Ghana to be the biggest gas user

Energy experts on Tuesday said Ghanawould be the biggest user of the total capacity of gas to be generated from the West Africa Gas Pipeline Company (WAGPCO).

They said Ghana, a foundation member would utilize an initial capacity of seven million standard cubic feet per day and 130 million standard cubic feet per day for Tema and Takoradi.

The ultimate capacity for the Tema Plant will be 234 million standard cubic feet per day.

The experts comprised WAGPCO, West African Pipeline Project, the Volta River Authority, Energy Commission and Energy Consultants said this at their meeting in Akuse, in the Eastern Region, to fashion out the price for the Mid-Market Forecast (MMF) for the gas.

The Mid-Market forecast refers to the cost of volumes of gas to be produced plus the capital cost of the project.The three-day meeting which has representatives of the four participating countries - Ghana, Togo, Benin and Nigeria - will culminate in a Ministerial meeting on the outcome.

Briefing journalists at the session, Mr Joe Klemesu, Director-General of West African Gas Pipeline Project Authority (WAGPA) said the MMF is an important part that would determine the tariffs for the gas.

"And before we determine the tariffs, we need to know the exact volumes that will be running through the pipeline. We also should be able to convince the developer that there is the required market for the stated volumes."

Mr Klemesu said it was the duty of the meeting, which is meeting with its appointed consultants and an independent consultant, to prove to all concerned that Ghana a major end-user has the potential of churning out industries and subsidiary industrial bodies that would optimize the use of the gas pipeline.

"We must also demonstrate that Independent Power Producers will be coming into the country to utilize the facility, and that there is great potential for expansion in the power industry."

Mr Klemesu noted that that Ghana was part of the West African Power Pool and has structures which when fully linked would extend power to her northern neighbours. Mr Jim Briggs, Managing Director of Nexant, one of the consultants to the Project was optimistic that Mid-Market forecast could be reached for a smooth take off as schedule.

He congratulated the four countries for their tenacity in reaching a harmonized system that would address legal issues that might arise during the course of the life of the Project.

He described the International Partnership Agreement as the first single document in the world.