GRIDCo holds Annual General Meeting

By Christabel Addo-GNA
Accra, Sept. 20, GNA - Alhaji Huudu Yahaya, the Board Chairman of the Ghana Grid Company Limited (GRIDCo), has said the transmission utility would continue to work in providing adequate infrastructure for the growth in power generation in the coming years.

Alhaji Yahaya, who was addressing shareholders at the seventh Annual General Meeting (AGM) of GRIDCo for the 2015 in Accra, said the under capitalisation, the cost of financing and directives on the various financial requirements, place the Company in a vulnerable position, which needs to be addressed.

He said Government's efforts in addressing the liquidity problems in the Power Sector utilities would go a long way to release funds for GRIDCo to execute critical projects that would make a National Transmission System robust and improve the reliability of power supply.

Alhaji Yahaya said the indebtedness of major customers such as the Electricity Company of Ghana and The Volta Aluminum Company (VALCO) increased significantly during 2015, adding that the shortfall in power supply also worsened GRIDCo's financial state.

He said these factors in addition to the depreciation of the Ghana Cedi worsened the Company's financial state, and this has resulted in increased payables and receivables and a deterioration of GRIDCo's working capital

Inspite of these unfavourable challenges, GRIDCo managed to pull a total earnings of GH¢ 472.345 million and a net profit of GH¢ 44.797 million in the year under review contrary to the net loss of GH¢ 41.50 million achieved in 2014.

He said until 2014, GRIDCo recorded a good financial performance for four consecutive years.

Mr Yahaya said the Company has been working with 12 prospective entrants into the Renewable Energy Sector and has also collaborated with the Energy Commission to publish the Renewable Energy Grid Code, to serve as a guide for all interested parties.

He said GRIDCo was also working to commercialise part of its fibre optics to boost telecommunication in Ghana and within the sub-region.

Mr William Amuna, the Chief Executive GRIDCo, said the Company fully supports government's vision of making Ghana a net exporter of power by the year 2020, adding that a number of projects are also being undertaken to strengthen the transmission grid, in order to enhance its capacity and efficiency to transmit additional power to be connected to it.

He said some of the completed projects such as the replacement of obsolete equipment with modern and more effective ones and installation of new transformers have helped to reduce its transmission losses.

The transmission loss for 2015 was 3.79 per cent compared with the 4.32 per cent recorded in 2014.

Mr Amuna said GRIDCo was instrumental in the connection of the Karpowership barge to the grid, and that the integration of this power supply and that of the Ameri Plant contributed immensely to address the generation shortfalls.

He said the country's section of the Ghana-Togo-Benin Interconnection segment of the 330 k V West African Power Pool (WAPP) Coastal Backbone Transmission Line, was completed and energised in November 2015.

He, however, expressed worry about the current aging population of the Company's skilled manpower, saying efforts were being taken to address the situation and has commissioned a well-equipped gymnasium within the work environment, as a way of achieving a work-life balance for employees.

Mr John Abu Jinapor, the Deputy Minister for Power, commended GRIDCo for the hard work and dedication to duty, and gave the assurance that government intends to consolidate all the debts of Utility companies so that they could be effectively managed as and when funds were made available.

He urged GRIDCo to intensify their public education on the current high cost of producing power and to make the public understand the implications hence the need to be prepared to bear the cost for sustainable supply.

GNA