at various stages of construction or operation under the '1D1F' scheme is expected.
Industrialization agenda
Ghana has not had it easy when it comes to the cost industry pay for a power outage. The Institute of Statistical, Social and Economic Research (ISSER) which conducted a study on the impact of the four-year power crisis that hit Ghana revealed that 885 small and medium-sized manufacturing firms in Accra, Tema, Kumasi, and Sekondi-Takoradi lost GH¢250 million within the period. The productivity of these firms fell as many were using generators as an alternative source of power.
Additionally, the power outages, to a large extent, led to a 10 percent fall in monthly productivity of those firms, with as many as 55 of such businesses folding up in the four locations of the country.
Ghana’s economy, like any other economy in the world, depends on local production and export goods and services, thus industrialization. For many industries in the West African country, energy supply is a major challenge. Players in the sector have been complaining about the intermittent power outage they sometimes experience. A situation that in the past cost many job layoffs.
The Nana Akufo Addo’s government has given assurance to industry and manufacturers its determination in stabilizing electricity supply as the government continues to implement proactive measures to solve the current situation.
The Association of Ghana Industries (AGI) in a communiqué after its National Council Retreat this year said they are resolved to continue making input into the electricity tariff negotiations with the country’s utility regulator, Public Utility Regulatory Commission, and appropriate agencies to ensure competitive tariffs for Industry.
The industry is expecting reliability and efficiency in service delivery and competitive tariffs from the new company—Power Distribution Service (PDS) taken operations in the distribution network in southern Ghana. AGI recognizes the need for a tariff structured in a manner the service providers can recover cost to remain viable.
Ghana is in the category of countries with high energy cost in the sub-region and for the industry to remain competitive industry sector players have called on the government to review the electricity tariff.
It is therefore right to say that a high cost of energy leads to a high cost of production; and will subsequently make Ghana unattractive for the setting up of factories thus generating a consistent increase in imports. This explains why locally-produced goods more expensive than the same imported goods in spite of the high duty charges at our various ports of entry.
UNIDO to boost industrial development
The government, in terms of urgency, must explore other cost-effective forms of energy like solar, bio-energy, nuclear, and wind energy to enhance Ghana’s business destination for West Africa.
Ghana’s total installed generator capacity at the end of 2016 was 3,795 MW with proportions as follows; 57.8 percent thermal, 41.6 percent hydro and 0.6 percent renewable.
Most thermal facilities run on natural gas (a cheaper fuel source compared to liquid fuels) as the primary fuel source, with the exception CENIT Power Plant and the Karpowership power plant, which depend solely on liquid fuels (LCO/DFO and HFO respectively). Makes natural gas supply very crucial for the effective operation of Ghana’s electricity sector. The West African Gas Pipeline transporting natural gas from Nigeria, is the major supplier of natural gas for generating electricity until the commissioning of the Atuabo gas processing facility, owner of the Ghana Gas Company in 2015. Gas supply has not been reliable with the Nigerians citing non-payment of debt as the major reason.
The Atuabo gas processing facility is capable of supplying up to 150 Mscf per day to the western power generation enclave at the Aboadze thermal facility with supplies from the Jubilee oil fields. Plans are underway to process natural gas from the Tweneboa, Enyenra, Ntomme (TEN) oil fields to augment supplies from the Jubilee fields and make Ghana self-sufficient. However, the Tema thermal power enclave still depends on natural gas supply through the WAGP.
The Atuabo gas processing facility is capable of supplying up to 150 Mscf/d (abbreviation for a thousand standard cubic feet per day, a common measure for volume of gas) to the western power generation enclave at the Aboadze thermal facility with supplies from the Jubilee oil fields. Plans are underway to process natural gas from the Tweneboa, Enyenra, Ntomme (TEN) oil fields to augment supplies from the Jubilee fields and make Ghana self-sufficient. However, the Tema thermal power enclave still depends on natural gas supply through the WAGP.
Huge investment to increase the power-generation capacity of the country. More power plants have also been constructed to increase the supply of power in the country. These include Takoradi Thermal Power Plant, Takoradi T3 Plant, Tema T1 Power Plant, Mines Reserve Plant, Tema T2 Plant, and the Kpone Thermal Plant. Notwithstanding the efforts made by successive governments to expand power generation capacity, the country is still far from becoming power sufficient.
The government of Ghana is still pursuing policies to improve the shortcomings in the power sector.
The Millennium Challenge Corporation (MCA) plans to invest a maximum of US$498 million in total to help transform the power sector of Ghana and also stimulate private investment over the next five years. The objective is to create a power sector, which is financially viable, and be able to meet the current needs as well as the future needs for both businesses and households.
Banking, Real Estate & Technology, Headquartered in Rwanda
Mara’s technology ventures capitalizes on the rapidly growing smartphone and internet markets creating a suite of platforms that are tailored locally.
Why Africa? “The Lion Awakes: Adventures in Africa’s Economic Miracle” by Ashish J. Thakkar is the true story of today’s Africa, one often overshadowed by the dire headlines. Traveling from his ancestral home in Uganda, East Africa, to the booming economy and (if chaotic) new democracies of West Africa, and down to the “Silicon Savannahs” of Kenya and Rwanda, Ashish J. Thakkar shows us an Africa that few Westerners are aware exists.
Mara Group & Mara Foundation
Africa Reach – An African company with investments and operations in 25 countries across the continent
Established in 1996, Mara has grown from a small computer hardware trading firm in East Africa to a multi-sector group with investments and operations spanning 25 African countries and 3 continents.
Why Africa? “The Lion Awakes: Adventures in Africa’s Economic Miracle” by Ashish J. Thakkar is the true story of today’s Africa, one often overshadowed by the dire headlines. Traveling from his ancestral home in Uganda, East Africa, to the booming economy and (if chaotic) new democracies of West Africa, and down to the “Silicon Savannahs” of Kenya and Rwanda, Ashish J. Thakkar shows us an Africa that few Westerners are aware exists.
Mara’s technology ventures capitalize on the rapidly growing smartphone and internet markets creating a suite of platforms that are tailored locally.
“The rise of the African Middle Class is expected to fuel consumption growth. This will provide a considerable opportunity to invest and meet the burgeoning demand. McKinsey projects that, by the year 2030, the top 18 cities in sub-Saharan Africa will have a combined spending power of $1.3 trillion. Africa’s retail banking sector is projected to grow 40 percent by 2020” ~The Realities of Africa. Learn More.
The CBD and Cannabis Gold-rush
Cannabis! How times have changed. Once the province of tokers, back-alleys, and street hustlers gone mainstream. Fmr. Speaker of the House John Boehner is an industry lobbyist. Even domestic maven Martha Stewart has joined the fray.
By Shola Fredricks
Marijuana legalization has crumbled across the US
Fmr. Speaker, John Boehner, an industry lobbyist
Visitors to the 2018 Home Garden Flower Show in Fryeburg learn about CBD oils from a vendor. (MARGARET MCKENZIE PHOTO)
Societal resistance to marijuana legalization has crumbled across the US. Cannabis! How times have changed. Once the province of tokers, back-alleys, and street hustlers gone mainstream. Fmr. Speaker of the House John Boehner is an industry lobbyist. Even domestic maven Martha Stewart has joined the fray.
For many cancer patients and others who suffer from a variety of maladies, medical marijuana is the only thing that mitigates pain and suffering.
CBD oil is the new wonder drug in the pain management fight. Touted as a cure-all for chronic pain the CBD industry has experienced phenomenal growth in recent years. Fancy designer boutiques offering a myriad of products are springing up everywhere. Despite skepticism from the healthcare professionals the CBD industry continues to boom. Viva Las Vegas!
Undoubtedly as one of the nation’s most popular vacation spots. Legalization of marijuana added strong economy with stores opening on and off “The Strip.” Gamble, watch a show and shop your favorite pot sundries with convenience.
With no expectations, I set out to find some CBD lotion for an arthritic aunt. I landed at “Planet Thirteen,” dubbed the “cannabis superstore.” I entered a slick and gleaming edifice replete with a state of the art sound system pumping out a droning techno beat. Well-heeled suited men and women and more casually dressed counterparts milled around sparkling glass displays cases. Astute sales reps patiently explained the pros and cons of a staggering array of products. Pot-infused beverages, candy, cakes, and coffees, etc. A sales rep told me construction had started on a dining area in anticipation of Nevada changing its laws. To serve pot-infused meals.
The experience was edifying and changed some of my preconceived notions about the industry.
The “S” Word and the Myth Of the Meritocracy
Stagnant wages, rising healthcare, and college costs have squeezed the middle class severely. Consequently, the “American Dream“ has become a nightmare. Inequality is baked into the system at all levels.
By Angela Brooks
To my surprise people are actually shocked at the scope of the college admissions scandal
To twist a quote from Gordon Gekko
Too many who do not enjoy the lifestyle of the rich and famous, are basking in the glow of a brighter sun, the “American Nightmare." Inequality is baked into the system at all levels. Stagnant wages, rising healthcare, and college costs have squeezed the middle class severely. Consequently, the “American Dream“ has become a nightmare. In contrast, Wall Street, corporate America, highly paid CEO’s rake in record profits. Corporation like Amazon gets a hefty tax cut. Meanwhile "Joe Six-pack” is looking at reduced tax refunds.
With 2020 looming President Trump seeks to label Democrats as extremists and socialism a dirty word. Bernie Sanders and Alexandria Ocasio-Cortez are proud proponents of democratic socialism are any of their ideas worth merit “Medicare for all,” a “Green New Deal” to save the planet and create jobs. Free college tuition and making corporations pay their fair share so we can solve social issues and repairing our decaying infrastructure. Shocking!
To twist a quote from Gordon Gekko. “Greed is not good.” Surely we can strike a balance between unfettered capitalism and giving people a fair shot at a better life. The admissions scandal reminds us that life is not always fair and too many socialism may not sound like a bad idea after all.